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Old Aug 3, 2011 | 6:55 pm
  #106  
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Originally Posted by UA-NYC
I'll give a little example here to better illustrate this point, since it's apparently not clear:

CEO A: Even though our merger partner had success in many ways, there's no way their method can be better than what I've seen at the company I've worked at the past 15 years. I'm skeptical that I'll see anything that would change my mind, and am confident we'll kill off their point of difference. After all, if it was such a good idea, we would have done it already.

CEO B: While my company may have known one version of success, our merger partner had a different one, and I'm going to go forward in leading the combined company with an open, unbiased mindset and learn from what they did well. I won't lean either way until I've had the chance to analyze both sets of books and get a better sense of the customer bases for both airlines.

Who would you rather have as your leader of the world's largest airline? I know who I'd choose.
I would choose whichever one was better looking.
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Old Aug 3, 2011 | 7:01 pm
  #107  
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Originally Posted by SFOSpiff
From the facts in that article, this is based entirely on CO's old BF.

If the CO fanboys are going to keep going on and on, at least they should do it on CO's merits immediately preceding the merger, not the CO circa 2006 they wish would come back from the dead.

By the way, I am not saying this as some sort of UA apologist. I think UA was the superior airline in virtually all respects, but unlike CO apologists, I am willing to admit there were some things (but only a few) that CO did better, like BF food. I have yet to see any CO lovers admit anything but a deep hatred for UA and any admission that UA was better at anything.


Read the date in the first sentence. This isn't 2006, it's 2009.


And that last part isn't true. I understand that mostly, UA does better in IRROPS and compensation.
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Old Aug 3, 2011 | 7:02 pm
  #108  
 
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Originally Posted by sxf24
Are you crucifying Smisek because he changed his mind based on compelling facts and data, or because he didn't have access to UA's books before the merger?
In the case of Smisek's comments about E+, yes, I blame him for not having an open mind before he had access to UA's books. His response should have been nothing more than "we'll have to look at it."

He was already biased, because I have no doubt that CO, and every other full-service carrier in the country, had already done their own E+ studies. They had to. That's what you do when a competitor offers a service you don't. It could have been as extensive as years of studies and surveys, or as simple as some basic math. But surely they looked at it, decided it wouldn't work, and came into the merger predisposed to eliminate it because their previous experience said it was a bad idea.

To answer the question "if E+ is so great, why doesn't everyone have it" - well, offering E+ has two costs:

1. initial labor costs to retrofit aircraft (plus minor costs like reprogramming computers to sell E+)
2. ongoing potential adjusted revenue due to fewer seats

My guess is that even if #2 is revenue neutral, or slightly revenue positive, it's the cost of #1 that deters most airlines. Maybe UA found a way to make it work. Or maybe UA took a risk involving up-front costs. Maybe it was smart, maybe not. But just because no one else did it, doesn't mean it was a bad idea. There's little financial upside to offering Ch. 9, but it distinguishes UA against other carriers.

Now here's where Jeff should have kept quiet for a while. UA and CO have roughly the same size fleets. If you remove E+ from UA aircraft, you have to send X number of planes into the shop. If you add E+ to CO aircraft, you also have to send roughly X number of planes into the shop. Keeping a mixed fleet is too difficult an option. You have to change one side or the other. But doing either has roughly the same cost. (I'm oversimplifying here, but the point is valid).

Actually, adding E+ to CO is probably cheaper than removing it from UA, because adding E+ requires removing one or two rows of seats. Removing E+ from UA aircraft would probably cost more, because they would have to obtain extra seats from somewhere. My guess (and I could be wrong) is that all the economy seats UA removed 10 or so years ago aren't still sitting in a warehouse on the off chance they changed their mind.

So, yes, I do think Smisek was unfairly and unnecessarily biased towards eliminating E+. They looked at it before and rejected it. They should have waited until they had all the information before saying anything more.

Originally Posted by dinoscool3
Read the date in the first sentence. This isn't 2006, it's 2009.
I never specifically claimed the article was from 2006. You read into it that way.

Last edited by iluv2fly; Aug 3, 2011 at 10:38 pm Reason: merge
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Old Aug 3, 2011 | 7:12 pm
  #109  
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Originally Posted by SFOSpiff
I never specifically claimed the article was from 2006. You read into it that way.

From what I get, they were doing the new seat, and even if they weren't, the food doesn't change in a year.
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Old Aug 3, 2011 | 7:19 pm
  #110  
 
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Originally Posted by dinoscool3
http://www.luxurytravelmagazine.com/...ards-14239.php

For starters, I know there's more (much more), it's just hard to find them.
THe claim was that CO BF had repeatedly won awards and accolades. One industry article does not represent this... The fact that "it's hard to find" is the most telling comment ever. The fact is this is a B* argument for BF.

The article you post is like many other industry mags where you buy an ad and get a nice comment. Buy a nicer ad and get an award.

A quick Google search for UA industry awards presented just as many links to various articles.
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Old Aug 3, 2011 | 7:25 pm
  #111  
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This thread seems to have gotten far away from the original topic. The moderators have agreed it will remain closed.

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Last edited by l etoile; Aug 4, 2011 at 8:49 am
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Old Aug 3, 2011 | 7:26 pm
  #112  
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Originally Posted by Luvs2snowbordbut1kSEA
THe claim was that CO BF had repeatedly won awards and accolades. One industry article does not represent this... The fact that "it's hard to find" is the most telling comment ever. The fact is this is a B* argument for BF.

The article you post is like many other industry mags where you buy an ad and get a nice comment. Buy a nicer ad and get an award.

A quick Google search for UA industry awards presented just as many links to various articles.

What awards? When searching the exact term you said, I get 1 award for good maintenance.



Here's a list of all of COs awards since 1996.
http://www.continental.com/web/en-US...ip/awards.aspx
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