The future of the LAX hub?
#438
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#439
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#440
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Not a matter of being 'taken over' by SAS, as UA/SK are essentially competitors despite some coordination through *A. The local markets aren't large, SK has a lot of capacity (with connections), and the entry of DY has trashed yields, especially in the offseason. The 757s are also at the upper limit of their range on the Scandinavian routes, which was especially problematic in the winter.
#442
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Not a matter of being 'taken over' by SAS, as UA/SK are essentially competitors despite some coordination through *A. The local markets aren't large, SK has a lot of capacity (with connections), and the entry of DY has trashed yields, especially in the offseason. The 757s are also at the upper limit of their range on the Scandinavian routes, which was especially problematic in the winter.
#443
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#444
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So the net is, it makes excellent sense for SK to serve the 4th largest airport in the world; it makes very little sense for UA to service ARN or CPH from the west coast, particularly since SK has a competitive advantage drawing the Scandinavia based traffic to California.
Last edited by Kacee; Jan 17, 2018 at 9:06 am
#447
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LAX-ARN: ~75-80
LAX-CPH: ~110-115
Those numbers are from a couple of years ago before Norwegian entered the market. Their low fares stimulate demand, so I am sure those numbers are way up. UA doesn't serve the largest international market from LAX, which is ICN with around 10x as many passengers as LAX-CPH.
LAX-CPH: ~110-115
Those numbers are from a couple of years ago before Norwegian entered the market. Their low fares stimulate demand, so I am sure those numbers are way up. UA doesn't serve the largest international market from LAX, which is ICN with around 10x as many passengers as LAX-CPH.
#448
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LAX-ARN: ~75-80
LAX-CPH: ~110-115
Those numbers are from a couple of years ago before Norwegian entered the market. Their low fares stimulate demand, so I am sure those numbers are way up. UA doesn't serve the largest international market from LAX, which is ICN with around 10x as many passengers as LAX-CPH.
LAX-CPH: ~110-115
Those numbers are from a couple of years ago before Norwegian entered the market. Their low fares stimulate demand, so I am sure those numbers are way up. UA doesn't serve the largest international market from LAX, which is ICN with around 10x as many passengers as LAX-CPH.
Especially in the winter, UA faces JV pressure for operating capacity that doesn’t generate enough revenue to justify its existence. UA would rather have that traffic flow over JV hubs if it can’t generate a premium.
#449
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They're dropping LAX - TUS. I find that one interesting. It seemed like they were turning LAX into more of a western US hub with their adding of markets in Oregon and dropping MSP and OKC. LAX - Tuscon is a crowded market but seems like a reasonably important regional market, but I'm not Scott Kirby.
#450
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They're dropping LAX - TUS. I find that one interesting. It seemed like they were turning LAX into more of a western US hub with their adding of markets in Oregon and dropping MSP and OKC. LAX - Tuscon is a crowded market but seems like a reasonably important regional market, but I'm not Scott Kirby.