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US moves forward with big Caribbean expansion

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Old May 30, 2001, 12:22 pm
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US moves forward with big Caribbean expansion

US has filed with DOT for application to start service from Charlotte and LaGuardia to Freeport, Bahamas (737-300s), Philadelphia to Barbados (A-320s), Philadelphia to St. Lucia (A-320s), and Charlotte to Cozumel (737-300s).

Looks like the Caribbean war is going to heat up.

[This message has been edited by ITRADE (edited 05-30-2001).]
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Old May 30, 2001, 1:27 pm
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Any idea when the PHL-Barbados service is supposed to start?
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Old May 30, 2001, 1:50 pm
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Originally posted by romadaro:
Any idea when the PHL-Barbados service is supposed to start?
November - daily service. St. Lucia sat/sun service.
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Old May 30, 2001, 2:54 pm
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us2
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Originally posted by ITRADE:
US has filed with DOT for application to start service from Charlotte and LaGuardia to Freeport, Bahamas (737-300s), Philadelphia to Barbados (A-320s), Philadelphia to St. Lucia (A-320s), and Charlotte to Cozumel (737-300s).

Looks like the Caribbean war is going to heat up.

[This message has been edited by ITRADE (edited 05-30-2001).]
Its about time someone takes on American down there. This does not sound like the action of a company that plans on being merged out of existence this summer.
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Old May 30, 2001, 3:03 pm
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Its about time someone takes on American down there. This does not sound like the action of a company that plans on being merged out of existence this summer.
Well, it's not like United is a giant in the Caribbean...
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Old May 30, 2001, 8:13 pm
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This is good news.

TWA was starting to give AA some competition in the Caribbean before its demise. I think that is one of the reasons that made AA quick to buy up TWA. For the past several years, Caribbean routes have been a gold mine for AA.

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Old May 30, 2001, 10:17 pm
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This routes must be a goldmine for everyone flying them. Very often the lowest fares from the east coast to the caribean are 400 to 600 $ for sometimes relatively short hops.
The very same routes in europe from Northern europe to the beaches on the spanish islands have fares from 140 to 300 $ inclusive of better service and still making money. Even when you have close to no full fare business people on this flights mostly for leisure travel if the lowest seats go for 400 $ or more and you pack the birds there must be money to be made.

[This message has been edited by eurousair (edited 05-30-2001).]
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Old May 31, 2001, 6:10 am
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geo1004
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East coast U.S. to MBJ usually runs about $425+ in the off-season!!!

Full flights often oversold. No wonder they are cash cows...
 
Old May 31, 2001, 6:29 am
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Originally posted by geo1004:
East coast U.S. to MBJ usually runs about $425+ in the off-season!!!

Full flights often oversold. No wonder they are cash cows...
Yeah but they are solid performers from what I can discern. Apparently AUA is in the 90% range for load factors. At $275 each way (average fare) and with 125 seats filled, thats at least $30,000 revenue. An A-320 should cost about $2,500 per block hour to operate. At four hours block time, US would be making $20,000 a flight...

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Old May 31, 2001, 9:38 am
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ITRADE -

$2500/hour for actual airplane operating costs, or overall?

What about the hourly costs for the crew and their expenses(lodging, food), itemized costs for catering, and all the other overhead at the two airports(ramp personnel, landing fees, baggage handlers, gate agents, etc.) I'm sure there's a formula management uses to determine a 'break-even' point for each specific route. Love to know what it is.

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Old May 31, 2001, 10:01 am
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Originally posted by PHL:
ITRADE -

$2500/hour for actual airplane operating costs, or overall?

What about the hourly costs for the crew and their expenses(lodging, food), itemized costs for catering, and all the other overhead at the two airports(ramp personnel, landing fees, baggage handlers, gate agents, etc.) I'm sure there's a formula management uses to determine a 'break-even' point for each specific route. Love to know what it is.

Overnight meals, ramp costs, etc. are all company costs and may not be associated with the actual operation of the aircraft.

Here are the A-320 costs:
Crew $1,046; Fuel $620; Rentals $167; Depreciation $202; Insurance $6; Taxes $41; Maintenance $743; Other $5. Total = $2,830 per block hour.
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Old May 31, 2001, 10:19 am
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geo1004
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Originally posted by ITRADE:
Here are the A-320 costs:
Crew $1,046; Fuel $620; Rentals $167; Depreciation $202; Insurance $6; Taxes $41; Maintenance $743; Other $5. Total = $2,830 per block hour.

Is the Other $5 for the Cold Chicken Plates in FC?

 
Old Jun 1, 2001, 3:36 am
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Originally posted by geo1004:

Is the Other $5 for the Cold Chicken Plates in FC?
No, its got to be the Cold Chicken Plate AND something else to get it up to $5.

YG
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