According to the Air Transport Association, 2000 was the last year the airlines as a group were profitable. At the time, the average cost of a gallon of jet fuel was 78.6¢. It's now $1.75.

Yea, I remember those days... when I was working for an airline. Hehe.

According to the Air Transport Association, 2000 was the last year the airlines as a group were profitable. At the time, the average cost of a gallon of jet fuel was 78.6¢. It's now $1.75.

A BUCK SEVENTY FIVE????

How come THEY get such a f***ing break on fuel prices????

According to the Air Transport Association, 2000 was the last year the airlines as a group were profitable. At the time, the average cost of a gallon of jet fuel was 78.6¢. It's now $1.75.

 

 

Thanks to cost cutting the major airlines are starting to become profitable again. American and Continental just turned in the first quarterly profits since before 9-11 and the low cost carriers like Southwest and Jet Blue are consistently profitable thanks to their no-frills service and their fuel hedges.

Thanks to cost cutting the major airlines are starting to become profitable again.  American and Continental just turned in the first quarterly profits since before 9-11 and the low cost carriers like Southwest and Jet Blue are consistently profitable thanks to their no-frills service and their fuel hedges.

 

Southwest airlines is the only airline that has a smart business plan, the rest of them suck.

Southwest airlines is the only airline that has a smart business plan, the rest of them suck.

 

 

Agree.

 

And NUKE where did you see that AA turned a profit..? The CEO's wife here works for their corporate offices and he's always telling us how she's at risk of loosing her retirement $$, and just had to take another pay cut in March.

Southwest airlines is the only airline that has a smart business plan, the rest of them suck.

 

 

Southwest is great, they are always in a good mood, and they still give you free snacks.

Southwest is great, they are always in a good mood, and they still give you free snacks.

 

I wonder what will happen to the Wright Amendment, which they are trying to get repealed. Southwest is great, on short flights. But, being relatively tall, I would rather pay up to $50 more for some leg room.

Agree.

 

And NUKE where did you see that AA turned a profit..? The CEO's wife here works for their corporate offices and he's always telling us how she's at risk of loosing her retirement $$, and just had to take another pay cut in March.

 

 

CNBC a week or so ago.

 

Article: http://www.thestreet.com/_tscs/markets/ros...l/10233520.html

 

I was wrong about the 9-11 thing though, they had a tiny profit in the same quarter last year. Those pay cuts and pension reductions you alluded to are a big reason why.

Edited July 26, 200520 yr by NUKE_CLEVELAND

I just flew Southwest recently. It was relatively short, so it wasn't that bad. No better or worse than other flights I've been on.

CNBC a week or so ago.

 

Article:    http://www.thestreet.com/_tscs/markets/ros...l/10233520.html

 

I was wrong about the 9-11 thing though,  they had a tiny profit in the same quarter last year.  Those pay cuts and pension reductions you alluded to are a big reason why.

 

 

Thanks for the link. And it's United she works for not American so me for that..

 

AirTran is also profitable on a regular basis as well.

 

They along with JetBlue DO indeed have good business plans.

Fleet type is one of the keys.

 

I could write you all a dissertation of a "successful" airline, but you'd get bored.

Good service, long term oil contracts, using cheaper airport gates, useful fleets, excellent publicity?

Good service, long term oil contracts, using cheaper airport gates, useful fleets, excellent publicity?

There's actually a pretty deep theoretical model that if all airlines used it, they would all be profitable. I worked on it some to help bring an airline out of bankruptcy. Guess what? It's working, because the company is still around.