JO Decides Code-Shares Are Better Than Flying Empty in HI

[mdanno808]

Of course they'll need ferry tanks.

 

[flyer172r]

Separately, Ornstein provided an update on Mesa's plans for inter-island startup go!, which will launch in Hawaii June 9 with four CRJ200s acquired from defunct Independence Air. He said he is optimistic the new carrier eventually will strike a codeshare arrangement with either US Airways or Delta Air Lines. He maintained the financial risk for Mesa will be minimal and said bookings for the introductory $39 fares are encouraging. "If we can run load factors in the 80% range, we're not going to lose much money," he claimed.

So if he's not going to lose much money, he's still losing money. Why is he doing this if he's already planning on losing money. Somehow I doubt he'll make much money flying CRJs for $39 fares.

 

[suupah]

Separately, Ornstein provided an update on Mesa's plans for inter-island startup go!, which will launch in Hawaii June 9 with four CRJ200s acquired from defunct Independence Air. He said he is optimistic the new carrier eventually will strike a codeshare arrangement with either US Airways or Delta Air Lines. He maintained the financial risk for Mesa will be minimal and said bookings for the introductory $39 fares are encouraging. "If we can run load factors in the 80% range, we're not going to lose much money," he claimed.

selling 80percent at an intentional loss? that is really evil. Just to screw the other airlines there. how is that even legal?

39 dollar fares put independence out of business

 

[mdanno808]

He's attempting to drive one or more of the established carriers out of business. This is why the guys in Hawaii are getting so pi$$ed about the whole thing. It is not, as soverytired posted earlier, "We want to continue our evil monopoly of raping the Hawaiian traveling public", but is actually, "I want to keep my job, and the job's of the other 3000 people who work at my airline".

 

[mdanno808]

I hope aloha, hawaiian and island air even PW corn hole that f-ing whore into bankrupcy. I think J.O. is finally doing something so stupid he's risking his airlines profitability. You go mesa whores do your thing and let the bros in the lineup kick your A$$ just like pipe. No one and I mean no one comes into their house and pushes them around....

Unfortunately, it isn't JO who will feel all of the hostility from the people in Hawaii, it will be his employees.

 

[Dan Roman]

Your right Dan, I think the Mesa folks are going to have a harder time over here than they realize. Sounds kind of sad, but the fact is they are coming over here to declare war on HAL/AQ. They are not trying to be a good business, they want to operate at a loss just to spite the local carriers who spurned Ornstein when he tried to buy them. Big difference between normal business competition (HAL and AQ have been charging similar fares to what SWA charges on 20-50 min legs) and a bunch of entry level airline employee's coming over here on a lark to try and get some expeirence.
Also, the so called $39 fares are in fact about a $90 round trip ticket. Not that much less than the $150 or so that is the norm.
Go is starting with a lot of baggage, yes some people are happy to see competition, but there is a lot of people that want them to fail or resent their presence. Ornsteins attitude is a great competitive advantage for HAL and AQ. He has no clue how to do business on an island and it appears some of his employee's are already starting with the attitude that has a tendancy to get your but kicked over here.

 

[Soverytired]

Allow me to parse my words . . .

He's attempting to drive one or more of the established carriers out of business. This is why the guys in Hawaii are getting so pi$$ed about the whole thing. It is not, as soverytired posted earlier, "We want to continue our evil monopoly of raping the Hawaiian traveling public", but is actually, "I want to keep my job, and the job's of the other 3000 people who work at my airline".

Fair enough. I'd agree that the established carrier employees only want to keep the status quo, because that's what they're comforatable with. I don't blame them at all, and would feel totally the whole way. Competition with anyone sucks. Long time Mesa employees are (or should be) scared to death that some other carrier is going to underbid our contract flying with cheaper rates . . . that would destroy OUR status quo.

As to Hawaiian/Aloha management - - - their only fundamental interest is PROFIT. They like monopolies just fine.

( On a more general note: this is how flightinfo handles Mesa: "Mesa bad, Mesa evil, Mesa sucks, Mesa scumbags . . . . (Mesa pilots ok, I guess, but never forget!) . . .Mesa icky, etc, etc. This kind of hairsplitting gets pretty transparent after awhile)

 

[ReverseSensing]

( On a more general note: this is how flightinfo handles Mesa: "Mesa bad, Mesa evil, Mesa sucks, Mesa scumbags . . . . (Mesa pilots ok, I guess, but never forget!) . . .Mesa icky, etc, etc. This kind of hairsplitting gets pretty transparent after awhile)

Oh, come on, spell it out:

Mesa lowering the bar
Mesa pilots need to grow a pair
Mesa dragging the industry down
Mesa bottom feeder

...and most important,

Mesa pilots wear nylon windbreakers!

If you keep making sensible posts, you're going to have people thinking you don't really work for Mesa.

 

[labbats]

JO isn't a one man airline. He has stockholders and people to answer to. So how exactly is he putting this idea up to them? I don't see any way to profitability, what am I missing?

 

[skydivinguy]

A lot of the letters to the editor in the Maui News are in favor of Mesa and their low fares. Hopefully, the residents here will realize that if Mesa drives one of the existing companies out of business, the fares wil rise probably higher than they are now.

I hope that Mesa tanks quickly. Nothing against the employees, but Mesa does suck!