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SWA to have a Q1 loss?

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On Your Six

Well-known member
Joined
Mar 8, 2004
Posts
4,507
Just read it on Yahoo finance. The CFO said fuel was 15 cents higher than expected per gallon for the quarter. I suggest adding more ancillary fees (like the other thread suggests), or raise the fares a bit. You have to pass the fuel costs onto the customers, just like Fedex and UPS do each year.


Godspeed!


The OYSter
 
I'll call Gary Kelly and let him know your strategy. I am meeting with him next well, and submitting all the good ideas I read here, like yours, he really treasures your input.
 
I'll call Gary Kelly and let him know your strategy. I am meeting with him next well, and submitting all the good ideas I read here, like yours, he really treasures your input.

I bet he wishes he still had those hedges of 10 years ago. Now some know the same feeling the rest of us felt when we couldn't raise fares because of it. That was one reason I got furloughed. It wasn't fun.


Godspeed!


The OYSter
 
I am sorry you got furloughed. That is not an a place any pilot wishes on any other.

I am sure their are a lot of things on the Swa CEO wish list. As for charging for bags, it is called a unique selling position. The data shared is that by not charging for bags SWA has gained more in market share. I am sure there is a statistical curve out there that shows how LCC competition differs in pricing and marketing than traditional mainline carriers.
 
I am sorry you got furloughed. That is not an a place any pilot wishes on any other.

I am sure their are a lot of things on the Swa CEO wish list. As for charging for bags, it is called a unique selling position. The data shared is that by not charging for bags SWA has gained more in market share. I am sure there is a statistical curve out there that shows how LCC competition differs in pricing and marketing than traditional mainline carriers.

But doesn't Airtran still charge for bags? Can't SWA put a stop to that since they own them? I tend to think that SWA made a whole bunch of those People's Court TV ads about not charging for bags, and now can't go back on that. Yet, they seem to like how AT makes some extra coin at the same time. I think fees are here to stay, and passengers are getting used to them. They may make the difference between being profitable or not.


Godspeed!


The OYSter
 
Taxiing with both motors is stupid, says this SWA pilot.

That is supposed to change soon. Let's at least hope so.
 
I don't think SWA will be the only big carrier to report a loss in Q1. UAL and DAL will also likely post a significant loss. UAL and DAL both posted losses in Q1 2011 and still ended the year with profits north of $1 billion. The first quarter is still a very tough quarter to make money in, especially with Jet A at $135+ a barrel.
 
Yes, most of us jump around and see RJ pilots figure out SE taxi, and think it's pretty wasteful that we don't.

The other part of the bag equation is turn time- we are still ultra dependent on quick turns most places, so we don't want to incentize more carryons and a delayed boarding process. AT however, is still more hub and spoke. They have more ground time to deal with that. What I've been told is that if we could charge for bags just in the cities where we do have more connections going on, LAS, MDW, etc we'd be more open to it.
And yes, bag fees do annoy passengers, no matter how much they pay for the ticket. So there's that.
 

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