Simply put, today's jet fuel prices are crushing and could prove to be a knockout blow for some [airlines]. |
Still, with fuel prices so high, the last thing you want is an interruption in your revenue stream. |
Surely there is some residual fear or sensitivity to the announcement of threats, but clearly less than there was after 9/11. A greater residual is economic fallout from 9/11 and corporations being fiscally conservative on spending. |
The airlines will be forced to cut more capacity, accelerate fleet retirement and, unfortunately, they will have to lay off more workers, |
The consumers are saying, 'The only time I'm going to travel, I'm going to make it count,' ... While there's some legacy fear factor and some legacy hassle factors, I think it's economics that still rule. As we head into heavier summer travel, we'll be working against our own recovery with some of the delays due to new security measures. |
The load factors are unprecedented, and in a pre-9/11 environment, this would clearly be a boon to (higher fares). With the way things are, we are only getting a modest (fare) benefit. |
The number of people flying is less horrific than it was shortly after the 11th. |
The painful reality for passenger carriers is that the domestic market has been unwilling to accept fares that reflect high fuel prices. |
The total fares are still going to be set at the supply and demand level. |
There's a lot of business travel in short haul. That certainly hurt us. |
There's been an acceleration of capacity-cutting with high fuel prices. |
There's no question we never anticipated that kind of fuel reduction, ... We thought fuel prices would be going up, and instead the second biggest part of our operating pie had a big reduction. |
This is one more thing we needed like a hole in the head. |
Today's jet fuel prices are crushing and could prove to be a knockout blow for some, |
Today's jet fuel prices are crushing and could prove to be a knockout blow for some. |