They've gone down the right path. They just have to go a little further. |
They've stated openly that they are trying to maximize profits out of that hub, so it would only go to figure. |
Things will return to somewhat normal in second half of next year, ... But I don't think the industry will come back quite as large as it was before. |
This bankruptcy, they'll emerge from. The question is do they emerge stronger or weaker. |
This is different from most airline bankruptcies, because there's a good chance of liquidation, and passengers may start booking away, |
This is different from most airline bankruptcies, because there's a good chance of liquidation, and passengers may start booking away. |
This is the real hidden cost that is going to the consumer. |
This summer is going to be crucial. If this summer is worse than expected, we could have new talk of bankruptcy in the fall. Even if it's good, I don't see them returning to profitability until the third quarter of next year at [the] earliest. |
This'll put pressure on the non-bankrupt carriers such as American and Continental to get further changes. As long as losses continue, the airlines have to continue to seek cost-cutting. |
To a large degree it (the cut in commissions) is helping offset the fuel prices. You're talking about some big bucks there. That's 3 percent of revenue to people who book 80 percent of your flights. |
US Air is prime candidate (for closure). The other big question mark is United, and how they restructure themselves. |
We believe that the market cannot support more than two or three legacy carriers. |
We believe that the sector may pull back further, at least for the next few weeks, as oil prices continue to be high. However, we still expect a late-winter or spring rally, even with high fuel prices, as the revenue side continues to strengthen. |
We believe that the task will be difficult. |
We believe that there is much upside potential both on the cost-cutting side ... and on the revenue side. |