Airlines lost money in 2009, how can they be suprised?

[bicker]

This is true to a certain extent. One reason their overall pilot cost is lower is because the legacy carriers fly bigger planes. However, for the same equipment, SWA pilots are making as much as or even more than the legacy carrier pilots.

Now. That's the point. The unionized seniority system that has adversely affected the cost structure of legacy airlines is now affecting Southwest.

What has really helped SWA over the years has been fuel prices. SWA bought oil futures when oil was cheap. As fuel prices began to rise, SWA was able to pay less than half the price for fuel the other carriers were paying.

Yes, and they also face the specter of rising fuel costs eating away at their profitability. True.

 

[kaytieeldr]

A lot of posters just highlight and copy/paste instead of using quote, I suspect, and then just add the name and quote feature into the post. I have done that myself in past.

I know that I have often misspelled kaytieeldr's names (screen and real) over the years, but hopefully she doesn't hold it against me.

Never even noticed! Thank you for the defense , especially since I wasn't aware I was "deliberately" doing anything wrong... or right .

And kaytieeldr, most shocking to me is that you would have had to pay £18 (25€) to board your Ryanair flight, until that fee was challenged in court.

To BOARD? A flight for which you had already PAID? But... but... but... how else can the passenger be expected to get value for (i.e. use) the ticket they purchased????

 

[bicker]

By paying the fee. While it didn't stand, that just prompted the airline to find other ways of garnering that money, which didn't contravene the specific prohibition. Heck, they could charge a fee for carrying a beverage on-board -- that'll help them two ways, the revenue from imposing the fee, and how it may foster revenues from on-board sales.

 

[eliza61]

Anyway, I do agree in theory that the constantly lowering fare model cannot survive in the face of increasing wages and fuel costs, however I do not believe that the US is the only place that demands (and receives) low cost flights, as you seem to state.

I can only speak to Portugal because I've spent time there (dh's family is from Lisbon).

This drive for rock bottom prices regardless of consequences is very much an American mindset. (yes, I'm a born and bred NY'er so I'm guilty of the same thing).

As Bicker stated, we import junk from China and then we get all surpised and shocked when we find out that what we actually purchased is junk and lately hazadous to our health. the new Parents I know never ask about the safety of a toy, they ask about the price. If it's cheap enough it wins. It's not until all the recalls start rolling in that we become concerned.

I know in Lisbon and in Paris, you don't see the weekly "sales" and "giant" markdown mentality we have here. This is from a womens shopping perspective. You also don't see the "must have some thing new" every week that is very persuasive here. While my nieces love Ipods and cell phones like an American teenager, they wouldn't think of buying a closet full of new clothes simply because a new school year starts.

Food is another interesting area. I live in NJ and I always laugh when people complain about the price of strawberries in the middle of January. We seem to believe that we should be able to get a fruit that has to be shipped in from oversees all year long for $0.99 a pound. uhm, hello how much chemicals do you think is pump into those strawberries and grapes to keep them fresh from Chile? and no one here in the states is going to pay 4.99/lb to have them brought in fresh, preservative free. In Lisbon the emphasis is shopping fresh and what's in season.

I'll give you my personal example. When my SIL & family decide on a trip to WDW, they plan the air around convienence and ease of travel first, price is usually the 3rd consideration.

 

[chicagodisneyfan]

Respectfully, you must have missed the $111,000,000 loss Southwest experienced in the fourth quarter of 2008.

Respectfully, while SW may have lost money in individual quarters, each YEAR they have been profitable, including 2008!

 

[bavaria]

To BOARD? A flight for which you had already PAID? But... but... but... how else can the passenger be expected to get value for (i.e. use) the ticket they purchased????

Sad, isn't it? and as DMRick pointed out, your lost ticket would have no value.

Ryanair was charging those who needed assistance that much extra. Now they have spread it out over ALL tickets after the lawsuit, and apparently are considered to still be overcharging.

And eliza is correct - twice yearly sales are the norm. I purchase my Italian shoes off Amazon US because they are about 1/2 to 1/3 cheaper, and even less on sale. The same holds true for clothes and shoes in general - not to mention the 19 percent sales tax!