Southwest, and how they do it so cheaply?

[minnie56]

I posted something like this awhile back. Folks were wondering if flights were going to get cheaper-when in fact--they already were pretty darn cheap and I expressed concern that when they are undercutting the costs so dramatically -where are they taking it from?

Someone posted a reply, that it came down to just knowing how to run a business properly. Okay- I accepted that.

Then tonight--I read this?
Not sure I accept that account so much now!

http://www.cnn.com/2008/US/03/06/southwest.planes/index.html

 

[damo]

People always say, "You get what you pay for."

 

[minnie56]

Sure do!

 

[lordnamis]

Actually the reason Southwest can fly so cheap the past few years is Fuel cost. That is the biggest expense to airlines. Southwest entered something like a 8 year contract for fuel back about 7 years ago, the contract put their fuel cost at a set price for the length of the contract, all other airlines thought they were nuts. Well everyone knows what happened and the price of fuel just went crazy and continues to rise and Southwest is still paying very old and cheap fuel prices. I do believe that contract ends soon because I saw a news show where the other airlines say that it will finally be able to compete with southwest on a level playing field as they think it is unfair now. However Southwest just made a great company decision those years ago and reaped the rewards. I want to see what happens when the contract ends though.

 

[minnie56]

Ummm okay, fuel costs along with the fact they are NOT doing the safety checks & Maintenance they are supposed to be doing and flying unsafe Aircraft! That contributes to being able to cost-cut! A LOT.

 

[who's ur daddy?]

I just hope that everything is up to spec now.

 

[Tantor]

*note to self* not flying Southwest

 

[minnie56]

Oh I think it will take time to get it up to spec...if they survive the 10.2 millions $ fine!

 

[sean-1966]

According to CNN it was a recording error. The planes were safe they just weren't reported to be.

 

[minnie56]

Yes-according to the CEO of Southwest. Not the most unbiased source IMO.
It's he said-she said now. But I buy into where there's smoke-there's fire.
The FAA doesn't come out and say the things they are saying without there being just cause.

I fly Southwest..a lot. Last time 3 weeks ago. I like them, I want to keep liking them. I just always wondered how they do it? I do realize--keeping those planes flying 24/7 is a great factor in making money but maintenance is HUGE to me and most people too. If they are 'cutting corners' I am outta there!