What airline is hurting the most?


I was just curious to people’s opinion. What airline is in the most trouble?


My reasoning for picking American is that they must really be desperate if they are going to antagonize customers by charging for the first piece of luggage. They also have a lot of less fuel efficient planes (MD80s) than many of the other airlines mentioned.


They’re rebounding from any problems pretty quickly though. I don’t see it affecting them in the long run, so I went with UA what with all of their merger issues.


I usually wait until the thread develops until I say my opinion…so I think UA is in the worst shape too. They have as complex of any airline as can be, have in opinion the worst management team of any airline, and are surrounded at all their hubs by competition. They don’t have pricing power anywhere. I think American is just doing what every other airline will be doing; cutting back, laying off, and ridding of excess capacity (which means getting rid of planes).


I say UA. I see their tired equipment being driven around by the same tired ramp agents day in and day out. I see half their fleet repainted in a “New scheme” the white / blue and the others in dire need of something. The management took all they could from their front line employees and left them high and dry. I think no one would disagree that after 9/11 and the fact that both they and AA were the 2 airlines which were at the brunt of the fire storm it is no wonder both continue to struggle.


I went with Frontier due to the fact that they are already in bankrupcy and being attacked by Southwest on their home field.


I don’t think American will have as much of a problem if only due to the plans already developing. The charges won’t drive off many people due to so many other airlines transitioning to the same fees. The schedule reductions are being developed, and quite a few are already in place.

Its a solid structure, barring any extreme change I think they’ll be fine. Especially partnered with Eagle, who last I heard is one of the top earning regionals.


What about VA? They entered the market at a really, really bad time. How can they possibly be profitable now?


Southwest Airlines is the only US carrier to buy oil futures locking in it’s price for most of the oil it buys, at $51 a barrel thru to 2009. Part of Herb Kelleher’s foresight and legacy.

As for the rest of the US carriers, I would assume they are all being equally devastated. I don’t think it matters if you have one aircraft, or six hundred!!!

As long as oil traders stay within the parameters of Intl Laws, and as long as the US Govt cannot prove collusion within the traders deals, and as long as we continue to pay - many more airlines are doomed.

There seems to be enough oil to easily last four of my lifetimes, the supply has continued to meet all demands. Therefore - Whatever someone is willing to pay today IN CASH for a barrel of oil in the future, is the limit of the cost.

Someone might think to interview Marc Rich, at the very least, for being let off the hook by Clinton, he might shed some light on the industry he unleashed on the world!!!

Whenever a pendulum swings one way, it always swings back - basically when ‘everyone’ isn’t willing to pay ‘more’ for oil futures - the bubble will burst.


AA has cash, a commodity in short supply in the industry. United has no cash and is bleeding at the half a billion dollar level now.


Hurting or biggest pieces of crap? Sorry, AA and now United are just pissing me off. I am starting to think that the “rising cost of fuel” thing is the new “delay due to weather”.



Given their stock performance over the couple of years, I’d say they’re ALL hurting!


I am guessing one or two big carriers will have to fall before the airlines can cut the capacity they need to return to profitability.


For your reading pleasure…


Worst Airline - EVER


I don’t think you can call one airline worse then the other. They are ALL the same, which includes the Midwest’s, Jetblue’s and even Southwest. However, I believe United has the WORST management team of any major airline and is a jumbled complex airline.


Talk about the BLIND leading the BLIND!