AC the "monopoly"?/Can't compare AC
to US carriers/Stupid CEO's/dude US carriers not in bank.
US carriers: NW
etc have far greater monopolies at those hubs than AC
has in Canada. There may be 6 carriers in the US as you say, but what sounds better, owning DTW
, or IAH
or COMPETING with Nationair, Astoria, Royal, Air Transat(until this year a big domestic operator of gauge if not frequency- think 360 seats on an L10),WJA, C3
, CanJet, JetsGO, or CP
(until acquired 4 years ago (since which we've had 9/11 and SARS). To own a US hub versus having a piece of the fragmented Canada market which comprises all of about 6 decent sized cities...which would you choose?
THE BIGGEST US HUBS ARE BIGGER MARKETS THAN ALL OF
THE DOMESTIC CANADIAN MARKET!
So if all the other CEO's are so smart, then how come Milton's company has performed better? AC
optg. loss approx C$200mil, AA
C$5bill loss! , UA
$4+bill loss, etc.
Consider the penetration of LCC's on AC
's entire domestic market versus the limited penetration at any US hubs by US LCC's.
only generates about 1/3 of their domestic revenues at the mainline from domestic. So 2/3 from highly competitive int'l markets. Of that 1/3 domestic, a significant portion comes from int'l flows...actually the other domestic guys are the ones with limited competition! Also worth considering is that while AC
pumps out a lot of ASM's (one YYZ
744 produces 420 seats x 2500 miles (each way vs. WJA 140 sets x shorthaul), they don't produce such a "monopoly" on seats: AC
744 2 sectors a day(YYZ
rt/10hours) =840 seats versus a WJA 737 8 sectors a day(YYC
/approx 10hours)=1120seats! So, while everyone screams about AC
's monopoly, is it? Or by not really competing with anyone but AC
is WJA the guy that benefits from not being in highly competitive markets?
"Dude US carriers not in bank."...no kidding Sherlock, they have shared C$12 bill. in cash since 9/11. What part of C$1 bill. cash for AC
would mean it wouldn't be in bank. either don't you get? Whether you hate his guts, or not, what is your answer to the obvious fact that other than govt. cash Milton has way out-performed his peers?
Again guys, what would you do to fix AC
? You've got to get -$200mil to zero...and for AA
-$5bill to zero?