TWA902fly
Topic Author
Posts: 2871
Joined: Fri Dec 31, 1999 5:47 am

Where Does AirTran Get The $$$$$$$$$

Thu Jan 20, 2000 11:49 am

I am just wondering. I know that they were "financially troubled" and had little money- plus they just recieved their first 717, where do they get the money to operate like that? They gotta be cutting back on something
life wasn't worth the balance, or the crumpled paper it was written on
 
User avatar
sammyk
Posts: 1560
Joined: Mon Oct 25, 1999 11:31 am

RE: Where Does AirTran Get The $$$$$$$$$

Thu Jan 20, 2000 10:54 pm

Well, they are profitable, at least for the last few quarters. They must have their debt well structured and are paying it on time. If you go to their website you can see how they financed the first 10 717s. Also, the lower operating cost of the 717s is probably helping them cut costs with just fuel alone.

Samy
 
aa737
Posts: 830
Joined: Wed Oct 06, 1999 5:49 am

All 717?

Fri Jan 21, 2000 1:48 am

Will Airtran eventually have only 717s and retire all the DC-9s? I bet that would make them very profitable.
 
User avatar
sammyk
Posts: 1560
Joined: Mon Oct 25, 1999 11:31 am

RE: All 717? AA737

Fri Jan 21, 2000 5:08 am

I believe thats the plan, I think the CEO has said that if he had a complete 717 fleet now that Airtran would save some 60 million a year.

Sammy
 
TWA902fly
Topic Author
Posts: 2871
Joined: Fri Dec 31, 1999 5:47 am

What About The 737?

Fri Jan 21, 2000 8:28 am

What are they going to do with them? Maybe they can sell their DC9s and 737200s to Legend, the new startup out of DAL
life wasn't worth the balance, or the crumpled paper it was written on
 
FrontierMan
Posts: 384
Joined: Thu Oct 28, 1999 6:19 am

Where Did That Come From

Fri Jan 21, 2000 8:35 am

From what i understand Valujet had huge cash reserves right before the merged with AirTran. AirTran is not financially troubled. They have one of the lowest break-even load factors in the industry. They constantly exceed that factor. I don't know where people get the fact that AirTran is financially troubled. AirTran also gets money from selling their old DC-9s.
 
acvitale
Posts: 1911
Joined: Sat Aug 18, 2001 8:25 am

RE: Where Did That Come From

Fri Jan 21, 2000 9:59 am

Air Tran had a special charge in the last quarter dealing with disposing of the DC-9-30's and 737-200Adv's, They sold 13 or 14 of them and leased back 7 or so. The 717's are doing wonders for the carrier and I would expect that they will continue to show profitable quarters with the exception of special charges as they retire the older aircraft
 
MD-90
Posts: 7835
Joined: Mon Jan 17, 2000 12:45 pm

RE: Where Does AirTran Get The $$$$$$$$$

Fri Jan 21, 2000 10:44 am

Back when Douglas first designed the DC-9, the main priority was to make it as cheap to operate as possible. Despite their higher fuel burn, their DC-9s are still fairly inexpensive to operate (especially when compared to, say, a 727). I'm sure they'll save a bundle of money on piloting training and fuel alone when they reach an all 717 fleet. I hope they eventually add service to Huntsville, AL (where I live) so I can try flying them.

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