SHUPirate1
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What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 3:38 am

[Disclaimer: This is supposed to be a truly hypothetical scenario, and it is more likely that it will snow in the Sahara than the following. Please do not respond with "THIS WILL NEVER HAPPEN!" and instead think this through.]

June 7, 2004, Dallas, TX: Today, it has been announced that Southwest Airlines, due to mounting financial loss, has been forced to liquidate entirely. As it turns out, what was the nation's largest low-cost-carrier and the nation's sixth largest carrier has been lying all along about being profitable for 30 consecutive years...

In the case of this Enron-esque scenario, what could everybody see happening with the nation's air transportation system, other than the obvious, pure chaos? There are some markets, such as LAX, where several carriers are already fighting for marketshare, and those carriers will be fighting to get a leg up. There are other markets, such as PHX and LAS, that have been LCC-havens for so long, and suddenly, a legacy would have an opportunity to entrench themselves in. There are other markets, such as BWI, where they have a near-monopoly in, and a huge vacuum will ensue. I would love to hear people's responses to what would be a truly wild situation. What carriers would jump in where, what cities might struggle to attract new service, etc.
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luv2fly
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 3:43 am

Well US, UA, DL, AA, NW and all the other so called majors would quickly raise fares and do the happy dance all the way to the bank.......
You can cut the irony with a knife
 
frugalqxnwa
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 4:03 am

The legacies would not be able to raise fairs quite yet because of other LCCs in the market. This would, however, be a serious blow to consumer confidence in the airlines in general and LCCs specifically. It also would bring doubt to the idea of the LCC being a truly viable business model, or at least such a purely LCC as WN.
 
Bubbinski
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 4:16 am

If the worst happened and WN suffered an Enron-type collapse:

-Salt Lake would likely be in Delta's iron grip, unless Jetblue, America West, or Frontier saw an opportunity here. But I could see airlines like Alaska starting new routes like SEA to SLC or BOI to SLC, GEG to SLC.
-America West would be doing the happy dance in Phoenix. But for how long? They need to improve their on time performance IMO, I don't fly them anymore, neither does anyone in my family after an unacceptably large number of delays.
-Richard Branson would accelerate Virgin USA's startup and try to fill in some of the gaps. Independence Air would benefit as well.
-Jetblue, Frontier, America West, ATA, and Airtran would see many more opportunities and they would keep fares reasonable on a number of routes. People and businesses are so used to low fares these days that I don't think they'll willingly go back to "the old days". Lots of WN fliers are on business trips, corporate America saves on travel costs too.
-Dallas Love Field might become a ghost town? Or an RJ airport with high priced fares for business travelers?
-Some places might lose low fare service altogether - would cities like Lubbock be an attractive target for other LCC's?
-US Airways might get a second chance at life, or at least a delay of the end. Especially if they reinvented themselves as an LCC, if they can pull that off. (They'd have to do things like simplify their fleet).
-Anything big enough to take WN down would naturally raise a whole bunch of questions about the other airlines

Bubbinski

[Edited 2004-06-06 21:25:50]

[Edited 2004-06-06 21:31:43]
"Simplify" - Thoreau
 
isitsafenow
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 5:58 am

The day Southwest declares chapter 11 is the day that pigs will R E A L L Y
start to fly.
safe
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SHUPirate1
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 6:07 am

NIKV-The question wasn't whether Southwest would go bankrupt or not. The question was what if the above scenario ended up happening...you can probably bet that Airline CEO's and their top advisors sit in the war room on a near-daily basis and hash out scenarios such as the one I just mentioned...granted, this is a pretty extreme example, but I'm sure that in a case of a collapse of any major airline, the other CEO's are certainly prepared to decide which markets to try to dive in and compete at, and which ones are totally pointless to go after...
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phatfarmlines
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 6:35 am

To answer the initial question, I think every carrier in the U.S. will benefit from this should WN fail. However, any U.S. carrier can also benefit from a loss of any legacy carrier (not just WN). The main point is that total supply has gone down, hence, the other carriers will be able to fill in the void.
 
highflyer16
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 6:56 am

I am hearing a new term on this and several threads recently that I am not familiar with. What are you all referring to by a "legacy" carrier, and how do they differ from one who is not a "legacy" carrier? Please explain. If this term is being used to describe airlines that have been in business for a long time (which I assume is the case from the context), then why does Southwest not also fit this description as they have been in business for almost 40 years, longer than some other major airlines (such as America West).
 
SHUPirate1
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 7:06 am

Highflyer-The term "legacy" is generally used to distinguish the otherwise-called Big Six carriers (namely American, Continental, Delta, Northwest, United, and US Airways) from the LCC's (Airtran, America West, ATA, Frontier, jetBlue, Southwest, Spirit, etc.)...of course, Alaska doesn't really fit into either category, as they are neither a larger carrier (I believe they are the US' 9th largest carrier) nor are they an LCC...
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USAIRWAYS321
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 7:09 am

The term 'legacy carrier' refers to those airlines that a) operated successfully on a large scale prior to deregulation; and b) are considered full-service non-LCC airlines. These 'legcay carriers' are generally considered to be:

American
Continental
Delta
Northwest
United
US Airways

Thus, the term 'legacy carriers' is really no different from the 'Big Six' title given to these airlines, even though Southwest has bumped US Airways out of the literal Big Six.

EDIT: Posted at the same time as SHUPirate1, sorry...

[Edited 2004-06-07 00:10:54]
 
EMBQA
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 7:12 am

The day Southwest declares chapter 11 is the day that pigs will R E A L L Y
start to fly.


1)..... In business never say never.
2)..... In the airlines, bigger giants have fallen.


"It's not the size of the dog in the fight, but the size of the fight in the dog"
 
MidnightMike
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 7:43 am


Well, you would see Airtran, Jetblue, Frontier, and all of the other Low Cost Carriers make a move to cover the routes that Southwest had.
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Espion007
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 8:02 am

What if: Southwest Went bankrupt?

Jetblue will host its first annual week-long mardi-gras like carnival in New York, Miami,and DC of victory and give away thousands of free tickets now that southwest is gone.They will then buy all of southwest's planes and right next to "Southwest" on the tail,they will write "SUCKS!" on all of their aircraft and park them at all of Jetblue's destinations in full view of the terminals.Because of the humiliation,all the LCCs decide to boost service and lower costs,no matter how long it takes to break even.When this occurs, the legacy carriers start losing money even faster,and therefore also boost service,quality and lower prices. All break even within a year as people start to enjoy flying more except delta which the older people say is evil for changing the widget. They hear about this and repaint all the aircraft back to the widget livery,but then it takes them 5 years to break even because of the paint costs. With the legacy carriers and LCCs in battle for passengers, the legacy carriers buy the new A380s fresh off the production line and say "weve got bigger,better plane-fly with us",and people do.Because of the increase of passengers per plane, congestion goes down at some places.But now chicago has even more planes to deal with so they build another extremely fast and modern airport for smaller aircraft,like regional jets.because of this,there are less delays and chicago's depression rates go down and they decide to build another tower,fix up meigs field,and make the metro system better. with chicago becoming the monaco of the US, people flock to there to get away from their busy lives. Ohare midway are crowded because only smaller planes fly into the new airport, so the LCCs get a break. they make more and more money in the US,therefore offering even more service. With the country flying so much and actually enjoying it, the country becomes less depressed and start making the world better than it is,and like us again.Since everyone is so happy now,some fatass from kentucky,while about to for a morning run,decides to cook something for when he gets back.Since a storm knocked out power the day before he gets a flashlight to start a solar powered cooking thing. it works,and to keep it working he attaches a light bulb.the stove gets more energy and when he comes back he finds the chicken burned,and spinning at 60mph in the revolving thingy. The guy patents it and sells his idea to car companies.immediatly we see solar powered SUVs that never break down. THe world gets cleaner and he wins the nobel prize. All the while the legacy carriers look at the international market,and now with better service with lower prices, get more customers. The world gets happier, and people now have hopes. Living conditions for millions is better. Now people are optomistic and start to buy expensive things. because of the rise of pruchases, Rolex now lowers the price of their watches, and so does everyone else. The whole world,thanks to media, thinks life is nothing more than a race for better things, and decide its worthless. mass suicide sets it until everyone is dead.The the homeless who had no idea what had went on take over the world and start from scratch. countries are divided into city-states and start wars.The Eastern United states merges into the equivilance of the roman empire. They invade canada and what was once mexico.After 2000 years of history repeating itself, the world is back to the same thing it is in 2004AD but gas prices are higher. But then someone invents an aircraft that challenges einstien's theory of relativity, and goes faster than light. time indeed slows down and they travel to 2005AD in .0000004 seconds. But now, they go back to 2004,and find several documents saying how the world is commitying mas suicide from 2000 years ago, so they use the time machine to create a rip in the space time contimium thereby going back in time to right before Southwest files chapter 11(or 3?) and working out a plan with the CEO to stop it.Then the time machine is destroyed forever and no one knows about it except the CEO of Southwest because the media was too damn busy critising kerry,bush,MJ,kobe,martha,Saddam,Osama,cheney,rummy,chirac,Sharon,trump,gates,mel gibson,taratino,J lo,john paul II,and whoever else ends up on CNN. Life goes on normally for everyone on earth and A.net members post stupid hypothetical questions like "What If: Southwest Went Bankrupt?" in the online forums  Big thumbs up
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SHUPirate1
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 8:10 am

Obviously, some of these cities wouldn't really be in play. STL would obviously be covered by AA, likewise, SLC would likely just grow as a Delta operation...I'll list their cities where I think something major would happen, and I'd love to see some responses:

BWI: Free for all, potential Northwest hub? I certainly don't see US Airways going back there, American could also use the city to consolidate their presently-dispersed Northeastern operation...

MDW: ATA would love to use the opening to increase their presence at their largest operation...

CLE: Continental would simply mop-up what Southwest had...

DAL: Count on it becoming a ghost town...

DTW: Opening for Spirit to boost their presence at their largest city? Otherwise, Northwest would simply be thrilled to see the opening...

FLL: jetBlue would certainly pounce, make FLL something of a Caribbean focus city...

HOU: Likely ghost town, although backfill is more likely here than Love...

MCI: Possible focus city for somebody (US Airways?) although poorly designed for a hub without some severe reconstruction...

LAS: America West could expand here, although I could also see Delta open up a focus operation here...

LAX: Who would take over? Believe it or not, with respect to O&D traffic, Southwest is currently #1 at the airport, although United and American are close behind, Delta once held a significant operation here, and Northwest and Frontier are seemingly building up at everybody's newest focus city. Maybe jetBlue would take the opportunity to move everything out of Long Beach and into LAX...regardless, would be interesting to see what happens, and yields certainly would begin to be horrible for the airport...

BNA: Continental could take over. Well-placed for a mini-Atlanta-type operation, but happens to be right in the middle of a clutter of hubs for every major except United and Continental...

MSY: Could be a focus for somebody...I'd hedge my bets here on United moving in, should the opportunity arise, although US Airways could take a shot, or the legacies could very well leave this alone...

OAK: Get ready for some jetBlue A-320's and E-190's...dream scenario for them...

MCO: Could Delta return a hub here? Some might say it's too close to Atlanta, but at the very least, the Comair hub that used to be here could return...

PHL: Everybody in the US Airways boardroom breathes a sigh of relief...

PHX: America West heaven, unless somebody else wants to take a shot (Continental might be the pick here)...

PDX: Alaska would be the bet to set up shop here...

SLC: Delta, of course, will simply consolidate their power here...

SAN: Intriguing scenario here...very possible that nobody will come in here except for hub operations...

STL: American immediately goes back to the pre-Halloween '03 schedule, and LambertMan throws a party at his house...

Responses, as always, are welcome...
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access-air
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 8:12 am

You would see an astronomical rise in air fares all over the United States as this would free the Legacy carries to start charging what they really think they should be to make their over inflated payrolls. Air fares would only be affordable for those that make as much as a United Airlines 777 Captain.

I'm not going to say It couldn't happen...But If it did there would be serious repercussions all over the airline industry....

Access-Air
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OPNLguy
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 8:20 am

SHUPirate1

>>>[Disclaimer: This is supposed to be a truly hypothetical scenario


If it's a hypothetical, don't make it appear to be a "real" news item complete with dateline...  Insane

I hesitate to comment further, as the overall question is so ludicrous--not that SWA (or any other company) is "immune" from theoretical failure, but that a publically-traded company could ever "fool" everyone (SEC, investors, press, etc.) for THIRTY years. There have been a few non-airline companies that have had to go back and re-state earnings for a few quarters (no more than a year or two), but even the ones I'm aware of kept operating and didn't just "go away"...

If it is assumed that SWA would fail due to "conventional" reasons, logic then dictates that just about every other airline would have failed prior to SWA doing so...and that everyone in the USA would be back to either driving or riding the rails...

Now, if you just plain want to assume a "what if" if SWA didn't exist, that's a different story, and one could write a nearly infinite selection of scenarios with airlines A-Z providing the service that SWA now does.

Put another way, the whole discussion is pretty much a moot point, in that there is no imaginable "cause" that would suddenly create a situation of SWA not being there that wouldn't have also probably already taken out all the other airlines.






ALL views, opinions expressed are mine ONLY and are NOT representative of those shared by Southwest Airlines Co.
 
VectorVictor
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 8:25 am

Let's see. For this topic to even have a shred of credibility, there would have to be:

1) A terrorist event of unprecedented nature or a nuclear war erupting between India and Pakistan which causes collapse of world financial markets. Southwest will be the last one standing, however.

2) A heretofore unknown defect (outside the rudder issue) with Boeing 737s causing a permanent or severely long grounding.

Otherwise, Southwest ain't going bankrupt. Any airline planning for a Southwest bankruptcy (as of June 6, 2004) is itself in dubious financial straits and won't around much longer anyway to see such plans put to use.
 
SHUPirate1
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 8:29 am

VectorVictor-When I originally thought up this topic, I was considering going with the headline of a dozen-or-so of Southwest's 737's going down in the same day, all due to maintenence issues linked to Southwest themselves, but I figured that that would be far too sensitive, as (according to average load factors) nearly 1000 people would die in such a scenario, and it would be in poor taste...
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DfwRevolution
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 8:30 am

What if Southwest went bankrupt-

1. I would ice skate in Hell
2. I would get there on a flying pig
3. And worse, the market would be flooded with second hand 737s
 
OPNLguy
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 8:40 am

>>>I figured that that would be far too sensitive, as (according to average load factors) nearly 1000 people would die in such a scenario, and it would be in poor taste...

Well, thank goodness for the "restraint..."  Big grin
ALL views, opinions expressed are mine ONLY and are NOT representative of those shared by Southwest Airlines Co.
 
EMBQA
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 8:57 am

What if Southwest went bankrupt-

1. I would ice skate in Hell
2. I would get there on a flying pig
3. And worse, the market would be flooded with second hand 737s


Does that go along with ......the day hijackers take over 4 US airliners and crash 2 of them into the World Trade Center and it comes crashing down with thousands killed ypu would do the same..?? Anything can happen and never say never. 30 years ago would you have said the same thing about: Pan Am, Eastern, Trans World, Braniff, National, Republic, Western, Ozark, Peoples Express
"It's not the size of the dog in the fight, but the size of the fight in the dog"
 
DfwRevolution
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 9:03 am

Pan Am, Eastern, Trans World, Braniff, National, Republic, Western, Ozark, Peoples Express

These airlines didn't have years of cash reserves like WN. How many months could WN opperate without making a single cent before going under? If UAL is given recovery loans after the years of mismanegement do you really think the government would let WN vanish?

Besides, WN could get creditors easier than pie. WN practically qualifies as a risk-sharing partner of the 737 and CFM56, count Boeing and GE Capital in on that.

Does that go along with ......the day hijackers take over 4 US airliners and crash 2 of them into the World Trade Center and it comes crashing down with thousands killed ypu would do the same..??

AA and UA are still here aren't they?

[Edited 2004-06-07 02:04:02]
 
OPNLguy
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 9:10 am

>>>Let's see. For this topic to even have a shred of credibility, there would have to be:

Try this...

Flying saucers from the planet Alfred-Kahn-9 come to earth overnight, and not fully appreciating the inherent beauty of Desert Gold and Canyon Blue aircraft, the saucers use their dreaded "AB-ray" to vaporize all SWA's 737s as they sit unoccupied on gates and ramps all over the system, effectively putting SWA "out of business..."

(Hows -that- for "credible?")  Big grin

OK, now how would the other airlines respond? As I said earlier, there are almost an infinite number of scenarios one could come up with about who-would-fly-what.

You can also bet your boots that finding themselves in that alien-induced situation, SWA would quickly acquire every parked or otherwise unleased aircraft they could get their hands on, at least until Boeing could crank out another 400 or so 737-700s (in a more "alien-friendly" paint scheme)...  Big grin
ALL views, opinions expressed are mine ONLY and are NOT representative of those shared by Southwest Airlines Co.
 
Coronado990
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 9:18 am

SAN: Intriguing scenario here...very possible that nobody will come in here except for hub operations...

Huh? WN chose SAN as the FIRST west coast city over LAX, OAK, SFO or anybody else in California. This is the home of LCC starting with PSA in 1949.
I would bet that there would be more here than just a few flights to hub cities if WN folded. However, IMO WWIII would shut things down before WN goes bankrupt.
Uncle SAN at your service!
 
SHUPirate1
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 9:56 am

Coronado-Thank you for actually discussing the topic at hand, rather than simply saying "this will never happen", which is almost exactly what I mentioned in my disclaimer...

Anyway, you have to remember this: LAX is some sort of focus city for no less than four of the six major airlines (American, Delta, Northwest, United), and is no more than a 2 hour, 4 minute (according to MapQuest) drive from SAN, and as a result, I just don't see a major hub for any of the legacy carriers, at least, there...it's too close that it would cannibalize LAX connecting traffic, but it's too far from LAX to be considered an "alternate"...
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isitsafenow
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 9:58 am

EMBOA...you are talking to someone that worked for two majors that do not exist anymore, so who is qualified here?
The management is the secret to SW success.
TW didnt have people who pushed the right buttons when they should have and with my days at BN ONE, Mr. Lawence got greedy and wanted BN to be the biggest airline in the world. He didn't listen to advice on the fuel increases in the late 70's, interest rates going toward the moon and a downer in the world economy.

SW has the right people and they push the right buttons and will continue to do so long after Herb is pushin daisies. That company has a plan. Many companies in the USA do not. In my eyes, SW will become the biggest carrier with planes and pax in the USA in a few years......and they will stay there for quite some time, unless the natives(employees) get restless and want it all like the Eastern IAM. You cannot give more raises and benefits when you are losing millions each month..in any business. And I like JetBlue as a business with a plan and airTran isnt too shabby either. The only major who should hang for a while is NW. CO is a close second. The others are frail at best.
I am a realist and SW could tank in twenty or thirty years, but not in my lifetime, so....in my eyes, that one doesnt count......LOL.
safe
If two people agree on EVERYTHING, then one isn't necessary.
 
ATA767
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 10:18 am

First off, Stop Dreaming here, WN is going no where! WN (as much as I love them) is really the cause of the industry's inability to re-adjust themselves with the correct economics. WN has made supply and demand a thing of the past. They are the Walmart of the industry and be that good for consumers, it is bad for the Aviation industry progress as a whole.
 
iowaman
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 10:23 am

If WN goes bankrupt, AA,US,CO,NW,DL,UA would all be long gone.
 
txagkuwait
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 11:01 am

OpnlGuy:

Good scenario. You forgot one key thing, though.

When the aliens from Alfred-Kahn-9 arrive, and threaten to turn their ray guns on the aircraft, SWA_FA_30 dashes to the rescue, reciting the words "Klattu...barada...nikto"....at which point, the aliens catch the next flight to Harlingen and check in to the Sun Valley Motor Inn.
 
OPNLguy
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 12:34 pm

>>>at which point, the aliens catch the next flight to Harlingen and check in to the Sun Valley Motor Inn.

Ordering cheeseburgers from the airport snack bar on the in-range call no doubt...  Big grin
ALL views, opinions expressed are mine ONLY and are NOT representative of those shared by Southwest Airlines Co.
 
geg2rap
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 12:52 pm

If WN goes...Boeing would be in same day if not sooner
 
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Aaron747
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 12:55 pm

WN has made supply and demand a thing of the past.

Quite the opposite - they have expanded overall demand and have increased the general visibility of the industry. In addition, they have redefined the parameters of supply and demand.

For the millionth time - it is not WN's fault if other businesses are unable to adapt and/or institute changes to keep up with changing market conditions.
If you need someone to blame / throw a rock in the air / you'll hit someone guilty
 
SpeedbirdHeavy
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 2:08 pm

Why do people start these kinds of threads?
China Airlines...Come fry with us!
 
LambertMan
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 2:11 pm

STL: American immediately goes back to the pre-Halloween '03 schedule, and LambertMan throws a party at his house...

That is correct, an a.net bash! Big thumbs up

[Edited 2004-06-07 07:12:17]
 
AirframeAS
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 4:36 pm

Alaska doesn't really fit into either category, as they are neither a larger carrier (I believe they are the US' 9th largest carrier) nor are they an LCC...

AS is considered as an 'hybrid' carrier. For this reason, I dont know why. HP is also a hybrid carrier too.


On the current topic at hand: WN's deminse would be the rest of the airline industry's gain, not just one sole airline's gain.

But remember, there are CEO's at every airline along with their secretaries and upper management at their HQs assessing every scenario that COULD happen in their war room. So this WN going bankrupt and filing for Ch. 7 probably has been discussed in the past in every U.S. carrier war room. WN is probably doing the same thing in event that US goes under.....same thing!!
A Safe Flight Begins With Quality Maintenance On The Ground.
 
OPNLguy
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 11:31 pm

>>>On the current topic at hand: WN's deminse would be the rest of the airline industry's gain, not just one sole airline's gain.

I have to note that -any- airline's demise (not just SWA's) would be the industry's gain, given the over-capacity that exists. (...and Branson wants to "add" to that existing over-capacity by starting Virgin USA?).


>>>Why do people start these kinds of threads?

BTSOOM.....  Big grin

ALL views, opinions expressed are mine ONLY and are NOT representative of those shared by Southwest Airlines Co.
 
7e72004
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RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 11:32 pm

The day that Southwest declares bankruptcy is the day that Jenna Jameson will be on my lap!  Big thumbs up
The next generation of aircraft is just around the corner!
 
AirframeAS
Posts: 9811
Joined: Thu Feb 05, 2004 3:56 pm

RE: What If: Southwest Went Bankrupt?

Mon Jun 07, 2004 11:34 pm

OPNL........I agree with ya....I think you said it better than I did. Thanks dude!  Big thumbs up
A Safe Flight Begins With Quality Maintenance On The Ground.
 
ltbewr
Posts: 12362
Joined: Thu Jan 29, 2004 1:24 pm

RE: What If: Southwest Went Bankrupt?

Tue Jun 08, 2004 12:12 am

While there is a very remote possibility of WN ever dissolving, it is not impossible to consider. The most possible would be, as suggested above, a grounding of 737's for a major structural defect like of DC-10's in the late 1970's. This would not only be extremely devisting to WN but to other airlines as well. A massive terror event where a major section or city of the USA was destoyed would affect everybody, not just WN. Even after 9/11, WN had some financial dancing to do to get through the affects of all of the US economy and air services. As to a massive financial scandle on the scale described, I don't see that as possible due to the scrutny of the SEC and FAA.
 
N751PR
Posts: 1210
Joined: Thu May 09, 2002 6:06 am

RE: What If: Southwest Went Bankrupt?

Tue Jun 08, 2004 1:00 am

The day that Southwest declares bankruptcy is the day that Jenna Jameson will be on my lap!

Expect her to be very wrinkled and senile.  Laugh out loud
"Ladies and Gentlemen it's happy hour. You will get two approaches for the price of one."
 
7e72004
Posts: 3440
Joined: Thu Apr 01, 2004 12:15 am

RE: What If: Southwest Went Bankrupt?

Tue Jun 08, 2004 1:05 am

True...i guess it won't happen!  Sad
The next generation of aircraft is just around the corner!
 
ultrapig
Posts: 568
Joined: Fri Dec 12, 2003 11:38 pm

RE: What If: Southwest Went Bankrupt?

Tue Jun 08, 2004 1:15 am

Eventually SW will go out of business-just as all carrier eventually hit a bump in the road and cease operation. I think it was Gordon B. who said "let me fire all my employees every five years and i will make money">

As airlines get older they have more expensive emplyees in terms of medical, pensions and tend to get more top heavy. The unions make more demands. And operating an airline is a terrible way to make money. If your planes aren't flying or the fares aren't high enough you lose money by the bucket load. I'm 56 I'll guess that before I'm flying in the cargo section SW will be out of business.
 
N6376M
Posts: 2310
Joined: Tue Aug 12, 2003 12:54 am

RE: What If: Southwest Went Bankrupt?

Tue Jun 08, 2004 1:17 am

As long as we're thinking about this, WHAT IF COCA-COLA RAINED FROM THE SKY?
 
FLY2LIM
Posts: 1095
Joined: Thu May 06, 2004 6:01 am

RE: What If: Southwest Went Bankrupt?

Tue Jun 08, 2004 2:15 am

OK, I have to jump in.
First, if WN disappears because of problems with their 737 fleet, they would immediately call Northwest to see if they could borrow their fleet of aging DC-9s.
Or, in a similar scenario, they would immediately update their entire fleet with Airbus equipment, thus triggering yet another A vs. B thread on A.net.
As for Jenna Jameson being on someone else's lap, nahhhh, WN will disappear before she chooses someone else's lap besides mine, ha ha ha ha ha.
Why do people start these threads? I think a better question would be why people reply to these threads if they dislike them so much?
Now, I would love to look at the faces of the other executives in an airline's war room when someone in middle management presents the colleagues with the statement "Hmmm, let's see here, now let's imagine that Southwest disappears from the face of the Earth". I think that person wouldn't enjoy a long career in the airlines. Yes, they must be thinking all kinds of scenarios, no doubt. However, I don't think that WNs disappearance is on anyone's mind.
Hey, Lambertman, what's the address for the party?
I will close with this thought. Will someone start a thread that wonders what the effect of UALs disappearance would be on the market? I think that may be a little more credible and possible, and possibly have a higher impact, as they are an international carrier as well.
FLY2LIM
Faucett. La primera linea aerea del Peru.

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