DLKAPA
Topic Author
Posts: 7962
Joined: Wed Dec 03, 2003 10:37 am

Boyd's Weekly Hot-flash

Tue Nov 15, 2005 4:22 am

http://www.aviationplanning.com/asrc1.htm

I felt like posting this weeks hot flash because it's especially well-written to what has happened lately. Some great points boyd touches on are Indy's bk, the Wright amendment, and Security at EWR that he touches on very briefly.

The Indy assesment is great. Not only fun to read but factually well-written.

Have a read, you won't be dissappointed.
And all at once the crowd begins to sing: Sometimes the hardest thing and the right thing are the same
 
dalneighbor
Posts: 589
Joined: Mon Oct 03, 2005 12:04 pm

RE: Boyd's Weekly Hot-flash

Tue Nov 15, 2005 5:02 am

Boyd refrences the Braniff TEXAS CLASS fiasco. Does anybody remember what that was and what happened? Why was it a fiasco?

"Their performance in the last 18 months is one that can take its place in the Pantheon of dimbulb management, joining such suicidal bonehead plays as Braniff’s 1981 “Texas Class” fiasco, and WestPac’s move from COS to Denver."
Wright Amendment = Federally Engineered AA Price Gouging
 
Boeing7E7
Posts: 5512
Joined: Sat Jul 31, 2004 9:35 pm

RE: Boyd's Weekly Hot-flash

Tue Nov 15, 2005 5:36 am

One of two things:

Painting an aircraft for the Dallas Cowboys

Hiring an ex Southwest CEO, slashing fares and going broke.

Could be either one....
 
goingboeing
Posts: 4727
Joined: Sat Dec 04, 1999 1:58 am

RE: Boyd's Weekly Hot-flash

Tue Nov 15, 2005 5:39 am

Quoting DALNeighbor (Reply 1):
Boyd refrences the Braniff TEXAS CLASS fiasco. Does anybody remember what that was and what happened? Why was it a fiasco?

Because it was one of the first "airline within an airline" concepts. The thing is, it shared the same name. "Texas Class" was a one class configuration on the Braniff 727's. The trouble was...it wasn't the entire fleet...just some flights designated "Texas Class". If a customer happened to want a first class flight, but was booked on a "Texas Class" flight, odds are he shifted his business to AA or somebody else. And it wasn't uncommon to have "regular" and "Texas Class" aircraft flying the same route.
 
OPNLguy
Posts: 11191
Joined: Tue Jun 15, 1999 11:29 am

RE: Boyd's Weekly Hot-flash

Tue Nov 15, 2005 5:42 am

Quoting DALNeighbor (Reply 1):
Boyd refrences the Braniff TEXAS CLASS fiasco. Does anybody remember what that was and what happened? Why was it a fiasco?

IIRC, they went to an all-coach configuration on some 727-200s, and that ran into product differentiation problems for folks connecting at DFW from one 727 to another, not to mention the usual aircraft swaps when one type broke and another was swapped in its place. The year 1981 was not a great time for them (the rapid post-deregulation expansion was coming back to haunt them, along with competition from AA) and I guess they were trying to increase the volume of passengers on some routes, They ceased ops in May of 1982.
ALL views, opinions expressed are mine ONLY and are NOT representative of those shared by Southwest Airlines Co.
 
dalneighbor
Posts: 589
Joined: Mon Oct 03, 2005 12:04 pm

RE: Boyd's Weekly Hot-flash

Tue Nov 15, 2005 6:13 am

Thanks. It sounds like Texas Class was not a bad idea. Implementation and fragmentation were the killers. I guess it would be like JetBlue offering First class on half of its fleet. It has to be all or nothing.
Wright Amendment = Federally Engineered AA Price Gouging
 
ckfred
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Joined: Wed Apr 25, 2001 12:50 pm

RE: Boyd's Weekly Hot-flash

Tue Nov 15, 2005 12:05 pm

I read in the Chicago Tribune last week some quotes from Mr. Boyd. Essentially, Southwest now has some of the highest payscales in the industry, since most other carriers have either a) gone into bankruptcy, b) gotten concessions from employees, or c) are new enough that employees aren't in the top ends of payscales.

In addition, Southwest will have less fuel hedged at higher prices.

For Southwest to remain profitable, it must continue expansion. Why did Southwest take 4 empty gates at PHL? To keep them away from B6.

Why did it start service to PIT? Because it needed PHL-PIT to really drive growth at PHL.

Why did Southwest enter into the deal with ATA? Because it feared AirTran setting up a strong hub at MDW.

Basically, Mr. Boyd feels that Southwest is now acting in a defensive mode, trying to protect itself from all competitors.

He said earlier that Southwest could get handed its hat at DEN, since Frontier has already driven down fares. Guess what? Frontier and United have already cut fares at DEN. That certainly hurts Southwest's margins on DEN traffic.

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