Moderators: jsumali2, richierich, ua900, PanAm_DC10, hOMSaR

 
User avatar
LAXintl
Topic Author
Posts: 25197
Joined: Wed May 24, 2000 12:12 pm

Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 5:35 pm

November 19th is the day JetBlue told everyone to wait for to hear further details about changes the carriers would be implementing to improve its financial performance which continues to lag industry peers.
At its Q3 earnings call company stated it would be unlikely to even meet its modest internal 7% ROIC target for in 2014.

Some of the rumored potential changes include:

o Denser cabins
o First bag charge
o Product unbundling
o Fare families offering various perks

Event starts at 09:00 ET.


Lets see what they have to say ...   
From the desert to the sea, to all of Southern California
 
User avatar
mercure1
Posts: 5111
Joined: Sun Jul 13, 2008 5:13 am

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 8:05 pm

Seems the pressure is on JetBlue from all directions.

The US legacy carriers are getting their houses in orders producing strong margins, while fellow LCCs including even Virgin America (and lets not mention super performer Spirit) outperforming Jetblue on financial metrics.

Obviously either or both needs to happen - better cost management and/or revenue needs increase.

Lets see what they do to improve.
mercure f-wtcc
 
MesaFlyGuy
Posts: 3918
Joined: Fri Dec 21, 2012 8:36 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 8:10 pm

I thought it had been confirmed that the first bag fees were being implemented?

Other than that I can see fare families being implemented but I don't see them adding any more seats to their aircraft further than one extra row.
The views I express are my own and do not reflect the views and opinions of my company.
 
jetblue1965
Posts: 5050
Joined: Wed Mar 19, 2014 1:28 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 8:15 pm

i know i'm dreaming here but i would love B6 to announce Mint service on BOS-LAX and BOS-SFO ... that would place immense pressure on UA and AA
 
flyby519
Posts: 1583
Joined: Tue Jul 24, 2007 3:31 am

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 8:18 pm

Quoting jetblue1965 (Reply 3):

Sounds like that could be likely at some point soon:

http://www.businesstravelnews.com/Mo...t-Robin-Hayes/?ida=Airlines&a=mgmt

Quote:
How do you intend to grow Mint?

By next February or March, we'll have eight on L.A. [routes] and up to five on San Francisco. Given the phenomenal success we've had on Mint, I see potential markets like Boston-San Francisco and Boston-LAX. You bet we're thinking about it, based on what we've seen. The most complimented feature is our flight attendants, who have done an incredible job.
 
User avatar
LAXintl
Topic Author
Posts: 25197
Joined: Wed May 24, 2000 12:12 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 8:39 pm

Quoting MesaFlyGuy (Reply 2):

I thought it had been confirmed that the first bag fees were being implemented?

Not yet, but Wall Street has been hammering them. New CEO said he was open to considering it in a "JetBlue way".

Lets see what he says tomorrow.
From the desert to the sea, to all of Southern California
 
ytz
Posts: 3529
Joined: Thu Jun 25, 2009 12:31 am

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 8:52 pm

So they decided to join the club of legacy carriers.... Good luck with that.
 
B747forever
Posts: 13862
Joined: Mon May 21, 2007 9:50 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 8:53 pm

Quoting LAXintl (Reply 5):

Quoting MesaFlyGuy (Reply 2):

I thought it had been confirmed that the first bag fees were being implemented?

Not yet, but Wall Street has been hammering them. New CEO said he was open to considering it in a "JetBlue way".

Lets see what he says tomorrow

I wonder if WN will start to charge for the 2nd bag if B6 changes their policy.
Work Hard, Fly Right
 
Av8tor
Posts: 75
Joined: Mon Dec 24, 2007 4:36 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 9:56 pm

Quoting ytz (Reply 6):

So they decided to join the club of legacy carriers.... Good luck with that.

So what do you propose they do? The public has spoken (with their wallets). They are not willing to pay a premium for the superior service that JetBlue provides, so JetBlue has no option but to change their product to match what the public is willing to pay. Good on them! The public is cheap and looks at nothing but price when buying a ticket. They'll b*tch and complain about the changes, but the next time they need to travel, they'll pull up the the cheapest fare on the internet and they'll buy it.
 
MesaFlyGuy
Posts: 3918
Joined: Fri Dec 21, 2012 8:36 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 10:04 pm

Quoting Av8tor (Reply 8):
They are not willing to pay a premium for the superior service that JetBlue provides, so JetBlue has no option but to change their product to match what the public is willing to pay.

I think it's more the sharholders seeing other airlines' performance (Profit-wise) and see that JetBlue is lagging a bit because of the costs of having such superior service.
The views I express are my own and do not reflect the views and opinions of my company.
 
29erUSA187
Posts: 1277
Joined: Mon Apr 14, 2014 11:34 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 10:13 pm

I hope they bring the E190 to LGB. It'd be nice to see a E190 on the west coast. Ive flown a few between BOS and JFK, and they really are comfortable planes!
 
MesaFlyGuy
Posts: 3918
Joined: Fri Dec 21, 2012 8:36 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 10:17 pm

Quoting 29erUSA187 (Reply 10):

They won't, as the airport won't let them use regional jet slots for them.
The views I express are my own and do not reflect the views and opinions of my company.
 
SLCSFOPDX
Posts: 230
Joined: Thu Oct 02, 2014 3:11 am

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 10:22 pm

B6 needs to seriously consider growing out west. Either by....

1. Merge with VX
2. Make either SLC, PHX, or DEN a focus city
3. Partner with AS via AS's networks in SEA, PDX, SAN, SLC, and LAX.
or
4. Shut down the LGB focus city and move all ops to LAX and grow there
 
MaverickM11
Posts: 18523
Joined: Thu Apr 06, 2000 1:59 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 10:23 pm

Personally, from a revenue perspective I'd like to see more density on their planes. They can drive far more revenue out of their 320s if they increased it from 150 to say 160+ and still maintain a few rows up front with extra legroom. That and charge for bags--it's a no brainer as they'd simply match AA/DL/UA/NK on most routes, but perhaps at a lower price.

Quoting 29erUSA187 (Reply 10):
I hope they bring the E190 to LGB. It'd be nice to see a E190 on the west coast. Ive flown a few between BOS and JFK, and they really are comfortable planes!

LGB is about as good as it's ever going to get, until more people are willing to pay more to fly out of that airport.

Quoting Av8tor (Reply 8):
They are not willing to pay a premium for the superior service that JetBlue provides

   In fact B6 generally has a big discount
I don't take responsibility at all
 
User avatar
LAXintl
Topic Author
Posts: 25197
Joined: Wed May 24, 2000 12:12 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 10:23 pm

Quoting 29erUSA187 (Reply 10):
I hope they bring the E190 to LGB. It'd be nice to see a E190 on the west coast. Ive flown a few between BOS and JFK, and they really are comfortable planes!

They did that already once. They found them to expensive and difficult to support crew and maintenance logistics wise, so they moved back East again.
From the desert to the sea, to all of Southern California
 
flyby519
Posts: 1583
Joined: Tue Jul 24, 2007 3:31 am

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 10:38 pm

Quoting LAXintl (Reply 14):
They did that already once. They found them to expensive and difficult to support crew and maintenance logistics wise, so they moved back East again.

True, but a lot of that was due to those crews/spare parts were all based back east. There was no support network in LGB and all crews were routed through AUS. If they had an E190 crew base, MX capabilities, spare parts then maybe it would have been more successful?

I'm guessing B6 was hoping the local LGB officials would allow them to use the E190 under the regional aircraft slot authorities instead of mainline. It just doesn't seem like any local authorities in LGB want that airport to be successful.

[Edited 2014-11-18 14:39:42]
 
ytz
Posts: 3529
Joined: Thu Jun 25, 2009 12:31 am

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 10:50 pm

Quoting MesaFlyGuy (Reply 9):
I think it's more the sharholders seeing other airlines' performance (Profit-wise) and see that JetBlue is lagging a bit because of the costs of having such superior service.

This is the problem with Wall Street. Too much focus on the short-term. How will B6 differentiate themselves, if their product is the same as any legacy carrier?

And they don't even have the networks that legacy carriers have.
 
User avatar
adamh8297
Posts: 3254
Joined: Sat Dec 15, 2012 6:28 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 11:21 pm

I pray that seat pitch stays at least 32".

Bag fare is justified but hopefully its free with True Blue AMEX.
Airlines flown: A3, AA, AC, AF, AM, BA, B6, CA, CO, CX, DL, EA, EL, IB, LH, MI, MQ, NH, NW, NZ, OU, PE, QF, S4, SQ, TP, UA, US, VS, WE, WN
 
hiloboy1
Posts: 35
Joined: Fri Jul 14, 2006 6:21 pm

RE: Nov.19 - JetBlue Announcement

Tue Nov 18, 2014 11:57 pm

They're going to announce the upcoming merger with Frontier.......since that topic has come up AGAIN.      
 
canyonblue17
Posts: 722
Joined: Wed Oct 08, 2008 12:22 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 12:05 am

Quoting Av8tor (Reply 8):
the superior service that JetBlue provides



Kind of a broad and unsubstantiated statement. Yes they are better than some carriers in some ways, but this is the same airline that had dozens of planes frozen to the tarmac with pax on them at JFK one year, then had a flight attendent flip out - grab a beer - and jump off a plane, and the list can go on (as it could for most carriers).
negative ghostrider the pattern is full
 
MIflyer12
Posts: 9205
Joined: Mon Feb 18, 2013 11:58 pm

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 12:10 am

Quoting ytz (Reply 16):

This is the problem with Wall Street. Too much focus on the short-term. How will B6 differentiate themselves, if their product is the same as any legacy carrier?

They have to offer the products and services that passengers will pay for. The current mix doesn't work, as noted in lack of fare premium by MaverickM11.
 
B6JFKH81
Posts: 2229
Joined: Thu Mar 16, 2006 6:35 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 1:23 am

Quoting flyby519 (Reply 15):
True, but a lot of that was due to those crews/spare parts were all based back east. There was no support network in LGB and all crews were routed through AUS. If they had an E190 crew base, MX capabilities, spare parts then maybe it would have been more successful?

4 years later, and I am still dealing with the "no MX/MAT support" myth LOL. I am the Technical Supply Chain Coordinator that had to fly out to LGB and move all the parts out of there when the E190 pulled out of the west coast. We had millions of dollars of inventory and tooling out there and MX crews were trained for the E190. Did they have as many parts as JFK? No. BOS? No. Why? Because the RSPL typically tells you how many spares you should own based on your fleet, and you can only spread your inventory so thin before you jeopardize your own hub operations (especially if a sudden rash of failures breaks out on the fleet for a particular part). JFK and BOS had many more E190 flights thus a much higher probability of having to fix an aircraft and needed more parts, but even BOS went without some parts because they were moved to the west coast and we kept 1 at JFK and 1 at LGB. Heck, we even kept a bunch of expensive LRUs at AUS for quite a few years (I was also the coordinator that met the truck that brought their stuff in, set them up, and eventually moved the LRUs out and brought AUS down to a more standard contract MX station allocation). The fleet itself continued to experience mechanical issues in waves and B6 was typically the first airline to experience the issues because they had the first deliveries, so sometimes the airline just couldn't prepare for a wave of issues because there was no warning it was coming. That's where most of the problems started happening, once a wave started hitting, parts were flying off the shelf, business partners being pushed to turn the repairs around quicker or give loaner units, and purchased orders pushed to minimal possible lead time, but we just couldn't re-stock the cities because parts were needed as soon as they hit the door to clear MELs/DMIs. But, long story short, we had a lot of stuff out in LGB for a small amount of E190 flights. Here I am moving the stuff out of LGB with some of the skids of stuff going out to support other E190 MX stations:

http://www.facebook.com/photo.php?fbid=1505310754088&l=b23778c180

I haven't been with B6 in over a year and a half, but I am sure the biggest hurdle for them is still the LGB commuter slot issue. We wanted to use the E190 using commuter slots which wouldn't have an impact on our regular slots and would actually allow us to grow a nice size hub out there. In a slot-controlled environment, you need to do what you can to maximize your slot revenue potential, and the A320 had 50 extra seats per flight to make money with.

Quoting MaverickM11 (Reply 13):
They can drive far more revenue out of their 320s if they increased it from 150 to say 160+ and still maintain a few rows up front with extra legroom.

B6 started with 162, went down to 156, then 150. One of the biggest cost-saving things about going down to 150 was shedding the 4th F/A (along with the associated extra weight of the extra seats). B6 offers the most legroom in economy class from what I remember (34") and that is with 42 seats of the extra legroom seats in a 150 configuration. I'm wondering how much they can add without getting rid of their edge too much as most other airlines with A320s have 31" - 32". Maybe if they switched to slim seats they could add extra rows with dropping to 32" - 33" and keeping extra legroom seats too? But that would bring back the overhead costs of having extra F/A's since the capacity would exceed 150 again.
"If you do not learn from history, you are doomed to repeat it"
 
BG777300ER
Posts: 378
Joined: Sun Mar 06, 2005 3:22 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 1:56 am

Maybe they're joining Star Alliance :]
 
MaverickM11
Posts: 18523
Joined: Thu Apr 06, 2000 1:59 pm

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 2:33 am

Quoting B6JFKH81 (Reply 21):
B6 started with 162, went down to 156, then 150. One of the biggest cost-saving things about going down to 150 was shedding the 4th F/A (along with the associated extra weight of the extra seats)

That was over a decade, and at least 4 mergers ago. I don't think it made much sense then, and now that fares are ticking back up, it doesn't make sense now, particularly if you throw in ancillary fees like bags. One way or another, B6 has plenty of scope to drive more revenue out of its existing fleet. Put 180 seats on the 320s and call it premium Euro luxury.   

Quoting B6JFKH81 (Reply 21):
I'm wondering how much they can add without getting rid of their edge too much as most other airlines

What edge? Their edge is on the cost side, not the revenue side.
I don't take responsibility at all
 
B6JFKH81
Posts: 2229
Joined: Thu Mar 16, 2006 6:35 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 2:48 am

Quoting MaverickM11 (Reply 23):
What edge? Their edge is on the cost side, not the revenue side.

I wasn't talking about the financial side, I meant the passenger comfort side in having the 34" pitch...which doesn't mean much unless the passengers are willing to pay a premium to have the extra comfort of the extra legroom (~2").

Quoting MaverickM11 (Reply 23):
Put 180 seats on the 320s and call it premium Euro luxury.

  
"If you do not learn from history, you are doomed to repeat it"
 
catiii
Posts: 3799
Joined: Mon Mar 31, 2008 1:18 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 3:13 am

Quoting mercure1 (Reply 1):

VX? Which metric are they outperforming B6 on?

Quoting SLCSFOPDX (Reply 12):

In this week's JTTP Robin talked about how, finally, LGB is optimized and making us money again. LGB is not going anywhere.

Quoting B6JFKH81 (Reply 21):

We could easily get 160+ seats into the 320s, maintain 34" pitch for Core, and have enough EMS remaining. Talking to our revenue team I remember them saying that EMS only really sells up front, so there's easily a way to configure to meet all those needs. Excited to see what we announce tomorrow.
 
werdywerd
Posts: 610
Joined: Wed Aug 17, 2005 1:40 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 3:24 am

Remember JetBlue is upgrading all A320 interiors over the next couple of years which includes the new lighter and thinner seats seen in the A321's.

With that said, they can easily fit 162 of the new seats in while still leaving lots of legroom for all, albeit an inch or two less than you see today. B6 will still have the best economy/coach legroom after all the changes.

As for the rest of the changes, I'll wait until the rest of you all find out tomorrow  
 
deltal1011man
Posts: 5400
Joined: Mon Sep 19, 2005 9:17 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 3:30 am

Quoting MesaFlyGuy (Reply 9):
I think it's more the sharholders seeing other airlines' performance (Profit-wise) and see that JetBlue is lagging a bit because of the costs of having such superior service.

which is saying the same thing the person you quoted is sayings.

If B6 had the revenue no one would say a word. The issue is they don't.....and have a higher cost product. So they aren't getting people to pay for the extras.

Quoting SLCSFOPDX (Reply 12):
2. Make either SLC, PHX, or DEN a focus city

Are they trying to make money or burn it? SLC doesn't have the space
DEN and PHX are three/two hub airports already..... (and low yielding.)

Quoting SLCSFOPDX (Reply 12):
4. Shut down the LGB focus city and move all ops to LAX and grow there

with what gates exactly?

Quoting LAXintl (Reply 14):
They did that already once. They found them to expensive and difficult to support crew and maintenance logistics wise, so they moved back East again.

I am willing to betif they could get the E90s on the commuter slots they would be back asap.
 
User avatar
jfklganyc
Posts: 6265
Joined: Mon Jan 05, 2004 2:31 pm

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 3:38 am

Quoting catiii (Reply 25):
In this week's JTTP Robin talked about how, finally, LGB is optimized and making us money again. LGB is not going anywhere.

Actions speak louder than words. Remember that. Especially in this industry. How many flights does LGB have now vs 1 year ago? 2 years ago?

Quoting B6JFKH81 (Reply 21):
4 years later, and I am still dealing with the "no MX/MAT support" myth LOL. I am the Technical Supply Chain Coordinator that had to fly out to LGB and move all the parts out of there when the E190 pulled out of the west coast. We had millions of dollars of inventory and tooling out there and MX crews were trained for the E190

But you had no crew base.

***A*** When a pilot called out sick at a hotel anywhere on the West Coast the reserve was a 2 hour call out + a 6 hour flight away.

***B*** How often did/does B6 fly from a 190 crew base to PDX, SEA, LGB, SMF, etc?


***A*** + ***B*** = no replacement crew anytime soon = a Garbage operation.


And if everything did work out, the shear cost of deadheading a pilot on a 6 hour transcon to fly a 1 hour flight made the whole thing utterly ridiculous.


You wonder how people in the board room make these decisions.
 
catiii
Posts: 3799
Joined: Mon Mar 31, 2008 1:18 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 4:08 am

Quoting jfklganyc (Reply 28):

You're right, actions do speak louder than words. LGB is actually making money, versus lip service by ELT on what it can be.
 
User avatar
LAXintl
Topic Author
Posts: 25197
Joined: Wed May 24, 2000 12:12 pm

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 4:09 am

Quoting catiii (Reply 25):
VX? Which metric are they outperforming B6 on?

Net income margin for one.

VX 10.2% vs B6 at 5.2% during Q3.
From the desert to the sea, to all of Southern California
 
deltal1011man
Posts: 5400
Joined: Mon Sep 19, 2005 9:17 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 4:11 am

Quoting jfklganyc (Reply 28):
But you had no crew base.

Okay? You know not every airline has a base where they fly airplanes from. Delta has had plenty of A320 flights out of LAX with no base for example.

It makes logistics harder, but not having a crew base is a weak excuse.
 
Abeam79
Posts: 347
Joined: Thu Jul 03, 2014 3:16 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 5:24 am

Quoting adamh8297 (Reply 17):
I pray that seat pitch stays at least 32".

Bag fare is justified but hopefully its free with True Blue AMEX.

They have already said they "WILL NOT SACRIFICE MOST LEGROOM IN COACH" claim. When they remod the A320's with slimline and new interiors, they can add more seats and still be up to 1in more legroom in coach than their competitors.

Quoting LAXintl (Reply 30):
Net income margin for one.

VX 10.2% vs B6 at 5.2% during Q3.

Yeah thats because VX haulted all growth..that was the only way they are making money, that and lower fuel prices. JetBlue has increased margins in all areas WHILE growing substantially and increased PRASM. The fact that all margins improved across the board with steady growth says alot, any airlines can modestly increase margins like VX with zero growth, fairly matured network and low gas prices, and suspending leases on airframes. They are also selling a pair of LGA slots for double they paid for (given a discount cause they were a new entrant) to most likely B6 which is coming close to happen soon. That sounds like an airline running a budget with ad-hock thrift store policy just to raise capital..thats not going to last long. They are in a bind, cause for now they are OK, but they are such a small footprint that margins can't increase until they grow, which they can't fund for now cause it will diminish the ability desperately needed capital. Its like a catch 22, so one has to read between the lines and you'll see VX is still a very very vulnerable airline.

[Edited 2014-11-18 21:24:53]
 
airliner371
Posts: 2404
Joined: Wed Aug 22, 2012 9:53 pm

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 5:31 am

Quoting Abeam79 (Reply 32):
They are also selling a pair of LGA slots for double they paid for (given a discount cause they were a new entrant) to most likely B6 which is coming close to happen soon

I'm just curious what your source for this is? I know VX has 2 slot pairs that are unused at this time. Just find it interesting if they do sell those two.
 
Abeam79
Posts: 347
Joined: Thu Jul 03, 2014 3:16 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 5:38 am

Quoting airliner371 (Reply 33):
I'm just curious what your source for this is? I know VX has 2 slot pairs that are unused at this time. Just find it interesting if they do sell those two.

It hasn't been told public, but those two are not being used cause they are planning on selling it. I was at a new hire orientation recently and head of market planning told us that they are talking to VX for those two, and local politicians and port authority of NY/NJ to increase more LGA flying, possibly moving to the M.A.T. from Delta, and starting a BOS-LGA E190 shuttle. Again, these are things they are trying to do, whether it happens is still yet to be seen. But the VX slot pairs is more of a certainty.
 
Indy
Posts: 4949
Joined: Thu Jan 20, 2005 1:37 pm

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 6:19 am

Quoting Av8tor (Reply 8):
So what do you propose they do? The public has spoken (with their wallets). They are not willing to pay a premium for the superior service that JetBlue provides, so JetBlue has no option but to change their product to match what the public is willing to pay.

Seems that with a YTD load factor of nearly 85%, that statement isn't true.

http://investor.jetblue.com/phoenix....1045&p=irol-newsArticle&ID=1957929

In fact look where JetBlue ranks....

http://atwonline.com/data/top-25-air...er-load-factor-january-august-2014

0.4% behind Delta but ahead of United Airlines, Virgin America, American Airlines, Southwest Airlines

Perhaps the problem with JetBlue has to do with the amount of transcontinental flying out of a very saturated NE market. It may be that JetBlue simply needs to rethink their routes a bit and not fly the same routes that everyone else flies. Flying out of BOS and JKF has to be expensive in terms of delays. Add to that the cost of competition and that can't be good for finances. Airlines need to get over this stubbornness. F9 refused to adapt and look where it landed them.
IND to RDU to OKC in 18 months. This is what my life has become.
 
User avatar
RWA380
Posts: 5759
Joined: Fri Feb 18, 2005 10:51 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 7:30 am

Quoting LAXintl (Thread starter):
November 19th is the day JetBlue told everyone to wait for to hear further details about changes the carriers would be implementing to improve its financial performance which continues to lag industry peers.
Quoting LAXintl (Thread starter):
Some of the rumored potential changes include:

o Denser cabins
o First bag charge
o Product unbundling
o Fare families offering various perks

Do carriers usually hold an event for diminishing service? I thought they usually just quietly tried to slip it past us all.

Quoting B747forever (Reply 7):
I wonder if WN will start to charge for the 2nd bag if B6 changes their policy

I've read the past threads on this subject, I am in the camp that thinks WN has made "free bags" their "thang". This is the way they have lured in many travelers over the years, a huge reason people do choose WN, even though they are often not the least expensive option.

IMO, it would be a very negatively publicized action that would do more harm than good to their P.R. machine. Would WN survive, of course, would it be the same WN? No, but that would remain to be seen if that was a bad or good thing.

Quoting Av8tor (Reply 8):
but the next time they need to travel, they'll pull up the the cheapest fare on the internet and they'll buy it.

Exactly like every other product sold on the internet!!! Why would anyone EVER be surprised that people use the internet to find the best price on a service or good, then pay for it?

There are actual .com companies that have made millions of dollars just helping consumers comparison shop for a very long liost of services & products. Say hello Expedia & Amazon to name a couple.

Quoting SLCSFOPDX (Reply 12):
Merge with VX

If SRB wasn't so into having his precious Virgin brand on everything (check your toothpaste) you may have something. I think VX will trudge along until profitability and remain there, in what form will remain to be seen of course.

Quoting SLCSFOPDX (Reply 12):
Make either SLC, PHX, or DEN a focus city

SLC = Biggest Western hub for a mega carrier with zero available gate space, and a growing wait list.
PHX = Already dominated by a rival legacy carrier, a market with traditionally low yields & a big leisure AZA competitor.
DEN = Already a blood bath market, with 3 carriers already battling for the crown

Quoting SLCSFOPDX (Reply 12):
Partner with AS via AS's networks in SEA, PDX, SAN, SLC, and LAX.

This is not something that either sides frequent flyers would be thrilled about, and certainly not the AS BOD, given AS & their stellar performance quarter over quarter with dividend checks flowing for all.

Quoting SLCSFOPDX (Reply 12):
Shut down the LGB focus city and move all ops to LAX and grow there

Once again you are talking about moving into an airport that is bursting at the seams, I do not know how many flights this would ultimately be, I'd also guess B6 would drop any connection from PDX & SEA into LA given the already crowded market with low fares.

Quoting hiloboy1 (Reply 18):

They're going to announce the upcoming merger with Frontier

There are far better potential suitors than F9, culture wise alone, but I acknowledge your desire to stir the pot.  
Quoting flyby519 (Reply 15):
It just doesn't seem like any local authorities in LGB want that airport to be successful

It seems to me they want it successful, as long as that fits into their narrow views of how to run an airport.

Quoting flyby519 (Reply 15):
I'm guessing B6 was hoping the local LGB officials would allow them to use the E190 under the regional aircraft slot authorities instead of mainline

The E-190 is barely a regional aircraft, certainly top of the size chart, it's missions are often mid continent destinations or even a bit further, I can certainly understand how LGB would consider it something other than a regional. I guess this is really is just a matter of perspective.

Quoting bg777300er (Reply 22):
Maybe they're joining Star Alliance :]

Oneworld .....
707 717 720 727-1/2 737-1/2/3/4/5/6/7/8/9 747-1/2/3/4 757-2/3 767-2/3/4 777-2/3 DC8 DC9 MD80/2/7/8 D10-1/3/4 M11 L10-1/2/5 A300/310/320
AA AC AQ AS BA BD BN CO CS DL EA EZ HA HG HP KL KN MP MW NK NW OZ PA PS QX RC RH RW SA TG TW UA US VS WA WC WN WP YS 8M
 
b747400erf
Posts: 3178
Joined: Wed Jun 19, 2013 4:33 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 8:01 am

787 and flying to Europe!
 
INFINITI329
Posts: 2583
Joined: Mon Jul 02, 2012 12:53 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 8:11 am

Quoting RWA380 (Reply 36):
The E-190 is barely a regional aircraft, certainly top of the size chart, it's missions are often mid continent destinations or even a bit further, I can certainly understand how LGB would consider it something other than a regional. I guess this is really is just a matter of perspective

I really shocked B6 didnt get their way. Usually when your breadwinner airline asks for something they usually get it.
 
User avatar
EA CO AS
Posts: 15808
Joined: Wed Nov 14, 2001 8:54 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 8:44 am

Quoting SLCSFOPDX (Reply 12):
Partner with AS via AS's networks in SEA, PDX, SAN, SLC, and LAX

Well, both carriers DO have a DL problem...   
"In this present crisis, government is not the solution to our problem - government IS the problem." - Ronald Reagan

Comments made here are my own and are not intended to represent the official position of Alaska Air Group
 
User avatar
Navigator
Posts: 869
Joined: Fri Jul 06, 2001 2:31 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 11:23 am

If JetBlue gets rid of all their Embraer 190:s I Think their financial performance would improve. Buying those was a clear mistake since they are not at all good for low cost carriers. Seat mile costs are simply too high.
747-400/747-200/L1011/DC-10/DC-9/DC-8/MD-80/MD90/A340/A330/A300/A310/A321/A320/A319/767/757/737/727/HS-121/CV990/CV440/S
 
jetbluefan1
Posts: 3310
Joined: Wed Dec 31, 2003 8:39 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 12:34 pm

Quoting Abeam79 (Reply 34):
I was at a new hire orientation recently and head of market planning told us that they are talking to VX for those two, and local politicians and port authority of NY/NJ to increase more LGA flying, possibly moving to the M.A.T. from Delta, and starting a BOS-LGA E190 shuttle.

Very interesting. If B6 is dead set on capturing the BOS corporate market, then adding LGA to the roster will complete the NYC "triangle" (as B6 already flies BOS-JFK 8x/day and BOS-EWR 6x/day). Currently from LGA, B6 flies:

FLL 6x
MCO 5x
PBI 4x
TPA 2x
SRQ 1x
RSW 1x

Is B6 willing to trim some of its profitable Florida flying for a loss-leader shuttle to BOS?

Quoting LAXintl (Thread starter):
Event starts at 09:00 ET.

This should be interesting!
 
B6JFKH81
Posts: 2229
Joined: Thu Mar 16, 2006 6:35 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 12:53 pm

Quoting jfklganyc (Reply 28):
But you had no crew base.

Yes I completely get that, I understand the concept of crew scheduling and aircraft/mx routing. However, the crew aspect had nothing to do with my post. I was dealing with the myth that there was no MX (maintenance) and MAT (material) support on the west coast since I was part of the crew that tried our damned hardest to support the west coast on the parts side  
"If you do not learn from history, you are doomed to repeat it"
 
User avatar
enilria
Posts: 10410
Joined: Fri Feb 22, 2008 7:15 pm

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 12:55 pm

Quoting LAXintl (Thread starter):
Denser cabins

This is highly likely. There's also the possibility it is coupled with systemwide premium class.

Quoting LAXintl (Thread starter):
Product unbundling

Unlikely

Quoting LAXintl (Thread starter):
Fare families offering various perks

Very likely as it is de facto already been announced.

Quoting LAXintl (Thread starter):
First bag charge

I think this is accomplished via fare families

I don't expect any large network changes. Maybe a new city.
 
MIflyer12
Posts: 9205
Joined: Mon Feb 18, 2013 11:58 pm

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 1:18 pm

Quoting Indy (Reply 35):
Quoting Av8tor (Reply 8):
So what do you propose they do? The public has spoken (with their wallets). They are not willing to pay a premium for the superior service that JetBlue provides, so JetBlue has no option but to change their product to match what the public is willing to pay.

Seems that with a YTD load factor of nearly 85%, that statement isn't true.

Yield shows that consumers are willing to pay, not load factor. B6's yield is lower than that of major competitors.
 
werdywerd
Posts: 610
Joined: Wed Aug 17, 2005 1:40 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 1:26 pm

Here is the link for those that want to listen in this morning:
http://investor.jetblue.com/phoenix....ntDetails&c=131045&eventID=5174755

Starts at 9:00am Eastern Time
 
werdywerd
Posts: 610
Joined: Wed Aug 17, 2005 1:40 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 1:44 pm

Slides for today's presentation have been published. Click on the first link with today's date. Gives you an idea of the changes:
http://investor.jetblue.com/phoenix.zhtml?c=131045&p=irol-sec
 
B747forever
Posts: 13862
Joined: Mon May 21, 2007 9:50 pm

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 1:59 pm

Quoting werdywerd (Reply 46):
Slides for today's presentation have been published. Click on the first link with today's date. Gives you an idea of the changes:

So it seems they will charge for the 1st bag on their cheapest fares. So no more free bags.

Also looks like they will add 15 seats to their A320s, going up to 165 from today's 150.
Work Hard, Fly Right
 
User avatar
enilria
Posts: 10410
Joined: Fri Feb 22, 2008 7:15 pm

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 2:07 pm

Quoting werdywerd (Reply 46):
Slides for today's presentation have been published. Click on the first link with today's date. Gives you an idea of the changes:

Exactly what I predicted.

More seats. A lot more seats. The E190 is going to be kind of orphaned from a product perspective with this strategy.

Fare families with bag fee. Also as I expected.

Expansion for 2015: Mint and FLL. Hmm... There's a slide about dropping poor routes. I wonder if LGB ever makes that slide for 2015.
 
flyby519
Posts: 1583
Joined: Tue Jul 24, 2007 3:31 am

RE: Nov.19 - JetBlue Announcement

Wed Nov 19, 2014 2:12 pm

Defer 18 Airbus deliveries ... Slide 49

Popular Searches On Airliners.net

Top Photos of Last:   24 Hours  •  48 Hours  •  7 Days  •  30 Days  •  180 Days  •  365 Days  •  All Time

Military Aircraft Every type from fighters to helicopters from air forces around the globe

Classic Airliners Props and jets from the good old days

Flight Decks Views from inside the cockpit

Aircraft Cabins Passenger cabin shots showing seat arrangements as well as cargo aircraft interior

Cargo Aircraft Pictures of great freighter aircraft

Government Aircraft Aircraft flying government officials

Helicopters Our large helicopter section. Both military and civil versions

Blimps / Airships Everything from the Goodyear blimp to the Zeppelin

Night Photos Beautiful shots taken while the sun is below the horizon

Accidents Accident, incident and crash related photos

Air to Air Photos taken by airborne photographers of airborne aircraft

Special Paint Schemes Aircraft painted in beautiful and original liveries

Airport Overviews Airport overviews from the air or ground

Tails and Winglets Tail and Winglet closeups with beautiful airline logos