We continue to believe that management will unlock substantial value from legacy American Airlines t

We continue to believe car rental and australia that management will unlock substantial car rental and australia value from legacy American Airlines through network and marketing-related changes. car rental and australia These changes could unlock as much as $1.0bn in earnings and are likely to come in advance of more traditional merger car rental and australia synergies, we believe. We encourage purchase of the [American Airlines] shares, before these benefits begin to be more widely reported car rental and australia in early 2014. Our price target represents about 25% potential car rental and australia upside from the recent share price.
Error message Name We welcome thoughtful comments from readers. Please comply with our guidelines . Our blogs do not require the use of your real name. Comment There are 6 comments JANUARY 16, 2014 3:59 P.M. David wrote:
Today the country has only three major legacy carriers remaining because of the fact that the general consumer continually wants to pay the lowest car rental and australia fare from point A to B. For years as multiple carriers lost millions of dollars there was never any assistance or support to raise fares to where a company could return to profitability and now you have only three of the strongest car rental and australia who have survived, AA .. DL .. UA.
What the general public doesn t understand is the expense to operate an airline. New airplanes cost millions of dollars and if they aren t new everyone complains about how old the plane is and lacks this or that. The maintenance to maintain the aircraft costs millions of dollars car rental and australia to keep the aircraft in compliance with federal regulations. Just an in house engine overhaul will cost over a million dollars with fan blades made out of titanium that cost several thousands of dollars each. Continuous training for pilots, flight attendants, and mechanics so that they are up to date with the latest procedures and regulations. Ground support equipment and maintenance, jet fuel, de-icing fluid during the winter, car rental and australia baggage handlers, airport ticket and gate agents, reservations agents, etc . Do you see where I m going.
If you want lower fares where would you like the airlines to cut back to remain car rental and australia profitable? Aircraft maintenance, just do enough to keep the planes flying and if one or two falls out of the sky so be it? Hire untrained pilots or mechanics and if something happens due to lack of experience so be it?
There has to be some give and take. The passenger pays a reasonable fare to get to their destination safely and the airline is able to cover their costs and expenses while staying profitable. Everyone has a choice and if a fare is too high then drive, take a bus, or take a train. Yes, the seating may be tight to maximize cabin space which is due to low fares and trying to remain profitable. car rental and australia If you want more room then pay more for that extra space, again give and take.
As far as greed, I highly doubt it. Air travel will always be in demand in today s age because people want to get to their destination in the safest / fastest way possible. You can cross the U.S. continent in less than six hours these days while relaxing in a comfortable seat, enjoying a beverage of choice and meal, while watching a movie, listening to music, or reading. car rental and australia All this accomplished in a metal tube flying at over 500MPH and at 35,000 FT. Remember, 100 years ago people tried to cross and it took six months and some died along the way due to sickness or Indians. Convenience and comfort come with a price that the consumer needs to pay.
First of al, thank you David, car rental and australia I thought it was me . Get your stock photo footage accurate, and yes, we hope American does well . But when you show photos of Delta Seriously, not only do I not like that airline., but you are doing an in justice to poor American and your knowledge.
Second, Chuck, car rental and australia really ???, Sir, get your facts correct ! AA has added legroom, has added comfort, Soars above United and Delta now I m not sayings 100 percent agree with the USAirwYs merger, but there was no choice, they had to, let s hope USAirways steps it up But seriously jacked up prices and sitting on tarmacks .No , you re correct, we dont already do it now! And !!! Go write your Congressmen and the FAA and voice how unhappy you are ..cause car rental and australia you are going to get a lot less happy with the new FAA rules that went into regulation on Jan 1 st! Again.., facts first !
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