Simmons Still Trying

Here's an article out of Maryland about this Eastern Maryland startup.

Boyd Gets It Wrong Again

Michael Boyd and his firm is the perfect example of a group of consultants that feed the legacy carrier's inefficiency. They support the mercantilist system of airlines in the market today and make a lot of money off of it. Good for them...bad for the consumer. It's worth noting that they are not our competitor in any way. The dislike is based purely on the words they say and write.

The biggest problem we have with this presentation is the assertion that Jetblue, Southwest, etc. are LCCs. It's about time the world wake up to the fact that there are no LCCs in the US right now. The lack of passengers Boyd refers to is a myth. The passengers are there, Jetblue just cannot carry them profitably at $60, $70, $80 or even $90 each way. They need $110+ to breakeven and that number is going up by the day. Air Tran is evolving more toward the pure LCC model and is getting more efficient because of it, but they are not there yet.

On to to another item in the presentation...no kidding regarding <70 seat RJs. There is no news in that statement, even though we feel there are a few good places for some of that excess RJ capacity to find a home in this country.

Sun Country Lawsuit Will Get Its Day In Front of Arbitrator

As was detailed here and in other posts on this blog, the elder investors are getting their day in court. It is now in the hands of an arbitrator.

Petters: Sun Country will Be More Than An Airline

Such as businesses selling " in-flight offerings such as satellite TV, Internet access, digital video disc players and magazines". In our opinion, it is tough enough to be a good airline.

Skybus and Stewart

We told you months ago that Skybus was interested in Stewart.

The runway is long enough, but the deomgraphic is not strong...at least not yet. In our opinion it will be about 10 years before Stewart will be worthy of Skybus' serious consideration.

Emerging Airlines Yahoo Group Formed

http://groups.yahoo.com/group/emergingairlines

Follow the link above to the group. This is a great idea. Thanks folks! As you might have guessed, we put a priority on paying the bills...which sometimes leaves the blog to be neglected more than it should be.

Thanks for reading the EA blog. We wil, of course, keep posting here. We have some very interesting info on CQ, Skybus, BMAC and others...but our moral compass requires it to stay under the vest at the moment. As soon as we can release it we will.

Nothing Much Going On

That's why no posts recently.