Wed, Jan 18, 2012
Says Of Consolidation, Higher Fares, 'Why Not?'
In an interview on Bloomberg TV Monday, JetBlue Airways CEO
David Barger was asked about the bankruptcy of AMR, the parent
company of American Airlines and American Eagle. He explained how
the process will be good for American and for the industry, but his
comments on why it's good for consumers may be a tough sell.
Regarding what could be a developing bidding war for AMR with
suitors including Delta and US Airways, Barger said his company
will stay out of that fray, maintaining its core philosophy of
growing organically, rather than through mergers and acquisitions.
But he praised American and said that, despite the bankruptcy, it
represents a "great brand, been around for decades, a lot of
strategy in terms of that network, and the process is tough but
obviously it's going to be good for that brand in the long
Regarding the effect on consumers of industry consolidation,
fewer players, reduced capacity and higher prices, Barger noted
that, adjusted for inflation, airline prices actually dropped 20
percent from 2000 to 2010. (He didn't say whether that accounts for
all the new a la carte fees.) Barger said passengers need to be
educated on costs, including the 30-40 percent represented by fuel,
and that higher fares might be just the way to do it.
"I think fares going higher, consumers sharing in the cost of
energy, that’s not a bad thing. They’re seeing it at
the pumps, why not with the aviation tickets?"
Says Model Aircraft Pilots Have 'Set The Example' For UAV Operations For Decades Pilots of model aircraft have been safely operating UAVs in the national airspace for decades, acco>[...]
Celebrates Past, Present And Future With Record Attendance Women in Aviation, International (WAI) hosted its 25th annual conference with three days jammed with activities to honor >[...]
Also: Trig TT31 Update, Barnstorming--GA Wimping Out, Gone West: MiG Designer Belyakov, Zenith's 10000 Plan! When the FAA opened the door for easier angle of attack (AoA) indicator>[...]
Also: Russian 'Bear' For Sale, Project Morpheus, Bahamas Jacks Prices On GA, AC/DC Drummer Keeps Ticket This year’s Women in Aviation Conference, the 25th such event, was to >[...]
AD NUMBER: 2014-05-04 PRODUCT: Eurocopter Deutschland GmbH (Eurocopter) Model MBB-BK 117 C-2 helicopters with a jettisonable sliding door (door) installed.>[...]