JetBlue CEO Comments On AMR Bankruptcy | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

** Airborne 11.21.14 ** HD iPad-Friendly -- Airborne 11.21.14 **
** Airborne 11.19.14 ** HD iPad-Friendly -- Airborne 11.19.14 **
** Airborne 11.17.14 ** HD iPad-Friendly -- Airborne 11.17.14 **

Wed, Jan 18, 2012

JetBlue CEO Comments On AMR Bankruptcy

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 run."

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?"

FMI: www.jetblue.com

Advertisement

More News

Airborne 11.21.14: AEA's 3Q/14 Report, Fantasy Of Flight, Modernizing The NAS

Also: Holland Wants Gold, FAA Strangling UAVs?, RAF WWII Trainer For Sale, Bf109s Live, Georgia v Aerospace Engineers The Aircraft Electronics Association has released its third-qu>[...]

Aero-News: Quote Of The Day (11.24.14)

“The NASA Student Launch – now in its 15th year – has engaged hundreds of students and educators in real-world scenarios that solve complex engineering challenges>[...]

Aero-TV: GOGO Business Aviation -- Communicating at the Speed of Flight

Airborne Communications Are One Of The Strengths Of Business Aviation At NBAA2014 ANN CEO and Editor-In-Chief, Jim Campbell, checked in on the world of airborne communication. Ther>[...]

Aero-News: Quote Of The Day (11.23.14)

"Reaching this stage that we call ATLO is a critical milestone. This is a very satisfying point of the mission as we transition from many teams working on their individual elements>[...]

R44 Helicopters Show Up In Iran

Reportedly Purchased Through 'Dealers' Despite Embargo An Iranian company has acquired four Robinson R44 helicopters despite international trade sanctions against that country due >[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2014 Web Development & Design by Pauli Systems, LC