Posted in Airlines, Airports, Passengers, Planes, Travel Woes, tagged BAA, Basel, British Airport Authority, Budapest, Capacity cuts, Cost Cutting, Dublin, Grounding, Ireland, Irish, Krakow, London, Michael O'Leary, Palma, Reduction, Ryanair, Rzeszow, Salzburg, Stansted, UK, Valencia on July 18, 2008 | Leave a Comment »
Rising gas prices seems to be affecting every airline in the world. Ryanair, Irish airline based in Dublin, recently announced the following cost cutting initiatives -
Temporarily closing airport operations – Operations temporarily ended at Seven Airports – Basel, Budapest, Krakow, Palma, Rzeszow, Salzburg and Valencia.
Capacity Cuts at others – The airline is cutting down on [...]
Read Full Post »
Posted in Airlines, Passengers, Planes, Travel Woes, tagged A330, Air Canada, Air Canada Jazz, Boeing 787, Capacity, Jazz Air, Layoff, Reduction on June 18, 2008 | 1 Comment »
Air Canada, Canada’s largest airline and flag carrier, plans to cut off capacity by 7% (2% of Canadian domestic flights and 13% of US trans-border flights). The airline is also going to lay off up to 2000 employees later this year. Rising fuel costs have been attributed as the main reason for the decision.
Jazz Air [...]
Read Full Post »
Posted in Airlines, Passengers, Travel Woes, tagged America West, Capacity, Doug Parker, Layoff, Reduction, Scott Kirby, US Airways on June 12, 2008 | 1 Comment »
After the failed merger attempt with United Airlines, US Airways has started its cost cutting initiatives. To offset the gas bill, they are planning/considering the following -
New/increased Passenger Fees
Charge for Soft Drinks (America West was the first airline to charge for a meal)
Charge $15 for first checked bag (started by American Airlines)
Capacity cuts
Potential Layoffs
Earlier US [...]
Read Full Post »
China Airlines, flag carrier of the Republic of China on Taiwan, and EVA Airways, Taiwanese airline, are the latest to apply capacity cuts to offset the rising jet fuel costs. China Airlines is axing 100 passengers flights a month and EVA Air is supposed to cut 5% of its passenger flights from Sept 1 to [...]
Read Full Post »
Posted in Airlines, Passengers, Tickets, Travel Woes, tagged Capacity, Cost, Cuts, Math, Reduction, Tickets on June 5, 2008 | Leave a Comment »
Let us consider flights between Los Angeles and New York.
Let us say we have -First Case – No capacity cuts and low ticket price
10 aircrafts with 100 seat each = 1000 seats available
Each seat is $100 (assuming one fare class for all)
There are 1000 passengers that are willing to pay the price and fly.
Airlines [...]
Read Full Post »
After American Airlines and United Airlines announcements on capacity cuts, Continental has come up with its own announcement.
From Bloomberg -“Continental Airlines Inc. will cut
3,000 jobs and shrink its jet fleet by 18 percent, becoming the
fourth major U.S. carrier to slash payrolls and flights as
soaring fuel prices push the industry to its worst losses since
Sept. [...]
Read Full Post »
United Air announced today that it will reduce its fleet by 100 planes by 2009 and cut 1400-1600 jobs. The cut has been attributed to rising fuel costs. This seems to be the first big cost cutting initiative that the airline has made after the failed merger talks with US Airways.
Earlier IATA had mentioned that [...]
Read Full Post »