why isnt cargo doing as bad as legacy?
#31
Line Holder
Joined APC: Sep 2006
Posts: 56
A tremendous amount of startup capital compared to a global cargo outfit? Lets say it's 50 million to start that airline. (That's not really a whole bunch of money in the business world.) 50 million might get you started in Texas at an overnight cargo company. Now what about the rest of the world? I believe FedEx serves over 500 cities in CHINA! Like I said, the airline biz is basically chump change compared to UPS, FedEx and yes DHL.
#32
Yeah startup capital would be problematic if you want to compete with UPS. Save your pennies, because youre going to need about 100,000 trucks, around 500,000 employees. Now that you have your delivery infrasturcture in place you can start on building one of the worlds largest airlines to feed that delivery network. You'll probably need around 600 aircraft both owned and contracted.
Then once you get around to sorting and delivering 16 million packages a day, and can serve well over 200 countries including every single address in North America and Europe, then you would be considered a prime competior to Big Brown.
However, dont plan on starting a price war with them unless your pockets are deep enough to pay off the US budget deficit.
Then once you get around to sorting and delivering 16 million packages a day, and can serve well over 200 countries including every single address in North America and Europe, then you would be considered a prime competior to Big Brown.
However, dont plan on starting a price war with them unless your pockets are deep enough to pay off the US budget deficit.
Last edited by viktorbravo; 07-23-2008 at 07:39 PM.
#33
I dont know to much about the aviation industry, ( I just like flying and aviation stuff) anyway I was wondering why cargo and charter airlines are not laying off pilots like the passenger airlines, and last time I checked there are cargo and charter airlines hiring pilots still. So why is it they are still going good and the passenger airlines seem like they are about to fall of the earth?
Trade winds and Gemini Kitty Hawk (ACMIs )are in bankruptcy.
ASTAR and ABX who both fly contract for DHL are facing troubles
FedEx and Ups, while still making a little money are still feeling a some pain of High Oil and an slow economy.
Wouldn't say things are just great on the freight side/ Non Sched side either, just a little better than the PAX side depending on who you work for.
Last edited by RedeyeAV8r; 07-23-2008 at 08:07 PM.
#34
Gets Weekends Off
Joined APC: Jul 2008
Posts: 1,235
Not to burst your bubble, but Champion Air (Charter ops) and ATAshut down a couple months ago. Sun Country (another non sched) is having furlough issues.
Trade winds and Gemini Kitty Hawk (ACMIs )are in bankruptcy.
ASTAR and ABX who both fly contract for DHL are facing troubles
FedEx and Ups, while still making a little money are still feeling a some pain of High Oil and an slow economy.
Wouldn't say things are just great on the freight side/ Non Sched side either, just a little better than the PAX side depending on who you work for.
Trade winds and Gemini Kitty Hawk (ACMIs )are in bankruptcy.
ASTAR and ABX who both fly contract for DHL are facing troubles
FedEx and Ups, while still making a little money are still feeling a some pain of High Oil and an slow economy.
Wouldn't say things are just great on the freight side/ Non Sched side either, just a little better than the PAX side depending on who you work for.
After thirty four years in the freight business and being treated like some redheaded step child by every pax pilot to watch these guys line up and ask to work at FedEx and UPS is funny.
I used to get calls from UAL, DAL,AA pilots to recommend the kids so they could get some experience in freight so they could go to work for the real airlines.
#35
Are we there yet??!!
Joined APC: Apr 2006
Posts: 2,010
Tradewinds in not bankrupt. At least not yet.
#36
Gets Weekends Off
Joined APC: Mar 2006
Posts: 3,333
#37
Gets Weekends Off
Joined APC: Mar 2006
Posts: 3,333
#38
Just to clarify, FedEx Express the Airline , which generates almost 60% of the revenue for FDX Corp, posted a profit, and revenues were up slightly, mostly due to our International operation.
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