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Old 09-17-2024, 04:12 AM
  #191  
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Originally Posted by Smooth at FL450
Tell that to the class starting tomorrow.
serious or joke?
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Old 09-17-2024, 05:03 AM
  #192  
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Originally Posted by Nemack
serious or joke?
Seniority list shows 11 newhires as of yesterday.
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Old 09-17-2024, 06:07 AM
  #193  
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Originally Posted by hoover
D225 guys?
yes. There are a few hundred in the pipeline that apparently will continue to trickle in while traditional hiring is paused.
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Old 09-17-2024, 08:45 AM
  #194  
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Originally Posted by Smooth at FL450
yes. There are a few hundred in the pipeline that apparently will continue to trickle in while traditional hiring is paused.
You have over 250 pilots retiring over the next two years. So what they hire is basically covering attrition. No growth. On Sept 26th don't be surprised if they defer orders over the next 36 months. They are expecting almost 160 airplanes from Boeing between 2025-26. Obviously that's not going happen but importantly SWA will pull down capacity and cap ex until they can get their margins up.
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Old 09-17-2024, 09:29 AM
  #195  
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Originally Posted by REF 5
You have over 250 pilots retiring over the next two years. So what they hire is basically covering attrition. No growth. On Sept 26th don't be surprised if they defer orders over the next 36 months. They are expecting almost 160 airplanes from Boeing between 2025-26. Obviously that's not going happen but importantly SWA will pull down capacity and cap ex until they can get their margins up.
I don't know about that. We have 400 -700s that need to be replaced. I will definitely agree that there will be no growth for a while.
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Old 09-17-2024, 09:55 AM
  #196  
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Originally Posted by REF 5
You have over 250 pilots retiring over the next two years. So what they hire is basically covering attrition. No growth. On Sept 26th don't be surprised if they defer orders over the next 36 months. They are expecting almost 160 airplanes from Boeing between 2025-26. Obviously that's not going happen but importantly SWA will pull down capacity and cap ex until they can get their margins up.
Shrinking to profitability doesn’t work. How long have you been in the business? Plus like it was mentioned. We need the replacements for the clapped out 700s.
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Old 09-17-2024, 10:43 AM
  #197  
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Originally Posted by mulcher
Shrinking to profitability doesn’t work. How long have you been in the business? Plus like it was mentioned. We need the replacements for the clapped out 700s.
Capacity and fleet are two different things. You can add asm's or cut asm's without affecting the fleet(like red eyes). You can take on airplanes and retire one for one. By the way, airlines have already cut capacity for the third and fourth quarter. Airlines have already seen improvement in RASM. So yes, you can shrink into profitability, as long as the rest of the industry shrinks with you. Growing your way out of a cost problem, especially burning cash(as they did last quarter) with terrible margins is a bad economic set up.
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Old 09-17-2024, 01:05 PM
  #198  
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Originally Posted by REF 5
Capacity and fleet are two different things. You can add asm's or cut asm's without affecting the fleet(like red eyes). You can take on airplanes and retire one for one. By the way, airlines have already cut capacity for the third and fourth quarter. Airlines have already seen improvement in RASM. So yes, you can shrink into profitability, as long as the rest of the industry shrinks with you. Growing your way out of a cost problem, especially burning cash(as they did last quarter) with terrible margins is a bad economic set up.
We could also not do a whoopsie with our booking curve/pricing and revenue management software like we did Q2 and not cost ourselves a billion in missed revenue. Maybe we could try that.

I’m not upset about burning cash, especially if it’s on the not-sexy-but-necessary stuff that will fix some of our issues and give us room to grow. Burning cash because the redundant VP of the Department of Redundancies didn’t know how to read a spreadsheet is…not ideal.
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Old 09-17-2024, 01:11 PM
  #199  
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Originally Posted by REF 5
Capacity and fleet are two different things. You can add asm's or cut asm's without affecting the fleet(like red eyes). You can take on airplanes and retire one for one. By the way, airlines have already cut capacity for the third and fourth quarter. Airlines have already seen improvement in RASM. So yes, you can shrink into profitability, as long as the rest of the industry shrinks with you. Growing your way out of a cost problem, especially burning cash(as they did last quarter) with terrible margins is a bad economic set up.
Neither of you are wrong. Even if Boeing gets back to full production (they won't), we will take airplanes to refresh the fleet first. The 700s are all nearing the end of their life, and as you get an orphan fleet, they become a ball and chain on the operation and costs. We took a lot of our 800s as leases. We are going to be flat to negative on our fleet numbers for the foreseeable future. Once Boeing gets right with the Lord, that will change in a hurry, but I don't expect that process to be swift or easy.
The big push for the next couple of years is going to be RASM and costs. This airline has a lot of work to do in both departments.
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Old 09-17-2024, 01:31 PM
  #200  
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Originally Posted by Zard
We could also not do a whoopsie with our booking curve/pricing and revenue management software like we did Q2 and not cost ourselves a billion in missed revenue. Maybe we could try that.

I’m not upset about burning cash, especially if it’s on the not-sexy-but-necessary stuff that will fix some of our issues and give us room to grow. Burning cash because the redundant VP of the Department of Redundancies didn’t know how to read a spreadsheet is…not ideal.
Burning cash in any scenario, especially an airline is never good. Regardless of what it's used for. Bad for all stake holders. Just means the business is broken. Hence why EM is here. Three billion is due in the next few months. Which they plan to pay off. Overall cash will decrease in 2025. Hence why, the biggest expense of buying airplanes will slow down to match retirements. Growth will be done for a while. 8's replacing 700's is not going to cut it. They already announced that the fleet will shrink by 15 by the end of the year. We may find out more next week.
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