Three Airlines down in just a matter of weeks...?

Question

Aloha Airlines called it quits, ATA called air quites over some military deal and skybus is now calling it quits

... Alitalia nears bankrupty.... Whats going on? Who do you predict ro be next?

Answer 1

First of all; United and Continental were in talks.  Not United and American.  JetBlue close to kicking the bucket???? I have no idea what you are smoking, but Delta will be long gone before JetBlue goes.  That like saying that Southwest or Continental is close to kicking the bucket.  And btw, flying for a Virtual Airline does not make you a commercial pilot ;)

I hardly feel that Continentals bankruptcy back in 1986 counts, and what about Southwest??? You guys REALLY need to get your facts straight before posting on here and then getting schooled by somebody else

You will see the smaller airlines jump ship leaving room for the larger airlines.  I would LOVE to see Mesa go, but I doubt thats going to happen anytime soon

Answer 2

The word in the industry papers is consolidation.  Delta and Northwest are set to merge only the sticking point of pilot seniority is in the way.  Delta wants to retain the Delta name and headquarters in Atlanta while Northwest has made agreements and has an obligation to keep it's corporate headquarters in Minneapolis.  United and American are also looking around with a possible merger in mind.  The new Delta/NW will be the largest airline in the world if the merger goes through.  

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At the same time it seems there have never been more airlines and charter companies than ever before especially in Europe.  The many budget and small holiday junket carriers have sprouted up so fast it's hard to keep track.

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It seems like only in the U.S. has air travel become so stagnant.  American Airlines is the only one of the large U.S. carriers that has not gone through bankruptcy.  Southwest has been successful but even that happy go lucky carrier has had a downturn.  Fuel prices are hurting all the airlines and eating into the profits needed to invest in new equipment needed to reduce fuel consumption.  

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Airline stock is not a good investment at this time.

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Answer 3

The stragglers are getting wiped out.  Airlines that were just holding on by a thread are getting their lifelines cut.  If you want a prediction (keep in mind this is just a guess), I see North American Airlines going out next.  They do a bunch of military charters, etc., with 757s and 767s.

Answer 4

The markets collecting dead wood. It's a good thing. More to come until the industry reduces the availability of airline seats to a resonable number to justfy cost vs. ticket price.

Answer 5

Try and look up the cash ratio on the different airlines the ones with the highest level of debt will be closer to the edge.

Easy rent 1000. a month

or 2,000. a month

or 3,000 a month

which person gets evicted first when thigs go sour in the business world.

Answer 6

Petrol prices are going up due to the US economy recession. Competition is flooding in and its becoming hard to survive.

Answer 7

I understand Jet Blue is very close to kicking the bucket.  And you should look for big mergers in the near future, and United will be selling off different sections of their operation.