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Old 5th Nov 2005, 22:22
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Buster the Bear
 
Join Date: Nov 2001
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Grrr

Whilst easy are trying to balance 3 aircraft types in their fleet (300, 700 & 319), certain bases will lose out. Luton being one of them. Airbus base at Luton due in 2007 so little scope for expansion until then.

Rumour also has it that this winter could see the largest loss ever in easy history. Not my words, but those quoted from the 'shrink wrapped' H.Q. I think you will find that the recent re-shuffle at the 'top' reflects the need to savage costs?

The Icelandic's are waiting in the wings and the City will not allow the losses to perpetuate.

I was told that easy are flying full planes and lots of them and losing money due to the yields. The price of aviation fuel being blamed and this was in September! Again just rumour, but from a well validated source that i trust 100%.

Cash flow is the key to any business, easy will go where they can find it.

There was talk on here a while back that the reason the lo-Co's keep ordering new aircraft is by taking delivery, it makes them short term profit! They buy a new plane at a discount, immediately sell it on delivery for 'book' price, then lease it at the 'book' price rate which is obviously huge in comparison to leasing a discounted jet. This profit then appears every time a new Boeing/Airbus is delivered, but strategically, the airline pays inflated lease rentals over the long-term. I think this is known as 'short termism'?
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