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Old 18th Dec 2005, 22:29
  #28 (permalink)  
Buster the Bear
 
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Grrr

Yields are related to large conurbations and business traffic. DSA/Peel would have given major subsidies to any airline thinking of starting routes from DSA and I guess local development aid can be bid for?

The aid given to airlines tends to be on a sliding scale, so Thomson is re-evaluating routes that can make money against previous loss leaders.

DSA needs more variety, but if the 'start up' discounts are not there from the airport operator who has endured massive infrastructure 'fixed' costs, should Thomson dramatically reduce their presence, which airline will fill the void?

You can have the longest runway and/or the best terminal in the world, but unless you can deliver yield as wall as passenger numbers, where is your profit going to come from?

Leeds, Humberside and East Midlands have suffered for years with this conundrum. Jet2, Baby, Ryanair and easyJet have come to the aid of two of these airports, DSA needs another major airline prepared to see it through the subsidy period.
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