ZERO3L
The yields in low cost operations are marginal to say the least- I cant see how they will make money with the 800's if the lease costs are what they are rumoured to be.
Ryanair operate their 738's with the highest margins of any airline. An average airline operates on a return of 4.5 to 5% margin, Ryanair obtain 21% return. They are also the best paid short haul airline in Europe. In the US Southwest, another very successful LCC has the lowest turn over of personal that receive good money and they have the largest union representation of any US airline !!
It an be done if the seats are sold correctly, SAA domestic will start a slow death........
