royal terrace ...news flash.
This is an opinion Forum. I gave an opinion. I don't care if anyone agrees or disagrees. It's only my opinion.
I'm glad you disagree.
WJA had a very strong quarter. On a 14% margin (if that's the figure?) was quite impressive. If you think that's a cushy margin, great. Good for WJA. While they're not likely to go out of business anytime soon the potential is still there and that was part of my simple point. Rising fuel prices, rising ticket prices, additional charges for services, punitive CATSA charges. The consumer will/has reached the limit.
Air Canada could go out of business. Possible. But not likely. We'll see.
Not many expected to see the likes of TWA, Pan Am, Eastern, Sabena crash and burn. Did they? But you could almost see it coming. Particularly with deregulation. (I sometimes wonder if we all wouldn't be better off re-regulating or at least partially re-regulating)
Alitalia? Care to speculate on their future?
Sunwings, however, is not a WJA. Neither is CJA. I.T. is the slimmest margin in the industry. XL had a sample of it today. I'm not sure that picking up the remnants is a wise move as those slim margins only prolong the inevitable. The LCC isn't that far behind in margin or fate. WJA appears to be changing its' raison d'etre and many LCCs caution it's the changing of their lot in life that most threatens their existance.
You know as well as I, the low fuel ($$$) level warning is on for many of these carriers. It's just a question of who runs out and who almost runs out. Isn't it?
This is all purely speculation on my part. I could be so far off the mark it's ridiculous. But I might also be spot on the bullseye. For me, it's the speculating that's fun and the joy it brings when things turn out as predicted.
(it's also, the joy it brings when things don't turn out as predicted)
Willie