Financial Times 23 May

[water check]

Before we start falling for the usual management line of ' times are tough, the employees must suffer', perhaps this quote from yesterday's FT will help clear up any fuzzy thinking amongst the troops:

'...Airlines likely to emerge MORE profitable from the crisis AND with increased market share include the European big three, Air France-KLM, Lufthansa and British Airways, from Asia Pacific, Singapore, Hong Kongs CATHAY PACIFIC and Qantas and from the Middle East Dubai's Emirates...'


Let's emphasis the main facts again: Cathay will emerge from this current fuel spike as a STRONGER, MORE PROFITABLE and HIGHER MARKET SHARE airline. Remember, just because there is a 'crisis' does not mean it is a crisis for all. For all the bleating of the management about the crisis, in truth they are probably feeling that it is one of the best things to happen this decade. TT, (and surrogates), please stop bothering mentioning the fuel price EVERY friday...it's getting boring.

[cx252]

But it is the fact that affecting airline, isnt it?

[missingblade]

I agree with above. CX might only make a few hundred mill this year as opposed to making a few billion - BUT in the process they will be able to squeeze out competitors and gain market share. Its called economies of scale and only the big boys can do it. (And some smaller airlines are likely to just go bust anyway ) Secondly CX will get huge concessions again from their workforce due to the "crisis" !

So the company WILL come out the other side stronger for it.

[Apple Tree Yard]

missingblade, you seem to miss the point. There is NO NEED for concessions from the workforce, as the overall financial prognosis for the airline is a net positive. The fact that TT tries to imply the problem should fall on the employees shoulders only demonstrates the usual cynical contempt for the pilot workforce. The cost of fuel is not my problem, and in fact will probably prove to be of a benefit to CX's overall competitive advantage.

[Westcoastcapt]

I haven't gotten anything, so I doubt I'll be giving anything back.
Nuff said.

[Frogman1484]

Let me see...ummm... my productivity has gone up by 20% since 2001, my salary has depreciated at least 15% since 2001. I have lost at least 50% on the AUD since 2001. So I have already given 85% and got 3% back

[rtforu]

I'm no expert on this topic but according to those who study these events, we would have to have oil at $260 a barrel if we were to match the oil crisis we had in the 1970's. I know history never repeats itself exactly but IMHO this will be a spike or bubble if you like.

Then again, I could be completely wrong.

[SIC]

Apple tree - Missingblade never implied that there is a "need" for concessions from the workforce. He just stated the FACT that there WIIL BE concessions from the workforce wether they like it or not. I thought you were cynical enough to see the irony/sarcasm in that statement??