Boy, it sure would be tough to be in the airline business these days.
With fuel prices unknown, and China up roaming the Globe to secure its oil needs, well here we go again to the top of the supply-demand curve.
And this time one worries that we may not see the prices come back down.
What does that mean for the airlines? Well, it will not be a pretty ditching with a happy ending in the Hudson next time, but forget the airlines what does it mean for an everyday America and filling up his SUV, Volkswagen, or I guess future hybrid? All worthy questions indeed, and not so long ago, I was mentioning all this to an acquaintance of mine and considering that the airlines are going to have to start buying Cessna's if this they cannot control their price structure or fuel costs.
He told me; "airlines can't even tell you if their scheduled flights will take off or land tomorrow afternoon so how can they know what their long-term business plans will be in 5-7 years," Speaking of which, I was looking at a picture book from 1970-1980 with all the airlines in it, most are no longer in business; Western, Braniff, Pan Am, etc.
etc.
I mean the list is huge, they just do not exist anymore, and those old aircraft have been parted out in the desert, skeletons.
And all those airlines that were on the verge of bankruptcy during the 2008-2009 recession; well they still are.
And imagine trying to manufacture airliners like Airbus or Boeing, or trying to run the budget for the Federal Aviation Administration? Forget it, there is just no-way in hell to get a good handle on the industry.
Thank god you and I don't have to run an airline, and god help those who do.
With fuel prices unknown, and China up roaming the Globe to secure its oil needs, well here we go again to the top of the supply-demand curve.
And this time one worries that we may not see the prices come back down.
What does that mean for the airlines? Well, it will not be a pretty ditching with a happy ending in the Hudson next time, but forget the airlines what does it mean for an everyday America and filling up his SUV, Volkswagen, or I guess future hybrid? All worthy questions indeed, and not so long ago, I was mentioning all this to an acquaintance of mine and considering that the airlines are going to have to start buying Cessna's if this they cannot control their price structure or fuel costs.
He told me; "airlines can't even tell you if their scheduled flights will take off or land tomorrow afternoon so how can they know what their long-term business plans will be in 5-7 years," Speaking of which, I was looking at a picture book from 1970-1980 with all the airlines in it, most are no longer in business; Western, Braniff, Pan Am, etc.
etc.
I mean the list is huge, they just do not exist anymore, and those old aircraft have been parted out in the desert, skeletons.
And all those airlines that were on the verge of bankruptcy during the 2008-2009 recession; well they still are.
And imagine trying to manufacture airliners like Airbus or Boeing, or trying to run the budget for the Federal Aviation Administration? Forget it, there is just no-way in hell to get a good handle on the industry.
Thank god you and I don't have to run an airline, and god help those who do.
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