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Re: Lower Fuel Prices
negrilsand & Chris B,
Both very interesting points of view!!! I didn't intend to create such a debate (my bad).
My initial posting was based on a Bloomberg Business Report (Read Below)
http://www.bloomberg.com/news/2014-1...s-margins.html
which states that the Airline industry has seen record profits and are likely to "REAP" an additional 25% profit in 2015.
"Mergers including the formation of American Airlines Group Inc. (AAL) out of AMR Corp. and US Airways Group Inc. have seen three main network operators emerge in the U.S., helping to rein in capacity and give carriers better control over fares."
I flew JFK to Munich (RT) in September (14) and paid $1400 for a coach ticket (21 day advance purchase) roughly a 70% increase over 2013, same route , same airline, same class. I checked for the fun of it three days before departure and the same ticket was now $2000???? I am sure there is some explanation that makes sense but not to me.
I understand the exorbitant taxes and fees added to the base ticket prices but I still find fares to be higher than many can afford. furthermore there were about 10-15 empty seats in coach, 5 or so in business class. Why isn't there a "Stand By" opportunity for passengers willing to wait and see for a lesser fare to fill otherwise empty seats????
Many might say I'll pay whatever it takes to get from point A to point B (especially Jamaica) and perhaps many have found the lowest fares in years. My point was only that Gasoline is cheaper at the pump, Heating Oil is the lowest in several years, why shouldn't there be savings for airline passengers as the airlines too are benefiting from the drop in oil prices (all companies buying bulk fuel purchase futures contracts, yet the savings at the pump and at home are immediate not 6 months down the line).
My only point being that if the airlines can offer less expensive tickets and make a symbolic "Olive Branch" gesture to its customers I believe it would stimulate more business and result in trickle down advantages to everybody, meaning more spending and more jobs. 25% percent of zero is nothing for everybody involved. Just sayin!!!
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