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Delta Cuts Number Of Flights To Small Cities In Midwest

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http://www.nytimes.com/2011/07/16/business/delta-cuts-flights-to-small-cities-in-midwest.html?_r=1&ref=business

Delta Air Lines said Friday it was reducing the number of flights to small cities in the nation’s midsection, saying it could not make money on flights that were sometimes empty.

The affected flights connect Delta’s hubs to 24 small cities in rural Iowa, Michigan, Minnesota, Mississippi, North Dakota and South Dakota. Some of the cities are served only by Delta, but regional airlines might take over some of the routes. Delta also said it would ask for federal subsidies to keep some of the flights.

Most of the affected flights are on Delta’s 34-seat Saab turboprops, which it is phasing out by the end of this year. Higher fuel prices have made it difficult to operate small planes profitably, because the fuel bill is divided among a small number of passengers. Even the next-larger option, the 50-seat regional jets flown by Delta and other airlines, is often unprofitable for the same reason. Delta is retiring many of those planes, too.

Economic reality coming.

Can we expect more of these regional flights to be cut by other airlines as well?

Still I'm sure the recovery will come to all....

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It's not just the hub-to-spoke flights they're cutting, but long-haul internationals as well. When I was booking a trip a couple of weeks ago (for travel next month), I noticed that they've reduced the number of flights from Amsterdam to their US hubs quite significantly. I'm not surprised: on the last two trips I've made, the planes were only between a quarter and a half full.

My guess is that they've run the numbers and concluded that they cannot raise fares to the extent needed to cover their operating costs without destroying demand, and therefore cutting capacity is their only option.

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What is the point of flying planes with lots of empty seats...no point. ;)

Exactly. So if you find yourself flying empty seats around, you have two options.

1 - Reduce fares to attract new customers, or

2 - Reduce capacity (by flying smaller aircraft or reducing the number of flights).

My guess is that Delta have decided that 1 is not an option, because if they reduced the fares enough to attract the number of bums in seats needed to fill their planes, those planes would still operate at a loss. So they're going for 2, and in the case of the feeder flights to small towns in the flyover states, the nuclear option variant of 2, i.e. closing down entire routes.

Edited by The Ayatollah Buggeri

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I thought the internal US flights had deals between the airlines where you could book with any airline but often when you turned up at the airport you found you were put on a different airline to the one you booked?

This way the airlines would fill at least one plane and also reduce flying costs.

Don't they do this anymore?

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Exactly. So if you find yourself flying empty seats around, you have two options.

1 - Reduce fares to attract new customers, or

2 - Reduce capacity (by flying smaller aircraft or reducing the number of flights).

My guess is that Delta have decided that 1 is not an option, because if they reduced the fares enough to attract the number of bums in seats needed to fill their planes, those planes would still operate at a loss. So they're going for 2, and in the case of the feeder flights to small towns in the flyover states, the nuclear option variant of 2, i.e. closing down entire routes.

Easy jet did 2 they reduced the number of flights depending on the demand and a bit of 1 to enable as full capacity as possible....hardly any of the flights are less that around 90% full most now only have a few spare seats if any...the turn around is about 30 mins and they run an efficient, smooth and excellent service a good example of a brilliant business well run imo. ;)

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http://www.nytimes.com/2011/07/16/business/delta-cuts-flights-to-small-cities-in-midwest.html?_r=1&ref=business

Economic reality coming.

Can we expect more of these regional flights to be cut by other airlines as well?

Still I'm sure the recovery will come to all....

....resort to wagon trains, stage coach and horses ...and watch tourism increase....get back to the real thing... :rolleyes:

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I thought the internal US flights had deals between the airlines where you could book with any airline but often when you turned up at the airport you found you were put on a different airline to the one you booked?

Code sharing happens worldwide, and not just in the US. Or are you describing the practice in the US whereby the big airlines start up a subsidiary company to operate their smaller, less important internal flights in order to avoid having to pay their crews as much as the so-called 'mainline' ones? It is discussed in this documentary, and cited as a contributory cause of a serious accident. Not recommended viewing if you're about to take a flight from a main hub to Pumpkin Junction, KS, or Dead Man's Creek, ND...

Edited by The Ayatollah Buggeri

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Code sharing happens worldwide, and not just in the US. Or are you describing the practice in the US whereby the big airlines start up a subsidiary company to operate their smaller, less important internal flights in order to avoid having to pay their crews as much as the so-called 'mainline' ones? It is discussed in this documentary, and cited as a contributory cause of a serious accident. Not recommended viewing if you're about to take a flight from a main hub to Pumpkin Junction, KS, or Dead Man's Creek, ND...

Code sharing.

Cheers.

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The US air industry also had been suffering for many, many years from over-capacity.. too many carriers with too many planes for hte industry. Finally the industry has merged down to just 3 main players from however many before.

So now they are raising prices until they make a real profit. Making sure they can properly pay all expenses and still come out with a healthy profit. After increasing prices so much, surely some flights have reduced passengers and no longer justify having a seperate route.

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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