Did you see Greg's blog on Westnet? I'm sorry but what I have interpreted in this whole thing is that Greg hit a lot of news agencies and seemed to be testing the water for a change. But what he said on Westnet sounds a bit like rumor squashing. I dunno maybe Clive aka the "bobble head" smacked his pee pee...
bombardierfixer wrote:I dunno maybe Clive aka the "bobble head" smacked his pee pee...
Hey!! Wait one minute! What Clive and Gregg do behind closed doors is their business.
To me, and most Westjetters, it doesn't matter what Clive said about props, or what Gregg said in the Globe and his blog, or that Clive likes "smacking pee pee's"(i don't even want to think about that). All that matters is that we maintain our culture, make some money AND for the love of GOD-get that stock price moving!
Well the way to maintain our culture is not too spin it off into a discount, separate entity. Throw the blue and teal on it and keep it the same. I personally agree with Greg's sentiments and a shift to a smaller more efficient air frame is the way to go if we want to get more of Canada. Well a pee pee smack is way better then the axe, oh sorry, more time with the family, at least it won't cost us 4 million bucks.
When I first read that article, it was pretty clear we were getting turboprops. However, I read it again and nowhere does Gregg say anything more than what we already know- that we're looking at it. Everything else is just Brent Jang making a nice story.
Oh, and it's good to know Gregg likes his salad's with vinegrette. Thanks Brent for that important tidbit.
Based on $10M in revenue per airplane (ballpark only- that's what Jazz makes), that's $800k at our current margins. Assuming we got 10-15 Q400's, how much will that add to our EBITAR? Roughly $10M or $0.07/share. Is that worth it?
I'm all in, but it needs to make solid business sense.
Bede wrote:When I first read that article, it was pretty clear we were getting turboprops. However, I read it again and nowhere does Gregg say anything more than what we already know- that we're looking at it. Everything else is just Brent Jang making a nice story.
Oh, and it's good to know Gregg likes his salad's with vinegrette. Thanks Brent for that important tidbit.
Based on $10M in revenue per airplane (ballpark only- that's what Jazz makes), that's $800k at our current margins. Assuming we got 10-15 Q400's, how much will that add to our EBITAR? Roughly $10M or $0.07/share. Is that worth it?
I'm all in, but it needs to make solid business sense.
But you may attract market share, otherwise unattractive, that then continue on with your longer haul segments, or package deals... that may add more than $0.07/share.
Well were going to need feed onto those wide bodies that are sure to follow
... All I ask is IF we do anything its well planned/executed (unlike saber) as I really don't want to start over again.
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The feet you step on today might be attached to the ass you're kissing tomorrow.
Chase lifestyle not metal.
It may be a mistaken assumption to expect the same margin based on PRASM on smaller gauge aircraft that exists within the 737 operation. RASM will be higher but so will CASM. Unlikely that a 71% BELF will apply either. It is a completely different world. This venture might have more to do with revenue growth and market share rather than enhancing the bottom line. I suspect that the mandate will simply be not to lose money on it.
I suspect the greatest benefit number-wise is how the books look after we pull the 737 out of the markets where we are getting our asses handed to us i.e.: the triangle.
Bede - I suspect the upside to EBITAR would be greater than your prediction.
jjj wrote:I suspect the greatest benefit number-wise is how the books look after we pull the 737 out of the markets where we are getting our asses handed to us i.e.: the triangle.
Totally agree. That's what I hope they do and redeploy the 737's to markets where we make decent coin.
