PlaneBuzz

This week's mega-earnings issue of PlaneBusiness Banter is now posted. I haven't printed one out yet, but judging by its file size on the website, it looks like it's about 75 pages of pure unadulterated airline financial fun.

Well, maybe that's going a little too far. But this week I look at four airlines that reported earnings last week in depth: US Airways, Southwest Airlines, Continental Airlines and Allegiant Travel Company.

With Allegiant we're looking at an airline that posted a 25% operating margin, after throwing an increase of 30% in ASM's into their system.

Got that?

It's always great to listen to the Allegiant call, because I continue to be fascinated with their business model. Case in point? Hedging. Who needs to hedge when you can "hedge" by cutting capacity -- which is exactly what the airline did last summer. If you haven't paid much attention to Allegiant, you're missing out on one of the best stories in the airline industry right now.

Oh, and you have to love the fact the airline just picked up another two aircraft. For the grand total of $3.7 million. (They fly only one aircraft and that aircraft is an MD-80.)

With Continental, we're looking at one of the best run U.S. domestic airlines -- but one that sees its two major areas of focus -- business travel and international flying -- under intense pressure. The numbers here, in terms of diving yields and revenues are not pretty.

About the best part of this call was the part dealing with the airline's move into the Star Alliance. That is a good thing as the airline will be Star's New York connection.

With US Airways, as I wrote earlier today, the airline is once again being hounded by those who believe the airline simply doesn't have enough cash to get through the winter. Meanwhile the airline turned out pretty decent numbers for the second quarter, and as is usually the case -- their earnings call provided another lesson in airline revenue management -- thanks to Scott Kirby, the airline's revenue whiz. (Yes, he's technically the President, but we all know where his strength lies.)

Then there is Southwest Airlines. I guess you could say that I came out of this call the same way I came out of the call last quarter -- frustrated. I talk more about why that is the case.

In addition, earnings summaries for all the airlines that reported in are now available for subscriber access.

All that and more in this week's issue of PlaneBusiness Banter. Subscribers can access your issue here.