Holly

September 26, 2013

home-typewriter copy 1Hello everyone! This week’s issue of PlaneBusiness Banter is now posted! This week we get you updated on the latest in the American-US Airways anti-trust case with the DOJ,  we take a look at how IATA sees airline profits shaping up worldwide for 2013, and we also talk a lot about a number of new airline commercials that have rolled out over the last week or so. United Airlines has a new brand campaign that just debuted, jetBlue has gone to the birds, and Southwest Airlines thinks you need to know about “doohickeys.”

What do our PBB subscribers think about all this? I summarize the feedback so far, as well as adding my own!

The IPO for Mexican airline Volaris rolled out last week. Shares went out at the bottom end of the range at $12/share. That’s okay. That still translated into $350 million to the airline.

Here is your test question for the week. Who is a major investor in Volaris?

Ding.

The correct answer is: Bill Franke’s Indigo Partners.

Here is your second test question for the week. Who is the presumed buyer of Frontier Airlines?

Ding.

The correct answer is: Bill Franke’s Indigo Partners.

You can put two and two together.

Airline stocks had another strong week last week, as analysts continue to issue bullish upgrades and estimate changes to 3Q13 numbers. It looks like the quarter will be a strong one.

However, as the IATA report this week suggests, North America is the exception worldwide. Earnings in the Asian-Pacific region have been especially hard hit this year.

Finally, we have been banned in Dallas. That’s right. I’ll tell you all about why I was scheduled to present at the Business Travel News 2014 Corporate Business Trends and Forecast conference in November — but I have now been disinvited. Why? Because a certain airline, a sponsor of the conference, apparently didn’t want me on the agenda. 

What are they afraid of? Where has the LUV gone?

Very bad move from a management perspective. That kind of heavy-handed stuff has no place in today’s bag of enlightened and transparent management tools.

It’s a busy week!