A post today by "Professor Sabena" on the
T2 Impact blog suggests U.S. airlines have failed in their strategy to raise fares by cutting capacity. "You would think that the significant cuts in capacity from Labour Day onwards would have given the airlines market pricing power and the ability to raise yields," the professor writes. "But even with the wonderful drop in fuel prices the airlines just cannot seem to win for trying." Not only is this assessment a tad premature, it's also inaccurate.
Last week at the National Business Travel Association convention in Los Angeles,
NBC's Peter Greenberg moderated a conversation with Delta Air Lines CEO Richard Anderson and Air Canada CEO Montie Brewer. One of the more entertaining exchanges occurred near the end of the session. It included some friendly crossborder jabs as well as a bit of sermonizing from the two carrier chiefs. It went like this:
