JetBlue will have to start thinking in real $ for the next year or 2 or possibly longer.

They had a sweet deal with Airbus and hedged oil prices (no more), and their employees are demanding few more $ these days.

Don't wish or want for JetBlue to disappear and they won't for a long time, but maybe, finally, the fares will reflect the real world. It will help every airline if that were to happen.

http://www.forbes.com/markets/2006/0...markets01.html

Actually, I don't mind buying airline tickets at or below cost.

Well, Delta announced yesterday that it's slashing its capacity on FL routes by about 25%. B9's share rose yesterday afte that news.

But AAFF is right. Jetblue now faces the same reality as the rest of the industry. Analysts forecast breakeven for 2006, and small profit for 2007. That's worse performance than CO, which also competes in the NYC-Florida market.

What's with Virgin America? Are they the next jetBlue or flyi or southwest? I find it amusing that Virgin is coming on the scene. There doesn't seem to be any shortage of investors willing to blow their money by investing in airlines. Directly or indirectly they help subsidize the cost of my airline travel. The only bad part in the deal is the employees losing their pensions.

Another thing is that the novelty of the inflight TV has probably worn off. Yes, many people <b>say</b> they love the live TV and will fly B9 whenever possible.

But then when it's time to make the ticket purchase, reality sets in. Few leisure traveler will pay a dime extra to get two hours (typical JFK-Florida) of stuff they can get at home 24 hours a day. On the other hand, lack of upgrade possibility and wide-area FF program do make them less favorable for the business traveler.

If you are concerned about airline profitability then the cutback in supply by Delta is more relevant than an analyst's predictions about jetBlue. Fact is that jetBlue will not necessarily have to raise fares, they can start to lose money like other airlines. Delta's reduction in supply is probably better news to other airlines.