fibwizard 10:27 am on Monday, April 10, 2017
Tags: Short ( 30 )

News – UAL

#short

Maybe a good time to short UAL, after seeing the news…

fuzzballl 11:08 am on Monday, April 10, 2017

Gonna be a long hot summer…load factors so high that one cancellation can leave people stranded for days. Why these airlines continue to oversell everything to the max is beyond me. Fortunately, since 9-11, we’re not allowed to intervene in any of these situations in the back. Call security and let them handle it. I’ve had many mis-behaving idiots tossed off the jet over the years. It’s a lot tougher in this situation. They should’ve kept increasing the offers…someone would’ve eventually accepted. Pretty ugly…
- fuzzballl 11:17 am on Monday, April 10, 2017
  
  BTW…I have no airline positions and refuse to trade them. Not sure what Buffet was thinking. Wasn’t one of his most famous losses in Us Air years ago?…LOL Oil back to 100 and they’re probably all losing money again. One small suitcase bomb at check-in or baggage claim at JFK or LAX and we gap down 30 percent. I’ll pass!
  
  The bad guys are still out there…
  
  https://911familiesforamerica.org/911-flight-crew-memorial/flight-crew-american-airlines-flight-11/
- fibwizard 11:26 am on Monday, April 10, 2017
  
  Agree, Thats why I dont play stocks..My futures system and charting is doing well..making me a good 2nd income currently..
fuzzballl 11:34 am on Monday, April 10, 2017

“Airlines set their own “boarding priorities” — the order in which they will bump different categories of passengers in an oversale situation. When a flight is oversold and there are not enough volunteers, some airlines bump passengers with the lowest fares first. Others bump the last passengers to check in. Once you have purchased your ticket, the most effective way to reduce the risk of being bumped is to get to the airport early. For passengers in the same fare class the last passengers to check in are usually the first to be bumped, even if they have met the check-in deadline. Allow extra time; assume that the roads are backed up, the parking lot is full, and there is a long line at the check-in counter.”

https://www.transportation.gov/airconsumer/fly-rights

So what they did wasn’t illegal…just not handled very well. The lawyers will be lining up for this one.
- vxxkelly 11:51 am on Monday, April 10, 2017
  
  They need to get this all resolved prior to the affected people ever getting on the plane. Deal with it at the gate. They already know they have a problem when they start boarding. They already know who would be the person/people that are likely to get bumped, don’t let them board. Pulling someone off a plane gets messy and takes a lot of extra time since you then also have to go through and remove their baggage that has already been loaded.
  - fibwizard 11:57 am on Monday, April 10, 2017
    
    Agree…UAL’s idiot handling..just made some some lawyers and an ex-customer a nice court case..as fuzzy said, offering a decent price for the seat would have been less trauma and far cheaper than it will be..and resulted in no PR problems..
  - fuzzballl 11:58 am on Monday, April 10, 2017
    
    Kelly,
    
    They usually do it that way if they can. Looks like in this case it could’ve possibly been a last second schedule change where they needed to get some deadheading crewmembers on. If we’re traveling to cover a downline flight somewhere we are positive space and they have to bump revenue….otherwise, 100’s of people somewhere else will be delayed or cancelled. Obviously, if the crew isn’t needed immediately, they’ll ride later.
    
    Either way, simply jacking up the bump offer would’ve eventually got a volunteer. By the looks of the size of the airplane it was a United commuter flight. (Republic Airlines I’m guessing). They may have a limit set by United mainline on how much they can offer.
    - vxxkelly 12:44 pm on Monday, April 10, 2017
      
      You are likely right, but in the event that the bump is caused by a “positive space” condition, and it would require having to remove someone from an aircraft, then that limit needs to go out the window. That shouldn’t be that hard to implement. We all understand when we buy the ticket that this can happen, sucks, but it can happen.
      - fuzzballl 12:52 pm on Monday, April 10, 2017
        
        I agree. If I were king for a day (haha like that would ever happen) I’d say do whatever it takes to get the volunteers. Usually the hundreds of dollars being thrown around are travel vouchers anyway. Statistic I heard was that 90 percent of those go unused.
        
        vxxkelly 12:57 pm on Monday, April 10, 2017
        
        Exactly, give someone something they likely will never use in return for everything going smoothly and staying out of social media. WIN-WIN
    - tabortrader 12:50 pm on Monday, April 10, 2017
      
      FYI: Had to happen, smartphone video shows three security types removing screaming man, allegedly a Dr., from plane. 2×2 seating config, four seats needed three took $$, fourth removed but somehow got back on, then re-removed(sp)? Film @ 11…and the rest of the day…ugh.
      
      Thanks for your insight
      - thomberg1201 12:56 pm on Monday, April 10, 2017
        
        Thanks gentlemen for the discussion on airlinebumpingbistro!
        
        fuzzballl 12:57 pm on Monday, April 10, 2017
        
        LMAO! Slow day I guess.
        
        🙂