Monday, July 11, 2005

A Hop, Skip and Jump Away, American Airlines Offers Customers Shorter Flights for Fewer AAdvantage Miles

A Hop, Skip and Jump Away, American Airlines Offers Customers Shorter Flights for Fewer AAdvantage Miles

Legacy carriers are learning how to compete with discount carriers. The attached article is about AMR's offers for lower cost short hops. The business flyer who needs to use AMR on long flights through hubs can now get a discount when taking short flights.

Some months back, I wrote about the market value of LUV being greater than the market value of all the legacy carriers combined. That situation is changing. LUV has stopped its meteoric rise and the legacy carriers are moving up in price. There is still a long way to go for prices to make sense.

BUY THE BULL!

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