Topaz News

Something happens when you get older - and I am getting older along with everyone else! We start to ask questions more. It may be an attempt to grab a youthful enthusiasm for the world. Who knows. But I question what people say without any facts or proof to support them, just to make sure. So you may remember earlier this year when Topaz did a little study on Southwest - well this time around I wanted to spread the love and ask some simple questions about some of the other airlines and what really happens before and after an airline merger with their airfares. Easy answers? Not so much. Nothing is easy if you have not figured that one out - and drawing conclusions may be even more difficult - however what you will see are some general ideas about what happens to airfares over a five and six year timeframe for overall business travelers, and even see some pre and post-merger monopoly market airfares. The study takes a look at US and America West after their merger, and then the Delta and Northwest merger. Finally, we will see what has happened in the few years since the merger of United and Continental completed.

The next few years will be very interesting for us in the industry. With the final merger ready to be approved and implemented between American and US Airways, what will happen to all our business travelers and to the airfares they pay? Will the price points be so high that travel for business will diminish? Will leisure travelers stop flying because they cannot afford it anymore? And how will the airlines respond - by continuing to cut capacity or by changing the rates they charge? Of course, many questions for an old man like me but very few answers. So I hope you have the opportunity to visit our website and download the paper - I hope you find it interesting and valuable. Of course, I always welcome your feedback and suggestions, so please feel free to drop me a line anytime!

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