Re: UA A321 ?

Date:         06 Aug 98 11:26:27 
From:         kls@ohare.Chicago.COM (Karl Swartz)
Organization: Chicago Software Works, Menlo Park, California
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>Following the recent UA order for A319 and A320, it is interesting to
>note that UA hasn't yet ordered the A321. The last order for B757 from
>UA was placed in '96. What's the strategy of UA in the B757/A321 market
...
>The 321 could fly most -- but not all the -- routes the 757 is flying.

It's hard to see what value the A321 would offer UA.  It's true that the
A321 could fly many 757 routes, but UA already has the 757, and there is
no need to replace them anytime soon.

When the last two 757s on order are delivered (next December and January)
UA will probably have enough 757s to handle most of the flying for which
the type is suited.  There probably are some edge cases where the 757
might be marginally better than a smaller or larger type, but it's not
worth adding just one or two more planes.  For example, BOS-SAN is flown
with an A320 -- a 757 might do the job as well, but the yields on the
additional seats wouldn't justify the added cost of the 757 unless UA
had surplus 757s.  On the other side, UA recently started taking
delivery of domestic 767-300s because they got a better deal (at least
per seat) than for 757s.  Presumably the marginal yields of the added
seats on the routes where those aircraft will be used exceed the higher
cost of the larger aircraft.

--
Karl Swartz	|Home	kls@chicago.com
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"The average dog is a nicer person than the average person." - Andrew A. Rooney