Southwest Airlines (LUV)) Message Board

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Non-Tech : Southwest Airlines (LUV))

LUV 32.46

+3.0%

Nov 7 9:30 AM EST

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To: Sam Citron who wrote (66)	12/13/1996 8:35:00 PM
From: Michael Peterson	of 299

DFW is the home of Both American Airlines and Southwest. They have co-existed for the past 15 yrs or more, albeit at different Airports. This mostly has to do with your question pertaining to Hub and Spoke vs Point to Point, although traditionally WN's network should be more appropriately called a lattice network. I really don't think that WN and DL exist in the same market segment. I think that DL's attempt at a lite product is a way to exert downward pressure on thier employees salaries which are bloated from too much time in the same job. 4 or 5 percent compounds annually pretty well. Incidently bloated cost structure is a function of age. I suspect WN is starting to suffer from Its own bloat. Increasing stage length can cover a multitude of sins.

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