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Author: Nuke68 One star, 50 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 580  
Subject: Re: Why shouldn't I be buying like crazy? Date: 1/15/2008 8:07 PM
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I'd be real careful on FRNT. Southwest is really beefing up Denver service (up 32% year over year starting in May 2008) and probably aren't done yet. They have the extra cost of their Lynx service (not to mention another type of aircraft) and I doubt if they have the size to maintain losses too long. They also mentioned in a press release that they have weaker than expected traffic to some "sun destination markets, many of which will be eliminated by January 10, 2008" (sorry, can't find the press releases on the service reductions). They are growing their international traffic but may be cutting their domestic markets. This could hurt their international traffic if they have little feeder traffic from the domestic US. I'd love to see them succeed, but I feel they'll have a hard time at it and may go lower or have to see bankruptcy. Of course I could be wrong and they could be a good candidate to be bought out by an airline looking to get international service.
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