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I think its time to stop the long distance routes
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[QUOTE]Originally posted by George Harris: [QB] It has been said before, and is blindingly obvious to those in the transportation business. The profit is in the long haul. It does not matter whether it is freight or passenger, train, bus, ship, or airplane, the profit is in the long haul. It is the long haul Amtrak trains that come closest to breakking even. It was the long haul major streamliners that covered their costs through the 50's and early 60's. Airlines tend to consider a lot of their costs as being per "cycle" A cycle being a takeoff and landing. Northwest claims their long haul trans-pacific routes to be the most profitable part of the airline. Yet, the per-mile fares are much lower than the normal domestic flights, and the amenities are better. But notice, these are always big planes with near full loads. Lots of competition, too. I can leave Taipei on any one of SIX airlines to go to the US. But once in the plane, they have you for 14 hours to the US west coast, or in the case of Northwest some 13 to 15 hours from Tokyo to one of several interior points as well. (Tokyo is 3.5 hours in another big plane.) More can go wrong on these long hauls, too. I would say between 5% and 10% of my trans oceanic trips have had at least one hotel night courtesy of the airline because of some difficulty. That low price per mile big plane is bringing a lot more cash to the bottom line than the high price per mile small plane making the the 45 minute to 90 minute hop. Terminal costs are the killer in transportation no matter what you are. That is also of course what gives the airlines and cruse ships such a big advantage, the terminals are all provided by someone else and they are only paying some sort of "user fee" if that. Ever notice that Greyhound stations in small towns really do not exist? They are usually only a sign stuck on a gas station or restaurant with an employee of that facillity doubling as the bus agent. And of course, the big stations are always low rent facilities. Even, in the 50's the package express was as important or more important than the passengers, and my understanding is that it still is. [/QB][/QUOTE]
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