Winners And Losers In The Airline World

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* The large global alliances are generally set up to – share – revenue and costs regardless of which airline operates the specific flight segment(s). These global alliances are the single largest threat to labor.
 
* Regional/affiliate code-shares vary in how they are structured. Some mainline airlines both own and contract with various smaller carriers operating aircraft with 70 seats or less. These code-sh
are contracts provide revenue guarantees to the regional/affiliate carriers that for the most part, cover all operating costs while the mainline carriers keep all of the revenue.
 
* Straight domestic code-shares, which it appears is being structured for American and JetBlue, allows for each airline to keep only the fare portion that is applied to that airlines passenger passage. In other words. If a passenger books a JetBlue/American ticket from Ithaca, NY to London; JetBlue keeps only the fare value for the Ithaca-NY flight and American keeps the fare value from NY to London. Obviously for this specific interline ticketing agreement, American has the most revenue to gain.

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