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Well it is sad to say but summer is almost or however it's not too late to -- -- deal.
On a vacation before temperatures cool law joining us now with.
My favorite Hawaiian shirt he's wearing right now.
That's about it -- the that's there's icon at the -- me.
We got -- -- vice president -- analyst for steeple Nicholas it's great to have to comment that you both here and how much do you want to start with you I think everyone's been asking right now aren't any great last minute deals for travelers out there and we're gonna get -- the airline picture just a mobile apparently.
-- I think right now -- five months of the year and we have to watch out for that Stanley travel.
Since school started session in taxes like right now my darted back in school.
There's other schools start next week.
We are going in the major downturn very soft this season for the airlines up until Thanksgiving and then they'll still be another one right after Christmas but.
If you're trying to go somewhere in the end there have been some bargain basement stuff that if you can probably about 45 US cities east of Denver.
For the east of the Rockies were finding full air fares to Florida for a 158.
-- dollars round trip.
That could -- Tampa Orlando or four -- -- and that's.
-- till December 15 right now.
The also Hawaii just -- if you live in the western part of the United States like San Diego we're seeing out of -- to date to seventy round trip.
Through November were also seen since San Francisco and it's places like Portland -- important organs to 78 the Honolulu those -- running for 500 dollars just a couple weeks ago.
Package is New York Dallas Chicago Washington DC Boston is over twenty US cities you can fly Cancun.
Keep status seven nights in a four star hotel out.
Airfare 200 dollars an international coverage and do -- for under 900 dollars per couple.
And that's pretty amazing right -- that's a lot of Margarita.
Well Tom met a lot of Margarita for the consumer at home but but -- tell you what hunter that may not be good news for these airlines I mean that is certainly that the concern right now with that that universe that you cover.
AMR continental is looking -- your notes here's your maintaining buys on them jetBlue you've got to hold on so to talk to me about the stock to date could be the most in jeopardy considering this.
Fire sale fares and got going on right now.
Yeah I was going to -- this is a typical fire -- in the sense that this is just normal seasonal -- for the airlines in terms of putting discounts.
Out there once you get past sort of a shoulder month of September into October it's very typical for that the leisure travel volumes that to fall off and he hasn't been discussing it.
The difference this time around from -- perspective while -- like the network carrier stock suppose the low cost carrier stocks is that this come as a bit of a floor.
Hopefully has been there and this year more so -- was -- last year in terms of corporate travel Friday we'll have a sort of offer.
So the reliance -- in the -- there as much as it was last -- -- leisure travel providing volumes in cash flow.
Business travel -- it picks up the back half of September into October once the kids are back in school and that's.
From an airline stock perspective should be a little better this season I was last is that even with these their sales -- leisure travel loneliness that's ahead on American Airlines hunter on the phone for you but hold on is James as he's got a question or is well.
-- just a question of the job.
The and in -- stated -- the -- they're coming out.
If you think that that was an ala carte menu now it's it's the fair and that it's everything else that's gonna get tacked on.
Before you board the plane -- before you get off the plane.
Bags checked out upgrades changes and whatnot -- any comment on -- fears seem to be.
But are they when you start -- on everything that comes with would jump on a plane and -- -- one of these great destinations and -- -- a Margarita atomic.
Was -- hunter billions of dollars in revenue is as you know that the airlines are all booked in the first and second quarters because of these extra fees which customers paper they love.
Oh it's it's it's fantastic customers really -- -- it because.
A lot its customers are subsidizing them in the minority of travelers who do check first and second bags actually so.
Airlines on bundling these things like first bag fees raising change fees charging for blankets and pillows.
This allows airlines to offer lower base fares which the majority leader travelers take advantage of so.
It's generally a good thing for the consumer but there's a cost a -- with transporting it back and airlines are finally charged in the passengers for that so.
On a net basis a lot of passing and paying less than they would have had the product -- -- -- -- years and years past and that's another point do you make -- Not only this time is this is very very creative on the revenue side -- third -- on the earnings -- you're talking 859% operating margin revenue here that dropped almost straight to the bottom line.
So airlines have an incentive to put cheap fares out there on sale and charged to consumers for the for the ads -- initiatives like I mentioned before bags.
Even so -- in some cases food so there's a benefit of the consumer -- But Tom do you agree with that -- do you agree with his perception here that that the leisure traveler wins.
What they -- leisure travelers who wins -- if you play the game right I mean you like we are -- -- the other American Express card you can check your first bag free on delta.
He got to Kot village chase card you can also check your first bag southwest jetBlue.
Also let you check your first bag free some of the airlines of this continental united merger goes through.
I think some of those fees we can get around and also depends on -- elite status to.
-- it comes -- those seat assignments.
Really you know there's one -- highlights there and they're just loaded with every -- And I would this I would say those guys just make it there there in the business of just having hidden fees and I would probably never fly I'm just because of that well the overall.
Low -- -- -- -- game he flat light you can probably get from point -- to lead you're gonna seven day or fourteen -- a year away somewhere yet you you probably gonna have to check your bag but I -- over six million air miles.
And I cannot tell you may be on to these 510 figures here you see.
That's coming to have them checked a bag over that time period -- -- carry on.
And that that might gig and yes I try to go on to cheapest stuff -- I do want to upgrade is may well that.
I was upon him hundred what I think at a college does apply it to that I can teach a course on how to travel light but but that's another -- yes Tom Parsons and the trick and it thinks about -- -- simple litmus that there.
Great to have you on the show we'll see how the airlines do in the next quarter.
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