RYDER CUP WEEK...COMPETITION...CONSOLIDATION

As many know, I like to write about major events in the game of golf. Few are bigger than the biennial matchup of teams from the U.S. and Europe. On paper, it is the U.S. On the course, it has been Europe.

The venue is Herb Kohler's creation in Kohler, WI -- Whistling Straits. Wisconsin is quickly becoming a go to spot for those serious about the game (Pat Rowe paid me for this).

The competition will also be keen for my stepson #SamStilwell in AL as the first stage of Q-School for the Korn Ferry Tour begins. Sam got through the pre-Q stage in North Carolina two weeks ago. Sam likes to keep us on edge as he began his last 9 holes firmly on the cut line. Then went out in difficult conditions and shot a clean card 1-under on the last 9 to make it comfortably. Go get it dude.

The U.S. DOT plans to award the rights for several peak flights at Newark Liberty International (EWR) to a LCC or ULCC to spur competition and reduce fares. The 16 peak hour takeoff and landing slots were previously used by Southwest until November 2019, when the carrier pulled out of Newark in order to consolidate its New York metro area operations at LGA.

The competition theme is also playing out in DC as well. U.S. Senator Richard Blumenthal (D-CT) called on DOT Secretary Pete Buttigieg to investigate the “competitive implications” of the Northeast Alliance (NEA) between American and JetBlue. He is also concerned about further concentration in the airline industry. As I wrote in December, this arrangement Is bigger than a press release.

When the NEA was announced, the carriers said that connectivity would be enhanced in BOS, LGA and JFK as they would codeshare on nearly 500 flights per day to 120 nonstop destinations. The carriers say they would provide a viable third competitor to DL and UA in the Northeast as reported by the Aviation Daily.

Does large market connectivity and small community air service have the same weight today?

But a follow up question is only fair: aren't Boston and New York among the best connected markets in all of the U.S. system? If memory serves me right, there was scrutiny of AA/US market positions in the Northeast in 2013 in order to get their merger approved.

Speaking of consolidation, it is a question from many that will not die. I have shared my thoughts below with precious few. Historically, all consolidation phases have been triggered by a strategy or an event.

Call me crazy, but the catalyst this time might very well be a stable of skilled human capital. The airline with the most pilots and mechanics can grow at the expense of those carriers struggling to fill flight decks and fix airplanes. Pipelines take time to fill. Pilots at the more established carriers will continue to retire – because they must. Just a thought. It is solely mine and does not reflect the views of my professional associations.

I have my idea on potential target(s), what are yours?