Post #1952113
2026-05-04 10:32 UTC
Wouldn't they be more likely to be sued by shareholders if they failed to maximise profits and instead subsidised an uneconomic branch of their company?
The point of an airline owning it's own refinery is to benefit from economy of scale, not keep itself afloat when fuel is expensive.
They don't actually lose anything from cancelling those flights. Customers understand it's because of the Iran war, so there's no loss of reputation. The only real cost is keeping their fleet and staff idle, but I'd imagine that's more than balanced out by the extra profits from the fuel sales.
Replies (2)
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@Paultron@shin.mugicha.club 2026-05-04 11:46
@Eiregoat@nicecrew.digital @IAMAL_PHARIUS@poa.st fuel isn't a huge part of flight prices compared to aircraft leases or purchases, depreciation, facilities, etc. fuel charges leading to cancellation are generally for marginal markets that are already subsidized by the government. It's more extreme in Europe and Asia where supply actually forces paring back the schedule, but currently price growth of airline tickets has outpaced that of raw fuel costs. The question mark is how much damage has been done to demand
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@sulaco@nicecrew.digital 2026-05-06 17:27
Where did Trump say no?