Re: AA's Role In BN's BK

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I think Braniff's biggest mistake was its expansion after deregulation.  It
started flying to every city it could, often with only 1  or 2 flights a
day.  Business travelers want more than just a flight a day.

David R
http://home.attbi.com/~damiross
http://home.attbi.com/~damiross/books.html

----- Original Message -----
From: "RT Simpson" <BraniffIntl@xxxxxxx>
To: <AIRLINE@xxxxxxxxxxxxxxxxx>
Sent: Saturday, June 07, 2003 09:04
Subject: [AIRLINE] AA's Role In BN's BK


> <<Don't forget the "Texas Fares" that BN (1) had near the end.  They
> put the fares in a centerfold in the schedule....looked like a
> mileage chart on a road map.  Very simple to figure out.
>
> Unfortunately, it was too near the end, and AA was really doing their
> best to kill BN.  It never got a fair shake to see if it would work.>>
>
> While BN's fare simplification move drove Bob Crandall nuts at AA, it
wasn't
> AMR that drove Braniff into bankruptcy.  Years of "creative finances",
over
> expansion and internal turf wars left Howard Putnam with no other choice
than to
> file Chapter 11.  John Nance's hypothesis that BN had enough monetary
"IOU's"
> to affect a quick return to the air while in Chapter 11 is pure bunk.  My
> hunch is if Putnam had been given a more accurate accounting of BN's
finances
> he'd probably still be at Southwest in the CEO's position.
>
> RT Simpson
> Phoenix
>

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