Media and investors see flaws in JetBlue strategy

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Media and investors see flaws in JetBlue strategy

BusinessWeek and FORTUNE magazines printed articles this week that cast
doubt on JetBlue=92s (B6) business strategy. The BusinessWeek article is
entitled =93Is JetBlue=92s Flight Plan Flawed? =96 Miscalculations, =
cutthroat
competition. CEO David Neeleman faces tough challenges to keep the
airline on the ascent.=94

The stories reported that B6=92s fleet of Airbus planes will eventually
require expensive maintenance, and the airline underestimates what that
will cost.

B6 recently lost a showdown with Delta Air Lines when it tried to expand
into the Atlanta - Los Angeles market.

=93That was a symbolically important blow because it proved that the
majors could beat JetBlue at its own game,=94 Teal Group analyst Richard
Aboulafia told FORTUNE magazine.

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