It may be time to purchase Skybus stock
Skybus Airlines started service yesterday with $10 tickets for a trip from Columbus, Ohio to Burbank, California. Soon they will also be flying from Columbus, Ohio to Kansas City, Missouri and Portsmouth, New Hampshire, which is near Boston. Next week they will be flying to Fort Lauderdale, Florida, Greensboro, North Carolina, Oakland and Bellingham Washington, which is only 78 miles North of Seattle. Their goal is to sell these tickets for an even cheaper price and to have their planes back in the air after only being on the ground for 25 minutes.
This company slosely mimics Europe’s discout airline: Ryanair. They charge for baggage, while also selling merchandise and ad space in their cabins. Both of these airlines are really pushing low-cost self-service with the thought that people will do whatever is necessary to keep the fairs low. Another reason why they can keep their fairs so low is because they fly into smaller airports that charge lower fees and have lest congestion. Plus they will also charge passengers for such things as priority boarding, checking luggage and purchasing food or drink on the plane. Each plane has 144 seats which must be booked online.
Obviously this is a company that you want to purchase stock in because they are quite successful in booking 80% of their flights this far. Plus they are backed by Morgan Stanley, Fidelity, Tiger Management and Nationwide Mutual Insurance.
