A low-fare, low-cost passenger airline that provides high-quality customer service primarily on point-to-point routes. Company focuses on serving underserved markets and large metropolitan areas that have high average fares.
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Even the better airlines will suffer from higher oil prices and rising inflation. Higher costs will have to be passed onto consumers if adequate profits are to be maintained. How much demand destruction can a small airline take before its small profit turns negative? How long will investors be willing to hold a company with weak profits and no dividend?