So Icelandair is NOT going to acquire WOW.
And WOW is returning 4 leased planes to their owners (20% of fleet).
“When asked if any changes are coming, WOW representative Romano told Today in the Sky that the carrier’s ‘winter schedule is currently under re-evaluation due to changes in WOW Air’s fleet, but nothing has been finalized.’”
Yep. Big changes coming. I have a feeling the cut-rate ticket prices that have made so many swoon in recent years may become a lot harder to find. We'll see.
Glad I am not holding a WOW ticket.
With 20% of the fleet going away, there will have to be a commensurate reduction in service ...ouch
The Icelandair deal was at a fire sale price. Many analysts speculated it was because WOW was about to run out of cash and fold.
I had a friend proudly tell me a few days ago that he got $500 tickets for his family to fly on WOW to Germany next summer. I don't know whether to warn him or let him continue in blissful ignorance. My gut feeling is that it's a sunk cost at this point -- why make him anxious about it? Perhaps it will all work out...
...and, yes, I'm also happy not to be holding a WOW ticket right now.
Dave, I don't know what I'd do about informing the friend. If you tell him what's going on, it will definitely induce both anxiety and uncertainty. It's not clear what would be the best action for him to take at this point. However, if he is going to end up with useless tickets, he will almost assuredly pay more for replacements next summer than he would pay by monitoring fares and buying on a dip within the next few months. Good luck with your decision.
Dave, you have information your friend doesn’t have. That information could help your friend mitigate problems later on.
Your friend will have greater anxiety and uncertainty if WOW does go belly up. It will also cost more to correct the problem at that point.
Let your friend know and let him decide what to do with the info. You’re not helping him by keeping this a secret. Telling him now gives him an opportunity to create a “plan B”.
Yeah, best to be up front with what's known now. What's known now is that is that WOW's future is uncertain. It doesn't necessarily mean anyone's ticket is going to become worthless - but that's a possibility. How likely/unlikely? Hard to say now, but it's worth watching and at least thinking about a Plan B.
It's a family of 7. So it's already a pretty big investment.
https://www.cnbc.com/2018/11/30/bill-frankes-indigo-partners-to-buy-a-stake-in-icelands-wow-air.html
The group that owns Frontier airlines and a principal that used to run Spirit airlines has plans to invest in WOW.
Is that the good news or the bad news?
Wow. I didn't see that coming. Sweetheart deal, I'm guessing.
Better yet... I think I'm off the hook!
I hope WOW recovers and continues on, it’s a good airline.
I kind of hope it continues to have ups and downs just so I can write WOW in more titles and posts.
It's a smart investment by Indigo Partners. They have a large investment in three other discount airlines and placed a very large order for Airbus planes last year.
Rather than lease aircraft from it's current supplier, I would think WOW will now lease them from Indigo.
The question is whether or not there is enough business between the two Icelandic carriers to survive.
https://www.irishcentral.com/travel/wow-air-low-cost-airline-transatlantic
WOW, the "low cost airline" award winner?!?!!
Would have loved to have been a fly on the wall in the conference room when that choice was made
It's a family of 7. So it's already a pretty big investment.
That means there are less options for a Plan B. A longer lead time on problems is better.
It's a family of 7. So it's already a pretty big investment.
Is your friend the type of person who would have purchased trip insurance?
https://www.irishcentral.com/travel/wow-air-low-cost-airline-transatlantic
WOW, the "low cost airline" award winner?!?!!
Would have loved to have been a fly on the wall in the conference room
when that choice was made
I guess it's the least deplorable of the group?
It's a family of 7. So it's already a pretty big investment.
Is your friend the type of person who would have purchased trip
insurance?
Probably not. If the Indigo investment goes through, though, I don't think WOW will fold. It will continue to be an okay airline when things go right, and a terrible airline when things go wrong. It will have legs at least through the summer.
