Originally Posted by
Carl Spackler
This entire thesis is based on a wrong premise t. It presumes that outsourcing equals more profits. That's simply not true. Delta
wastes money doing what they're doing with the regionals. The aircraft have higher CASM's than anything we have at mainline, but management does it anyway. Some say it's because they want the ability to whipsaw us so bad, they're willing to lose money to do it. I don't know if that's true, but it doesn't matter. SWA doesn't outsource because it's not profitable to do so. That's why their scope won't change.
Carl
Time will tell. I still think it a waste of time to negotiate for something that is dying anyway. SWA doesn't outsource because their hands are tied by that clause. They wanted to do international, but the clause said no... good for SWAPA, bad for SWA.... at that time. We will see if it can survive or if it forces a big time structural change at SWA. My guess is that management doesn't want to change the airline by adding another airframe (as witnessed by the soon to be demise of the 717 on the property) so they will have to downsize or undertake another merger of some sort. Since their advantage in making money is rapidly evaporating, (and their reluctance to charge bag fees.. another face saving problem for Ichan) something is gonna have to give. Stagnation over at SWA is the only thing that makes sense.. that guy that you think such a genius by leaving DAL is gonna be throwing gear on a fluff for a long long time... if he survives... I can't wait to see their next contract. I'll bethca they don't raise ANY bars...
I thought it was against the TOS to post porn.