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Old 05-05-2012 | 11:54 AM
  #97900  
Rogue24
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Joined: May 2010
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From: 7ERA
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Originally Posted by 80ktsClamp
The 50 seaters will be parked when their ASAs come up and they are off lease. Those ASAs are good for another 4 years at the minimum and up to another 12 years.

Use your noggins and start thinking what will open up those ASAs and allow a huge portion of DCI to be parked rapidly in exchange for a few airplanes.

I think you are on to something here. Delta wants 50's parked ASAP, but probably not the ones coming off leases in the next few years, but the Pinnacle and SkyWest ones that have up to ten more years left. To park them outright will cost DAL a butt load of money. I would venture to guess it is well over a billion dollars in the DCI agreements termination clauses, and Bombardier's early lease termination provisions. If DAL were asking for more 76 seat jets, I am sure there is already an agreement in principle with the DCI carriers and Bombardier on some sort of ratio to re-negotiate the DCI contracts and Bombardier forgiving the early termination penalties.

I also assume the 319/717's would take over the 50 seat flying on a 2.5-1 ratio of block hrs, with a slight up tick in ASM's company wide. If they park what is rumored you would be looking at at least a 30% cut in DCI block hrs, with immediate hiring at mainline.

All of this is rumor, but if the downside language is there, this one is going to be almost impossible to stop.

So when do you all think the MEC will see an agreement?