Originally Posted by
georgetg
Nothing. Brian Bedford is planning on doing just that.
Even better,
the TA gives Republic a specific exemption to perform large jet flying by exempting Chautaqua and Shuttle America (wholly owned subsidiaries of Republic) to be exempt from the improved holding company language:
Summary:
- Our PWA has language to prohibit a DCI carrier to fly large jets.
- Republic aquires Frontier and operates A320s, orders the C-Series.
- Many Delta pilot call their reps and say it violates the PWA.
- The DALPA lawyer responds that the PWA language isn't enforceable as written.
- My rep promises to make sure the next contract is better.
- New language in TA prohibits operations like Republic from operating larger jets.
- Exemption added to TA specifically permits Republic (Chautaqua, Shuttle America) to operate large jets contrary to news language.
Really? This alone in context of BBs plans should be a NO vote!
Cheers
George
I realize you weren't around when AMR Eagle or Mesa (flying as USAirways Express) operated as DCI carriers, but here's some history. Both of those airlines were owned by companies that had other subsidiaries that operated non-permitted aircraft. None of those subsidiaries with non-permitted aircraft could carry Delta passengers, code or revenue. That's exactly the same with RAH and Frontier. No Delta passengers or revenue can fly on Frontier. As I pointed out in another thread, Delta used RAH operated DCI carriers to compete directly with Frontier. Bedford said his 50 seat DCI flying wasn't profitable, and DCI made Frontier less profitable. Sucks to be Bedford.
Now Bedford's in a circumstance where he can't dump Frontier and he has large debt payments due. What's his path out? What plans has Bedford successfully executed on since he started his branded strategy?
Why would Delta (a founding SkyTeam and its largest member) allow Bedford to take money out of Delta's pockets by flying SkyTeam member code under the SkyTeam banner on its RAH's own branded operation? There's no logic to that position as I see it. Bedford certainly can't fly Delta or Atlantaic JV code with his branded carrier certificate using other than permitted aicraft under our current arrangements.
What am I missing that is causing you concern?