Originally Posted by
Elvis90
"I was at the Atlanta North roadshow
$1,290,000,000 is a bit of a stretch
We are not getting $430M a year at day 1,*Its going to be drawn out over 3.5 years
2012 4% day 1, end of 2012 we are at $40M but we already gave up higher crew utilization(paid for)
2013 8.5% of which we trade 2% profit sharing nets 6.5% equals net $210M(assuming straightline profit)
2014 $210M plus 1% or $20M (since 2% profit sharing is substituted for hard $$$) = $230M
2015 $210M + $40M= $250M
Grand total approx $730M
We need $80M to $100M a year just to keep up with inflation or $350M over 3.5 years so we are giving up(selling) more 76 seat SNB jets to the commuter, better reserve utilization (ALV+15) higher crew utilization (current ALV cap +2) for $730M which is a paltry $380M over our cost of living. Leaves a sour taste in my mouth, we are making our increases by working harder and relaxing scope.
Cost neutral means we pay for the raises not someone else."
Cost neutral means that Delta Pilots get the money that DCI, EDC, and CRJ engine overhaul companies were going to get.
Your napkin math failed to include the 7.8% raise for all reserve pilots, the 2.4% raise for 2/3 of the 88 pilots, the increased DC, the increased staffing for the extra x days that reserves will get, the pilots over 20 who get an extra 30 hours Of sick each year, the improved disability plan, etc...
That will drive higher staffing and more upward movement.
You can't "napkin math" a 477 page document that has major gains hidden from wall street and the other employees groups all over the place.