"Flawed" doesn't even begin to describe the Regional business model. Daddy Delta is using their regionals to whipsaw eachother for who can do it cheapest. Now these Regionals are forced to ask their already low paid pilots to take less pay to keep their existing low paying jobs.
Here is the irony. Spanjers is speaking about how important it is to grow in the 76 seat jet market, when just recently they allowed Delta to force them into terminating their 74 seat prop contract with United. A contract that could have been reworked and profitable but Delta wanted to "stick it" to United and Pinnacle did what Daddy Delta said.
Run boys and girls, run far far away