Thread: Pncl ta passed
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Old 01-15-2013, 09:24 AM
  #26  
johnso29
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Joined APC: Oct 2006
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Skywest is next. It's all part of the new plan to drive down regional costs.

Skywest is contractually obligated to be the second lowest cost operator for Delta, but Delta waived that obligation until EOY 2015:

The Delta Connection Agreements also provide that, beginning with the fifth anniversary of the execution of the agreements (September 8, 2010), Delta has the right to require that certain contractual rates under those agreements shall not exceed the second lowest of all carriers within the Delta Connection program. During the fourth quarter of 2010, SkyWest Airlines and Atlantic Southeast reached an agreement with Delta on contractual rates satisfying the 2010 rate reset provision and the second-lowest rate provision and agreed to rates through December 31, 2015. Delta additionally waived its right to require that the contractual rates payable under the Delta Connection Agreements shall not exceed the second-lowest rates of all carriers within the Delta Connection program through December 31, 2015.
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