Originally Posted by FlyingKat

Forget about the 175s for a second. You have two sister companies which have comparable cost in terms of crews and mechanics and the pilots are both represented by the same union. However you are paying for a support infrastructure for two certificates when you could move to one certificate and eliminate half of those jobs. Unless you have worked in the SOC or on the support side, it is hard to understand the amount of support positions required for each certificate. The reductions in management positions alone would result in a huge cost savings. So the answer to your question is simply cost. The reason you have multiple certificates was mainly due to Continental and American scope that would not allow large (over 50 seat) RJs on a certificate. Now that those scope clauses are no more you will see consolidation of certificates across the board to save money. The only reason I don't think Gojet will be in the mix is their pilot costs are the lowest in the industry, and I don't think the savings in support positions would be enough to justify the increase in pilot cost with a consolidation.

Its spreadsheet economics. If I can spend a little on the consolidation, and get rid of a bunch of people that I don't need to pay for, then it will happen. Its all about the bottom line at the end.

The 175s would not be the primary driver in a consolidation of certificates. The savings by eliminating positions would be the primary reason.

I'm not saying I have any "inside" information, but when you look at the history of this industry, companies have always moved to consolidate and eliminate excess staffing (cost) when possible.