Originally Posted by
NVUS
Anyone that can read a 10K filing can see exactly what's going on. XJT lost $50M last year, while SkyWest made $130M. SkyWest is ADDING to its 50-seaters because they turn a sizeable profit on them. Went from 154 in March to 160 currently (and counting). The only effect XJT has on the SKW side is pay. Hard for the company to shell out some raises for the side turning record profits when those profits are needed to cover the losses on the other side plus having enough left over to keep the investors happy.
So your saying that XJT pay package is worth 50 million more than 00 on a per person basis? Or that XJT pilots should fall on the sword first before anyone else on XJT property including SKW mgmt now working at their operation takes a pay cut.
This is new 50 seat flying SKW is now taking on; are they not placing less competitive bids because they own two of the company's they would formally be bidding against.
If skw had not bought XJT and they did go under, XJT would have kept the flying and done it for less, making skw look out of line on cost.
The only way for skw to grow their service is to buy it, they couldn't keep bidding against company's who bid below cost and still be able to grow.
Clearly their goal is to closely model their union company to their successful non-union company.
I think the big upset is their two union company's wont merge causing unnecessary inefficiency's, and a part of that is self blame for trying to stuff in concessions with the deal.