Originally Posted by
sailingfun
Kind of odd however how they asked to reduce the profit sharing.
First of all, they didn't "ask" for anything. They told our guys this is how it's going to be...or you're not going to like what plan B is. Second, how is it odd? They knew their profits were going to be strong for the duration of our contract, so they said we must accept getting it cut in half. We said, oh yes sir Mr. Anderson. Nothing odd at all here at Delta.
Originally Posted by
sailingfun
The way they did it was essentially a fixed amount and would have the greatest impact in times of small earnings.
It was not a fixed amount..."essentially" or otherwise. The reduction we accepted was 50% above ~2.5 billion. That makes the reduction variable depending on the amount of profit above ~2.5 billion.
Originally Posted by
sailingfun
With the projected earnings this year it seems they made a big mistake.
They sure did. I'm certain they're thinking now they should have demanded 0% profit sharing above 2.5 billion...or watch out for plan B. Our guys would have said, oh yes sir Mr. Anderson. Big tactical mistake by Richard, and one he won't be making again.
Carl