Originally Posted by
Tyrion
Mesa is asking AA about it only to keep Mesa flying. AA is scoped out. With the 175s being brought on property, AA either needs more narrowbodies (737 max, 190 retirements, awkward...), or park older large RJs 1 for 1. When push comes to shove, the economics and dismal performance of Mesa points to Mesa being the next to lose AA flying. Just like GoJet, this looks like a hail mary to keep flying by reclassifying their aircraft. Taking 14 seats off of a 79 seat aircraft is a big hit to revenue, and we all know that the bean counters run the show at AAG.
Pulling the flying back in house was always in the cards. With the staffing shortage to worsen, they need to keep butts in the seats at their WO airlines.
You’ll see consolidation (get your mergers committee spooled up and trained) among the WO.... then pulling flying back in house to keep the operation staffed, upgrades going, and will force the vendor pilots not hired elsewhere to recycle themselves as new hires leaving their dying regional for a place with movement. They’ll go where flying is being added, and upgrades still happening.
Places like TSA C5 G7 all will face stagnation as they can’t hire and then can’t upgrade. Shrinkage follows as the flying gets pulled back in house to keep it covered. Bankruptcies and buyouts will happen as a survival technique
Just look at Compass for the example.
Called all of this 5 years ago. (called compass 2 years ago)