Originally Posted by
Baradium
Let's try this again.
If you insist.
The theory was that Moxy would have a cost advantage, I said it is a rounding error. The cost advantage is only as far as how many airplanes Moxy will have.
Moxy has 60 aircraft on order. Delta has taken delivery of 28 but have so far committed to a total of 95. On the 60 Moxy has on order they will have a personnel cost advantage because of decreased seniority.
The difference in seniority equates to at least $120 an operating hour I do not believe $24 million a year is a rounding error. I don’t think most people do.
Delta doesn't have to compete with Moxy with airframes that Moxy won't have. Delta can match anything Moxy can do price wise without even noticing.
Straw man argument. No man said that Delta couldn’t undercut Moxy if they were willing to do so since they have much deeper pockets. No one said they couldn’t negotiate a better price with a 85 aircraft order than Moxy could with a 60 aircraft order. I was strictly comparing the personnel costs of 60 aircraft operated at Delta seniority levels to that off startup seniority. That difference is roughly $24 million annually.
I have made no effort to change the subject, but trying to quantify the cost difference across Delta's entire fleet when Moxy will have such a small number of aircraft is a fallacy and I am calling you on it.
I repeat: YOU WERE THE ONE who attempted to the $24 million annual personnel savings on a 60 aircraft fleet to a “rounding error” for Delta, not I.