Originally Posted by
Hedley
This administration will pass more environmental regulations than would have happened if the election had gone the other way. Policies have compliance cost and consequences. Raise the cost of compliance or restrict the supply, prices go up. Politicians only tell one side of a story to get votes. They will talk about the jobs that were created due to a policy, but they don’t talk about the jobs that were destroyed or the net loss of employment that results. If fuel prices were to get back to where they were back in 2008, the 50 seat fleet could be quickly retired. Just parking the 200 would shut down Air Wisconsin and hit SkyWest hard since they make up a large part of their fleet and the 70/76 seaters are scoped out. That could have a major impact on the future of UAX.
The CRJ200 is 30% (closer to 20% a year from now) of the SkyWest fleet. 200’s are all paid off, they have more 175’s coming on property, and own all the future orders of ERJ175’s with the CRJ program shut down. I’d assume some 200’s would be moved to SkyWest leasing, and the rest to the dessert.
A scenario of the 50 seater going away would hurt the pilot group and with no scope changes would most likely lead to SkyWest furloughs, but SkyWest Inc. would be just fine.