Originally Posted by
rickair7777
Probably not right now...
1. Pilot shortage. OO will be having staffing troubles, so it would be better to mutually terminate a CPA than to fail to deliver on other CPAs with other brands.
2. Pilot shortage. Other regionals will be unable to deliver on CPA obligations so OO could easily shift capacity to cover shortfalls elsewhere.
I assume OO would want to some sort of payout for their trouble (repaint planes, move crew bases, etc) but I think it would be pennies on the dollar.
Lol that’s some wishful thinking Rick. I’d have to assume it would be very expensive. You really think SkyWest is going to just welcome new debt on 40 175’s onto their balance sheet? Those 175’s are financed by the contracts. Where are the 40 going? We’re scoped out at United, and I think Delta is scoped out as well, maybe American? Doubtful.
Not to mention there’s no way they’re experiencing staffing shortages in Alaska SkyWest base’s. I think SAN is the most senior base at the whole company. Would those senior folks retire or commute? I’d bet most retire.
I’m sure Alaska and SkyWest negotiated an earlier exit in the contract, but it won’t be cheap. Is it ever cheap to cut a professional player from their contract early? Is it cheap to get out of my lease on my apartment? No, and no.