Originally Posted by
Sunvox
Very minor note. Our profit sharing is virtually identical to Delta's. The reason we get less is not because of the difference in how profit sharing is calculated but rather in how much profit Delta has earned in the past compared to United. Delta gets 10% of the profit upto $2.5 billion and 20% after. We get 10% of profit on all profit that is 6.9% or less profit margin and 20% after. In recent years 6.9% profit margin has been roughly $2.5 billion. Now going forward as inflation raises the absolute numbers of revenue this may become a bigger issue, but so far it's been about Delta's superior profitability and not the profit sharing.
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Joe you keep peddling that line and it’s getting more incorrect each month. It was “close” 10 years ago but with the rising expenses line, the 6.9% threshold gets further and further behind the 2.5M number. It’s simple economics. This and the elephant in the room, they get 16 soon to be 17 then 18% on top. So even if it was the same we’re behind. Please stop trying to rationalize that logic. It doesn’t help your case.