Originally Posted by rickair7777
CAL owns the 69 aircraft, I think they may own most or all of XJet's planes.
Anyway, CAL revoked 69 airplanes worth of flying to give to a lower bidder. XJet had two choices per the contract:
1) Return the aircraft to CAL so they could be used by the new provider (Chataqua), resulting in massive layoffs. This is what everyone though would happen.
2) Continue to lease the planes from CAL for a higher lease rate. Obviously in order for this to make sense XJet would need to have some other use for those planes.
XJet chose 2), surprising everyone. This has the advantage of putting CAL & Chataqua in a tight spot because they do not have 69 RJ's sitting around to cover that flying...
But XJet still has to find an employer for 69 RJ's...not an easy task. Or they might try an indy-air type stunt, but the long term prospects for success would be P1ss-poor. Anyway, the point is unless XJet announces a NEW major airline partner who needs 69 planes, you would be going out on a limb to take a job there...it would be a gamble, it might work out great. AA is rumored to be a potential partner.
Part of my brain still isn't understanding. So these 69 jets were used by Xjet, is that right? They decided to keep them, but pay more $, is that right? Well if they were already using them to begin with, why would there be a problem? Because of higher overhead with having to pay more to lease them?