Originally Posted by
rickair7777
How is DAL going to do that?
If you under-perform, you will get fired...or at least they will try (mesa, PCL 2008).
If you file BK, they can probably cancel your contract (mesa 2009).
If DAL files BK (again), they can cancel contracts. But the BK laws are more formidable now than in 2005.
Other than that, DAL is obligated to honor the existing contracts. They can ATTEMPT to renegotiate...but for example, why would SKW give a bunch of concessions now? Their contract is good for decades...better to hold DAL to their word for now, collect your due, and re-evaluate in 15 years.
Actually, if you look through the contract between Skywest/ASA(check SEC site), you'll see there are parts of the contract that are re-negotiable after 5 years.