Originally Posted by
acl65pilot
That is why I have long stated that these margins make it cost beneficial for DALPA to look at the cost associated in recapturing this flying.
The CASM that said DCI carrier does not take in to account these guaranteed profits.(margins) That would have to be costed out by Delta since it is a cost to us per departure that is amortized out over the average segment length and available seats. ---See it gets muddy, but it is a lot of money.
If you compile all of the 10K reports most if not all of these margins are in there. It comes out to hundreds of millions of dollars a year that we are paying out to guarantee profits for them. That money came from somewhere.
And those hundreds of millions come at the cost of reduced flexibility, octupled overhead, and reduced simplification.