Originally Posted by
rickair7777
Not true. A major cannot just break any regional feed contract without good reason. Even if it has good reason, it is still likely to get sued and end paying anyway (ex. DAL). Wholly-owned's provide some profit in good times, but they also serve as "capacity accumulators" during bad times because their capacity can usually be changed on a whim.
A prime example of this is comair who has had block hours slashed in the past year resulting in a furlough of about 25% of the pilot group. Why? Mostly because they can without any legal whiplash ala mesa.