Originally Posted by skywatch

I don't own my own business. You Got Me - this is JB. When not out on my boat in St. Maarten, or in my country home in Tuscanny, I lurk on APC to defend the idiocy that is airline management. Thanks for your hard work on that 100% complete. Ham is in the mail.

Seriously though, you missed something. In the example I gave you, THERE IS NO PROFIT when Comair flies the flight, only when Compass flies the flight, because of the higher costs at Comair. Comair HAS to be paid a "profit" because of the cost plus arrangement, but Delta loses more than that on the flight - so there IS NO PROFIT for Delta when Comair flies the flight, while there is if Compass does it. If you cannot (or don't want to) understand that, I cannot think of anyway to make it clearer. Part of the problem, I admit, is that as a business model it is a pretty stupid way to do business, with your partners assuming NO risk in the equation.

Since you seem big on logic, here is a logical conclusion - all the wholly owned are losing flying because some of it is not making money. Delta therefore wants less regional aircraft in the mix - and they have contracts with other carriers that have minimum levels that they have to honor. Have you noticed that a lot of the other Delta Connection guys are suing Delta? That they tried twice to dump Mesa? That they dumped Coex and Big Sky?

I just don't buy the whole "Delta hates us, that is why this is happening" argument. Do I hate the way this industry works and do I think the powers that be make a lot of stupid decisions? Yep. Do I think they have it out for us personally? Maybe. But do I think that this kind of grade school "I hate Comair so I am going to kill them" mentality would fly with a Board of Directors overseeing a billion dollar company? In the end it just seems pretty improbable that Delta would destroy an airline they paid 1.4 Billion for just cause they don't "like" them.