Originally Posted by
scambo1
On a related note, I pose a question. Since we didn't furlough when we parked airplanes in the desert, and we are pulling those airplanes out now - which we are completely manned for - and we are parking DC-9s shortly - and we are hiring (lets say the 300 this year covers retirements) - All the folks being hired next year (assuming 100/month) are going to fly what?
Is there a purchase order somewhere that is waiting to be announced or am I a paranoid schizophrenic with catatonic qualities?
Is this where obi wan kenobi says these are not the droids you are looking for?
The droid you are looking for is the EVO 4G.
Just reading tea leaves and web boards, but
IF Delta has the ability to tap into the current financing rates on long term debt it would make sense to lock in some of that capital for fleet renewal (if not expansion) now. My guess is a quarter or two of solid profits with a pay down of our current debt, followed by aircraft orders and conversions. Also by then we should have a better picture what Boeing's narrow body plans and the Bombardier C Series are shaping up to be. Delta is a HUGE Bombardier customer, something along the lines of 12 Billion in the last decade, we just forget since we don't operate them.
The 787-9 is looking to be everything it was promised to be and more. Some bloggers are guessing the upcoming order for that jet to be a doubling of the 50 orders & options NWA placed. That airplane's ability to sniper shot Asia routes certainly is a tool we could put to good use.
It is my belief we've got to do something with our Douglas and 757 fleets. The wrinkle is that the cost of narrow body fleet renewal is going to be an eye watering number.
Hiring wise, obviously we need 300 to staff what is coming out the desert and getting utilized. But inactive pilots are expensive animals to have laying around and even worse if you have to furlough them. Delta is being very conservative on staffing, which is smart for both the bottom line and those effected.
My concern of the week is our own government and policies from the administration which are hostile to our industry. It seems to never fail in this tough business that just when you think you've got a quarter or two of smooth sailing a new, unexpected and dire threat pops up on the horizon. I don't think Obama and LaHood are going to be able to drive much business to AmTrack, but they sure can do some harm while trying.