Originally Posted by
bender
I'm not sure that's correct. During the earnings call Brad Rich was asked if the new 10 year CPA was a condition to the purchase of XJT, to which he responded no. That could mean that ASA still has a new CPA with Continental even if this deal falls through.
That is flatly wrong, I heard the entire call, if this deal does not close there is no new CPA, as XJT already has a 7 year CPA in place with CAL that survives any merger, it has 5 years left for 210 aircraft, and I believe we have about 222 on property now. In addition, ASA could not find 210 ERJ's or CRJ's, 2500 pilots with 1500 hrs and build the infrastructure XJT has at CAL in 10 years, more less by January. Ask CHQ, they tried and couldn't get 30 airplane to work well in 3 years. This deal is not getting done without XJT, and JA and CAL know it, or they would have never signed us for 7 more years, would have cancelled our CPA and terminated us from property 12 months later, SKY would have had a CPA 2 years ago if they thought they could do it without XJT.