It seems like parts of this are starting to come true. The next few weeks will be interesting. Watch the "Compass Option" fade into the sunset.

Originally Posted 12/22/06

FACTORS
NWA owns 30+ % of Mesaba (Mair Holdings)
NWA Senior Management owns a significant % of Mesaba (Mair Holdings)
NWA owns Mesaba aircraft and equipment
Mesaba is a "body factory." No concrete and bricks to purchase.
NWA has new CRJs and ERJs comming (may need court approval)
NWA short routes with average load factor can be flown by 90 seaters.
NWA pilots object to any regional flying aircraft with over 50 seats.

GOAL
Increase MAIR holdings stock value . (Management makes money.)
Reduce costs by using CRJs instead of A-320s, etc.on some routes
Avoid NWA pilot protest over commuter 90 seat issue.
Exercise greater control over owned assets.
Have a solely owned regional capability (like COMPASS was to be.)
Maintain crew staffing levels. Avoid eventual pilot shortage.
Make money.

SOLUTION
Assign 50 seat CRJs / ERJs to regional contractor (not Mesaba).
Purchase Mesaba (ready made regional airline)
Incorporate Mesaba personnel into NWA.
Assign 90 seat CRJs (ERJs ?) to NWA (former Mesaba personnel)
Establish a "flow through" for crew members.

RESULTS
NWA Makes money and comes out of bankruptcy.
NWA senior managers make money on their stock.
NWA pilots are happy that 50 seats and below go to regionals.
NWA has regional capability (foil to testy regional contractors)
Former Mesaba pilots are happy to be part of NWA with flow through.
Compass option is cancelled.
NWA avoids a potential pilot shortage at the "major" level.

And they all lived happily ever after.
Last edited by Ftrooppilot : 12-22-2006 at 12:03 PM