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"Contract Employees"
Why are the contract employees being let go EXCEPT the QX and OO people? I can see an argument for keeping QX around, but why not park all the OO jets first? Were supposed to "Do the right thing" and all that other stuff, right? (Old news, but was surrounded by 00 jets at the gate this morning)
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Originally Posted by SIUav8er
(Post 3027508)
Why are the contract employees being let go EXCEPT the QX and OO people? I can see an argument for keeping QX around, but why not park all the OO jets first? Were supposed to "Do the right thing" and all that other stuff, right? (Old news, but was surrounded by 00 jets at the gate this morning)
OO does not do short-term contracts (they typically buy the planes so need a long ROI period), so the cost to cancel would be high, and would probably have to be paid up front, in cash. Mid-term, it would cost less to let them keep flying the contract min. QX probably has contract too... they are kind of "arms length" from AAG, which actually works to their advantage right now. A wholly owned with no contract could get their jets all parked for the duration. |
Interesting. Didnt know it was such a long term for the CPA's. Long time ago, flew for a UPS feeder and they put their cargo feeder contracts out for bids monthly.
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Originally Posted by SIUav8er
(Post 3027533)
Interesting. Didnt know it was such a long term for the CPA's. Long time ago, flew for a UPS feeder and they put their cargo feeder contracts out for bids monthly.
That's what they bring to table, they can show up with dozens of brand-new $30M jets. The price for that is long-term contracts. |
No doubt. Shiny toys with at will labor, what’s not to like????
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Originally Posted by rickair7777
(Post 3027555)
OO doesn't like less than 15 years if they provide the plane, even that still leaves them with some "tail risk" on the back end, maybe 5 years with a 20-year mortgage/lease. They've done a few short contracts with the planes owned by the major.
That's what they bring to table, they can show up with dozens of brand-new $30M jets. The price for that is long-term contracts. |
Originally Posted by domino
(Post 3029458)
skywest will shrink with DL, AA and UA shrinking. Alaska will dump them as they shrink and fail.
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Originally Posted by domino
(Post 3029458)
skywest will shrink with DL, AA and UA shrinking.
Originally Posted by domino
(Post 3029458)
Alaska will dump them as they shrink and fail.
Or AS could ditch the buses, move the 73's to QX and let OO keep doing the CPA. QX would fly 73's for a big discount, no scope that says they can't. OO can't fly big jets due to big-three scope. |
Originally Posted by rickair7777
(Post 3029696)
Probably, some of their flying is "at risk", ie sponsored by OO using the major partner's brand and reservation system. They are going to lose most of that for a while plus whatever their major contracts allow to be drawn down.
Entirely possible after AS files BK. Except OO won't fail, they have the smartest management in the regionals, and probably in the top three smartest of all US airlines. Every time I've ever thought that they did something stupid... turned out it wasn't stupid. Except one thing, but they fixed it pretty quick. They probably had a plan for this, I know they had plans for another 9/11 like event. Or AS could ditch the buses, move the 73's to QX and let OO keep doing the CPA. QX would fly 73's for a big discount, no scope that says they can't. OO can't fly big jets due to big-three scope. This is all such rubbish! Embarrassing |
Originally Posted by Mea25000
(Post 3029877)
This is all such rubbish! Embarrassing
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