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Old 08-13-2020, 09:10 AM
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Default AA preps to cut service to smaller cities

I think this news is designed to encourage more legislators to get on board with extended aid to the airlines. Many smaller cities could lose airline service October 1st.

https://www.cnbc.com/2020/08/13/amer...ion-nears.html
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Old 08-15-2020, 03:07 PM
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I wonder what's cheaper: 25 Billion in a second CARES ACT or double the Essential Air Service bid rate so SkyWest Commutair or Horizon continue flying to these cities?
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Old 08-15-2020, 06:47 PM
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Are these cities AS/JB serves?
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Old 08-15-2020, 10:31 PM
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Originally Posted by Al Czervik View Post
Are these cities AS/JB serves?
Excellent observation, Al.... and how many routes did AS recently announce? I'm sure any ol' airline will fly 'em for a guaranteed EAS profit.
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Old 08-16-2020, 03:15 AM
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Originally Posted by cactipilot View Post
Excellent observation, Al.... and how many routes did AS recently announce? I'm sure any ol' airline will fly 'em for a guaranteed EAS profit.
Ha! EAS subsidy doesn’t not equal profit on a 737 or A320. It barely equals profit on most turboprops.
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Old 08-16-2020, 04:33 AM
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Originally Posted by Al Czervik View Post
Are these cities AS/JB serves?
I doubt JB has service to any of the small markets that AA would be pulling out of. They don’t really serve many ‘small’ markets to begin with. CHS, SAV and RIC would be the smallest off the top of my head and they are all served by multiple carriers.
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Old 08-16-2020, 04:36 AM
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Originally Posted by ClncClarence View Post
I doubt JB has service to any of the small markets that AA would be pulling out of. They don’t really serve many ‘small’ markets to begin with. CHS, SAV and RIC would be the smallest off the top of my head and they are all served by multiple carriers.

I think JB is replacing AA with 190 service to overlapping smaller cities in the NE.
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Old 08-16-2020, 07:24 AM
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I think there was a provision in CARES 1.0 (or some related DOT regulatory rule) that precluded any cessation of regular scheduled service if a carrier took the money. I assume that sunsets in Oct in the same way that the furlough restrictions do.
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Old 08-16-2020, 07:27 AM
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I think cares 2 has already been figured out.... yes/no, funding, rules for airlines etc. airlines may need to shed service/employees regardless of funding. I can see furloughs, cities cut and funding happening.
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Old 08-16-2020, 08:49 AM
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Originally Posted by Al Czervik View Post
I think cares 2 has already been figured out.... yes/no, funding, rules for airlines etc. airlines may need to shed service/employees regardless of funding. I can see furloughs, cities cut and funding happening.
And I think it has adequate bipartisan support, which still won’t get it passed if it gets tethered to other legislation that is still contentious.
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