Any "Latest & Greatest" about Delta?
07-01-2010, 04:34 AM
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The devil is in the details. The acquisition cost is chump change. The real savings to DAL are in modification of the air services agreements and leases of which we don't have details.
Also if they bust the 3 hr rule, who pays the penalty if they are not a WO, but a DCI contracted carrier?
Summary of PINNACLE AIRLINES CORP - Yahoo! Finance
The Amended CRJ-200 Airline Services Agreement.
In connection with the Company's acquisition of Mesaba and its CRJ-200 aircraft fleet, on July 1, 2010, the Company, PAI and Mesaba entered into a Second Amended and Restated Airline Services Agreement (the "CRJ-200 ASA") with Delta, which restates substantially all of the terms of the Prior ASA other than with respect to amendments that (1) increase the number of regional jets operated by the Company for Delta under the agreement, (2) modify the rates under which PAI and Mesaba shall perform the services for Delta, and (3) provide for future rate adjustments based on changes in the Company's actual operating costs. The CRJ-200 ASA shall continue in effect until December 31, 2017.
The Amended CRJ-900 Delta Connection Agreement.
The Company, PAI and Delta entered into an Amendment to Delta Connection Agreement (the "CRJ-900 Amendment"). Aside from changes related to measuring operating performance, substantially all terms of the previous DCA remain in effect.
The CRJ-900-M Delta Connection Agreement.
In connection with the Company's acquisition of Mesaba and its CRJ-900 aircraft fleet, on July 1, 2010, the Company, PAI and Mesaba entered into a 2010 Delta Connection Agreement (the "CRJ-900-M DCA") with Delta, pursuant to which Mesaba provides regional jet service to Delta by operating forty-one 76-seat CRJ-900 aircraft. The CRJ-900-M DCA provides for Delta to pay pre-set rates based upon the capacity that Mesaba provides to Delta. Mesaba is responsible for the costs of flight crews, maintenance, dispatch, aircraft ownership and general and administrative costs. In addition, Delta reimburses Mesaba for certain pass-through costs, including landing fees, most station-related costs (to the extent that Mesaba incurs them) and aircraft hull and general liability insurance. In most cases, Delta will provide fuel and ground handling services free of charge. Mesaba will earn incentive payments (calculated as a percentage of the payments received from Delta) if the Company's aggregate operations for . . .
Also if they bust the 3 hr rule, who pays the penalty if they are not a WO, but a DCI contracted carrier?
Summary of PINNACLE AIRLINES CORP - Yahoo! Finance
The Amended CRJ-200 Airline Services Agreement.
In connection with the Company's acquisition of Mesaba and its CRJ-200 aircraft fleet, on July 1, 2010, the Company, PAI and Mesaba entered into a Second Amended and Restated Airline Services Agreement (the "CRJ-200 ASA") with Delta, which restates substantially all of the terms of the Prior ASA other than with respect to amendments that (1) increase the number of regional jets operated by the Company for Delta under the agreement, (2) modify the rates under which PAI and Mesaba shall perform the services for Delta, and (3) provide for future rate adjustments based on changes in the Company's actual operating costs. The CRJ-200 ASA shall continue in effect until December 31, 2017.
The Amended CRJ-900 Delta Connection Agreement.
The Company, PAI and Delta entered into an Amendment to Delta Connection Agreement (the "CRJ-900 Amendment"). Aside from changes related to measuring operating performance, substantially all terms of the previous DCA remain in effect.
The CRJ-900-M Delta Connection Agreement.
In connection with the Company's acquisition of Mesaba and its CRJ-900 aircraft fleet, on July 1, 2010, the Company, PAI and Mesaba entered into a 2010 Delta Connection Agreement (the "CRJ-900-M DCA") with Delta, pursuant to which Mesaba provides regional jet service to Delta by operating forty-one 76-seat CRJ-900 aircraft. The CRJ-900-M DCA provides for Delta to pay pre-set rates based upon the capacity that Mesaba provides to Delta. Mesaba is responsible for the costs of flight crews, maintenance, dispatch, aircraft ownership and general and administrative costs. In addition, Delta reimburses Mesaba for certain pass-through costs, including landing fees, most station-related costs (to the extent that Mesaba incurs them) and aircraft hull and general liability insurance. In most cases, Delta will provide fuel and ground handling services free of charge. Mesaba will earn incentive payments (calculated as a percentage of the payments received from Delta) if the Company's aggregate operations for . . .
07-01-2010, 04:35 AM
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So ad lib, give me your dots on the future of these airlines that have been sold for nothing. What about the flow agreements? Everyone get them now?
07-01-2010, 04:37 AM
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Joined APC: Dec 2009
Posts: 176
Here's some early news about who we partnered with, in the news today:
Posted on Wed, Jun. 30, 2010
FAA proposes fining regional carriers $2.5M
By JOAN LOWY
Associated Press Writer
Federal regulators have proposed fines of nearly $2.5 million for safety violations against two regional air carriers that operate commuter flights for United Airlines and US Airways.
The Federal Aviation Administration said in a statement Wednesday that it wants to fine sister carriers Trans States Airlines and GoJet Airlines for violating maintenance procedures and operating nine jets on 320 flights when the planes were not in compliance with safety regulations.
The carriers are owned by Trans States Holdings of Bridgeton, Mo. They fly commuter flights for United Airlines under the name United Express. Trans States also flies for US Airways under the name US Airways Express.
The FAA said Trans States and GoJet violated several maintenance regulations and procedures, including use of outdated manufacturers' maintenance instructions to perform repairs. In one instance, a wing flap part wasn't connected, making the flaps inoperable, the agency said. In several cases, workers didn't document repairs or inspections. There were also improper repairs of an oil leak and of malfunctioning aircraft warning systems.
"Air carriers cannot ignore maintenance requirements or allow employees to take a pass on following regulations," FAA Administrator Randy Babbitt said in a statement. "Safety depends not only on maintenance work being done correctly, but also being recorded properly."
Trans States and GoJet have 30 days to respond to the agency.
Read more: Bradenton.com | 06/30/2010 | FAA proposes fining regional carriers $2.5M
FAA proposes fining regional carriers $2.5M
By JOAN LOWY
Associated Press Writer
Federal regulators have proposed fines of nearly $2.5 million for safety violations against two regional air carriers that operate commuter flights for United Airlines and US Airways.
The Federal Aviation Administration said in a statement Wednesday that it wants to fine sister carriers Trans States Airlines and GoJet Airlines for violating maintenance procedures and operating nine jets on 320 flights when the planes were not in compliance with safety regulations.
The carriers are owned by Trans States Holdings of Bridgeton, Mo. They fly commuter flights for United Airlines under the name United Express. Trans States also flies for US Airways under the name US Airways Express.
The FAA said Trans States and GoJet violated several maintenance regulations and procedures, including use of outdated manufacturers' maintenance instructions to perform repairs. In one instance, a wing flap part wasn't connected, making the flaps inoperable, the agency said. In several cases, workers didn't document repairs or inspections. There were also improper repairs of an oil leak and of malfunctioning aircraft warning systems.
"Air carriers cannot ignore maintenance requirements or allow employees to take a pass on following regulations," FAA Administrator Randy Babbitt said in a statement. "Safety depends not only on maintenance work being done correctly, but also being recorded properly."
Trans States and GoJet have 30 days to respond to the agency.
Read more: Bradenton.com | 06/30/2010 | FAA proposes fining regional carriers $2.5M
07-01-2010, 04:39 AM
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Position: A-320A
Posts: 18,563
Originally Posted by TANSTAAFL
The devil is in the details. The acquisition cost is chump change. The real savings to DAL are in modification of the air services agreements and leases of which we don't have details.
Also if they bust the 3 hr rule, who pays the penalty if they are not a WO, but a DCI contracted carrier?
Summary of PINNACLE AIRLINES CORP - Yahoo! Finance
The Amended CRJ-200 Airline Services Agreement.
In connection with the Company's acquisition of Mesaba and its CRJ-200 aircraft fleet, on July 1, 2010, the Company, PAI and Mesaba entered into a Second Amended and Restated Airline Services Agreement (the "CRJ-200 ASA") with Delta, which restates substantially all of the terms of the Prior ASA other than with respect to amendments that (1) increase the number of regional jets operated by the Company for Delta under the agreement, (2) modify the rates under which PAI and Mesaba shall perform the services for Delta, and (3) provide for future rate adjustments based on changes in the Company's actual operating costs. The CRJ-200 ASA shall continue in effect until December 31, 2017.
The Amended CRJ-900 Delta Connection Agreement.
The Company, PAI and Delta entered into an Amendment to Delta Connection Agreement (the "CRJ-900 Amendment"). Aside from changes related to measuring operating performance, substantially all terms of the previous DCA remain in effect.
The CRJ-900-M Delta Connection Agreement.
In connection with the Company's acquisition of Mesaba and its CRJ-900 aircraft fleet, on July 1, 2010, the Company, PAI and Mesaba entered into a 2010 Delta Connection Agreement (the "CRJ-900-M DCA") with Delta, pursuant to which Mesaba provides regional jet service to Delta by operating forty-one 76-seat CRJ-900 aircraft. The CRJ-900-M DCA provides for Delta to pay pre-set rates based upon the capacity that Mesaba provides to Delta. Mesaba is responsible for the costs of flight crews, maintenance, dispatch, aircraft ownership and general and administrative costs. In addition, Delta reimburses Mesaba for certain pass-through costs, including landing fees, most station-related costs (to the extent that Mesaba incurs them) and aircraft hull and general liability insurance. In most cases, Delta will provide fuel and ground handling services free of charge. Mesaba will earn incentive payments (calculated as a percentage of the payments received from Delta) if the Company's aggregate operations for . . .
Also if they bust the 3 hr rule, who pays the penalty if they are not a WO, but a DCI contracted carrier?
Summary of PINNACLE AIRLINES CORP - Yahoo! Finance
The Amended CRJ-200 Airline Services Agreement.
In connection with the Company's acquisition of Mesaba and its CRJ-200 aircraft fleet, on July 1, 2010, the Company, PAI and Mesaba entered into a Second Amended and Restated Airline Services Agreement (the "CRJ-200 ASA") with Delta, which restates substantially all of the terms of the Prior ASA other than with respect to amendments that (1) increase the number of regional jets operated by the Company for Delta under the agreement, (2) modify the rates under which PAI and Mesaba shall perform the services for Delta, and (3) provide for future rate adjustments based on changes in the Company's actual operating costs. The CRJ-200 ASA shall continue in effect until December 31, 2017.
The Amended CRJ-900 Delta Connection Agreement.
The Company, PAI and Delta entered into an Amendment to Delta Connection Agreement (the "CRJ-900 Amendment"). Aside from changes related to measuring operating performance, substantially all terms of the previous DCA remain in effect.
The CRJ-900-M Delta Connection Agreement.
In connection with the Company's acquisition of Mesaba and its CRJ-900 aircraft fleet, on July 1, 2010, the Company, PAI and Mesaba entered into a 2010 Delta Connection Agreement (the "CRJ-900-M DCA") with Delta, pursuant to which Mesaba provides regional jet service to Delta by operating forty-one 76-seat CRJ-900 aircraft. The CRJ-900-M DCA provides for Delta to pay pre-set rates based upon the capacity that Mesaba provides to Delta. Mesaba is responsible for the costs of flight crews, maintenance, dispatch, aircraft ownership and general and administrative costs. In addition, Delta reimburses Mesaba for certain pass-through costs, including landing fees, most station-related costs (to the extent that Mesaba incurs them) and aircraft hull and general liability insurance. In most cases, Delta will provide fuel and ground handling services free of charge. Mesaba will earn incentive payments (calculated as a percentage of the payments received from Delta) if the Company's aggregate operations for . . .
I also suspect that these airlines can be sold off to other airlines as well if the acquiring airline wants to. I see RJET needing more jets and SKWI wanting more flying, so some of these new super regionals may buy Pinnacle Holdings, TSA Holdings etc and get two or more certs in the transaction.
Consolidation is happening and not just at the mainline level.
07-01-2010, 04:39 AM
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Joined APC: Dec 2009
Position: Still in one
Posts: 784
Originally Posted by acl65pilot
So ad lib, give me your dots on the future of these airlines that have been sold for nothing. What about the flow agreements? Everyone get them now?
What might get interesting is if they do any SLI with Pinnacle or Trans States and then who is eligible to flow......
07-01-2010, 04:45 AM
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07-01-2010, 04:48 AM
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Originally Posted by TANSTAAFL
I don't see this changing the flow for either CPZ or Mesaba - they would have to peel back substantial numbers of acft to undo the flows - and it appears they are simply moving the lift to the new purchasers.
What might get interesting is if they do any SLI with Pinnacle or Trans States and then who is eligible to flow......
What might get interesting is if they do any SLI with Pinnacle or Trans States and then who is eligible to flow......
If they do an SLI it depends on what cert you are on and or if the Mesaba and or CPS certs would survive the combination.
I could say more but will just see how the cards play out.
07-01-2010, 04:49 AM
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Joined APC: Dec 2009
Posts: 176
Originally Posted by acl65pilot
So ad lib, give me your dots on the future of these airlines that have been sold for nothing. What about the flow agreements? Everyone get them now?
With these prices you would hope that Delta was getting their money back through restructuring of the DCI agreements, but, TSA had already been fired once by Leo Mullin. Take away:
- We're just giving lip service to our product
- Narrow body domestic operations up to 100 seats is not seen as a core part of Delta's business
- There must have been provisions in the new DCI agreements that Jerry Atkin and Bryan Bedford found very unappealing
- Delta does not want SkyWest, or Republic getting stronger
- The whipsaw will continue, amongst labor and their employers
07-01-2010, 04:57 AM
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Position: A-320A
Posts: 18,563
Originally Posted by Ad Lib
Well it a gut kick. The quality of the operators (TSA management) is no improvement on Mesa.
With these prices you would hope that Delta was getting their money back through restructuring of the DCI agreements, but, TSA had already been fired once by Leo Mullin. Take away:
With these prices you would hope that Delta was getting their money back through restructuring of the DCI agreements, but, TSA had already been fired once by Leo Mullin. Take away:
- We're just giving lip service to our product
- Narrow body domestic operations up to 100 seats is not seen as a core part of Delta's business
- There must have been provisions in the new DCI agreements that Jerry Atkin and Bryan Bedford found very unappealing
- Delta does not want SkyWest, or Republic getting stronger
- The whipsaw will continue, amongst labor and their employers
Like I have said this is a developing story.
I do not put it out of the realm of possibility that SKW and or RJET will go buy these new super regionals, and I am not sure there is squat DAL could do about it if they honored the ASA's.
07-01-2010, 05:05 AM
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Joined APC: Dec 2009
Posts: 176
ACL,
Depends on the contracts. ... Delta could have easily restricted transfer to any operator they did not approve, or have a first right of refusal clause.
This also means they must not have been able to give Comair away. That was more than a four billion dollar asset at one point, now worth .... jack squat?
I get what we're doing. I just don't understand it ... from ALPA, or management's perspective. It will be interesting to see the market reaction.
Depends on the contracts. ... Delta could have easily restricted transfer to any operator they did not approve, or have a first right of refusal clause.
This also means they must not have been able to give Comair away. That was more than a four billion dollar asset at one point, now worth .... jack squat?
I get what we're doing. I just don't understand it ... from ALPA, or management's perspective. It will be interesting to see the market reaction.
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