Originally Posted by Bucking Bar

In July 2017 the consensus of analysts was Delta would bring in a pre-tax income of $5.8bn, the result was $5.9bn. Their 2016 estimate was $6.68bn and $7bn for 2017.

So far the picture looks like this on an earnings per share basis:



That is the data. Now an opinion. If we move further away from our contractual demand, it is likely the company will do the same. This kind of movement is a lack of progress towards a settlement.

I would expect the company to respond in kind, seeking changes to scope, training, sick leave, bidding and crew augmentation to match the provisions in place at United and American. Of these, the scope changes and the augmentation changes concern me the most. Of course if both parties are moving away from one another's positions it is unlikely any agreement will be reached.

At least among those who follow the numbers, Delta's performance isn't all that surprising. Obviously, those who buy the company's equity are not all that surprised to the upside, but there has been good news and providence has smiled on us in a number of ways that improves out bargaining position. I have no doubt our negotiators will work hard to capitalize on these changes.

Business moves relatively quickly and already the terms of the rejected TA are, in my opinion, getting stale. We will know more about Delta's intended fleet mix next month. Delta will likely execute their pre-planned Aeromexico transaction around the beginning of the 3rd qtr. So yes, there is a lot of adjustments that would have to be made, even if the Aeromexico JV is a separate negotiation.

The outlook for us has improved with fuel prices, an "inflection point" in PRASM guidance and United's ability to get their deal done clean.

So Jerry (or whoever you are) IMHO it would be grossly mistaken to rescind our opener, but it would be entirely appropriate to make tweaks as the business environment changes.

Originally Posted by Bucking Bar

In July 2017 the consensus of analysts was Delta would bring in a pre-tax income of $5.8bn, the result was $5.9bn. Their 2016 estimate was $6.68bn and $7bn for 2017.

So far the picture looks like this on an earnings per share basis:



That is the data. Now an opinion. If we move further away from our contractual demand, it is likely the company will do the same. This kind of movement is a lack of progress towards a settlement.

I would expect the company to respond in kind, seeking changes to scope, training, sick leave, bidding and crew augmentation to match the provisions in place at United and American. Of these, the scope changes and the augmentation changes concern me the most. Of course if both parties are moving away from one another's positions it is unlikely any agreement will be reached.

At least among those who follow the numbers, Delta's performance isn't all that surprising. Obviously, those who buy the company's equity are not all that surprised to the upside, but there has been good news and providence has smiled on us in a number of ways that improves out bargaining position. I have no doubt our negotiators will work hard to capitalize on these changes.

Business moves relatively quickly and already the terms of the rejected TA are, in my opinion, getting stale. We will know more about Delta's intended fleet mix next month. Delta will likely execute their pre-planned Aeromexico transaction around the beginning of the 3rd qtr. So yes, there is a lot of adjustments that would have to be made, even if the Aeromexico JV is a separate negotiation.

The outlook for us has improved with fuel prices, an "inflection point" in PRASM guidance and United's ability to get their deal done clean.

So Jerry (or whoever you are) IMHO it would be grossly mistaken to rescind our opener, but it would be entirely appropriate to make tweaks as the business environment changes.

Originally Posted by gzsg

Buck

Thanks for your well laid out thoughts.

I respectfully disagree. Concessions are off the table and laughable.

Adjusted for inflation, our profits are higher than any negotiating environment in our history.

Yet in the past we are able to negotiate 60% FAE DB plans, trips touching vacation, light years better medical, seniority list instructors, captain instructors, parking new fleets within 6 months if we can't agree on new hourly rates, etc.

Why should you live the rest of your life without the pension you were promised when you were hired?

Ed has his. Richard has his.

There is no reason for Delta management not to restore every single concession they extorted from us in Chapter 11.

Jerry Fielding

Originally Posted by Big E 757

It's time to fight for our comeuppance. (I don't even know if that makes sense. I just like the sound of it. )