Cylinderpop

Read your emails, messages, and company portal. You might already know what I'm saying. Plus you might also want to check the dictionary and look at the word sarcasm. But congrats on a splendid first post!

amcnd

Think you need to listen to the conference call yesterday ... My interpretation is they want to "right size" the XJT operation. With them not wanting to integrate seniority lists, to me that meens just a all CRJ700/900 fleet.. Will UA extend the E145 contract?? Maybe the Air Willy deal just shed some light on it.. thats a glut of 50 seaters coming into UA. Will XJT be able to pull off a switch to AA with the 145's. Doesn't look like it do to UA owning the planes. And the fact that the 100 already lost have not gone there. Just to other UA operations... so the real question is. In 2018 is there room for XJT's 100 E145's in UA's operation....

Nevjets

Not that I necessarily disagree, my position has always been that the ERJs will be gone at the end of the current CPA expiration day. But here are some transcripts of the conference call:




"Demand for our remaining 50-seat aircraft remained very strong and we are working with each of our major partners to meet their ongoing 50-seat needs."



"Well so, I think Michael you're right on point in many respects there. I think that we have seen specifically with American strategic move that they are certainly very hungry for lift. You obviously see what happened with Air Wisconsin but I think there's a general term today Michael that a lot of our partners if not all are most of them are very interested in 50-seat lift."



"So we don’t fundamentally believe that the Air Wisconsin announcement had any impact on our existing 50-seat flying with United, but you're right in that there certainly is some opportunities for 50-seat lift with American and we're always in some good strong dynamic conversations relative to those specifically."



"We fundamentally believe that we're going to be providing more visibility with the professionals at ExpressJet as we continue to evolve some of the legacy contracts within their business model and our feedback is that’s the number one thing that they're looking forward to and it's our number one priority to make sure that we stabilize that entity right now."

I also didn't hear them say anything about not wanting to merge seniority lists. Also, UAL doesn't actually own all of the 145s, just eight of them. They are leased on a 15 or 15.5 year term. Once the leases expire, the lessee is financially responsible and UAL no longer has any tail risk. But even for the ones UAL owns or are still responsible for, nothing stops UAL from subleasing them to anyone like they did with RAH for their other operations. It's better to bring some money in from those aircraft rather than paying to have them sit in the desert.

amcnd

I get what your saying. But if Demand was so good. Why will the ERJ fleet be shrinking... and for that matter the XJT CRJ200 fleet..

Nevjets

I don't know about the CRJ, maybe because Skywest crews are cheaper and therefore they will keep hundreds of them instead? As for the ERJ, it's because Skywest negotiated a money losing CPA and for all they have done to capture performance incentives, it's still unprofitable. So unless they can convince UAL to pay more for those aircraft, it makes sense to shrink the ERJ fleet to the lowest contractual amount possible. That happens to be 101 aircraft right now.

SkipperBaloo

Where is everybody getting May 8th from? I keep hearing that from people this week. The rumors are really getting outta control here. We need to be told something because one minute we are being bought by delta and either being merged with endeavor or stapled to Delta. Then the next we are opening a MIA base with American, then the next moment we are getting 700s from gojet and building DTW back up. All seem to be pipe dreams right...oh and the other rumor that we will be unemployed by 2019. Wake me up when something actually happens

Cylinderpop

Sorry buddy, erj side rumors. I was more joking but I think it's something with the CPP. But never a shortage of rumors around here, if not just make one up to keep the mill turning!

Zidac

So, looking at the ERJ seniority list for May...
Did we just not have any new hire classes in April?

Not that this is a huge difference from the usual trickle of 5-10 people per month, but still.

AMNegron

Coupled with the 200% increase in attrition since last month, its why TV had to mention it in his update today. He's trying to plug some holes by saying something but it's all empty right now.

DirkDiggler

I sent him a message saying actions speak louder than words. Simple as that really.