Been doing a little studying, and from what I can see the Mesaba flow will be done when they are no longer an affiliate of Delta. The Mesaba flow is LOA 2008-01 which can be cancelled when they are no longer an affiliate which they will not be once they are sold to Pinnacle. They will then just be subject to 2006-10 like Pinnacle and all the other DCI carriers for preferential hiring but no flow-thru. The Compass flow is 2006-14. So they can stop the Mesaba flow but not the Compass flow LOA or the DCI carrier preferential hiring LOA without lowering the number of 71-76 seat jets to 85.

Unless DALPA gives up that exception, the Compass flow and DCI preferential hiring LOA should remain intact after they are sold. The only grey area I see is the conflict between the LOA stating that the flow can be terminated for newhires without affecting the cap while the JCBA states that if the flow ceases to be available at the affiliate or another carrier then the cap goes to 85. Nothing is said in the JCBA that applies to the flow being stopped for newhires. I guess a high paid lawyer will be able to read between the lines and tell us what the deal is as far as newhires being subject to the flow or not.

I think we need to all call our reps and tell them what we want in return for giving up the exception in the JCBA because I'm sure the company will shortly be asking to delete that little nugget. That flow-down is a great protection against furloughs even if it does mean flowing down to Trans States in the future. We better not give it up.

 

Look at the numbers. Delta is not getting out of the regional business, they are only restructuring it using the same methodology they have for years.

When more than 50% of domestic narrow body flying is outsourced, we are only making a distinction that it is flying that Delta pilots do not perform. It is not our core business model any more. But the decreases I expected to see were reversed by these long term agreements.

 

It is cheap political sugar water and very popular.

 

Looks like to me that we're reclaiming that flying for our guys, not that we're bailing on narrowbody flying. This is a good thing for DAL guys, not an abdication of a business model.

 

Have any numbers to support that?

As I read the announcements, the involved carriers will continue to operate status quo with growth which correlates with the operations they just bought with contract extensions. If anything we are now contractually restricted from pulling down this flying.

If the flying is at risk ( as stated on the web boards in CONTRAST to what managements have published ) then maybe a bankruptcy could take some out, but no one bought into this deal expecting to lose money.

But hey, I'm always on the look out for good news. I;d love to read what you're quoting from.

 

Rocky-
Excellent analysis.
One discrepancy - I would argue that the Mesaba flow also must continue or the exception applies.

What do you make of the words "or at another carrier" in the exception?
I think that would be Mesaba. If its not Mesaba, what is the purpose of that phrase?

 

That's the wrong Rochester.

 

How bout RST?

 

Its an opinion dude. Ergo the phrase "looks to me like...." Relax.

 

Mo better, thanks.