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Old 10-14-2011 | 07:49 PM
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Originally Posted by slowplay
Yet you're on the ballot for ALPA office...go figure.
Voting for a totally different union is more fun! We're almost there too, and if the "aim low" campaign continues, it will be a sure thing. Sounds like T O'M got an earful in PTC the otherday. Got a wreck? Get a check. Do it.
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Old 10-14-2011 | 07:57 PM
  #32  
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Originally Posted by slowplay
Yet you're on the ballot for ALPA office...go figure.
I thought DPAers were being challenged to run for ALPA offices and effect change from within?

Said another way:

I thought DPAers were being challenged to run for ALPA office and affect change from within?


I really don't know what's right. But the grammar gallery does, and for those folks:



or



Grammar nazi's, take your pic, i mean my pic, your a pic... I mean you're a pick. a euro ick. i can ryhme. rhyme.

i quit. this hard.
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Old 10-14-2011 | 08:06 PM
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Originally Posted by Pineapple Guy
Bill, true, but all they've really done is split out that fee from the regular price of a ticket. It's not like that is extra revenue, it's simply a different way of collecting it. Compare total RASM today, vs before 9/11 and let me know what you find....
Sorry, but you're full of it up to your eyeballs. Ticket prices are higher than they have been in a long, long time AND bag fees are now being collected. There's no split here. It IS extra revenue. Compare rasm today vs 3 years ago when bag fees weren't collected.
Talk about a management stooge.
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Old 10-14-2011 | 08:13 PM
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Originally Posted by Pineapple Guy
Bill, you know what? When you're right, you're right. My last response was condescending and for that I apologize, and I have deleted it. So, let me try again...

First, I am not an MEC member and have never stayed in a Ritz Carlton, but I do know a bit about accounting.

You are correct that DAL received $950m in baggage fees last year, but in reality, much of that was a shift from how they price their tickets. For example, they used to charge $300/ticket. Now they charge $280 plus charge another $25 for a bag. So they make a total of $305 rather than $300. All those numbers are made up, but you get the point. The bag fees are not an additional $950m of "gravy".
BS-ticket prices ARE up. They used to charge $300/ticket. Now they charge $320 plus charge another $25 for a bag. So they make a total of $345 rather than $300. The bag fees are an additional $950 of "gravy.". But you get the point.
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Old 10-14-2011 | 08:20 PM
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Originally Posted by Columbia
Ticket prices are higher than they have been in a long, long time AND bag fees are now being collected. There's no split here. It IS extra revenue.
2Q2011 Ancillary/Other Revenue was $998M, up 50% compared with 2Q2010 numbers.

Its a hard sell that DL cut fares too much from 2Q2010, given the multiple fare increases that were implemented in the first 2 quarters of this year.

I agree, 'Columbia', almost $500M extra in 'other revenue', some of this has GOT to be staying in the cookie jar, though I don't think its all gravy.
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Old 10-14-2011 | 09:06 PM
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Originally Posted by Sniper
2Q2011 Ancillary/Other Revenue was $998M, up 50% compared with 2Q2010 numbers.

Its a hard sell that DL cut fares too much from 2Q2010, given the multiple fare increases that were implemented in the first 2 quarters of this year.

I agree, 'Columbia', almost $500M extra in 'other revenue', some of this has GOT to be staying in the cookie jar, though I don't think its all gravy.
They paid $2 billion down on the debt last year, and $700 million during this year's Q2. That's great and all, and I understand that they want to get the debt down to $10 billion total by 2013 to get $500 million a year in savings on interest payments. That's great. But, we are also a debt, and still have a BK contract. Either DALPA aims high and recaptures a respectable raise for us, or the DPA may get the next shot at it. It's really that easy.
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Old 10-14-2011 | 11:09 PM
  #37  
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Originally Posted by Pineapple Guy
Bill, you know what? When you're right, you're right. My last response was condescending and for that I apologize, and I have deleted it. So, let me try again...

First, I am not an MEC member and have never stayed in a Ritz Carlton, but I do know a bit about accounting.

You are correct that DAL received $950m in baggage fees last year, but in reality, much of that was a shift from how they price their tickets. For example, they used to charge $300/ticket. Now they charge $280 plus charge another $25 for a bag. So they make a total of $305 rather than $300. All those numbers are made up, but you get the point. The bag fees are not an additional $950m of "gravy".

As for paying down debt, that is a good thing. Reducing our debt has a positive effect on net income, because it reduces our annual interest payment. That means more net income, which translates into a higher profit sharing check for you and me. It also strengthens our company's position with respect to investment banks, making it likely that we can borrow in the future at lower interest rates. That's good too.

Having said that, this all means nothing, if it doesn't translate into higher pay rates for us. I honestly don't care how strong Delta is financially, other than the fact that the stronger they are, the more leverage we will have to extract contract improvements.

So, I say keep paying down debt, and keep charging those bag fees. Our time will come, and it will be next year. I'll be ready.
Complete and utter nonsense. Southwest alone had 11 separate price hikes this year that stuck. Most of the larger US airlines have done the same IN ADDITION to the other fees they have collected.

It is very troubling that you spout out anything and everything (a lot of made up stuff) to lower pilot expectations regarding this next contract (ie "Delta is still just getting by on the skin of their teeth"....."we don't want what SWA has...they work way more and...." insert the excuse of the day for not asking for what SWA has).

The good news....the more you open your mouth the more you rally the troops to dump ALPA and get a union that represents Delta pilots in a bottom up, consistent fashion. Thanks for your help!

PS- has anybody here thought this guy and some of his buddies aren't really ALPA but rather management stooges hired to continuously preach their "the company is broke we cant ask for too much" mantra. It is not uncommon for large corporations to hire such expectation managers these days. Also has anybody noticed just in the last year how many lobbyists Delta has been hiring to do their dirty work in DC (many lobbyist that used to work for the key folks in government governing their personal interests). That said, some would argue whether guys like Pineapple are Delta Management hires or ALPA, they are one and the same.
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Old 10-15-2011 | 04:05 AM
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Originally Posted by Check Essential
They also love the bag fee revenues for another reason.
The govt collects all kinds of extra taxes and surcharges on "airline tickets".
Since its not part of the ticket, the bag fees aren't subject to those taxes. Just like headsets, food and liquor.
The airlines save big $$ on taxes by collecting their money in other ways outside the price of the "ticket".
I think politicians in Washington are starting to realize that, so I'm sure they will try to pass something in the near future that will allow them to gain tax revenue from bag fees in one way or another.

You can thank Senator Schumer for that one.
A Carry-on Bag Fee Tax Won't Fly - BusinessWeek

"The more interesting questions are whether such fees rob Uncle Sam his due in the form of taxes, and whether this latest ding will spur Congress to pursue a piece of the action."


Here is my guess, they will pass legislation that places a tax on airline bag fees. The airlines will then more than likely eliminate any/all fees and put them back into the ticket price. (I'm assuming bag fee tax will cost more than existing base fare taxes)
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Old 10-15-2011 | 04:08 AM
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FWIW, RA stated about a two years ago that those bag fees would be beneficial when it came to contract time. (Stated when pilots were complaining about the baggage fees)

Also, fares were successfully raised 10 times this year and I believe 8 times last year. The baggage fees are in reality one fee they got to add on and did not have to decouple the dollar amount from the ticket price when they added the baggage fee.

Now if we could get a domestic fuel surcharge removed from the base fare, then we would be in business. Write your congressman
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Old 10-15-2011 | 04:57 AM
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..........

Last edited by Pineapple Guy; 10-15-2011 at 05:11 AM.
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