Mesa Contract announced next month?
 

I heard a rumor that there are contracts out to take over some RJ-900 Mesa flying from Charlotte or Phoenix. I also heard that they were going announce the "winner" next month. True or not? Front runners?

Contract is with USAirways by the way

I would hope that anyone who might want to pass along a rumor would know that the 900 flying Mesa does is for US airways.

Most likely just a rumor, lots of people would like to see Mesa lose that flying, but they can underbid anyone so doubtful they would lose it.

From yesterday's earnings call....soon!

US Airways Group, Inc. Q2 2010 Earnings Call Transcript -- Seeking Alpha

Who owns the aircraft?

I dont' suppose that matters much at this point. Even if Mesa "owns" the leases, if they lose the contract now they can just abandon the aircraft before exiting bankruptcy. If USAir holds the pink slips then they just transfer the airplanes per whatever agreement they have for transferring the aircraft.

Why would lots of people like to see Mesa lose the flying? It is my understanding that the "majors" scope set the regionals up to undercut each other. Even if Mesa loses the flying eventually someone will undercut someone else for the flying. The only permanent fix to the problem is more strict scope. It is hilarious to think that one regional thinks there contract is so much better. They all suck.

It matters for exactly like you said. If USaiways owns them it opens up alot of players because no one will have to front capital to purchase airframes. I would imagine it would give a current CRJ operator a major leg up.

If mesa owns them then whoever wants to play will have to aquire airplanes. Which opens up the possibility of a different a/c type and different airplanes.

I would be worried if I were he other about underbidding mesa. Sure you may get the 900 flying, but at what cost? Mesa made the same fatal flaw earlier this decade with its' 200 flying at United. Under bid too much, and you end up operating at a loss for the next X amount of years. that is to actually underbid Mesa...

Agreed 100% about Mesa underbidding. But still it all goes back to the people who allowed this nonsense of contract flying to exist to begin with. You will never have leverage. Eventually the only people flying for any major carrier will be contract regional airlines. Almost all of United's flying domestically is already regional carriers! So much for moving on if regional airlines keep getting more.

Seems like every regional that operates USAirways Express has a "feeling" that they will be picking up that 900 flying.

Is this the flying that PSA was hoping for when they sought 900 rates?

This is not the first time we've tried to bring 900s on the property...but I'd say it's probably only going to happen if Mesa can't survive.

By the way, what is up with everyone sympathising with that sh!t bag operation? Many companies have suffered extinction because of Mesa, yet every is crying foul now that they are staring down the barrel. There will be no tears shed at that place getting flushed down the toilet. The only purpose Mesa serves is to be an example of how not to run an airline.

I fixed it for you, and you are welcome.

Who really "wins" at the game of mycrappyregionalisbetterthanyourcrappyregional?
Think about it.

YOU are right. All those other airlines do it right with their 900 flying rates. Republic, Skywest, and PSA have the same rates on the 900 as Jetblue right? Mesa is soooo much different than all of the other regionals. What companies have suffered extinction? Independence Air? Aloha? Was Independence a stand alone airline? Was Aloha going out of business to begin with?

Regional Airlines are contract workers. They never have and never will have leverage doing contract work for a larger company. The only place that will have an opportunity to make more money is Republic because they have their own brand. If their brand makes more the employees can fight for more. If USAirways makes more money regionals cannot say we need more money because someone will be at the back door ready to do the same work for less.

BATTLE the scope of the major airlines. When Mesa leaves who will be the next undercutting regional? There will be one. And another after that until the scope is changed and all the jobs are brought back to the airline contracting the work out.

Who says you’d have to underbid them? If Parker wants Mesa gone he'll take the best offer regardless of whether it's lower or not and the best offer isn’t necessarily the lowest.

PS. I’m not bagging on Mesa.

Hahaha. So true! The fact of the matter is that the regional industry has been deliberately set up by mainline carriers to perpetuate a race to the bottom business model. All of you jokers who insist on bashing one regional whilst glorifying your regional need to take a long, hard look. ALL regionals bring down mainline wages, and reduce the amount of mainline aircraft and routes. What dream does this allow us to pursue? As long as regional airlines keep battling it out to be the lowest bidder, and in some cases even paying in the form of loans to fly mainline routes, we ALL lose. I'm sure management is tickled pink when they read these boards and see all the fighting because it proves their philosophy that regional pilots are weak and scared as opposed to a strong and organized group. To the weak, go out and do your companies bidding. To the strong, let's start putting an end to something that has gone on far too long.

And just so my thread isn't completely off topic, I believe Mesa's 900's are leased directly from Wells Fargo and Bombardier. At least that's what the ownership information on board the airplane says.

I thought the Mesa US Air flying was actually bid pretty high? I've heard it's the only thing keeping them afloat right now.

Well said. I am glad someone else is thinking in the right direction! The ONLY fix is the scope and that is in the hands of the pilots at the majors. NO MORE CONTRACT WORK "regional airlines"equals more better paying jobs.

I believe that the Mesa 900's are half owned and half leased from banks. LCC has no direct control of the Mesa 900's.
From reading Parkers quotes in the 2Q call, looks to me like they are about to re-up with Mesa on the 900 flying.

I think mesa will win the contract but i think there is more to this agreement then meets the eye. I do know xjt had a bid in for the flying as well and mesa was cheaper. I think the reason mesa is willing to go in so cheap is because they are about to be acquired by a very large regional and the economies of scale with the now larger operation make it possible.

Food for thought: The new union voting laws will make unionizing very easy. Certain regionals cant fight it any longer.

One list, four certificates (if Freedom remains in existence).