Originally Posted by DoNoHarm
(Post 2994483)
AA WO regionals will probably be the last to feel much of a pinch. AA will likely cut the contract carriers and keep the WO airlines intact at all costs. Not a good time to be at a non-WO regional, but things at PSA/PDT/Envoy should remain good.
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All depends on the contracts and how quickly the non-wo regionals can enforce them.
if a major quits paying, even in direct violation of a contract, it may still be the gojet bankruptcy judge fining them 4 years later |
Originally Posted by ZeroTT
(Post 2995106)
All depends on the contracts and how quickly the non-wo regionals can enforce them.
if a major quits paying, even in direct violation of a contract, it may still be the gojet bankruptcy judge fining them 4 years later |
I’m not spreading false information.
1) ffd contracts may well have force majeure clauses. Do we have proof otherwise? 2) different industry situation than 2008. AA has more reason to protect the WO’s long term 3) this is a big shock and majors have been known to play rough. If a major could force a regional into Chapter 7 by shutting off payments, it might be a rational response. Skywest is too big and diversified for that, but for example Air Wisconsin is not. United could just walk away and poof, no more Air Wisconsin. A contract is only valuable if there’s someone with a means to enforce it |
You guys seem to think that reneging on a contract or declaring bankruptcy is quick, easy, or cheap. If one of the mainline carriers reneges on a contract, every contract for regional feed, along with contracts with who knows how many other kinds of vendors for the next 20 years will be much more expensive, because no other company will trust them not to do it again.
Cutting what you can cut legally is a much easier, cheaper, and safer way to cut costs. |
Agreed it would be a bad choice. Sometimes your choices are bad and worse
the big issue is force majeure language and whether there’s room for interpretation that would let a major renege with plausible deniability |
Originally Posted by ZeroTT
(Post 2995314)
I’m not spreading false information.
1) ffd contracts may well have force majeure clauses. Do we have proof otherwise? 2) different industry situation than 2008. AA has more reason to protect the WO’s long term 3) this is a big shock and majors have been known to play rough. If a major could force a regional into Chapter 7 by shutting off payments, it might be a rational response. Skywest is too big and diversified for that, but for example Air Wisconsin is not. United could just walk away and poof, no more Air Wisconsin. A contract is only valuable if there’s someone with a means to enforce it To claim there’s clauses that don’t exist etc is false. AA isn’t filing bankruptcy. If that happened it’s all open but again that’d be a long ways out as of today. Reduced wholly own block hours isn’t. Understand? |
Originally Posted by Rockiepilot
(Post 2995653)
Again FFD flying won’t be reduced first. Period. That’s the only thing I’m saying you are absolutely incorrect about?
What I am saying is that in extremis, the majors likely have tactically viable options if the choice is to throw themselves or someone else under the bus. |
It certainly wouldn't be the first time PSA started furloughing right after hiring. I remember getting ready to fly out for an interview there and then hearing about furloughs as I was prepping. This was back in the bad old days of 2008.
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Originally Posted by wrxpilot
(Post 2995858)
It certainly wouldn't be the first time PSA started furloughing right after hiring. I remember getting ready to fly out for an interview there and then hearing about furloughs as I was prepping. This was back in the bad old days of 2008.
Maybe I could learn how to be a truck driver... |
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