Compass / Mesaba
 

Pardon the stupid question, but just wondering why if NWA owns Mesaba why go to all the trouble of getting a new certificate and everything that entails rather than just bring the E175's on board at Mesaba?

You can play the two off each other, driving down cost. Also, having all the pilots start at first year pay at compass (since it just started), is cheaper than havingthe senior guys at Mesaba (some who have been there 12+ years) flying the aircraft.

Inefficiency... its the way the industry runs. When it comes down to it though, its still the pilots fault and we're paid too much.

That sucks...I hope the bar can be raised at some point.....

It's quite simple...

They need to have someone to whipsaw against Mesaba once they get rid of Pinnacle.

What do you mean "get rid" of Pinnacle? NWA spun off Pinnacle in 2003, and now they have a 10-year service agreement with NWA for the CRJs.

That alone is perplexing... spin one off....start another....

im sure in the end it costs them less.......

But the whole starting another airline just seems like such an unneeded exercise.

At least Compass has 75% DH pay!!! Industry leading!

Any ASA from NWA isn't worth the paper it's printed on. Don't for one minute believe that ASA can't be toss, modified etc. Have you looked at it closely. If you go on strike and the airline shutsdown how many days does it take for NWA to nulify the ASA. They held that over our heads during our negotiations. There is no security at a regional please don't drink the coolaid.

Another reason to keep the two seperate is now NWA has two separate assets to sell at a later date. For minimal investment, they have created assets that look great on the balance sheet, or that can be sold for millions.