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-   -   Republic buying compass? (https://www.airlinepilotforums.com/regional/18800-republic-buying-compass.html)

PinnacleFO 11-14-2007 11:45 PM

compass can be sold as soon as it hits 11 aircraft, which is approaching rapidly. I wonder if Uncle Phil and the PInnacle Corp. would buy Compass

UPS1856 11-15-2007 03:18 AM


Originally Posted by SharkyBN584 (Post 263511)
RAH has no ties to NWA and I haven't even heard the faintest rumor of even trying to get in the door with those guys.


You and Toiletduck need a history lesson then.

BB is the one who built Messaba. Last I heard his Father in law was still on the Board of Directors at NWA, he owns the largest Pepsi distributorship in the Midwest.
I would call those "ties" to NWA.

The E170 hanger in SDF also raises eyebrows.

whodis 11-15-2007 05:08 AM


Originally Posted by PinnacleFO (Post 263517)
compass can be sold as soon as it hits 11 aircraft, which is approaching rapidly. I wonder if Uncle Phil and the PInnacle Corp. would buy Compass

No, it can't. That seems to be a common misunderstanding on here. I'll see if I can find the contract verbage, but what the contract states is that SJ (Compass) cannot be sold until NWA recieves 10 aircraft of a new narrobody (dc-9 replacement type) aircraft. That "10 aircraft" magic number has nothing to do with Compass' aircraft, so Compass could have 75 planes, and if NW still hasn't bought 10 of a new A/C type, NW cannot sell.


While they may fly the same aircraft, they most certainly are not direct competition for RAH. Compass is strictly an NWA venture and I don't think you're going to see an NWA subsidiary start bidding on RAH's E-jet flying for DAL, UAL, Frontier, or US Air. RAH has no ties to NWA and I haven't even heard the faintest rumor of even trying to get in the door with those guys.
Actually, the Compass charter does not prevent it from seeking flying with other carriers and, well beyond just rumors, Compass has publicly stated that it fully intends to persue opportunities to diversify it's flying, starting with a bid for Delta flying in the not-to-distant future. It is true that Compass is an NWA venture, but NWA created the company to be an entrant into the new large-rj market, and to directly compete with other E-jet and CRJ-900 carriers for flying.
Compass, like RAH and so many other regionals, is essentially a wet-lease company, and since all Compass' profit goes to NWA, there is no reason for Northwest to prevent it from seeking outside business. It's essentially the same as what Delta has done with DGS, selling it's services for profit to other carriers, even carriers that compete directly with Delta.

G2TT 11-15-2007 05:11 AM

The big difference between Compass and Midatlantic is Compass actually has an operating certificate. MDA was operating on usair's and was more of an aircraft transaction. That on top of NWA likes to keep their regionals on a short leash, and I don't think RAH's take over the world attitude really fits that plan.

cbire880 11-15-2007 05:25 AM

I still think we'll be flying red tails in 3-5 years when Compass is stood up. Standard NWA wholly owned cycle. Also if they become a threat(other codeshare rumors), I can see BB buying them to get them out of the way.

G2TT 11-15-2007 08:01 AM


Originally Posted by cbire880 (Post 263565)
I still think we'll be flying red tails in 3-5 years when Compass is stood up. Standard NWA wholly owned cycle. Also if they become a threat(other codeshare rumors), I can see BB buying them to get them out of the way.

I think the RAH ego is out of control. You guys think you can buy whatever you want. You guys need to stop drinking BB flavored beverages and worry about staffing what you have.

ToiletDuck 11-15-2007 08:11 AM


Originally Posted by UPS1856 (Post 263526)
You and Toiletduck need a history lesson then.

BB is the one who built Messaba. Last I heard his Father in law was still on the Board of Directors at NWA, he owns the largest Pepsi distributorship in the Midwest.
I would call those "ties" to NWA.

The E170 hanger in SDF also raises eyebrows.

I wouldn't call those ties. Each his own though. Why would the hanger is SDF raise eyebrows that's what compass flies.

The fact that "This has been rumored for a long time" doesn't build any credibility. The writing is on the wall. If RAH is going to pick up someone the best bet is Comair. They own $91mil of them already. Probably an even higher probability they'll just say they are going to purchase someone as our contract negotiations nears to keep the pilot group at bay.

BoilerUP 11-15-2007 08:14 AM

How does RAH own $91M of Comair?

Why would RAH want a bunch of old CRJs that aren't compatible with their current fleet outside of the 20ish CRJs flying for CAL?

Besides, the one thing RAH pilots have is a great scope clause and senior members of the pilot group vividly remember the Republic Airlines 1 struggle during the 2003 negotiations.

ToiletDuck 11-15-2007 08:14 AM


Originally Posted by G2TT (Post 263654)
I think the RAH ego is out of control. You guys think you can buy whatever you want. You guys need to stop drinking BB flavored beverages and worry about staffing what you have.

Everything is for sale and RAH has a lot of money available. I don't think any of us want them to purchase anyone else though.

cbire880 11-15-2007 08:15 AM


Originally Posted by G2TT (Post 263654)
I think the RAH ego is out of control. You guys think you can buy whatever you want. You guys need to stop drinking BB flavored beverages and worry about staffing what you have.

Never said I thought it was a good idea. Talk to my management about staffing the operation. Everyone has a staffing problem these days. Some are just on the upside of the curve. My assumption would be that the Compass staff would come with the aircraft for the most part.


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