captchris

Take 10 mins to listen to the beginning of this call. JO is crazy. Talking about how much he is going to grow this Chinese operation including 90 seat RJ's.

Talks about fleet reductions (CRJ-200's, B-1900's), growth in China, etc.

http://biz.yahoo.com/cc/5/88575.html

The end is near.

waflyboy

A week ago I was talking to a buddy about this. We kind of figured Mesa would be around for another couple of years. Maybe that was a bit of an over-estimate.

CFIse

Why is that crazy? In just about every area of commerce China is or certainly will become the largest market in the world. There is no reason to believe that's not true in aviation as well. Ask Airbus why they're planning to build planes in China and why Boeing is at least having China build major portions of their aircraft as well. For Mesa, as a corporation, to want to be in on the early end of that business and to grow the business rapidly is, in my opinion a smart business decision.

The EAS market is dead or dieing. The subsidy doesn't get close to covering the costs and people won't pay real money for a seat on the plane ("why should I pay $300 for a 30 minute flght when I pay $75 to fly SouthWest?"). The hate filled editorials from USA Today don't help. Cutting the losses at Air MidWest is a smart business decision. If, and it's a big if, EAS ever looks like being a good business again, you just fire up a certificate and go and fly it.

If the company is to be believed the 200's at United are flying at slim to no margins, and the company couldn't staff them anyway. So making them go away to be replaced by 700's which, if the company is to be believed, fly at much better margins AND on a 10 year contract is a smart business decision.

Many of these decisions SUCK for the pilot workforce, but Mesa is not in the business of making it's pilot happy (as anyone who works there can attest). I would be the last to argue that Mesa is a brilliantly run business machine, but just because YOU don't like the decisions they make doesn't make them, ipso facto, bad decisions.

UCLAbruins

Agree, he's not crazy, its actually a good move. If the US falls into a reccesion, everyone is hoping China will be able to drive the world economy. He'll be in the best spot.

This shows you how little (if any) loyalty these airlines have towards us. He doens't give a ******** if he leaves thousands of people out work, if he can make money in China, he'll move whole the operation tomorrow.

CFIse

It's not just the airlines - the idea that companies would be operated with regard to the interests of the employees went out a long time ago (a few well meaning, but ultimately doomed companies excepted). Airlines are an easy target because it's a business that booms and busts so spectacularly, so "adjustments" within the industry tend to be fairly widespread, but every industry treats it's employees like the dirt they will become after they die eating rat droppings due to their pension being raped.

At least that's what I think. Where's communism when you need it most?

ExperimentalAB

JO and Mesa can't hack it in the lower-48, are mere months from closing the disaster in HI, and now they think they'll "shock and awe" the world in China?! The man and his investors ARE crazy...a smart move it may be, but the execution, as always, will spell the end for Kunpeng Airlines. It won't take long for Shenzhen to find out what us Americans already know!

Knightrider

Did anyone hear the results from the 4th quarter yet? Have the released them? I'm interested to see how far that AMW claimed that they dragged them down.

cbire880

If Americans don't care about quality of service, the Chinese make us look like demanding customers. This is the same country that is one of the largest human rights violators in the world. They wanted to created standing room only airlines. JO will fit right in with the Chinese style of government. If the pilots strike, just take a few out back and make a statement.

meritflyer

That's right! Dont let them talk bad about your airline.

UCLAbruins

agree 100%, Mesa will fit right in. China is where Mesa should have started.