Anyone at CHQ have info on what is happening with the a/c that were being used for the AX STL flying? I know a few a/c will be moved to ORD for the ATL, DTW, IAH, IND routes but what about the rest? Is there a clause in the contract between AX and AA where they can give the E145s to AA or have AA make payments on the unused a/c?

 

They're in Mexico.

 

Most of the planes doing AA connection were returned to Eagle. Only a couple of those went to mexico.

 

I believe those were the Trans States Airplanes. CHQ does not have to return any of their American Connection aircraft to anyone.

 

Correct, I didnt know if the CHQ contract with AA said AMR would be financially responsible for lease payments on those unused a/c since they were supposed to be flying them out of STL, or some sort of penalty payment for reducing the contract.

 

AMR and RAH renegotiated rates back in March I think which led to reduced flying and a couple aircraft going to spares. However I don't know if there were any provisions about them having to remain in STL. I think AMR just agreed to X amount of block hours which could possibly still be maintained out of ORD. All of the news is still new so it might be a while before we learn more about what routes will be flown.

 

Ahhh, gotcha, does that amended contract expire in 2013?

 

Yes. Competitive pricing is what makes the American economic system so great.

 

As far as I know, the CHQ are still supposed to be based out of STL, even after the renegotiated rates. Moving the CHQ American Connection flying to ORD was an American Airlines decision, and they will have to deal with the consequences of violating their agreement with Eagle. I am actually surprised that American did not just try to buy CHQ out of the rest of the contract. Bedford has been willing to reduce his 50 seat fleet in cooperation with the mainline partners (UA, DAL, US Airways over the past 2 years).

In all likelihood, the CHQ contract will expire before the Eagle grievance is ever settled, and in the meantime two more pilot groups will be at odds with each other due to managements disregard for legally binding agreements.

And before someone starts ragging on CHQ for undercutting Eagle, please re-read the situation. CHQ is flying for AA because CHQ flew for TWA, and the contract carried over after the purchase. CHQ never underbid Eagle for flying. CHQ did reduce it's compensation rates with AA, but that also coincided with a reduction in planes flying for AA. CHQ did not increase it's flying for AA through reducing costs, and pilots did not take any pay cuts as a result of the lower reimbursement rates from AA.

 

Don't worry, someone will be here with an opposing viewpoint, even though you simply stated facts.