UA/CO merger effect on regionals
#41
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From: pilot
Do you realize the magnitude of the feed we're talking about replacing? XJT operates nearly 250 airframes for the combined carrier. We're not talking about some small little regional that operates 20 or 30 airframes here. Somebody would have to do a lot of hiring and a lot of a/c buying to replace these routes. XJT currently dominates IAH and EWR for CAL. They operate far more flights than even mainline. I guess if they tighten scope back up all these jobs could be filled by furloughed UAL and CAL guys. In the end that would honestly be the best thing for everyone.
#42
Now if only they could get all the ramp crews from CVG up to DTW you could pull up to your gate and park instead of waiting for 20 minutes while watching a bunch of rampers stroll by and act like its not their problem.
#43
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Ignoring the labor issues (company and union) with that, it makes little sense from an equipment standpoint. The 50 seat RJ isn't obsolete, but there are far too many deployed right now. In fact many of the routes probably should be back in turboprops from an economic standpoint. Why would a mainline carrier that doesn't presently share the cost of owning those airplanes outside of the length of their FPD deal want to assume the cost of owning/disposing of those birds. While they're better than the 50's, you have to imagine that the same would be true of many of the 70 seaters. If the regionals were merged into mainline eliminating those scope issues, you'd have to think that the majors would trend towards 100 seat E-Jets and the upcoming C-Series so why take on the cost of getting rid of 70's as well? If a major became interested in doing this, I think they'd just put them on mainline with their pilots. They'd probably try and recoup the cost of breaking any FPD agreement through a combination of getting labor to accept lower payrates/worse workrules on the planes and by getting the manufacturers to agree to significantly lower prices for a large mainline order. The threat of displaced feed going to a competitor and hurting you has been dramatically reduced in recent years.
#44
So you're saying that Hanley having been VP United Express and US Air Express, and the man who spearheaded RAH's purchase of E170's has nothing to do with it. Seeing as its no secret that XJT's board of directors desperately want: 1) UAL flying, 2) US Air Flying 3) E170's and you still can't see why they chose him?
He restructured a coal company and that's what you're basing your opinion on? "Specialized" in bankruptcy after taking one Coal Company back to profitability...right.
He restructured a coal company and that's what you're basing your opinion on? "Specialized" in bankruptcy after taking one Coal Company back to profitability...right.

#45
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From: EMB 145 CPT
#46
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Thanks in part to SKW.The SKW deal: Close down branded and DAL prorate agreement - was bound to happen anyways; Close down charter; Transfer the 10 a/c CPA to SKW airlines; Transfer 25 a/c to Skywest airlines for a CPA with CAL; Fourlough 700 pilots (we furloughed less than half of that); Take a 16% paycut to include PBS, getting rid of our defined contribution retirement plan, and other work rule changes equal to 4% paycut in the future after they had a chance to study our contract ("to bring us down to parity with SKW pilots"); Maintain seperate operations with seperate seniority lists without the ability to bid over with a/c in case they were transferee over to ASA or SKW (same clause SKW and ASA pilots have in the ASA contract); negotiate rates for Q400s. What they offered: 15 yr CPA for 205 a/c that was going to be up to bid in 12 months; inclusion in the SKW profit sharing and performance bonus plans; preferential (not guaranteed) interviews for furloughed pilots (to fly the same a/c and routes they are currently flying but at the bottom of a non-union seniority list at first yr SKW pay).
#47
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From: B757/767
Highly unlikely unless they can re-negotiate the leases. CAL/UAL can't just park/retire 50 seaters without substantial penalties. The ones DAL are parking are up on the leases, and that's why they're getting parked. There is also still a market for the 50 seater. It may be a smaller market, but it still exists.
Also, it's highely unlikely that more 70 seaters will majically appear, & less likely they will all go to Skywest/GoJets. Many CAL/UAL pilots have seen lives destroyed by the outsourced flying & you can bet the outsourcing is over.
Last edited by johnso29; 05-01-2010 at 01:35 PM.
#49
Get used to seeing XJT wearing "your" colors. You're not the only big kid on the block anymore and it obviously bothers you.
THe problem with your thinking is that xjt is a money losing operation, before any financing for any new aircraft can be secured that money losing company needs to be set back to profitibilty, the only way right now is chpt 11. You guys need to wake up and stop drinking the ALPA coolaid otherwise you will be the new comair.
In the last 80 years of Aviation, when has profitability prevented airlines from acquiring airframes?
You see, there's no Koolaid here; it's still not a rosy picture. However, XJT is very close to break-even...still not in a great position, but better than the picture you're painting. Or, we could still be headed to CH 11, but not nearly as fast as you think and far from the only option. Interesting you bring up Comair, since the Comair strike prompted CAL to diversify its regional feed, a merger with UAL would put the lion's share of feed at both SKW and XJT, but diversified nonetheless.
Thanks for your concern
Last edited by blastoff; 05-01-2010 at 04:05 PM.
#50
All jets should be mainline, Turboprops with Connect, Express, or Link painted on the side should be wholly owned by the parent company. Stop the whipsaw. Train to one standard, seamless service... Novel idea.
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