16mil and change

Pinnacle renegotiates debt to avoid bankruptcy - Memphis Business Journal

that simply deferred the payments, it's not like someone else is making those payments for us and we get to pocket that money. It still has to be paid, just at a later date (with continuing acrrued intrest)

Those are tomorrows problems, survive today and worry about tomorrow, tomorrow.

Anyone who has ever deferred student loans has done the same.

Wonder if the lender has the option to capatlize the interest when the defferment is up? Spend a dollar to save a penny mentality back so soon?

not sure if this has been addressed or not, but are they still actively hiring and holding new hire classes?

Did anybody get a W2 yet?

Still waiting for mine.

I believe by law they have to be mailed out by 31st, not necessarily in hand.

My fiancée said our W2s came in the mail today.

Guess I know what I'll be doing when I get home!

Just make sure you get started on your taxes afterwards....:D

Haha!! Never you worry my friend ;)

Some thoughts on the topic…
 

Facts:

- The 11-09 realignment is an expensive one-time cost.
- Delta is supposed to reimburse Pinnacle for increased training costs.
- Q400 and Delta 900 contracts are causing us to lose money.
- Both the Q400 and the CRJ900 or profitable aircraft.
- UAL has agreed to a modification to the Q400 contract to keep Pinnacle afloat.
- Pinnacle got a grace period on the Q400 payments.
- Labor costs have gone up due to the pilot contract.
- Sean Menke asked pilots to take an indefinite 5% pay cut, then he changed it to a 7% pay cut for 1 year with a snap back to normal pay, and finally the last union email update stated they were talking about the 5% cut again.
- We are still hiring at a good rate.

Rumors:

- If negotiations do not work out, all Q400s and SAABs will be gone in a year and they will furlough out of seniority order and shut down the Colgan operation.
- All SAABs will be gone in 1 year.
- There are apparently 1 or 2 new Q400s painted in UAL colors in Toronto (I have not personally seen them and won’t believe it until I see pictures).
- Delta wants to take the 16 900s and give them to ASA/ExpressJet.

Speculation:

Sean Menke is just testing the waters on possible pay concessions to see if we bite.

Despite the threat of bankruptcy and the possible major loss of airframes we are still hiring because we may be getting more Q400s. The order for more Q400s may have been a supporting reason behind the postponement of the Q400 payments.

UAL may have been in talks with SkyWest or someone else about Q400 flying and is going to send some aircraft to another regional in order to play us against each other. This would be a costly and timely expense for UAL, but if it causes us to compete with another regional, UAL may see this as a worthwhile investment to drive down costs.

Delta management gets bored and decides to move aircraft around just for fun.

Conclusion:

No matter what happens, the one thing that does not make sense is the requested concessions in pay. 5% of our pay is barley going to affect our bottom line. The 7% for 1 year only reeks of management trickery.

Our fate was decided years ago and giving management a self-inflicted pay cut is just icing on the cake for management. Until we get more information all of this is just speculation that we should not let take over our lives.

Best post I've seen on the subject.

So let me get this straight, they started all of this in motion by creating Pinnacle Corp to own Pinnacle Inc and other airlines... which looks like it is going to end up bankrupting the whole airline... while all the pilots themselves spent years (and to a lesser extent, still do) having money problem themselves?

Know what that sounds like to me?

http://a.images.memegenerator.net/in...x/14466960.jpg

Im curious

Why would delta reimburse Pinnacle for the increased training cost?

Aren't the folks at Delta always trying to get out of paying for anything?

Not starting a fight, just curious. Interesting thing to agree to pay for.

Great post, just got done flying 2 3 days, love how people keep saying Colgan will be parked when we file BK. Do people forget we have EAS routes on the Saab still? I highly doubt a BK judge will allow us to stop flying those when we are getting money from the govt. Saabs will be parked slowly yes , but I firmly believe we will be getting more Qs. Can the Saab contract and pay us a little more to operate only the Qs and United will be ahead financially with us and we can be happy. :) O and I say again, DAL will not allow their precious 900 heavies to be parked, they may move them to another base and combine them with the XJ contract but they are not going anywhere.

I love the Surejet rumor, havent heard that one yet. People must be forgetting that they just lost a few 700s for their crap performance.

Because when Mesaba was sold it was already announced that all the Saabs were going away. Even Trenary wasn't quite stupid enough to buy Mesaba and just eat all those known training costs that would be associated with or without merging the companies. Delta wanted rid of its wholly owneds bad enough to agree to that to dump one of them and not be stuck with 2 they couldn't unload.

Fact. Delta has balked on the costs, and if you ask those 'in the know' they will tell you Delta does not want to pay for training costs associated with the Colgan side of things, because that's not Delta's business. We're talking about the closing of the BOS Saab base and all the Colgan prop guys jumping over. Delta only agreed to pay the training costs associated with the Mesaba Saabs being parked, and rightfully so.

Because Pinnacle is trying to get Delta to pay for training associated with USair and United.

Wow something you said makes sense for once. Delta should not have to pay for 9L you are correct. Further proof 11-09 should have been pure displacement.

Pure displacement would have resulted in hundreds of furloughs. I doubt that is what you want.

Had nothing to do with performance, had everything to do with the rate Delta was willing to pay for the flying. Gojets bid the flying at a loss. That's business.

Ah, the ol' Pinnacle Corp. math be damned approach. Seems to have worked well so far.

Not to defend go jet or anything. But hulas doesn't bid on flying for a loss. Just not his style. He'll pass up airplanes because he doesn't like something about it.

Who knows what Delta agreed to pay. When a Delta Saab goes away and ripples down to cause movement among people on the Colgan side that is still a training cost related to a Delta Saab going away. I hope 9E gets every single last penny from Delta for the training mess we are in, even for Colgan training costs. Maybe some day it will be cheaper for Delta to just do the flying themselves (if it isn't already).

How much is US Airways or United paying for your training costs?How about the concept of your company paying for its own costs?

Rumor has it that Delta pushed us to get the contract done, and agreed to help with the increased cost because of the pressure they placed to get it done.

Delta is the one who agree to pay for the training cost, this was agreed upon selling Mesaba and getting rid of the Saab. If Pinnacle want to do something on the UAL side and get more or get rid of Q400 then agree we should pay for our own cost, or work out a deal with United. You want to blame us because your management ageee to pay for certain cost?

How about your pilot group should have never voted to give up scope, then maybe we wouldn't be having this problem?

I love it when grey-haired superheros try to come in and spread their wisdom on the regional forums.

Pinnacle (and the other regionals) don't really have too much of their own costs. They're just Delta (or whoevers') costs.. outsourced.

How about the concept of the seller honoring a legally-binding contingency of the sale?

How else are big time corporate lawyers supposed to make the big bucks?

Stop selling scope, Tim..problem solved.

No, but nice try. I'm sure Delta is well aware that Pinnacle voluntarily closed the Colgan BOS Saab base only to ensure we have proper staffing on other bases and fleets. Delta should't have to pay for Pinnacle/Colgan's incompetence. Our company voluntarily gave up the US Airways Express BOS flying. Delta shouldn't have to pay one penny for that or the associated displacement costs.

I love how you stick up for Delta, considering the fact that Delta's goal is to whipsaw regionals against each other at any cost.

From a Delta management point of view, that's their job.

Amen. Maybe one day it will be too much of a pain in the ass for mainline to outsource their flying to dirtbag regional outfits.

Did you just call your employer a dirtbag regional outfit? ;)

For someone not really in the loop, whats the latest at Pinnacle?

Is the company still asking for paycuts? Have they gotten any? Are they still threatening bankruptcy? Any changes to training bids?

Any other big news / changes from the status quo?