Who Really Owns Your Planes
#11
Thread Starter
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Joined: Jan 2015
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It's ok Tiller, we get it, you are in denial how the Mainline/Contractor relationship works.
Mainline airlines are the ones selling the tickets and if they cut their contractors funding due to not meeting the terms of the CPA, the contractors don't have a way to pay for their "owned" airplanes.
Mainline airlines are the ones selling the tickets and if they cut their contractors funding due to not meeting the terms of the CPA, the contractors don't have a way to pay for their "owned" airplanes.
#12
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Joined: Aug 2015
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From: Captain
United is at max with scope of 255 70/76 seaters ...
They need to park some 70 seaters to get the 76 seaters they got coming
No scope relief given so far
#13
Interesting, rumors I've heard from incredibly good sources suggest that Mesa is getting at least 18 more Ejets for United. Emphasis on MORE than was announced.
#14
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#16
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Joined: Feb 2015
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You're letting your desire to get your hands on republic planes out way the facts. Obviously rah has loans on aircraft, they make payments on them all the time. But not on the delta planes you continue to talk about. They are already paid for and have been for some time. If American and United stopped paying, I agree it could get dicey. But they haven't and BB is using this to shed the 145's like he's wanted to all along.
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#18
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Joined: Apr 2011
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Regionals base their contracts based on income cost spread. When they do this their income is based on complete asset portfolio income. This is how they can bid so low. They don't look at the united planes and say ok those planes we are still making payments on will produce this and base their bid off of that. They also include the planes that are completely paid off as well. That way they can bid less and have a better chance of getting the contract. (In not sure I'm explaining this well) what this means is that if they cannot utilize ALL of their planes minus reserve metal (whatever optimization rate they go for) for income they will struggle to make payments on the planes they owe on. It doesn't matter who stops paying (aa, ua, or da) if any of them stop republics in trouble.
Took me way too long understand but the only way to consistently make any $ in this game is to be lessor of in demand equipment.
#19
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Joined: Nov 2015
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You're letting your desire to get your hands on republic planes out way the facts. Obviously rah has loans on aircraft, they make payments on them all the time. But not on the delta planes you continue to talk about. They are already paid for and have been for some time. If American and United stopped paying, I agree it could get dicey. But they haven't and BB is using this to shed the 145's like he's wanted to all along.
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#20
Line Holder
Joined: Dec 2007
Posts: 273
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From: Emb 170/175 FO
Can you provide documentation that RAH had loans on these aircraft that were less than 10yr loans, and that they are paid off? Obviously you do not understand how Delta works. They will get their way, do you remember what they did to Pinnacle? Do you know the details of why and how they ended up in bankruptcy? And why would United all of a sudden want them? So you can provide the same quality of lift to them as you have for Delta? You can't staff your aircraft already, how is it you will magically be able to now.
United does not need to suddenly want them, they have already negotiated a CPA for 55 airplanes worth of lift.
Republic canceled orders for 25 of those aircraft.
That means republic needs to find 25 aircraft to successfully fly that CPA.
There are roughly 20 aircraft painted in delta colors currently. Moving them over to the United side brings aircraft that are already staffed in to fill the void of those 25 aircraft.
Staffing is already turning around, a person who interviews today wouldn't be able to get a class date until mid to late February, the classes are all full.
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