rickair7777

ALPA doesn't really want RJs in house... legacy pilots benefit from low cost feed as much as management. It's also nice to have an arms length internship before committing to employ someone for 40 years in a safety sensitive position.

Wait and see what happens... there might be some "creativity" exercised.

KirillTheThrill

Ok, have you actually evaluated their stock? It’s been priced in already when CC admitted they were going to have major headwinds with attrition the previous earnings call. The stock is down over 50% in less than a year trading a couple hundred million above their cash on hand which is relatively unheard of. It’s trading lower than all other Airline stock P/E multiples BECAUSE they’re already assuming this year will be rough. Goldman Sachs has a price target of $54 a share which was reduced from their previous price target of $61 a share.

Excargodog

Not at all. But with such a shortage when the two available bodies can either operate a 220 or 319 at mainline or a CRJ 200 or EM 175 at a regional, where do YOU think those two bodies are going to wind up?

threeighteen

they already did on the February earnings call. We’ll see if it craters more on this next call.

RudderJockey

Rick, I know you’ve been around for quite a while on this forum and your an intelligent person. But your way off base on this one. Are there some minor ancillary benefits to mainline pilots from regional outsourcing? Sure, but to argue mainline pilots benefit equally as much as management is absurd.

If ALPA didn’t want to insource as much flying as possible why did they spend the effort to negotiate RJ rates into their respective CBAs? And fight to keep and rein in scope protections?

There will undoubtedly be enhancements and evolutions to these flow/pathway programs going forward. But seniority numbers, and b-scales has always been and will continue to be a non-starter.

rickair7777

Scope prevents *too much* mainline flying from being outsourced.

Legacy pilots do not want RJ's carrying pax with can be done economically with narrowbodies... or 777's.

They do want the right amount of RJ's to support markets which are too small for NB's... they want that feed for the hubs because feed enhances their opportunities and profit sharing. That's just business, any other outlook is emotional.

They do NOT particularly want to share mainline pay and benefits with the regional pilots. That's just business, any other outlook is emotional... and yes there are mainline pilots who have an emotional outlook on the matter. On one end you have the "save the regional pilots" activists. On the other you have mil hardasses who don't think any civilian pilot should ever be allowed to fly airliners (obviously impractical today, but I've known people who had this outlook).

I wouldn't say that at all. There's a big difference between an in-house B-scale and granting numbers to employees of regionals. IIRC some regionals now grant numbers to people who are training to meet ATP requirements. B-scale implies people doing the same flying for less.

But not impossible that we'll see some regional flying brought in house. But nobody wants to go there first because then their hub feed will cost a lot more... so it's probably going to take the imminent loss of hub feed. AA has apparently decided to use buses before bringing regionals in-house... maybe the bus drivers could be mainline employees but that's a different union.

amcnd

Scope is a lot more then regional flying… Scope needs to be global. Delta pax flying on. Air France or KLM when Delta pilots could be flying more widebodys around is way more lucrative then trying to bring a few RJ’s in house..

rickair7777

Yes, and we have to expend negotiating capital on all of it.

DWC CAP10 USAF

A-220 and E-175

319 has 132 seats….220-300 has 130 seats but is 20% more fuel efficient.

Excargodog

319NEO is likely about a push with the 220. But the point stands. Either will beat a regional CASM.