Yes - Delta is taking the 717s
#101
Just saying!
The Oscar
#102
Gets Weekends Off
Joined: Jun 2010
Posts: 7,578
Likes: 288
From: DOWNGRADE COMPLETE: Thanks Gary. Thanks SWAPA.
#103
Southwest to pay $100M to fix up planes for Delta - Yahoo! Finance
Southwest will pay $100 million to repaint, reconfigure Boeing jets being leased to Delta
DALLAS (AP) -- Southwest Airlines Co. said Thursday that it expects to pay $100 million to refurbish 88 planes that it will lease to Delta Air Lines Inc.
That's twice as much as Southwest expected to spend on makeovers if it had kept the planes. Officials said it still made sense to lease the planes because Southwest will earn more money using bigger jets in their place.
The Boeing 717 jets were operated by AirTran Airways, which Southwest bought last year. Southwest wanted to replace the 117-seat planes with larger Boeing 737s, and Delta agreed to lease them beginning with 16 planes next year and the rest by the end of 2015.
Southwest will repaint the jets in Delta's colors and reconfigure the interiors, Chief Financial Officer Laura Wright said Thursday during a conference call with analysts. She said Southwest had expected to pay about $50 million to remodel them as Southwest aircraft.
Asked why the spending went up, CEO Gary Kelly said it was just part of making a deal with Delta.
"We just amazingly found a home for all 88 of those aircraft," he said.
Kelly said that Southwest will earn so much more money flying the bigger 737s on the same routes that "we will pay for that conversion cost in the first six months."
Wright estimated the benefit of using bigger planes at $200 million per year once all 88 have gone to Delta.
Southwest will take a $140 million accounting charge in the third quarter, with the gap between the charge and cost of the job due to financial help from the manufacturer.
Delta plans to use the 717s to replace 50-seat regional jets that are unprofitable to operate at current high fuel prices and some DC-9 aircraft that came over with the acquisition of Northwest Airlines.
Southwest will pay $100 million to repaint, reconfigure Boeing jets being leased to Delta
DALLAS (AP) -- Southwest Airlines Co. said Thursday that it expects to pay $100 million to refurbish 88 planes that it will lease to Delta Air Lines Inc.
That's twice as much as Southwest expected to spend on makeovers if it had kept the planes. Officials said it still made sense to lease the planes because Southwest will earn more money using bigger jets in their place.
The Boeing 717 jets were operated by AirTran Airways, which Southwest bought last year. Southwest wanted to replace the 117-seat planes with larger Boeing 737s, and Delta agreed to lease them beginning with 16 planes next year and the rest by the end of 2015.
Southwest will repaint the jets in Delta's colors and reconfigure the interiors, Chief Financial Officer Laura Wright said Thursday during a conference call with analysts. She said Southwest had expected to pay about $50 million to remodel them as Southwest aircraft.
Asked why the spending went up, CEO Gary Kelly said it was just part of making a deal with Delta.
"We just amazingly found a home for all 88 of those aircraft," he said.
Kelly said that Southwest will earn so much more money flying the bigger 737s on the same routes that "we will pay for that conversion cost in the first six months."
Wright estimated the benefit of using bigger planes at $200 million per year once all 88 have gone to Delta.
Southwest will take a $140 million accounting charge in the third quarter, with the gap between the charge and cost of the job due to financial help from the manufacturer.
Delta plans to use the 717s to replace 50-seat regional jets that are unprofitable to operate at current high fuel prices and some DC-9 aircraft that came over with the acquisition of Northwest Airlines.
#104
Wow... seriously? I actually gave you credit at one point for being rational, and then you post this. You steal their airplanes, effectively staple them to the bottom of your list, and have the unmitigated gall to call Delta "weaseling"? Amazing. My heart really goes out to the AT guys after reading some of the stuff you guys have posted... And not taking pilots in a business transaction of purchasing a hard asset is nowhere near what SWAPA and GK did to them. You really take the cake dude.
I believe you were there at the time so if you have a different explanation on what I have described please feel free to enlighten us as to what really happened. You personally benefited from what happened to the Pan Am pilots but yet you wish to throw feces at myself and those here at SWA. Really?The Oscar
#105
Gets Weekends Off
Joined: Jun 2007
Posts: 1,207
Likes: 0
From: CA
What portion of capitalism is it that you don't understand T? I'll let you in on a little SWA secret strategy. They want to put ALL the legacies out of business, along with every other airline. They would love to have 100% market share.
#106
Okay, I will say it differently! The policy of ALPA in the past has been to support the integration of pilots (ALPA members) in the acquisition of assets. We have all heard that some DAL pilots wish to dump ALPA. Either the policies of the past that have benefited ALPA members or they haven't. To now dump ALPA for whatever reason and hang you fellow members out to dry is sleazy!
Just saying!
The Oscar
Just saying!
The Oscar
Air Tran pilots are part of the Southwest pilot family now. They even voted for it by an overwhelming percentage, after SWA guys said they would be welcome with open arms. Now, it seems you want to send some of your new brothers and sisters to another family?
How can this be? Seriously, where is the luv?

After all that's been promised to those guys, and after the vast majority of them voted to in some way believe you, is this really what you mean?
(The ink isn't even dry on the seniority list yet.)
You are a good guy, don't let this stuff change who you are.
#107
Gets Weekends Off
Joined: Jun 2007
Posts: 1,207
Likes: 0
From: CA
Currently, the only AT folks that are represented by SWAPA are the ones that have transitioned to SWA. The ball of union representation is firmly in AT ALPA's court. I would gladly welcome all AT pilot's to be represented by SWAPA, but I believe that request must come from AT ALPA.
#108
Actually, and feel free to correct me if I'm wrong, doesn't a work group need file what is called a “single carrier” petition with the National Mediation Board in order to change their union representation?
Currently, the only AT folks that are represented by SWAPA are the ones that have transitioned to SWA. The ball of union representation is firmly in AT ALPA's court. I would gladly welcome all AT pilot's to be represented by SWAPA, but I believe that request must come from AT ALPA.
Currently, the only AT folks that are represented by SWAPA are the ones that have transitioned to SWA. The ball of union representation is firmly in AT ALPA's court. I would gladly welcome all AT pilot's to be represented by SWAPA, but I believe that request must come from AT ALPA.
I'm one of many step-children at my airline via a recent merger. It seems to me that once we had our seniority numbers, every step taken by management and my new brothers and sisters was inclusive of everyone. Some were painful, but none included or contemplated cutting anyone. Seems as though some of you guys are choosing a different path.
Good luck to you guys.
Last edited by newKnow; 07-19-2012 at 11:07 PM.
#110
Okay there TS, here is some cake to chew on. As I have said in the past the Pan Am deal included lying to very senior pilots (PAA) that DAL would feed the new Pan Am and there was no need to fight for transition to DAL. DAL then bought all the best assets and pulled the plug (to the tune of a promised 25 million dollars) just before Christmas of '91. This benefited DAL pilots by not offering senior Pan Am pilots the chance to transition. I won't get in to the details until it is again questioned but DAL (with no argument from the DAL pilots) screwed over the Pan Am pilots in many ways only to dump the senior ones as a Christmas present.
I believe you were there at the time so if you have a different explanation on what I have described please feel free to enlighten us as to what really happened. You personally benefited from what happened to the Pan Am pilots but yet you wish to throw feces at myself and those here at SWA. Really?
The Oscar
I believe you were there at the time so if you have a different explanation on what I have described please feel free to enlighten us as to what really happened. You personally benefited from what happened to the Pan Am pilots but yet you wish to throw feces at myself and those here at SWA. Really?The Oscar
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