TSA merger
#51
#52
Gets Weekends Off
Joined APC: Oct 2011
Position: Taco Rocket Operator
Posts: 2,485
Delta is the one in the background pulling the strings, and wants the Delta 700s at Endeavor with the pilots. What's to keep Endeavor from buying Gojet as part of the deal, or buying Gojet from Republic. Lots of ways that could happen if its what Delta wants.
#53
If it is just based on pilot costs, I think a good rate would be close to what AA pays for its mainline Group I (E190) Pilots. That is 65% of their Group II (B737/A320 etc).
They pay E190 Pilots 2nd Year FO $86 and year 12 CA $170.
Endeavor pays its Pilots 2nd Year FO $59 and year 12 CA $114.
That is 45% more than Endeavor’s current rates. (I am going to guess the trigger point might be about 35% more.)
There may be some other trigger point, but my crystal ball says this would make sense in terms of Pilot pay.
#54
Gets Weekends Off
Joined APC: Jul 2013
Posts: 10,067
Agreed. I am going to pull out my crystal ball again. When will regional flying come back to the mainline?
If it is just based on pilot costs, I think a good rate would be close to what AA pays for its mainline Group I (E190) Pilots. That is 65% of their Group II (B737/A320 etc).
They pay E190 Pilots 2nd Year FO $86 and year 12 CA $170.
Endeavor pays its Pilots 2nd Year FO $59 and year 12 CA $114.
That is 45% more than Endeavor’s current rates. (I am going to guess the trigger point might be about 35% more.)
There may be some other trigger point, but my crystal ball says this would make sense in terms of Pilot pay.
If it is just based on pilot costs, I think a good rate would be close to what AA pays for its mainline Group I (E190) Pilots. That is 65% of their Group II (B737/A320 etc).
They pay E190 Pilots 2nd Year FO $86 and year 12 CA $170.
Endeavor pays its Pilots 2nd Year FO $59 and year 12 CA $114.
That is 45% more than Endeavor’s current rates. (I am going to guess the trigger point might be about 35% more.)
There may be some other trigger point, but my crystal ball says this would make sense in terms of Pilot pay.
#55
Except it is way more than pilot costs. Endeavor and the other WO are at a distinct advantage over the subcontractor counterparts. Their mainline owner essentially covers a lot of the overhead associated with running a business. If pilot costs got even remotely close to mainline rates, the flying would be more expensive than mainline operating it themselves.
Takeaway - It is not there yet, but the way pay has been jumping up, it may only be a few years away. Time will tell.
I will be willing to bet in just a few years the regionals will not look anything like they do today.
Consolidation of companies, fewer pilots flying at the regionals, a lower percentage of 50 seat metal, and a chunk of the ‘regional’ type flying by the majors themselves. Some or all of these will come to pass.
#57
Gets Weekends Off
Joined APC: Oct 2016
Position: furloughed
Posts: 430
My money is on Republic buying TSH, selling off the GoJet 700's to Endeavor phasing out the 145's and transitioning all pilots over to the 170/175. And if Bedford really is on his way out at Republic maybe when this all shakes out and whoever is buying whoever is done Rick Leach will be the new head at Republic and that is why he has been seen in IND!?!
Hulas rides into the sunset with a fist full of cash!
Hulas rides into the sunset with a fist full of cash!
#58
My money is on Republic buying TSH, selling off the GoJet 700's to Endeavor phasing out the 145's and transitioning all pilots over to the 170/175. And if Bedford really is on his way out at Republic maybe when this all shakes out and whoever is buying whoever is done Rick Leach will be the new head at Republic and that is why he has been seen in IND!?!
Hulas rides into the sunset with a fist full of cash!
Hulas rides into the sunset with a fist full of cash!
#60
Gets Weekends Off
Joined APC: Sep 2010
Posts: 2,648
Compass and GoJet don’t need to be sold. Delta owns the Delta 175’s. So they just have to be patient and wait for the contract to come up for renewal and then just not renew it. A plan for a slow equity transfer could be set up months ahead of time. The same thing for GoJet. Delta also owns the Delta 700’s. Also, why would Delta want to buy Compass or Gojet when Compass also flies for American and Gojet for United?
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