Another mid-late 20's guy who has it all figured out. We were all there but maybe just maybe there is more to this business than the regional product you and I lived through. It has sucked for a long time but this is the first management that appears to be commited to a tactical and aggresive recapture of our core business traveler. They aren't getting more scope relief from most of us. The difference in product between a e190 and an airbus is there but where the "no middle seat" nonsense ends is the cost to operate is 2 cents more per seat mile. My bet is that Kirby is going to fail at easing scope and will be forced to fly a319/737-7 which is a much better product than anything operated by a regional, serviced by g2/dgs/ae and flown by people who hate our brand and want to get hired at delta.

 

Let’s say at the most we are talking about is a combined $200-$300 an hour differential for flight crew cost....regional/major.... for a 75-100 seat jet. To effectively gain the difference the mainline carrier has to contract out to a regional carrier with it’s many layers of management and support staff in hopes that the regionals cost cutting tactics don’t affect the quality/safety of the product.... And to make matters worse the major and regional also get to compete in the labor market for qualified pilots, dispatchers and mechanics...
I’m not privy to the numbers but I think the smart bet is to buy/lease the aircraft hire the appropriate personnel and run your operation.....
For less than $.01 per available seat mile you can control your product and your labor flow...

 

I just went through the United Airlines 4th-Quarter and Full-Year 2017 Performance.

United Airlines Reports Fourth-Quarter and Full-Year 2017 Performance - Jan 23, 2018

The CASM was not listed for Regional operations, only Mainline and Consolidated. I calculated it from the data provided:

Mainline CASM 12.59
Regional CASM 16.93 (34% higher)

Most of that cost was due to fuel; the regional fleet burns 69% more fuel per available seat mile than mainline. However even excluding fuel, the regional fleet was still 26% more expensive to operate per available seat mile.

 

I would rather fly for Spirit. That's the business model proven to be successful in a good or bad economy. The rejects at mainline will hurt you later on. That's how dumb you guys are! If mainline had direct flows with their regionals, the LCCs would have a difficult time growing. I fly the same passengers you, so don't be a smart ass! I've more than earned my spot to go to any airline I want...more than most new hires at mainline. I never applied to work at United and I hope they don't buy a regional or have any direct flows which will hurt LCCs. Most pilots I fly with can't stand your company and the lack of respect they display towards regional pilots. But, we still outperform United in both performance and customer service. United doesn't deserve XJT or Skywest. The rest of the industry needs regional pilots to work for them, by the time you and other mainline companies figure it out, it will be too late!

 

This from Skywest's 2016 Annual report:

 

Those numbers do not correctly capture the cost differential. If you are able to dig through the SEC (securities Exchange Commission) archives and can locate an Independence Air filing, you'll see that Independence Air's CASM on their RJs was ~25 cents as opposed to their A319 CASM of less than 10 cents.

Those are 50 seat numbers but I doubt that 70/76 seaters could drive the CASM down as much as what's in the United report. Those numbers likely include the EAS subsidy.

 

That's not all-in costs for RJs.
Most of SkyWest's contracts have fuel, landing fees, station rents, and some maintenance paid for. And I'm pretty sure that the airlines pay for their leases. So that is by no means the cost of operating an RJ.

 

Why don't you put your money where your mouth is and show us United pilots just exactly how much you don't care and go away.

Thanks

 

United Airlines Doubles Down on Its Dubious Growth Strategy

https://finance.yahoo.com/news/unite...154000428.html

And SkyW, that sounds like something people who didn’t get hired by United would say.

 

Yep skyw says he doesn’t want to work at United aka he got rejected. Also I never disrespected regional guys because I said we should hire their best and brightest (Just not the rejects like you skyw).