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AA VS UAL Approach

Old 05-28-2020, 01:23 PM
  #11  
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Originally Posted by Downtime View Post
Add to it for the first time they denied extra early outs. Crazy times indeed. They only offered 55 this month and only on dead fleets

Yep, I think they are close to the fighting weight they want to be.


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Old 05-28-2020, 01:33 PM
  #12  
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Originally Posted by horrido27 View Post
It is strange how us and them are on different courses.
Got to wonder how much of the Parker/Kirby hatred is fueling this.
Bringing a new hire class in for training is literally nuts if they are planning to furlough them in 2 months.
Not that I wouldn't put it past management.. but you have to admit it's strange.

Crazy F'ing times~
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I was wondering the same. I think Parker is enjoying sticking his finger in Isom’s eye.
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Old 05-28-2020, 02:14 PM
  #13  
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Originally Posted by Downtime View Post
You are correct. The reason it made news was why train them to furlough them a month later.
Standard airline SOP. Hire to the day you furlough.
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Old 05-28-2020, 02:41 PM
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Originally Posted by ShyGuy View Post
Standard airline SOP. Hire to the day you furlough.

This isn’t hiring, it training a class that has been on the books waiting. They could easily let this class continue to wait, but have decided to start them on a timeline that would have them in the sims for Sept and October.

With the displacement bid that just closed, it wouldn’t make much sense to do this if they needed sims to train NB FOs for a 1 Oct furlough.


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Old 05-28-2020, 03:25 PM
  #15  
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Originally Posted by Laminar View Post
AA is in much greater financial troubles than UAL. However, they are treating the situation very differently.

AA DUI jail time CEO has claimed

No Bankruptcy

No Furloughs

New hire class training has resumed


UAL

Expect furloughs

Bankruptcy possible

Cut salaries

Useless training has stopped

Either AA peeps are going to be broadsided badly or everything over there is gum drops and rainbows
Words are cheap.

FWIW, SK @ UAL is also downplaying BK. Here's a summary of his presentation today at an investor conference:

https://viewfromthewing.com/united-airlines-no-plan-for-bankruptcy-will-use-mileageplus-to-raise-cash/
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Old 05-28-2020, 03:46 PM
  #16  
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A lot of people wonder why American is signaling no layoffs and plenty of cash to pay senior pilots 200k a year to sit at home, while United and Delta set up to be 30% smaller airlines. Is American really that different than United and Delta? The answer is no. They’re all in similar circumstances.

Just recently Doug Parker said American Airlines would never lose money again. I’m not saying anyone in aviation has a good crystal ball, just that Doug Parker’s crystal ball is horrifically bad. No doubt American will need to furlough in October 1.
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Old 05-28-2020, 04:09 PM
  #17  
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Originally Posted by iahflyr View Post
A lot of people wonder why American is signaling no layoffs and plenty of cash to pay senior pilots 200k a year to sit at home, while United and Delta set up to be 30% smaller airlines. Is American really that different than United and Delta? The answer is no. They’re all in similar circumstances.

Just recently Doug Parker said American Airlines would never lose money again. I’m not saying anyone in aviation has a good crystal ball, just that Doug Parker’s crystal ball is horrifically bad. No doubt American will need to furlough in October 1.

No we aren’t different early outs apparently are cheaper then furloughs. They have been shrinking from the top at a pretty impressive rate. Both with ERP and organically.
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Old 05-28-2020, 04:45 PM
  #18  
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Could it be there is nothing American can do affect the outcome? Even if American took drastic cost cutting measures, they are going bankrupt unless there is a very quick rebound in passenger loads. I'm suspecting they know their cash cannot outlast the forecasted return of passengers. It's not a matter of if, but when.

So why not press forward? If passenger loads miraculously return in Q3 or 4 and they were the only one who didn't shrink, AMR is in a better competitive position than either DAL or UAL. They just completed a "Doug" Flutie Hail Mary.

Last edited by Poss; 05-28-2020 at 05:13 PM.
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Old 05-28-2020, 05:26 PM
  #19  
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Originally Posted by Poss View Post
Could it be there is nothing American can do affect the outcome? Even if American took drastic cost cutting measures, they are going bankrupt unless there is a very quick rebound in passenger loads. I'm suspecting they know their cash cannot outlast the forecasted return of passengers. It's not a matter of if, but when.

So why not press forward? If passenger loads miraculously return in Q3 or 4 and they were the only one who didn't shrink, AMR is in a better competitive position than either DAL or UAL. They just completed a "Doug" Flutie Hail Mary.
This is what I was thinking .... you nailed it.
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Old 05-28-2020, 06:13 PM
  #20  
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Originally Posted by Downtime View Post
You are correct. The reason it made news was why train them to furlough them a month later.
Word on the street is that they were now told nevermind, we're not sure when training will resume.
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