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Skywest Prospectus--says it all here.....

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USCtrojan

KolobWestwind
Joined
Feb 26, 2004
Posts
1,942
Just got the annual report for Skywest. You decide for yourself....Page 18....

We may not achieve the potential benefits of the ASA acquisition

Our achievement of the potential benefits of the ASA acquisition will depend, in substantial part, on our ability to successfully implement our business strategy, including improving the utilization of equipment and facilities, increasing employee productivity and allocating overhead and administrative expenses over a larger platform. We will be unable to achieve the potential benefits of the ASA acquisition unless we are able to efficiently integrate the SkyWest Airlines and ASA operating platforms in a timely manner. The integration of SkyWest Airlines and ASA may be costly, complex and time-consuming, and the managements of SkyWest Airlines and ASA will have to devote substantial effort to such integration. If we are not able to successfully achieve these objectives, the potential benefits of the ASA acquisition may not be realized fully or at all, or they may take longer to realize than expected. In addition, assumptions underlying estimates of expected cost savings and expected revenues may be inaccurate, or general industry and business conditions may deteriorate. Our combined operations with ASA may experience increased competition that limits our ability to expand our business. We cannot assure you that the ASA acquisition will result in combined results of operations and financial condition consistent with our expectations or superior to what we and ASA could have achieved independently.

They've been wanting to integrate us all along. However, I feel it's clear, Jerry will not move forward with this unless we have a reasonable cost effective contract. Let's get this thing done. Scope is by far the most important.....

Trojan
 
There was something similar to this in the last annual report. There won't be a merger of the pilot groups as long as they can whipsaw us. And don't hold your breath for the SkyWest pilots to join ALPA anytime soon. We have too many "I'm just happy to be here", "ALPA? What's ALPA?", " We don't need ALPA here, they didn't do crap for me at my previous airline","Why do we need ALPA? Jerry will always take care of us" pilots here.
 
There was something similar to this in the last annual report. There won't be a merger of the pilot groups as long as they can whipsaw us. And don't hold your breath for the SkyWest pilots to join ALPA anytime soon. We have too many "I'm just happy to be here", "ALPA? What's ALPA?", " We don't need ALPA here, they didn't do crap for me at my previous airline","Why do we need ALPA? Jerry will always take care of us" pilots here.

Funny, I didn't read that in the prospectus. It basically said they bought ASA to combine it into ONE so SkyWest can receive the benefits of the purchase. Now, they did mention it may not happen due to (my guess) our labor group contract negotiations. Namely the pilots. Whether your Union or not will not matter.

Trojan
 
Those kinds of weasel words are absolutely standard fare in a prospectus...they are basically required to say that kind of stuff, to cover all possible bases.

I'm one of those "alpa didn't do crap for me at my last airline" guys...rembember that old saw "Fool me once, shame on you. Fool me twice, shame one me"

Most reasonable people don't buy the same snake oil from the same con-artists more than once...why would you expect me to? With that being said if alpa can PROVE by actually DOING IT (vice blowing sunshine up my @ss) that they:

a) Care about regionals
b) Are able to improve a few of the ones which are ALREADY paying dues (in the post 9/11 world). Fixing Mesa should do the trick...

I will cheerfully vote them in. A functional union is certainly better than no union, but no union is better than alpa at SKW for now.
 
Those kinds of weasel words are absolutely standard fare in a prospectus...they are basically required to say that kind of stuff, to cover all possible bases.
True, but those are also the kind of words that get consideration during the hearing of a Single Carrier Petition.
 
Fins,

This theme keeps going around in circles! Is ASA filing for single carrier, as you should have months ago, or is ALPA opposing it because they are afraid that with an integrated seniority list they will be voted out?

BTW as far as the prospectus, I think people are reading too much into it. As far as the company goes "integration" means just about everything but the pilot's seniority list.
 
I think it's about the bottom line for the holding company, what's gonna make them more money over time. Obviously two certificates are beneficial but two pilot groups may not be, especially when ASA gets a labor agreement that may be cheaper than Skywest Airlines. It's hard to predict anything but from a performance perspective I'd bet they'd be better off with one pilot group even if it involves an organized union. Maybe I'm just being optimistic but it seems that integrating departments, having more spares and resources like labor would cut costs. The benefit of the whipsaw is short lived when you start pissing people off every time a contract comes up and performance goes to poop.
 
yawn.... The problem is management. They control the costs and the operation. Look at ASA and you'll see the problems. Do the pilots and FAs have any control or input to the running of the operation? No.

Which group made the decision to close SLC? Which group made the decision to transfer 4 700s from ASA to Skywest Airlines? They didn't call me on either but they did comment that it cost too much to transfer the aircraft, after the fact, and that closing SLC as a base was a mistake.
 
"Integrating the operating platforms" to achieve cost savings and merging the two airlines are two COMPLETELY different things. Don't be naive enough to confuse them.
 
"Integrating the operating platforms" to achieve cost savings and merging the two airlines are two COMPLETELY different things. Don't be naive enough to confuse them.

Whatever. If Skywest Inc. was to simply integrate and operate them separately, it would not be COSTLY. They'd keep on keepin' on in the words of Joe Dirt. Just because you throw a couple of your own people to Atlanta, and change the sign to SkyWest in front of ASA's GO would NOT be costly. A costly integration implies a merging, plain and simple. ASA may single handedly bring about the "passenger bill of rights." I'd say it's worth getting rid of the brand for that reason alone.

Trojan
 
To add more fuel to the fire.....

Summary Compensation table...

Jerry C. Atkin.......$1,532,408
Bradford R. Rich....$926,382
Ronald B. Reber.....$962,438
and the one that personally kills me:

Brian Retard LaBrecque......$450,629 This guy ain't worth our FO first year pay. He's making almost a half mill in a year. Dam.

Trojan
 
To add more fuel to the fire.....

Summary Compensation table...

Jerry C. Atkin.......$1,532,408
Bradford R. Rich....$926,382
Ronald B. Reber.....$962,438
and the one that personally kills me:

Brian Retard LaBrecque......$450,629 This guy ain't worth our FO first year pay. He's making almost a half mill in a year. Dam.

Trojan







You're not taking into account the extremely high cost of living in St. George, and don't forget...we managed to squeak out either a 0 or 1% raise too!
 
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yawn.... The problem is management. They control the costs and the operation. Look at ASA and you'll see the problems. Do the pilots and FAs have any control or input to the running of the operation? No.

Which group made the decision to close SLC? Which group made the decision to transfer 4 700s from ASA to Skywest Airlines? They didn't call me on either but they did comment that it cost too much to transfer the aircraft, after the fact, and that closing SLC as a base was a mistake.

Which group is usually the one to close any domicile at any airline? Ask a United pilot if they were the ones who chose to close CLE. Ask a USAir guy if they chose to close SAN, LAX, or SFO.

P.S. SkyWest has had 6 domiciles close in its history.
 
Which group is usually the one to close any domicile at any airline? Ask a United pilot if they were the ones who chose to close CLE. Ask a USAir guy if they chose to close SAN, LAX, or SFO.

P.S. SkyWest has had 6 domiciles close in its history.

And your point is?
 
"Integrating the operating platforms" to achieve cost savings and merging the two airlines are two COMPLETELY different things. Don't be naive enough to confuse them.

I agree. One of the things they are currently integrating together is the maint. department. That way any ASA plane can be fixed at a SKYW base and vice-versa. It's a lot more cost-effective to operate that way. As of a month or so ago, a ASA plane could not be fixed by a SKYW mechanic and the other way around. FAA wouldn't allow it. Now they are integrating the two for that reason. It will save them a lot of money.
Skywest managment knows if they screw up pretty bad we will get a union next day. They don't want a union around because they feel they need to change things more than once every four years to adapt to the industry. That wouldn't be possible with a UNION CONTRACT.
If anybody here can tell me one thing that would currently improve at Skywest with ALPA, I will vote tomorrow.
It's only my opnion, but ALPA is only a good union when you have a good management. Talk to a FEDEX guy and with a USAir or Mesa and you will get two different views of ALPA.
 

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