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So how is it that Compass will be cheaper going forward? Almost all of their pilots will flow to Delta in fairly short order wich causes many training events and lack of pilots. The 175 is not as effecient as the 900 either so that operation has higher fuel costs which impacts Delta. They could give them 900s but the training costs and lack of pilots would be a probelm.
The words "legacy" and "Pinnacle" together just made me throw up in my mouth a little bit...
The cost savings, which is HUGE is that no FO is higher than 3rd yr pay, Capts are no higher than 5 yr pay, virtually no one has more than 2 wks vacation and the median age of the pilot group is correspondingly low, so sick time use is low.
Additionally pilots seem to forget that they are not the ONLY cost. You have FAs that have relatively low industry pay rates (and again no one there at hight than about 6 yr pay scale) and the same for their mechanics.
It really is quite that simple.
Look at the date on the linked letter dingbat.
The real question is who can get the loans? Will Delta. Or is it up to the "regional"..if Delta does.
Skywest, Inc has a lot of cash