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ExpressJet $10 million concessions?

  • Thread starter Thread starter Freebrd
  • Start date Start date
  • Watchers Watchers 39

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I heard something funny today. Apparently, someone was raving about DAL trying to buy XJet back. Allegedly in September, DAL approached JA for the purchase, but SkyWest Inc. turned them down. I'm sure we would have been run through the financial wringer just the same as PCL if that was to actually transpire. I'm curious to know why SkyWest Inc. decided to hold onto us.
 
No, there were many pieces in the eventual puzzle that had to come together. The 50 seaters were in the way out, eventually. I saw the lease dates, over 300 of the 50 seaters had leases through 2015. Keeping them all would have delayed any "100 seater" (717 or something similar like E190 etc) until at least 2015 because there would be too many seats available in the market. So, allowing 70 more 76 seaters gave the incentive to the manufacturers to try to make a deal to take back some of the 50 seaters earlier (than the lease allowed). I believe Bombardier will take 60 of them back with the purchase of the 76 seaters. The recent rumor about mainline looking at 24-30 737s or 320s also has a string attached to take even more of the 50 seaters with them also. So, dumping the 50 seaters allows the remaining 70 and 76 seaters to cover the outgoing 50 seater routes, which in turn allows the 717s to finally recapture old mainline routes that were given to 70 and 76 seaters, thus returning some routes full circle back to mainline. The whole plan actually is pure genius. Even the pay rates on the 717 are good, especially by 2015, with Capt rates at 12th year at $195 an hour, on the smallest mainline plane by then. Then, adding 88 717s over 3 years and 14 MD90s could eventually add 1000 or so mainline jobs, which is good for future hires.



Bye Bye---General Lee

Help me with this Gen Lee. At what point does Delta have to be at 125 CR2s?
 
The Embraer sales team is flying in a E175 on this Friday according to Brads update. That helps explain the large RJ rates with L-XJT

Sent from my HTC One X+ using Tapatalk 2
 
To whom are they selling the airplane, Management, or the employees? I don't write checks for airplanes.

Or do I?
 
Dangling that aircraft in front of us and negotiating with L-Xjet only?

Naaaaaa no carrot on a stick......naaaaaaa
 
Dangling that aircraft in front of us and negotiating with L-Xjet only?

Naaaaaa no carrot on a stick......naaaaaaa

So the joke goes... "how many pilots does it take to screw in a light bulb? Just one, but he stands there holding the bulb while the world revolves around him"

When are you people going to learn it has so little to do with us. You really think the GO would orchestrate an E-175 Demo JUST for contract negotiations? Just to "dangle a carrot"??? Honestly I have no idea why Embraer would ever come to our GO since our decision makers are in St. George and the DAL decision makers are on the east end of the field. I do highly doubt it has ANYthing to do with our pilot group.
 
It's when the final 70th 70 seater shows up after the last 717 hits the line

Sent from my HTC One X+ using Tapatalk 2

That would be about 3 years I believe. DL gets 16 717s this year, and 36 each the next two years. Combine that with 13 MD90s this year and retirements over the next 5 years, and there will be some hiring.


Bye Bye---General Lee
 

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