a MAJOR announcement @ SkyWest

[FlyDeltasJets]

The way our contract reads is that Delta can codeshare with whomever they want as long as that airline only operates planes with 70 seats or fewer (with certain Block hour restrictions). If they want to codeshare with any domestic airline with any airplanes in their fleet larger than 70 seats, they need the permission of DALPA. That is why we needed to enter negotiations before the NWA/CAL codeshare was approved, mgt needed our permission.

Since Eagle does not have anything over 70 seats, mgt did not need our permission.

Hope this helps.

 

[Russ]

FDJ
Please answer my question as to the why. Why does it bother/scare DALPA that they had to have this written into the contract? You have dodged the issue. Don't you see it as unfare to SkyWest? Its essentially none of your Buisness what SkyWest does for UA on the West Coast, short of any coherent answer you can give. Or will it be the usual, because its in the contract. As to SkyWest getting the larger jets, I don't know if it will happen. I do know however they are planning on the possibility. I further know they still value the D contract. I would find it hard to fathom that they would spend this much time and effort to consider it if it was so iron clad as you pronounce. UA ALPA had an iron clad , industry leading contract just a short time ago.

 

[RJFlyer]

I was jumpseating on Skywest recently, and the Capt (who was VERY senior) said that Boeing had been on property with an aircraft (don't remember if he said it was the 717 or the 737-500), talking w/Skywest mgmt. He said they are considering getting either the 717 or the 737-500 in order to service their own city pairs. He said, for example, that the cities of Eugene, OR and San Jose, CA approached Skywest to begin service between their cities, and that they had to turn it down because DAL said "No!" He stated that Skywest was considering cancelling code share with both DAL and UAL and doing their own thing, and if they happened to connect a DAL or UAL pax, all the better.

Could be an interesting time to be at Skywest...

 

[46Driver]

Thought I would ask: is Skywest owned by itself or is it owned by a holding company? (For example, ACAI owns ACA and AC Jet) If Delta is contracted with SkyWest but the holding company owns SkyWest and as yet unnamed subsidary, could the other subsidary fly aircraft bigger than 70 seats? And if SkyWest's contract is like ours, it says the ACAI - not ACA - has to use pilots on our seniority list - keeps management from breaking us up. At any rate, interesting times...

 

[Mayday911]

If anyone gets a contract for 70 seaters to be flown for United, I think that it will be Mesa. I don't see how any other company can go lower than them on the contract bid.

Mayday.

 

[jetflyer]

Skywest could cut all their non-unionized employee's pay and undercut anyone.

 

[maddog805]

HAHA

Yeah that'll happen......

 

[SSDD]

Skywest is dangling a carrot for their pilots. They want them to take a paycut now in exchange for MAYBE flying 90 or 100 seaters in the future. It won't happen, they have no intention of branching out on their own, unless UA shuts down or they loose the DL codeshare. The risks are too many for this conservative group.

 

[Jeepman]

Actually what management wants to do is fly a 70 seat for 50 seat pay, or a 90 seat at who knows what pay.
.

 

[Splert]

Risk is a two-sided coin.

If they do nothing SkyWest’s growth ends Dec. ’03.

SkyWest has 37 jets coming on line though 2003. However, some of these 37 jets can be cancelled and might depending on UAL (most are for UAL).

After 2003 SkyWest has conditional orders for 29 RJ’s that are slated to fly for no one. SkyWest’s code share partners have not said they want those additional aircraft. Without a new code share partner that wants more jets or other expansion opportunities SkyWest’s growth will be static at best.

No growth plus smaller margins equals a pathetic stock price that does not make the board of directors happy.

SkyWest said that they are looking at two different acquisition opportunities right now.

Essentially I think, SkyWest can do nothing and suffer or they can branch out and suffer. However, the rewards may be greater with one or the other. Which one? I have no idea.

Splert

 

[Rvrrat]

Risk is a two-sided coin.
<snip>
No growth plus smaller margins equals a pathetic stock price that does not make the board of directors happy.

SkyWest said that they are looking at two different acquisition opportunities right now.

Essentially I think, SkyWest can do nothing and suffer or they can branch out and suffer. <snip>

Splert

Business critical mass. Too big to remain the same, not quite big enough to expand without gambling.

Think of it in terms of being trans-sonic slowly accelerating through and past mach one. There's a period where stability is shakey.

SKYW's financials are in good enough shape that the possibility to accelerate through the region of instability quickly and come out a winner is likely. All depends on the choice made.

 

[flying4food]

I sounds as though some of you have been sucking on that glass pipe!!!

 

[Splert]

Okay...

Thanks for the valuable insight.

Really neat stuff you are contributing.

Thanks again,

Splert

 

[flying4food]

Okay...

Thanks for the valuable insight.

Really neat stuff you are contributing.

Thanks again,

Splert

Have you looked at some of the replies on this thread?? I mean, come on!! It appears some of these guys are on mind altering substances!!!

 

[Splert]

Specifics are always better received and more helpful than general insults.

Splert