Airtran calling back more pilots!! Upgrades too!

[Stifler's Mom]

Congrats on the recalls if true.

How many are furloughed currently?

How much will this cost AirTran in training costs to qualify these pilots again compared to the savings by furloughing to begin with?

A recall so soon after a furlough gives the impression that mgmt doesn't know what's going on from month-to-month.

 

[PCL_128]

A recall so soon after a furlough gives the impression that mgmt doesn't know what's going on from month-to-month.

Bingo.

 

[zman]

80 of 169 is the number so far

 

[maxblast72]

A recall so soon after a furlough gives the impression that mgmt doesn't know what's going on from month-to-month.

The furlough decision was made when Jet A was north of $4/gallon causing Airtran's weekly fuel bill to be over $30 million. Now, our weekly fuel bill has dropped to about $10 million.

Our management wasn't the only was that wasn't betting on oil dropping this much this fast. Southwest, United, Delta, USAirway, and Continental all have burned cash with upside hedges or the unwinding of hedge positions.

Lets welcome back our furloughees and turn our attention towards our 2009 negotiations as we are starting to gain some leverage as our 2009 earnings estimates continue to be revised upwards every month.

 

[contrail67]

The furlough decision was made when Jet A was north of $4/gallon causing Airtran's weekly fuel bill to be over $30 million. Now, our weekly fuel bill has dropped to about $10 million.

Our management wasn't the only was that wasn't betting on oil dropping this much this fast. Southwest, United, Delta, USAirway, and Continental all have burned cash with upside hedges or the unwinding of hedge positions.

Lets welcome back our furloughees and turn our attention towards our 2009 negotiations as we are starting to gain some leverage as our 2009 earnings estimates continue to be revised upwards every month.

This should be the last quarter for those upside down hedges....let the games begin then.

 

[Flying-Corporal]

turn our attention towards our 2009 negotiations as we are starting to gain some leverage as our 2009 earnings estimates continue to be revised upwards every month.

Don't forget that fuel is not the only variable in this complex game. From what the news are broadcasting the economy is just about to tank which more likely drag down the entire aviation industry along with it. I doubt anybody would be able negotiate anything then.

 

[maxblast72]

Don't forget that fuel is not the only variable in this complex game. From what the news are broadcasting the economy is just about to tank which more likely drag down the entire aviation industry along with it. I doubt anybody would be able negotiate anything then.

I agree it is a complex game. However, two favorable things happen for Airtran during slow economic times. Legacy carriers cut large amounts of domestic capacity and fuel prices trend lower. The analysts like Airtran's business model in this environment and have been increasing 2009 earnings estimates as fuel prices continue to decline. They are betting the magnitude of the fuel cost decline will trump any RASM declines for Airtran.

It appears Airtran is getting into position to capitalize on any major capacity reductions by other airlines by beefing up staffing levels heading into the spring break/summer busy travel seasons.

 

[scarlet]

Any one get the letter from AT yet?? I believe you have 30 days to respond?

 

[m80drvr]

Thank god Parker (USAirways) just reaffirmed our furlough schedule until april 09.

Congrats to the airtran guys, be thankful you don't work for usair.

 

[RiddleEagle18]

any current furloughed AT guys living or working in SRQ?? Send me a PM if you have a few minutes. Thanks.