ASA & Expressjet Newest

[buscap]

From the ASA MEC

Dear fellow ASA pilots:

Recently I, along with MEC Vice Chairman Sterling Roach, MEC Negotiating Chairman Chris Mankamyer and officers of the ExpressJet MEC met with SkyWest CEO Jerry Atkin, Atlantic Southeast President and COO Brad Holt and ASA VP Flight Operations Charlie Tutt to further discuss details of the ongoing merger transaction.

There are a multitude of items that must be accomplished to the satisfaction of both MEC’s to ensure a smooth merger process – those discussions generally are proceeding amicably. Though one large issue is the status and interpretation of the Scope and Successorship section of the XJT Contract, specifically Letter 1, often referred to as the ‘Holding Company Letter’ and whether or not it compels the integration of all carriers under SkyWest Inc. Jerry Aktin and Brad Holt reiterated their intent that this deal is only about the merger of ASA and XJT and will not include integration of SkyWest Airlines. However, a commitment was made to ALPA to provide certain specific guarantees relating to protections against whipsaw in the areas of staffing, transfers of aircraft and so on. These items and others would be incorporated into a formal Transition Agreement, assuming the merger process moves forward. In terms of the scope language in our current ASA Contract, the merger plans as we know them are compliant.
With the above commitment in concept, Atkin and Holt indicated that ALPA’s acceptance of the terms of the proposed purchase agreement would be required in order for the transaction to proceed (merging only ASA and XJT). Otherwise, SkyWest Inc. would likely withdraw from the transaction and move on.

This week, the ASA and ExpressJet MECs are in session separately with legal and other staff professionals to discuss the commitments made and the transaction details necessary to navigate through this process and ensure the best outcome for the future of our careers.

Tailwinds and fly safe,

 

[JumpersAway]

Interesting. Looks as if they want everyone on board from both parties, or the party is over. I guess the bottom line is that it is up to the ExpressJet pilots. If they're not on board, they've got the power to tank the deal and soldier on. The next move appears to be in their court.

 

[79%N1]

Here we go!!!

My opinion, this deal will never be done. XJT will kill the deal demanding the integration with Skywest. (Which is their right) What happens next is anybody's guess for XJT. My guess is they will need further concessions to their contract anyway - and a lot more so than if they went with ASA - to stave off further financial woes or bankrupcy.

Good luck with your decision.....

 

[JumpersAway]

Well at least it's an option for them. I'd like to work with the ExpressJet folks- a fantastic pilot group and absolutely the level of professionals I'd like to work with. However, I have to be honest here also. I have no desire to work in a hostile, unhappy, and devisive work environment with lots of whining and complaining. I enjoy things here, and I hope to keep enjoying things here. Sure, there is definately room for improvement, and it's my hope we're able to do that with the help of our bretheren at ExpressJet. We will see.

At least the ExpressJet have absolute control over their own future now.

 

[ASA Captain]

They would be stupid to let this go down the drain. But, it is their choice.

Maybe if they can secure language to block any whipsaw they could be happy with it.

It boils down to who's got better lawyers and who the judge will be that decides the terms of the XJT scope.

We'll be waiting.

 

[Jetjockey]

Good for you guys. There is power in numbers. Make them merge all 3 lists! NO MORE WHIPSAWING! Look back at history when Eagle was 5 different airlines. AMR could no longer whipsaw all the different pilot groups.

STRENGTH IN NUMBERS, STRENGTH IN UNITY!

 

[79%N1]

Except if XJT's lawyers win.....they lose! If they can bind SKYW to their 3 way merger, Skywest is 100% most definitely dropping the buy! So, they don't get any merger, they go back to going it alone, which is fine! I would rather they do that. They are NEVE going to get the 3 way merger done, but we can secure other provisions to protect our side.

Which will it be?

 

[wms]

Good for you guys. There is power in numbers. Make them merge all 3 lists! NO MORE WHIPSAWING! Look back at history when Eagle was 5 different airlines. AMR could no longer whipsaw all the different pilot groups.

STRENGTH IN NUMBERS, STRENGTH IN UNITY!

No more whipsawing? There hasn't been any here.

As an ASA pilot I don't want to merge with the SKYW pilots. I hope the deal goes through, but I'd rather grow than merge.

 

[Jetjockey]

SKWY wants this merger. It's like a guy at a car dealer. He says if he doesn't get the deal he wants,he's walking away. the bottom line is he wants the car, he needs the car. I think that is purely management posturing. They want it their way. They have been used to getting their way. The pendulum is swinging towards labor now. I'd say with that letter, you can get what you want. It's the fly in Jerry's ointment.

If the merger falls through, Expressjet will be just fine. The way I see it is, Skywest NEEDS this merger. XJT is positioned very well with a solid operation and jets that conform to the scope clause. Either way, XJT comes out a winner.

Use that leverage to your advantage.

 

[wms]

SKWY wants this merger. It's like a guy at a car dealer. He says if he doesn't get the deal he wants,he's walking away. the bottom line is he wants the car, he needs the car. I think that is purely management posturing. They want it their way. They have been used to getting their way. The pendulum is swinging towards labor now. I'd say with that letter, you can get what you want. It's the fly in Jerry's ointment.

If the merger falls through, Expressjet will be just fine. The way I see it is, Skywest NEEDS this merger. XJT is positioned very well with a solid operation and jets that conform to the scope clause. Either way, XJT comes out a winner.

Use that leverage to your advantage.

SKYW wants the flying and the easiest way is to merge. And it's the best way for the XE employees. But if it means a three way merger, JA will let XE go the way of OH and buy the planes at a fire sale. The problem then is trying to hire fast enough to keep up with the growth.