ASA gets 13 CRJ-900's, Loses SLC

[SSDD]

Fins,

You are one of the few people on this board who gets it. JA is one of the most knowledgeable management types around. You can bet he's got plans B, C, D, maybe all the way down to J or K. He's a straight shooter, and a lot of people understimate him because they keep looking for the "angle". Hell, he even knew the DL pilots better than our illustrious General. He knew the 900 (not 705's) airframes would be agreed upon and he ordered them before there was even a TA.

We haven't always seen eye to eye, he is a businessman, but he is not your typical management type.

 

[USCtrojan]

Salt Lake Tribune

You can't be serious !!!!

Nothing that is put forth by mgmt should be taken seriousely until the new contract is finished. Its all about posturing and negotiating at this time.

The only reason the SLC closure was announced prior to the new agreement is JA knew he would have a riot on his hands if he concealed that info prior to a new agreement. The guy does appear to have some integrity.

Your statement about JA bluffing I clearly don't understand. He is in a very weak position at this point. If we had a work stoppage or slowdown he would bleed money. the new Delta fleet plan is out and he needs to respond quickly or potentially lose business to other regionals. His ASA investment gamble is at a point of do or die.



The Salt Lake Tribune put out a detailed article a few months ago about the acquisition of ASA. Jerry, with a little detail, pointed out that Skywest bought ASA for exactly how much the assets were worth. So, if the pilots strike, he can mimimize his losses by selling his assets or transferring them as he's announced now. The fact ASA makes a boatload of money is/was an added bonus. That's our ace right there. We are a very profitable company. Other than that, what is ASA to Jerry? It's just a company with assets he can sell/deteriorate/eliminate. Skywest is his baby. Started with a Seneca, I believe. That's his company, his dream. He will not let a Union run his Company. Which, is great for us in most regards. However, we need to insure that he does hold to his promises.

Trojan

 

[Plug]

Yeah, soon ASA FO's will have the option of bidding IRO slots for those 8+ hour turns. Look at STX. It is blocked right at 8 hours, or very close to it. Throw an IRO on that "comfy" jumpseat and call him/her an IRO. No wonder why DAL is losing money!

 

[Sinca3]

Fins,

You are one of the few people on this board who gets it. JA is one of the most knowledgeable management types around. You can bet he's got plans B, C, D, maybe all the way down to J or K. He's a straight shooter, and a lot of people understimate him because they keep looking for the "angle". Hell, he even knew the DL pilots better than our illustrious General. He knew the 900 (not 705's) airframes would be agreed upon and he ordered them before there was even a TA.

We haven't always seen eye to eye, he is a businessman, but he is not your typical management type.

Actully those 705 were already on order for/by ASA before Skywest bought us.

 

[SSDD]

There may have been options, but they were not ordered. Big difference. Also Skywest is not getting 705's, they're getting 900 airframes. With the 705 you can't add anymore seats at a later date. Again, keeping their options open.

 

[JoeMerchant]

You can't be serious !!!!

Nothing that is put forth by mgmt should be taken seriousely until the new contract is finished. Its all about posturing and negotiating at this time.

Why shouldn't it be taken seriously? It is ALPA that shouldn't be taken seriously. Blindly following ALPA will simply result in ASA shrinking. We are a subsidiary of a company that receives revenue from two extremely weak companies and that has a declining profit margin. The other pilot group in this company is non-union. This is not a strong position to be in.

The only reason the SLC closure was announced prior to the new agreement is JA knew he would have a riot on his hands if he concealed that info prior to a new agreement. The guy does appear to have some integrity.

Your statement about JA bluffing I clearly don't understand. He is in a very weak position at this point. If we had a work stoppage or slowdown he would bleed money. the new Delta fleet plan is out and he needs to respond quickly or potentially lose business to other regionals. His ASA investment gamble is at a point of do or die.

At this point in time he wants a contract done ASAP so the new Delta fleet plan can be implemented. I predict a TA by the end of the 1st week of June.


~~~~~~ don't go soft on me now.

He wants a contract ASAP, but not at the cost structure that ALPA is asking for. This should be a wake-up call to all you ALPA flag wavers. If our costs get out of line, there is nothing that will stop Jerry from transferring assets to SKYW. There is nothing that the almighty ALPA can do to stop this.

 

[HoserASA]

Why shouldn't it be taken seriously? It is ALPA that shouldn't be taken seriously. Blindly following ALPA will simply result in ASA shrinking. We are a subsidiary of a company that receives revenue from two extremely weak companies and that has a declining profit margin. The other pilot group in this company is non-union. This is not a strong position to be in.



He wants a contract ASAP, but not at the cost structure that ALPA is asking for. This should be a wake-up call to all you ALPA flag wavers. If our costs get out of line, there is nothing that will stop Jerry from transferring assets to SKYW. There is nothing that the almighty ALPA can do to stop this.

Hereeeeeeeeeeeee's....Johnny....again! Guess you had to rest up for a few weeks before you started back with the same old crap on here and the ASA message boards eh John?

Hoser

Oh yeah, almost forgot John, ALPA Speaks For Me!

 

[rjcap]

Why shouldn't it be taken seriously? It is ALPA that shouldn't be taken seriously. Blindly following ALPA will simply result in ASA shrinking. We are a subsidiary of a company that receives revenue from two extremely weak companies and that has a declining profit margin. The other pilot group in this company is non-union. This is not a strong position to be in.



He wants a contract ASAP, but not at the cost structure that ALPA is asking for. This should be a wake-up call to all you ALPA flag wavers. If our costs get out of line, there is nothing that will stop Jerry from transferring assets to SKYW. There is nothing that the almighty ALPA can do to stop this.

You very likely missed the point of my comments.

I don't believe any of this 70 seat B.S. We are not too expensive and ultimately it won't matter because the 50's are less economical to operate then 70's. The 50's will slowly be replaced with 70's because of the economic advantages that are far outweighted by the small hourly crew pay differential. Read the following:

Valid economics
According to GECAS data, the economics of the 50-seater remain valid, especially when compared with a 70-seat regional jet. Figures supplied by the lessor indicate that with fuel at $0.53/litre ($2.02/USgal), unit costs on a 550km (300nm) trip are almost identical for 50- and 70-seaters at a little under 10¢/km, and total dollar spend drops almost 36% from $3,725 for the larger aircraft to $2,741 for the 50-seater.

If JA wants to open an ATL base for Skywest pilots then so be it.

If JA wants to phase ASA out then so be it. It won't be because we're too expensive but more then likley that we're such a sloppy operation.

Merchant you bore me with your ranting and raving.

 

[Smacktard]

You very likely missed the point of my comments.

I don't believe any of this 70 seat B.S. We are not too expensive and ultimately it won't matter because the 50's are less economical to operate then 70's. The 50's will slowly be replaced with 70's because of the economic advantages that are far outweighted by the small hourly crew pay differential. Read the following:

Valid economics
According to GECAS data, the economics of the 50-seater remain valid, especially when compared with a 70-seat regional jet. Figures supplied by the lessor indicate that with fuel at $0.53/litre ($2.02/USgal), unit costs on a 550km (300nm) trip are almost identical for 50- and 70-seaters at a little under 10¢/km, and total dollar spend drops almost 36% from $3,725 for the larger aircraft to $2,741 for the 50-seater.

If JA wants to open an ATL base for Skywest pilots then so be it.

If JA wants to phase ASA out then so be it. It won't be because we're too expensive but more then likley that we're such a sloppy operation.

Merchant you bore me with your ranting and raving.

Hey, where's the footnote? That came from my thread!

 

[~~~^~~~]

RJ Cap:

Not too sure that I understand your quote. If block hour costs are the same, then the -700 really puts the 50 in the dirt with its 40% greater revenue capacity. Who knows what Delta pays us to fly these things. The numbers I've seen represent the -700 to be around 15% more to operate than a -200 and the 900's to be another 4 to 5% on top of the -700.

I agree with you that Crew Costs are not the determining factor, but they are a part of sum Jerry Atkin looks at when deciding where to deploy his assets. I think Atlanta was always where the 705/900's were headed because we are Delta's primary hub and the feed is needed here more than elsewhere. But it costs Skywest next to nothing to route their -700's through ATL on 4 day trips.

Another factor is that no one wants to bid the -700/-900 left seat at its current pay rates. Will ASA management like having that airplane as the "junior upgrade?"

The answer might just be a blended list.

~~~^~~~