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ASA/XJT update

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Looking at where the aircraft are being shuffled, I don't see any additional E-jets over to the Xjet side while additional Crj airframes are added to the Asa side. Not stirring the pot, but its pretty obvious what's going on. Unless the Xjet folks get on one list, it appears as if there will not be any additional flying awarded to that side. Again, this is purely my perception. You guys stick to fistacuffs and your PBS systems, but a 30,000 foot snapshot seems to be warranted. The UA TA has pay rates for the 175/900 and they seem intent to exercise them. I guess you have to decide where you want to wind up in a few years, management already knows where they want to be.....

And that TA also has a cap on uax airframes from what I have been told does not allow a grandfather clause.g. That means from what I have seen approx. 80 uax airframes will have to be removed if the current ta passes.
 
And the purchase of xjet was contingent on a deal with UAL to Exchange 75 erjs for seventy-seaters. If there is some kind of scope relief for larger RJs I would say lxjet has fror. However, I think we would like to see UAL stand strong and do all jet flying.
 
UAL TA scope:

No 76-seat aircraft until Jan. 1, 2014; current legacy United 70-seat and turboprop limits until then
- After Jan 1, 2014: Cap 70-/76-seat aircraft at 255 hulls; no more than 130 76-seat aircraft
- Q400 included in 76-seat aircraft count limits (currently no limit in legacy Continental contract)
- UAL currently has 148 70-seat aircraft and 35 Q400s
-United will have 168 large regional aircraft in its United Express fleet at the end of the year, according to a stock exchange filing. This includes 115 Bombardier CRJ700s, 15 Bombardier Q400s and 38 Embraer 170s. The airline also has an agreement with Republic Airways to increase the number of Q400s to 32 in 2013.
- Under United Pilot Agreement definitions, UAL currently has 183 of the
255 70/76-seat aircraft
• After Jan. 1, 2016: Cap 76-seat aircraft at 153
• Can only go above 153 76-seat aircraft if new small narrowbody aircraft added
to UAL fleet and forces reduction of 70-seat aircraft from 148 to 102 cap (max 325 70/76 seat aircraft if UAL adds 88 76+ seat aircraft)
• Must park 50-seat aircraft if going above 153 76-seat aircraft (125 50 seat aircraft maximum if 76 seat aircraft maximized)
• Maximum UAX hard cap of 450 total hulls, from current 588
 
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No doubt ASA/XJT/SKY will make out good on the United deal.. But it will go to the ASA side not XJT.. Im sure "inc" will bundle a good deal for CRJ900's for UA/AA maybe even DL.. not EMB175's...CP and RP will get any EMB's...There will be a price to pay, so don't think they won't do a 2-1 deal. Doesn't mater what the "contract" says. We are in business to please our partners....
 
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No doubt ASA/XJT/SKY will make out good on the United deal.. But it will go to the ASA side not XJT.. Im sure "inc" will bundle a good deal for CRJ900's for UA/AA maybe even DL.. not EMB175's...CP and RP will get any EMB's...There will be a price to pay, so don't think they won't do a 2-1 deal. Doesn't mater what the "contract" says. We are in business to please our partners....

The current CPA with CAL says that XJT has replacement rights for 70 aircraft. If we were still independent, we wouldn't have that clause in the CPA and we would still have aircraft coming off as leases start to expire. So, the status quo for us, cannot be any worse than our best case scenario as an independent. In other words, we've got nothing to lose. And our outlook has a possibility of being positive.
 
The current CPA with CAL says that XJT has replacement rights for 70 aircraft. If we were still independent, we wouldn't have that clause in the CPA and we would still have aircraft coming off as leases start to expire. So, the status quo for us, cannot be any worse than our best case scenario as an independent. In other words, we've got nothing to lose. And our outlook has a possibility of being positive.

And ASA/SKY just gve up longterm CRJ200 contracts to "please" Delta and swap them 2-1 with the OH/9E planes.. UA and "Inc" will come to a "deal".. But don't count on you 1-1 swap..... I think they will try to do 1-1 but United may ask for some help..
 
And ASA/SKY just gve up longterm CRJ200 contracts to "please" Delta and swap them 2-1 with the OH/9E planes.. UA and "Inc" will come to a "deal".. But don't count on you 1-1 swap..... I think they will try to do 1-1 but United may ask for some help..

It's not a one for one swap anyway. It's just replacement rights for the first 75 aircraft out of 209. Eventually all the leases will expire. My guess is they end up keeping the XRs and that would leave us with about 179 aircraft if they exercise all the replacement rights. That would be a reduction of about 95 aircraft from our peak.

Even though the TA doesn't require a reduction of 50 seat aircraft until 2016 (if mainline gets their 88 small narrow body aircraft), to me it's clear that we will lose some of those ERJs anyway.
 
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