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MooseTrax
Well-known member
- Joined
- Jun 22, 2002
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- 171
Dart,
According to the MEC announcement and some WOM, the CEO is courting with Boeing to restructure current leases to free up more cash in the near term as they were very heavily loaded. I even heard that they are looking into the possibilities of some 737-500s to fill the 100 seat acft billet as someone (maybe UAL) is parking some somewhere. The regional CP position in LA was cut as part of a way to save some cash too. As far as training goes I haven't heard a word on when the machine will start up. I think the -500 issue seems interesting, certainly advantageous to keep a like type jet for training and mx purposes.
According to the MEC announcement and some WOM, the CEO is courting with Boeing to restructure current leases to free up more cash in the near term as they were very heavily loaded. I even heard that they are looking into the possibilities of some 737-500s to fill the 100 seat acft billet as someone (maybe UAL) is parking some somewhere. The regional CP position in LA was cut as part of a way to save some cash too. As far as training goes I haven't heard a word on when the machine will start up. I think the -500 issue seems interesting, certainly advantageous to keep a like type jet for training and mx purposes.
I don't think anyone can say with any certainty.
Certainly no hiring likely anytime soon.
Q2 results haven't been released yet, but our MEC is having a meeting with the company towards the end of this week I believe. The company was forecasting a loss, but I'm hoping with July's impressive load factor that we will be at least close to breaking even.
The FA's voted their concessionary agreement down, but it doesn't really matter too much as the amount they were giving up (especially this year) was more or less insignificant.
I think some of the B-757 lease payments have or will be renegotiated for lower interest rates. It looks as though the B-717 deal has fallen through. No B-717s anytime soon.
The company will be flying more out of IND this fall, but NWAC is also planning a big expansion in what appears to be attempts to try and kill ATA. Gulp.
First class seating should be here in a few months, and supposedly we are still on track for low cost INTL-trans ATL next year.
Rumors have it ATA's ATSB loan will have to be renegotiated or ATA will default. Still the lowest credit rating of any non-bankrupt carrier. With a very low unrestricted cash reserve I believe ATA will have to make a significant profit in Q3 or get outside investment to stay out of BK court during the winter.
Wish I had better news.
Certainly no hiring likely anytime soon.
Q2 results haven't been released yet, but our MEC is having a meeting with the company towards the end of this week I believe. The company was forecasting a loss, but I'm hoping with July's impressive load factor that we will be at least close to breaking even.
The FA's voted their concessionary agreement down, but it doesn't really matter too much as the amount they were giving up (especially this year) was more or less insignificant.
I think some of the B-757 lease payments have or will be renegotiated for lower interest rates. It looks as though the B-717 deal has fallen through. No B-717s anytime soon.
The company will be flying more out of IND this fall, but NWAC is also planning a big expansion in what appears to be attempts to try and kill ATA. Gulp.
First class seating should be here in a few months, and supposedly we are still on track for low cost INTL-trans ATL next year.
Rumors have it ATA's ATSB loan will have to be renegotiated or ATA will default. Still the lowest credit rating of any non-bankrupt carrier. With a very low unrestricted cash reserve I believe ATA will have to make a significant profit in Q3 or get outside investment to stay out of BK court during the winter.
Wish I had better news.
ataopsdave
Well-known member
- Joined
- Feb 11, 2003
- Posts
- 272
Does ATA have the cash to go to Chapter 11? Aren't they critically low or is that even a concern these days? I can't imagine NWA can afford to fight it out in fare wars either right now though...something has to give here soon. Oil is $44 a barrell and climbing...I picked the wrong week to quit sniffing glue that's for sure.
I think most of us picked the wrong decade to stop sniffing glue.
Anyway, it is debateable whether ATA has enough cash to go into CH 11. I assume they do, although some have said otherwise. I think the decision rests with the creditors, lessors and bankruptcy court if it gets to that point. It is extremely rare for an airline the size of ATA to go directly into CH 7.
Surprisingly, NWAC has over $3 billion in unrestricted cash (as of Q1) and is losing money at a smaller clip than most legacies. They also have a relatively small debt problem.
Gulp.
Anyway, it is debateable whether ATA has enough cash to go into CH 11. I assume they do, although some have said otherwise. I think the decision rests with the creditors, lessors and bankruptcy court if it gets to that point. It is extremely rare for an airline the size of ATA to go directly into CH 7.
Surprisingly, NWAC has over $3 billion in unrestricted cash (as of Q1) and is losing money at a smaller clip than most legacies. They also have a relatively small debt problem.
Gulp.
Dart
Well-known member
- Joined
- Feb 22, 2004
- Posts
- 310
wow!! So....how fast can the 737-500 come online? Seems like a good idea..same type. Makes good since! Hope ATA can pull threw.. Great CO and great people. Even the uppers are takin pay cuts!! That has to say something for the kinda people you work with. Eveyone is chipin in somehow.....by the way is the yacht up for sell yet?
MooseTrax
Well-known member
- Joined
- Jun 22, 2002
- Posts
- 171
Dart,
I couldn't agree more. From the outside looking in, it really means something when the management is willing to take pay cuts, as well as the pilots. Too often it seems like management cuts workers wages and sits back collecting their fat check whilke the ship continues to sink at a slower pace, then the top guys bailout with the golden parachute before the ship is totally lost. I really think those at ATA are trying at all levles. The FA concessions did not pass, but they did what they thought was right. You can only go so low on the wages. To me the biggest problem that ATA has is it's lack of recognition around the country. Everybody everywhere knows who JetBlue is and Southwest, even if they don't fly into that particular city, but as soon as you say ATA I always get "that's that cargo carrying outfit right?" I heard WOM that George got rid of the marketing/advertising folks, except for one and has gone with a firm out of NYC to try and get some national advertising going. ATA truely has a good product and a CEO at the helm that has a lot at stake when you look at how the company does. Few, if any, companies have a CEO with such deep ties and a committment to do what is best for the organization. All that said, it doesn't pay the bills, but I sure hope the company comes through. Great people, a great product and leadership that seems to lead by example, as evidenced by their 10%, 7.5%, and 5% pay cuts at the different management levels.
I couldn't agree more. From the outside looking in, it really means something when the management is willing to take pay cuts, as well as the pilots. Too often it seems like management cuts workers wages and sits back collecting their fat check whilke the ship continues to sink at a slower pace, then the top guys bailout with the golden parachute before the ship is totally lost. I really think those at ATA are trying at all levles. The FA concessions did not pass, but they did what they thought was right. You can only go so low on the wages. To me the biggest problem that ATA has is it's lack of recognition around the country. Everybody everywhere knows who JetBlue is and Southwest, even if they don't fly into that particular city, but as soon as you say ATA I always get "that's that cargo carrying outfit right?" I heard WOM that George got rid of the marketing/advertising folks, except for one and has gone with a firm out of NYC to try and get some national advertising going. ATA truely has a good product and a CEO at the helm that has a lot at stake when you look at how the company does. Few, if any, companies have a CEO with such deep ties and a committment to do what is best for the organization. All that said, it doesn't pay the bills, but I sure hope the company comes through. Great people, a great product and leadership that seems to lead by example, as evidenced by their 10%, 7.5%, and 5% pay cuts at the different management levels.
DX Rick
Well-known member
- Joined
- Apr 6, 2004
- Posts
- 1,622
Moosetrax says..
"I heard WOM that George got rid of the marketing/advertising folks, except for one and has gone with a firm out of NYC to try and get some national advertising going."
I've seen a lot more advertisement all over the Chicago area. Especially a billboard in Spanish on I-55 and Central.
"I heard WOM that George got rid of the marketing/advertising folks, except for one and has gone with a firm out of NYC to try and get some national advertising going."
I've seen a lot more advertisement all over the Chicago area. Especially a billboard in Spanish on I-55 and Central.
Dart
Well-known member
- Joined
- Feb 22, 2004
- Posts
- 310
ATA73Pilot
Well-known member
- Joined
- Sep 18, 2002
- Posts
- 158
Per our latest union update...
It appears the 40+ million the pilots gave the company only 30 days ago was not enough.
The company has come back to the pilot group on Tuesday with the collection basket in hand.
The 717 deal is postponed indefinitely while Boeing makes up it's mind on whether or not to shut down the production line.
The company has requested additional pay and work rule concesions from the pilots.
The union officers will meet with the company on Thursday 8/12 for a further briefing and then decide on a course of action.
It appears the 40+ million the pilots gave the company only 30 days ago was not enough.
The company has come back to the pilot group on Tuesday with the collection basket in hand.
The 717 deal is postponed indefinitely while Boeing makes up it's mind on whether or not to shut down the production line.
The company has requested additional pay and work rule concesions from the pilots.
The union officers will meet with the company on Thursday 8/12 for a further briefing and then decide on a course of action.
Last edited:
BLUE BAYOU
Well-known member
- Joined
- Nov 15, 2002
- Posts
- 836
jobear
Titanium Necked Bandit
- Joined
- Jan 20, 2002
- Posts
- 786
NWA loads outta of MKE have been sub-par on all but a couple of routes. I'm not sure of the exact load factor but it wasn't great. We have seen an influx of Pinnacle flights into MKE lately.With a coresponding drop in mainline NWA flights
MidEX(Midwest Airlines) is doing ok, its the fuel thing hampering everyone from showing a profit. DC-9's retired in April to much of a fuel and maintenance hog.
Jobear
VP-16 Sceaming War Eagles 1989-1992
MidEX(Midwest Airlines) is doing ok, its the fuel thing hampering everyone from showing a profit. DC-9's retired in April to much of a fuel and maintenance hog.
Jobear
VP-16 Sceaming War Eagles 1989-1992
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