nellie2110 said:
DTW320,
This TA with compass in the picture has one thing written all over it, and that would be can you say "MIDATLANTIC". Page straight out of US Air. They will sell the planes and your fellow pilots to someone for cash. That should be real fun to sort out. I am sure you can ask any Midatlantic guy just how fun.
Here's NWAALPA's take on it:
FUTURE POTENTIAL SALE OF SJET
Another of ALPA’s concerns regarding management’s original
NewCo proposal was a potential future sale of this subsidiary.
Management’s NewCo proposal not only allowed the
outsourcing of 100-seat aircraft to this subsidiary, it would have
provided no protections for NewCo pilots in the event of an
eventual sale. A future sale of SJet would be less of a threat
because it would not be flying mainline aircraft. However, two
concerns remained: (1) Ensuring that the flow rights (up and
down) remain after a sale, and (2) Not permitting NWA to gain
financial benefit from such a sale before the 77–110-seat aircraft
begin active service at Northwest.
Our concern about a future sale of SJet was based on our
conversations with management officials and the recent
experience at US Airways. Management at US Airways sold
the assets (aircraft) of their newly created division,
MidAtlantic, to Republic Airlines, one of their feeder carriers.
At least half the US Airways pilots flying at MidAtlantic lost
their jobs as a result of the sale. Also, pilots transferring to
Republic were required to resign their US Airways seniority
rights and the flow-up/-down rights were terminated.
To address the lessons learned from the US Airways
experience, the sale of SJet is prohibited before NWA has
at least 10 new 77–110-seat aircraft in service on the
mainline. (NWA must retain more than a 50 percent
ownership stake until that occurs). Additionally, all pilot
positions must continue to be available to laid-off NWA
pilots and the flow agreement must be maintained, even
after the sale of SJet. All pilots of SJet have the right to
transfer to the successor after any such sale with all recall
rights to Northwest intact. If these provisions are not
complied with, or the flow rights are modified or
terminated, the maximum number of permitted 51–76-seat
aircraft reverts to 55 aircraft—a large penalty if NWA is
utilizing more than 55 aircraft at the time of the sale.