Delta TA on SCOPE

[Hamfighter]

Republic Airways CEO talks Bombardier jet plans
Republic Airways: New Bombardier jet could be part of global alliance flying in US


By Joshua Freed, AP Airlines Writer | Associated Press

MINNEAPOLIS (AP) -- The CEO of feeder airline operator Republic Airways said on Wednesday that new Bombardier jets could be flown in the U.S. in a partnership with one of the big airline alliances.
Republic ordered 40 of the new C-Series jets being developed by Montreal-based Bombardier, which is aiming to begin delivering them to other customers by the end of next year.
Republic's main business is flying smaller jets for big airlines such as Delta and United. But the new Bombardier plane has 100 to 149 seats, a size typically flown by the major airlines themselves, not by feeder carriers.
Pilot contracts at all the major airlines bar partnerships with feeder carriers flying planes that big. Republic CEO Bryan Bedford was asked at a regional airline convention on Wednesday what his airline plans to do with those jets.
One possibility is that "it could fit into a global alliance as (a low-cost carrier) component to a broader North American strategy for a SkyTeam or Star or oneworld," Bedford said in an interview.
He declined to talk in detail about Republic's plans for the jet, which is supposed to begin arriving in late 2015. His comments appeared to suggest that Republic might operate those planes in partnership with one of the big three airline alliances. SkyTeam is anchored in the U.S. by Delta, the Star Alliance has United Airlines and US Airways, and oneworld has American.
"I still think that what we're going to see is a worldview where a low-cost carrier can participate in domestic alliances in 2015, and that there'll be a need for that product here," he said.
Republic also owns Denver-based Frontier Airlines, which is it trying to sell or spin off. Bedford said the C-Series order will stay with Republic, though, and not go with Frontier.

 

[135Drvr]

The senior guys would get a 13% pay bump for the remaining few years of their career (19.5% by 2015), and the junior guys get 717s. If 88 717s are taken (and 17 DC9s are dumped eventually), that means 71 planes will get new Captains (widebody FOs or narrowbody FOs will upgrade, helping out QOL, and allowing junior guys to move up to widebodies if they want, more of a pay raise), and that isn't counting the MD90s and 737-900s coming (some of those will replace outgoing 757s and 767-300 domestic planes). There will be movement, newhires, and higher pay for all, all in a 3 year contract. New openers would be exchanged again in 2.5 years, when analysts are saying Delta could be making billions per year in profits.

Scope is a two edged sword. Yes, more 76 seaters would be allowed, but overall RJ numbers would decrease by 150. Tougher codeshare and Joint Venture language is included. Work rules are improved. Yet, some want a 30% raise now, and they want to fly the 76 seaters, a part of the industry that we do not participate in now, and that is struggling because the Legacies are paying less for current regional contracts.

We are still awaiting ALPA to give a presentation on what the TA means and how it could affect us. High emotions on this board, which is understandable.



Bye Bye---General Lee

General,

I have come to respect your level-headedness on this sometimes maddening board. However, it seems like you're starting to drink the DALPA Cool Aid and leaning to endorse this insult of a TA. It was rushed through so RA could get larger RJs to feed JFK and to obtain the 717's. The slight raises are funded by a reduction in PS contributions in a profitable company.

What's wrong with a NO vote and telling DALPA to go back and try to do a little better? This thing wasn't even expected to be finished until next January anyway. I'm willing to vote NO and wait and see, but I don't think RA wants to - that gives us leverage. Any future offers can not be less without royally pissing off the pilot group.

Interested in your thoughts.

 

[Hamfighter]

So how does Republic buying 40 100-149 seat C-Series to possibly fly for Delta's Skyteam work into the new scope clause? This wasn't mentioned in the TA...

 

[Scoot 11]

General,

I have come to respect your level-headedness on this sometimes maddening board. However, it seems like you're starting to drink the DALPA Cool Aid and leaning to endorse this insult of a TA. It was rushed through so RA could get larger RJs to feed JFK and to obtain the 717's. The slight raises are funded by a reduction in PS contributions in a profitable company.

What's wrong with a NO vote and telling DALPA to go back and try to do a little better? This thing wasn't even expected to be finished until next January anyway. I'm willing to vote NO and wait and see, but I don't think RA wants to - that gives us leverage. Any future offers can not be less without royally pissing off the pilot group.

Interested in your thoughts.

I appreciate your thoughts on this matter.
Here's my take on the profit sharing. The company has announced that not just for contract, but for the entire company, there will be a reduction to 10% for the first $2.5 billion. For me, that measly 5% isn't worth going back to the draw board. And who's to say the company will give in on that? They already announced it COMPANY WIDE.
I can appreciate that this is a turd contract. But it's something neither CAL/UAL, AA, LCC or any other legacy has been able to do under the worst environment thanks to Barak Obama. If we reject this contract, we are right back to a normal section 6, and by the time we hammer this out, we'd already be gearing up in 2 1/2 years for the next contract. This is not a cave at all on my part. I'm particularly happy about the cap on rj's and the top end JV language. This is the first time the contract has actually had a hard CAP on the number of rj's, and the block hour limit tied to mainline RSM's. That is big.
By the end of this 3 1/2 year deal, it will put us at or slightly above SW 737 pay for our 737 pilots.
I'm leaning toward a yes vote, but not before I attend a road show, to get some questions answered.

 

[Jar Jar]

Yup. Why you think they put alliance paint on the big planes? Theyve been creating brand awareness and now they are gonna start moving to sell tickets. Mark my words. One day your customers will buy their tickets on skyteam.com and they wont care whether its delta or airfrance. Game over.

 

[Jon Rivoli]

5. Alaska Air----Delta currently can codeshare with AK and can purchase up to 50% of the seats on a plane (up to 86 seats). That will now be pushed back to only 35%, except on flights from SEA to MSP and ATL, where those planes can still have 50%.

Snap, Skywest orders 300 CRJ 900's to be operated as Alaska Air Express out of SEA, MSP and ATL.

6. 35% of newhires in classes have to come from ALPA DCI carriers.

65% of newhires to come from non ALPA DCI carriers.

 

[LearLove]

The Reverend hints at making an end run around scope wrt to C-series jets.

http://finance.yahoo.com/news/republic-airways-ceo-talks-bombardier-204425567.html


MINNEAPOLIS (AP) -- The CEO of feeder airline operator Republic Airways said on Wednesday that new Bombardier jets could be flown in the U.S. in a partnership with one of the big airline alliances.

Republic ordered 40 of the new C-Series jets being developed by Montreal-based Bombardier, which is aiming to begin delivering them to other customers by the end of next year.

Republic's main business is flying smaller jets for big airlines such as Delta and United. But the new Bombardier plane has 100 to 149 seats, a size typically flown by the major airlines themselves, not by feeder carriers.

Pilot contracts at all the major airlines bar partnerships with feeder carriers flying planes that big. Republic CEO Bryan Bedford was asked at a regional airline convention on Wednesday what his airline plans to do with those jets.

One possibility is that "it could fit into a global alliance as (a low-cost carrier) component to a broader North American strategy for a SkyTeam or Star or oneworld," Bedford said in an interview.

He declined to talk in detail about Republic's plans for the jet, which is supposed to begin arriving in late 2015. His comments appeared to suggest that Republic might operate those planes in partnership with one of the big three airline alliances. SkyTeam is anchored in the U.S. by Delta, the Star Alliance has United Airlines and US Airways, and oneworld has American.

"I still think that what we're going to see is a worldview where a low-cost carrier can participate in domestic alliances in 2015, and that there'll be a need for that product here," he said. Republic also owns Denver-based Frontier Airlines, which is it trying to sell or spin off. Bedford said the C-Series order will stay with Republic, though, and not go with Frontier. Barclays will begin marketing Frontier to potential investors around mid-July, Bedford said.

 

[General Lee]

General,

I have come to respect your level-headedness on this sometimes maddening board. However, it seems like you're starting to drink the DALPA Cool Aid and leaning to endorse this insult of a TA. It was rushed through so RA could get larger RJs to feed JFK and to obtain the 717's. The slight raises are funded by a reduction in PS contributions in a profitable company.

What's wrong with a NO vote and telling DALPA to go back and try to do a little better? This thing wasn't even expected to be finished until next January anyway. I'm willing to vote NO and wait and see, but I don't think RA wants to - that gives us leverage. Any future offers can not be less without royally pissing off the pilot group.

Interested in your thoughts.

I guess the membership could tell them NO, and we all could go back to the bargaining again. I just don't know if the next offer would be as good, it might be. That's a chance you have to take. I looked at our whole contract, and there were many problems. Not just one or two, many. I don't know how you can try to fix all of them to 100%, and still get a big raise and park all RJs. If this were a 5 year contract, for 19% and giving away RJs without tying them to any growth, then it probably would be a NO from me. Instead, I look around at what the other legacies have done for all of us lately (zero), then look at our rates within 3 year with this TA, look at better JV and CS scope, parking a lot of 50 seaters, and improvements on many parts of our current contract, and then try to think how much more can we realistically get? I guess we could try. I still am awaiting a roadshow here in ATL. I do have some questions.


Bye Bye---General Lee

 

[General Lee]

The Reverend hints at making an end run around scope wrt to C-series jets.

http://finance.yahoo.com/news/republic-airways-ceo-talks-bombardier-204425567.html


MINNEAPOLIS (AP) -- The CEO of feeder airline operator Republic Airways said on Wednesday that new Bombardier jets could be flown in the U.S. in a partnership with one of the big airline alliances.

Republic ordered 40 of the new C-Series jets being developed by Montreal-based Bombardier, which is aiming to begin delivering them to other customers by the end of next year.

Republic's main business is flying smaller jets for big airlines such as Delta and United. But the new Bombardier plane has 100 to 149 seats, a size typically flown by the major airlines themselves, not by feeder carriers.

Pilot contracts at all the major airlines bar partnerships with feeder carriers flying planes that big. Republic CEO Bryan Bedford was asked at a regional airline convention on Wednesday what his airline plans to do with those jets.

One possibility is that "it could fit into a global alliance as (a low-cost carrier) component to a broader North American strategy for a SkyTeam or Star or oneworld," Bedford said in an interview.

He declined to talk in detail about Republic's plans for the jet, which is supposed to begin arriving in late 2015. His comments appeared to suggest that Republic might operate those planes in partnership with one of the big three airline alliances. SkyTeam is anchored in the U.S. by Delta, the Star Alliance has United Airlines and US Airways, and oneworld has American.

"I still think that what we're going to see is a worldview where a low-cost carrier can participate in domestic alliances in 2015, and that there'll be a need for that product here," he said. Republic also owns Denver-based Frontier Airlines, which is it trying to sell or spin off. Bedford said the C-Series order will stay with Republic, though, and not go with Frontier. Barclays will begin marketing Frontier to potential investors around mid-July, Bedford said.

He is fishing for anything. ANY ALLIANCE? He's hoping AA let's them in, because if AA doesn't get with USAir, he might have a chance and the newly emerged AA after BK. Maybe he can do the next Indy Air? Smashed like an ant.


Bye Bye--General Lee

 

[General Lee]

Yup. Why you think they put alliance paint on the big planes? Theyve been creating brand awareness and now they are gonna start moving to sell tickets. Mark my words. One day your customers will buy their tickets on skyteam.com and they wont care whether its delta or airfrance. Game over.

Then it's good that Dalpa got tighter (better) INTL Codeshare or Joint Venture language in the TA?


Bye Bye---General Lee