ExpressJet Europe taking off

[TNPILOT]

without XJT pilots. As if that is a surprise. I've been saying all along this would be the case. Run away. Run far far away.

Start-up looks for work for Continental Embraers

By Ian Goold / February 2006

Houston-based ExpressJet Holdings has taken a $700,000, 49-percent share in JetX Aviation, a new regional start-up that plans to operate as ExpressJet Europe and possibly use some of the Embraer ERJ 135/145s scheduled for release by Continental Airlines starting next January. Continental has said it will not require 69 of the 274 regional jets now flown by ExpressJet.

JetX Aviation, many of whose principals were involved with former Irish regional carrier Jetmagic, plans to introduce capacity-purchase agreement (CPA) operations to Europe. CPA operations, which typically involve major carriers buying “lift” from lower-cost suppliers, are not well known on the Continent, where capacity is more often obtained through lease arrangements covering provision of aircraft, crew, maintenance and insurance.

JetX Aviation managing director Jochen Schnadt, former COO at Jetmagic, told AIN, “We are a regional [airline]; that’s what we’re good at and we have lots to offer. Europe has been ready [for CPA] ever since deregulation and [the advent of] pan-European airspace.”

The company believes it can adapt and evolve CPA operations starting next year. Asked how easy it would be to find a customer when he has no aircraft, flight crew or air operator’s license (AOC), Schnadt said JetX Aviation has access to aircraft at short notice because some Embraer jets now flying Continental Express services will become available and “ExpressJet has first call on them.”

Schnadt said that ExpressJet maintains good relations with lessor General Electric Commercial Aviation Services and that initially a high proportion of aircraft could be taken on operating leases. Alternatively, he said he would be happy to follow the Continental arrangement under which the CPA customer subleases the aircraft.

Equally, he sees no problem in obtaining flight crews, though there would not be the same flexibility to use U.S. pilots, since they would need European licenses, work permits and right of abode. Also, Jetmagic pilots could be available.

With regard to obtaining an AOC, Schnadt said there’s the possibility of acquiring an existing European airline to provide an operational platform. “We have identified a number and are talking to them,” he said.

http://www.ainonline.com/Issues/02_06/02_06_startup_6.htm

 

[nimtz]

Talked to some guys from PARC Aviation which is a leasing company based in Ireland. Long story short they told me the guys setting up XJet Europe have already tried starting up an ERJ outfit in Europe. Needless to say they ran it straight into the ground. Let's just say this guy didn't paint the nicest picture for the management team they have assembled.

 

[superrav]

without XJT pilots. As if that is a surprise. I've been saying all along this would be the case. Run away. Run far far away.

Start-up looks for work for Continental Embraers

By Ian Goold / February 2006

Houston-based ExpressJet Holdings has taken a $700,000, 49-percent share in JetX Aviation, a new regional start-up that plans to operate as ExpressJet Europe and possibly use some of the Embraer ERJ 135/145s scheduled for release by Continental Airlines starting next January. Continental has said it will not require 69 of the 274 regional jets now flown by ExpressJet.

JetX Aviation, many of whose principals were involved with former Irish regional carrier Jetmagic, plans to introduce capacity-purchase agreement (CPA) operations to Europe. CPA operations, which typically involve major carriers buying “lift” from lower-cost suppliers, are not well known on the Continent, where capacity is more often obtained through lease arrangements covering provision of aircraft, crew, maintenance and insurance.

JetX Aviation managing director Jochen Schnadt, former COO at Jetmagic, told AIN, “We are a regional [airline]; that’s what we’re good at and we have lots to offer. Europe has been ready [for CPA] ever since deregulation and [the advent of] pan-European airspace.”

The company believes it can adapt and evolve CPA operations starting next year. Asked how easy it would be to find a customer when he has no aircraft, flight crew or air operator’s license (AOC), Schnadt said JetX Aviation has access to aircraft at short notice because some Embraer jets now flying Continental Express services will become available and “ExpressJet has first call on them.”

Schnadt said that ExpressJet maintains good relations with lessor General Electric Commercial Aviation Services and that initially a high proportion of aircraft could be taken on operating leases. Alternatively, he said he would be happy to follow the Continental arrangement under which the CPA customer subleases the aircraft.

Equally, he sees no problem in obtaining flight crews, though there would not be the same flexibility to use U.S. pilots, since they would need European licenses, work permits and right of abode. Also, Jetmagic pilots could be available.

With regard to obtaining an AOC, Schnadt said there’s the possibility of acquiring an existing European airline to provide an operational platform. “We have identified a number and are talking to them,” he said.

http://www.ainonline.com/Issues/02_06/02_06_startup_6.htm

Ian Goold?????????????

 

[Truckdriver]

Equally, he sees no problem in obtaining flight crews, though there would not be the same flexibility to use U.S. pilots, since they would need European licenses, work permits and right of abode. Also, Jetmagic pilots could be available.

Actually, if the airplanes are registered in the USA, you don't need to have a JA license. You may need work permits and right of abode and that could be a small problem but nothing like getting JA licensed. If those aircraft go to Europe for XJT Europe, XJT pilots will go with them.

Here is what is actually going on over in the CAL/XJT camp.

1) XJT will get XJT Europe to say they need the airplanes.
2) XJT will go to CAL and tell them that they are going to keep the airplanes.
3) CAL will not want to go out and lease another 69 airplanes.
4) CAL will agree to leave the airplanes at XJT after more negotiating on the block hour rates and XJT Europe will disappear just as fast as it mysteriously appeared a few days after the CAL announcement.
5) The only thing that will happen to the XJT pilots is management use this opportunity to scare some concessions and force PBS on the pilots.
6) At the end of the year everyone is happy because the pilots once again will save the jobs of management by keeping them in business and propping up their crappy business plan.

 

[TEXAN AVIATOR]

Hope you're right truckdriver, I really do. But only time will tell our fate. We're busting our asses to do a good job day in and day out; showing we're the best feeder in the biz. (We had something like 5 100% completion factor days in Jan). I just hope it pays off...

 

[TNPILOT]

Hope you're right truckdriver, I really do. But only time will tell our fate. We're busting our asses to do a good job day in and day out; showing we're the best feeder in the biz (we had something like 5 100% completion factor days in Jan). I just hope it pays off...

Ditto. All you can do is do your job to the best of your ability, go home enjoy your days off and hope for the best...doing your job not for the company but because you're a professional and that's what we do.

 

[superrav]

Hope you're right truckdriver, I really do. But only time will tell our fate. We're busting our asses to do a good job day in and day out; showing we're the best feeder in the biz. (We had something like 5 100% completion factor days in Jan). I just hope it pays off...

8 days..

 

[TEXAN AVIATOR]

8 days..

Until...?

EDIT

8 days at 100%

 

[Instigator]

3) CAL will not want to go out and lease another 69 airplanes.

CAL has too many in its system already. There are two reasons for their pulling the aircraft:
1) Negotiating tactic to get XJT to lower its cost.
2) Reduce their excess 50-seat capacity.

This ploy may accomplish both.

In the end, if XJT doesn't use the 69 a/c elsewhere, you will see CAL "return" a few of them to XJT to fly for at whatever rate they are able to renegotiate (CAL won't take away all 69). The others will be returned to lessors at whatever penalty that may cost, sublet to anyone who could want them, or parked. I don't see the 145s going to another carrier to fly for CAL.

Bankrupcy changes everything. No contract is safe, including the CPA and CAL's scope. Under any number of scenerios with bankrupcy, the 50-seaters would be reduced and CAL would have 70-100 seaters flown at current low market rates by possibly anyone willing to do it (including XJT).

 

[Superpilot92]

Until...?

i believe he was stating that it was 8 days of 100% completion not 5.

I am going to stay optimistic about everything. I really believe our mgmt team will figure some thing out to keep XJET up and running and even growing. Remember the mgmt team has alot resting on XJET staying strong. We will see in a few months, it should be interesting either way.