I have no idea if GECAS will continue to help out IDE. Nobody knows right now. IDE already got a loan from GECAS last April or such, yet the next month IDE did not meet the convenants in the new financing agreement and GECAS now has the right to get back 8 RJ's. Yet as of 9/10/05 IDE still has them on property. Why, because the market is dead, 100% dead for the 50 seat aircraft. I have friend in Tucson who states there are 3 RJ's in IDE colors still sitting on BMB ramp awaiting new ownership. 635 was given back to its owner and rumor is it was parted out, as the parts are worth more than the whole. I do not have confirmation on that fact just relating what multiple people have told me.
The overall dynamics of aviation are changing so fast it is hard to keep ahead. The 50 seat market, hot 6 years ago is dead. The 70-90 seat market hot right now will be dead in 10 years also. The EMB 170/190 are just not going to make alot of money unless the RASM is increased, not likely in the foreseeable future as customers only care about price and they can compare diffferent prices in an instant, thanks to the internet.......
IMHO, the 70-90 seat market is hot right now because they can replace older 737 and such on most routes. Thus the majors can outsource the aircraft and assocciated jobs to the cheaper regionals. Thus the majors are just "franchising" out the airline. I mean RJET gave DAL millions of shares for the right to fly for DAL. MESA is giving DAL 10 million a year for 3 years for the right to fly for DAL. MESA is giving UAL 10 million a year for 3 years for the right to fly for UAL. What is the next evolutionary stage? Franchise the whole enchilada out for a franchise fee and a percentage of sales......
This is all my future conjecture but this is why I am out of this mess for good.....It was fun while it lasted and I enjoyed the ride but for God sake I do have a famliy I have to provide for and avaition will just not do it.
The overall dynamics of aviation are changing so fast it is hard to keep ahead. The 50 seat market, hot 6 years ago is dead. The 70-90 seat market hot right now will be dead in 10 years also. The EMB 170/190 are just not going to make alot of money unless the RASM is increased, not likely in the foreseeable future as customers only care about price and they can compare diffferent prices in an instant, thanks to the internet.......
IMHO, the 70-90 seat market is hot right now because they can replace older 737 and such on most routes. Thus the majors can outsource the aircraft and assocciated jobs to the cheaper regionals. Thus the majors are just "franchising" out the airline. I mean RJET gave DAL millions of shares for the right to fly for DAL. MESA is giving DAL 10 million a year for 3 years for the right to fly for DAL. MESA is giving UAL 10 million a year for 3 years for the right to fly for UAL. What is the next evolutionary stage? Franchise the whole enchilada out for a franchise fee and a percentage of sales......
This is all my future conjecture but this is why I am out of this mess for good.....It was fun while it lasted and I enjoyed the ride but for God sake I do have a famliy I have to provide for and avaition will just not do it.