Future of Comair?

[vanguardsdead]

I am in the pool at Comair, and recently been laid off from a previous carrier, was wondering what anybody thought about the future of Comair if Delta went under?

 

[General Lee]

What? Delta would sell Comair and ASA before they would "go under." Delta has more money than most---$2.6 Billion in cash and another $2 billion it could mortgage. Only American has more cash on hand----$2.8 billion, and they are burning it a lot faster.

Leo Mullin is in charge and he was an Ex-banker--so he has more connections than most Airline CEO's. I really think Delta is in better shape than anyone besides Southwest, which has $2.5 billion in cash. Anyways, I think you need to research this yourself, bigtime.

Bye Bye---General Lee

 

[sleepy]

Delta will be just fine. Delta is unlikely to sell ASA or Comair anytime soon. We are the only parts of the company that are showing a profit.

Could they sell us? Who in the business has the cash to buy us? Who would invest $3 Billion in airlines right now?

At some point they could spin us off. If they did, they would still retain a controling interest in us, and we would likely still fly their code.

I was hired at ASA after being furloughed from another airline. It was the best decision I have ever made in this business. Comair is probably a better place to go right now, because they are getting the growth, and ASA will not hire for a while.

 

[Freight Dog]

Not to bring politics into this... but if your aspirations are to fly for Delta, you may wanna stay away from Comair, judging by stuff on ALPA message boards and stuff you can find under GENERAL section of this board.

 

[General Lee]

FreightDog,

You are correct. With the current non hiring policy of furloughed Delta pilots at Delta owned Comair, I would suggest anyone out there looking at Comair and ASA to choose ASA. Your eventual road to a job at Delta may be easier coming from ASA.

Sleepy,

Yes, I know ASA and Comair are profit makers at this point. That is good for you and me. I know there is a lot of growth there, and when the economy comes back after this Iraq war, thing will eventually grow at Mainline and the new LCC. We resume orders on the 737-800's and other planes in 2005. Just remember that if Delta was to sell Comair and ASA someday for some weird reason, there is no garuntee that you would still fly connections for Delta. Some other airline could undercut your costs, like Chitaqua or Trans States, and then you are flying connection for AeroMexico out of Monterrey. Will that happen? Probably not, but you never know. United is already threatening ACA, Skywest, and AWAC to lower their prices or get replaced by Mesa.

Bye Bye---General Lee

 

[BlueRidger]

General Lee said: 'United is already threatening ACA, Skywest, and AWAC to lower their prices or get replaced by Mesa."
This is not quite true it is more like "lower your prices or no more growth". Mesa and CHQ are bidding on future growth if the scope clause restrictions are relaxed. It would be very hard and expensive for Mesa to buy and take over the routes and Facilities that ACA, Skywest and AWAC OWN and operate especailly in the short time frame that United needs to survive. And if United did cut our contracts who is the first airlines that ACA and SkyWest would solicit for future business with their now idle CRJ's. Their other partner Delta. That would but a crimp into Comair and ASA growth plans. Scary thoughts.

Tailwinds