**HEADLINE SKYWEST to fly USAir RJs***

[KFFA]

The talk in Salt Lake City besides who won the gold today is that SkyWest is talking with USAir mang. about us flying CRJs in USA colors. The deal that we are hearing is that 50% of the crews will come from USAir pilots that are on furlough. The other 50% will be growth for SkyWest. Next thur. our chief pilot is coming to SLC for a meeting about this. I will keep you posted. Don't know any number of RJs or bases or destinations??? Seems like SkyWest is planning a backup plan if United doesn't make it. Who knows whats going on?

 

[Tim47SIP]

Dought it is a backup plan for the bug U as they will be around longer that US. Seems almost like a risk to go with US but maybe Skywest knows something no one else does? Great news for you guys out there. Me thinks Mesa's new Freedom Air could be involved to. Time will tell.

 

[~~~^~~~]

What an interesting rumor. This sort of fits with another rumor I heard that Skywest management wants ALPA on the property, if this deal happens, so that ALPA is stuck with the problem of seniority integration - where US Air pilots have superior rights to pilots already in the employ of Skywest. How completeely bizzare. Where is Andy Neil, he knows Skywest stuff.

The only part of this that makes sense is that Skywest has the financial moxie to swing the deal and Delta Connection has 104 aircraft on firm order and 396 options that they can not accept due to ALPA's restrictions. Those aircraft have got to go somewhere... if Delta can sell the delivery slots at a profit, they probably would.

 

[NEDude]

I am hardly the expert here, so I could be blowing smoke. But I thought, being as much in the loop as I can as a furloughed Mesa pilot, is that Freedom air is going to be in the America West system with the CRJ 700/900. I don't think Freedom air will have anything to do with USAirways. Which of course will make even more of us Mesa guys pissed off if Airways pilots begin flying for Freedom Air. Because of USAirways, In order for us to fly the 700/900 for America West, we have to create a new company, and now Airways wants us to put their furloughed pilots ahead of us to fly these 700/900s for America West?! Why does ALPA think this is fair?

 

[Andy Neill]

~~~^~~~,

Andy Neill (2 L's please) has a little more discretion on when to discuss in-house matters and when not to than does KFFA.

 

[~~~^~~~]

Because of USAirways, In order for us to fly the 700/900 for America West, we have to create a new company, and now Airways wants us to put their furloughed pilots ahead of us to fly these 700/900s for America West?! Why does ALPA think this is fair?

Answer: Because ALPA national, despite being the exclusive bargaining agent, is unwilling to provide leadership & restraint to the major MEC's. Without effective national leadership, each major MEC is using ALPA national's exclusive representation for their own individual agendas.

Without rules (or even enforcement of the rules that do exist) ALPA is simply allowing the mainline MEC's to engage in predatory bargaining at the expense of minority members.

Andy - look forward to your input when you feel it is appropriate.

 

[AWACoff]

Andy...and I thought I was the only one who didn't like airing out company laundry. Drop us dibs on stuff that actually comes to fruition Andy.

 

[flyplanes2000]

Andy-

Some people just don't know when to keep their mouth's shut huh?

 

[TailTwister]

Here's the latest rumor I over heard from an ASA FO. Honest folks, I was standing at the gate and this young gentleman was telling the gate agents that SkyWest was going to be purchased by United, and all of the Delta stuff will only be flown by Comair and ASA. I think he's got it all figured out, so with that in mind..... what's the name of that truck driving school again Mav? Take Care All!

 

[DairyAir]

rumors

If I hear one more thing about how wonderful it is to be at skywest or what market they will be taking over this week I am going to barf!

 

[strega7]

Dude!? What's with the negative vibe? What has SkyWest done to you lately?

???

 

[Beechnut]

Nothing. And that's the problem. The pilots ride the coat-tails of other carrier's hard won contracts. Step up to the plate SkyWest.

S.

 

[Smoove Ride]

i feel the need to set the record straight....
i'm not sure how you read KFFA's post, but here's my take on it.

this whole USAir/Skywest deal is bad news for Skywest. most of the pilots here at Skywest feel the same way (for the information we have so far). USAir tried to get the same deal with their wholly owned carrer's.... they said 'no', now they are trying to get their furloughed pilots into what would be 'our' jet's. what makes them think we'll accept it over them? i get to work with so-called 'junior' pilots to me who will be holding captain on the jet and making more money than me for the same job. screw that s**t. in addition, they have recall rights at USAir. do you think they'll give two sh**t's flying for skywest. this whole deal is just a bailout for USAir mainline.... and skywest is holding the bucket.

- sorry Andy... couldn't let it go. -sr.

 

[Tim47SIP]

Smoove, you are correct! But I ask another question, what happens when US goes under or doesn't recall those guys. Do they get to stay right where they are, on top of your seniority list? Normally the phrase is F*%k Up, Move Up concerning management, but for the US mainline fiasco it is F*%k Up, Move Over! I sure hope you guys can stop this debacle. Talk about ALPA dirty pool. What really gripes me about this situation is that US mainline pilots ensured that their contract scoped out the WO's and limited the number of RJ's in the conctract carriers. So now it is OK to get more RJ's because they have people on the street? Why arn't they sticking to their original plan since it was designed to "protect the profession". When and if all of those guys are back from furlough, does US have to ground the additional RJ's because that is what is convenient at the time?

 

[PIGHEEL]

Here is the way I see it:

Delta has already unloaded it's share of Skywest for $120 million.

Only connected in the route structure now.

Comair and ASA are buying all of these RJs.

Blk time agreement is exceeded already by Comair.

Comair is probably going to open up Dallas as a base.

Comair is hiring all of these new pilots.

Tells me that Comair is considering using Delta's muscle and Dallas, Salt Lake City hubs to go after Skywest's business.

 

[surfnole]

Pigheel,

Your conclusion makes sense. Why should Delta share any of its profits with Skywest when it could have them all?

Kind of like Microsoft crushing Netscape.

 

[Jetscream32]

Here is the truth plain and simple. The greedy Usair pilots will allow ANYONE to purchase the jets and fly under their colors as long as they get first dibs. Every regional is allowed to bid on the new RJ's.

On a different note. I don't work for skywest but ASA and Comair should be thankful that they up their contract every time you guys hammer out a new one. That helps to prevent them from underbidding on routes assigned by Delta. Just look at how messed up the Usair system is with everyone trying for an industry BOTTOM contract in order to get new routes and grow.

 

[MetroSheriff]

Here is the way I see it:

Delta has already unloaded it's share of Skywest for $120 million.

Only connected in the route structure now.

Comair and ASA are buying all of these RJs.

Blk time agreement is exceeded already by Comair.

Comair is probably going to open up Dallas as a base.

Comair is hiring all of these new pilots.

Tells me that Comair is considering using Delta's muscle and Dallas, Salt Lake City hubs to go after Skywest's business.

Huh?

Pigheel,

No offense, but from the content of your post, it would seem that you are not very familiar with the relationship between Delta and it subsidiary (DCI) carriers. Skywest doesn't have any business, so to speak. They are a code-share partner of Delta (DCI) and United (UAX).

 

[MetroSheriff]

Pigheel,

Your conclusion makes sense. Why should Delta share any of its profits with Skywest when it could have them all?

Kind of like Microsoft crushing Netscape.

Delta does not SHARE any profit with Skywest, they pay them a fee per departure. Revenue without the risk.

 

[Wowjack]

This all sounds like a big sh%t sandwich to me! Good thing you guys know more about this than I do; I'll just sit back and learn.

 

[darling pretty]

revenue WITH the risk

metro sheriff,

i have to disagree with you about the fee for departure method. You are correct that Delta assumes no risk in the day to day operations, but Skywest receives the same flat rate if they fly one or fifty passengers. There is no incentive to lure traffic because you still end up with the same amount of money.

With the WO's all the money stays in one place and you don't lose if the load factor drops below a certain percentage.

I believe with the block hour crisis at hand that ASA and Comair will move westward and Delta will reduce dependance on Skywest and eventually Eagle.

All of this, of course, is contingent on the DALPA grievance. If DALPA loses welcome to the largest Boeing parking lot.

 

[Tim47SIP]

Has anyone heard about the DALPA grievance outcome? Is DALPA and Delta renegotiating something new as it was supposed to be over last week?

 

[MetroSheriff]

Re: revenue WITH the risk

metro sheriff,

i have to disagree with you about the fee for departure method. You are correct that Delta assumes no risk in the day to day operations, but Skywest receives the same flat rate if they fly one or fifty passengers. There is no incentive to lure traffic because you still end up with the same amount of money.

With the WO's all the money stays in one place and you don't lose if the load factor drops below a certain percentage.

I believe with the block hour crisis at hand that ASA and Comair will move westward and Delta will reduce dependance on Skywest and eventually Eagle.

All of this, of course, is contingent on the DALPA grievance. If DALPA loses welcome to the largest Boeing parking lot.

Darling,

I agree that there is SOME risk. The fee for departure arrangements just allow Delta to expand DCI service without a huge outlay of cash, as the cost of the operation falls to the contract carrier. My point was that the contract carriers, as I understand it, assume the debt for the a/c, payroll for crew, insurance etc.

If, pending the outcome of the DALPA grievance, Big D is forced to trim it's DCI block hours, they can more easily, and at lower cost, cancel an at-will contract and not assume the burden of debt service on a/c that they are contractually prohibited (scoped) from flying. Parking WO a/c seems an expensive proposition, which is PART of the reason the lions share of recent DCI growth has gone to the contract carriers, IMO.

 

[surfnole]

Delta does not SHARE any profit with Skywest, they pay them a fee per departure. Revenue without the risk.

True.

However my point is that the regional market is one of few profitable segments in the industry. In fact, its probably a cash cow.

Delta may be looking at the addtional profit it could make if it took over the Skywest market by expanding ASA and Comair.

Perhaps the risk of owning additional RJs is outweighed by the reward of additional profits. I don't know.

But..

1) Why would Delta sell its share in Skywest stock unless it was planning on making a run on the company (not sure if it is true they sold the stock).

2) Skywest could be in a precarious position in that it is one of the few, large independent regionals left. Its somewhat at the mercy of Delta's good will.

I am not an industry expert, so I could be way off base....but I can't help thinking that Delta would be looking to completely take over.

 

[FlyingSig]

they said 'no', now they are trying to get their furloughed pilots into what would be 'our' jet's. what makes them think we'll accept it over them?

Just curious... with no collective bargaining agreement, just how is it that the SkyWest pilot group could say no? Legally, that is..

 

[FlyingSig]

Why would Delta sell its share in Skywest stock unless it was planning on making a run on the company (not sure if it is true they sold the stock).

It's true.

ATLANTA, Oct 12, 2001 -- Delta Air Lines (NYSEAL) today reported that it has sold its stake in SkyWest Airlines (NASDAQ:SKYW). Delta sold 6.2 million shares of SkyWest common stock worth $125 million in a block trade pursuant to the Securities and Exchange Commission’s Rule 144. "Delta has an excellent relationship with our partner SkyWest," said M. Michele Burns, Delta’s executive vice president and chief financial officer. "This transaction in no way changes our operating relationship." ... from delta.com

Why? To raise cash at a time when the company was burning $8-10 million a day.

 

[atpcliff]

Hi!

It is true that SkyWest, along with Mesa, Chautauqua and TSA are working on an RJ deal with USAir. USAir currently has about 60 RJs and wants to add about 430, that's right, 430 more!!!

TSA and Chautauqua are rumoured to be looking at getting about 100 RJs EACH! USAir furloughees will be given the opportunity to fill 1/2 of the seats.

At TSA, they crew about 4 crews/plane. The USAir pilots will be put on the bottom of the seniority list, and will function exactly as newhires, except for 2 things. They will be able to bid Capt right away, because they'll have the hours to hold a Capt slot, and they'll be paid at the going TSA rate for their longevity at USAir. So, if they've been at USAir for 8 years, and are a Capt at TSA, they will get TSA's 8 Yr. Capt's pay.

USAir anticipates that not all of its furloughees will accept a seat, so, if these large numbers hold up, all of the TSA furloughees (& poolies) and the Chautauqua firees should be able to get back in the cockpit.

The details are still being hammered out. Chautauqua pilots are said to be voting on it soon. TSA's agreement is supposed to be completed in under a month, and they currently have top mgmt in Brazil right now.

9.11 sure changed things a lot!!!

Especially if you're furloughed (like me), or looking for a job, hang in there and good luck!!!

Cliff
GB,WI

 

[KFFA]

I think some of you out there are missing my point of this.

I wanted to get this news out there because I am looking for information. Personaly I have both pro's and con's to this deal and was looking for some insight. USAir doesn't fly much in the West and I don't really know a whole lot about them.

SkyWest is in an unusaual spot. Because we are not union things happen differently then most other airlines. Sometimes when decisions are made the thought of What is the Union response going to be? or What is Managments next move going to be doesnt really exist to a point at SkyWest. I may be a little in fantasy land but it is refreshing at times to know this. SkyWest is in a tuff situation right now because United is up in the air?!? Will they make it through the summer or are the going to file ch. 11 and reorganize. Somtimes it is time to wipe the board and start over.

The two sides of Union and Mangment is so deeply diveded that it looks to be unworkable. And if this does happen then what would SkyWest or for that matter ACA or AirWisky do? Then you have Delta and there relationship with Comair and ASA vs SkyWest. Sometimes I wonder do they play favorites or what??? I think SkyWest puts out a great product and thats why Delta has asked us to fly to DFW and further East. The same goes for United. And I think this is also the reason why USAir has come to us. I am not saying anybody else doesn't also put out a great product. Analogy: Toyota vs Nissian vs Honda

Again I am looking to all of you out there for some honest non-bashing this airline or that opinions. Just what would you vote if they came to your airline and you knew some of your furloghed buddy's would come back and new growth for you. Comair if United came to you to fly out West with this type of proposal would you take it? Or ASA if Horizon came to you to fly in the North East would you take it? etc.

Thanks

KFFA
"The field is white all ready to be harvested"

 

[KFFA]

Cliff,

The deal sounds alot like ours also. But the USAir guys cann't fly into our Delta or United sytsem so they wont effect us that are all ready here. Also the USAir pilots need to go through an interview and written tests and training like any new pilot off the street. just that they will have a sr. # at SkyWest and still retain there one at USAir. What makes it a little odd for us though is that will they still be ALPA members or not??? Capt is not union (skywest pilot and the FO is a union guy (usair guy) wont that be intresting combo some flight?

 

[Saluki Dawg]

KFFA,

To answer your question, the USAir pilots will still be ALPA members, but will be working for a non-ALPA carrier. Second, Skywest needs a union of somekind on property now more than ever. This deal is a really bad deal for any airline that accepts it, plain and simple. If you guys had a union on property right now, you might have a chance of either stopping this deal or at least protecting your current pilots on property from being bumped out of their seats. Right now I don't think there is anything that you are going to be able to do about it. If Skywest Management has made up their minds that this deal with USAir is going to happen then that's it. I hope that it works out for you guys.