Jetblu E-190

[Hutchman]

Strong rumor of new rates Jan 1.

......................... 2015. The last raise came along with 20% profit sharing checks. I don't think you will be getting those either. If you are not making money, a raise is not in your future.

 

[aspire]

charge more for a ticket

Just a thought....maybe the 190's aren't making money because B6 isn't charging enough for their tickets... regardless of extra mx, wx, parts, utilization, fuel, landing fees, IFE costs, crew, engines, lease payments, etc.

 

[ATR-DRIVR]

......................... 2015. The last raise came along with 20% profit sharing checks. I don't think you will be getting those either. If you are not making money, a raise is not in your future.

..and you know this because.....?

 

[RideandDrive]

Oh there will be a raise forthcoming. Something on the order of $5/hr for first officers. Not close to enough IMHO.

 

[elag777]

Oh there will be a raise forthcoming. Something on the order of $5/hr for first officers. Not close to enough IMHO.

better than nothing right?

 

[RideandDrive]

Yeah, I should be so grateful for anything they throw my way. I feel I'm worth more than $30k a year so I'm moving on to other things.

 

[Truckdriver]

......................... 2015. The last raise came along with 20% profit sharing checks. I don't think you will be getting those either. If you are not making money, a raise is not in your future.

Without a raise they still make more than you do Hutch.

 

[elag777]

Yeah, I should be so grateful for anything they throw my way. I feel I'm worth more than $30k a year so I'm moving on to other things.

If you were/are indeed on the 190 you made the choice to take it after being given all the facts on pay etc vs. the 320? Told that pay would be reviewed in approx a year, which I believe it is right now.
I agree the pay is low, but in essence the 190 fleet is a start-up airline. Think about it. Take the 320 out of the picture and you have a new airline with a new a/c type never flown before. You will have all the shortcomings of poor utilization as the route structure is developed. This leads to the unproductive schedules and poor lines. All these issues were experienced on the 320 fleet. 320's are flying on average 11hrs a day vs. I believe 8 on the 190 which provides better schedules for the 320. I am sure you took the 190 believing there would be a fast track to the left seat? Maybe the trade off now doesn't seem worth it but after all it has only been a year.
With "eyes wide open" I wish you all the best if you are moving on.

 

[coogebeachhotel]

If you were/are indeed on the 190 you made the choice to take it after being given all the facts on pay etc vs. the 320? Told that pay would be reviewed in approx a year, which I believe it is right now.
I agree the pay is low, but in essence the 190 fleet is a start-up airline. Think about it. Take the 320 out of the picture and you have a new airline with a new a/c type never flown before. You will have all the shortcomings of poor utilization as the route structure is developed. This leads to the unproductive schedules and poor lines. All these issues were experienced on the 320 fleet. 320's are flying on average 11hrs a day vs. I believe 8 on the 190 which provides better schedules for the 320. I am sure you took the 190 believing there would be a fast track to the left seat? Maybe the trade off now doesn't seem worth it but after all it has only been a year.
With "eyes wide open" I wish you all the best if you are moving on.

Not a year try 16 months.

 

[elag777]

Not a year try 16 months.

I don't remember the 190 flying in rev service in May 05, I was referring to the a/c. More like Sep/Oct 05 If I recall.

 

[HighSpeedClimb]

Fitch Downgrades JetBlue's IDR to 'B'


Sr. Unsec. to 'CCC/RR6'

Outlook Stable

CHICAGO--(BUSINESS WIRE)--Sept. 15, 2006--Fitch Ratings has downgraded the debt ratings of JetBlue Airways Corp. as follows:

• Issuer Default Rating (IDR) to 'B' from 'B+'.
• Senior unsecured convertible notes to 'CCC/RR6' from 'B-/RR6'

This action affects approximately $425 million of outstanding debt. The Rating Outlook for JetBlue is 'Stable'.
Fitch's downgrade reflects JetBlue's highly leveraged capital structure and its relatively weak margin performance in a generally improving U.S. airline industry operating environment. Although planned growth rates for 2006 and beyond have been scaled back in response to unit revenue and fuel cost pressures in transcontinental and Northeast-to-Florida markets served by the Airbus A320, JetBlue is likely to face a continuation of challenging operating conditions that will put pressure on margins and operating cash flow over the next several quarters. Heavy capital spending commitments and financing requirements linked to scheduled deliveries of A320 and Embraer 190 (E190) aircraft will keep leverage high and free cash flow substantially negative for an extended period, limiting opportunities for balance sheet strengthening.
Management's recent statements regarding capitalization and liquidity priorities point to an increasing focus on liquidity -- as measured by the ratio of cash and investments on hand to LTM revenues -- as the most important indicator of balance sheet condition. As lease-adjusted debt to total adjusted capitalization rises above 75% (formerly maintained as a target leverage level), equity issuance in the near term appears unlikely as an alternative to debt financing.
Progress toward margin recovery has been made since April, when the company rolled out a plan to drive a return to profitability through more aggressive yield management and productivity improvements. Operating margins in the second quarter improved to 7.7% from an operating loss margin of -5.2% in the first quarter, but fell from 9.4% in the year-earlier period. Better sequential results came largely as a result of very strong average fare growth (15% year-over-year) resulting from domestic capacity rationalization and heavy demand. Cost reduction initiatives call for approximately $35 million in full-year 2006 operating cost savings, driven in particular by crew productivity gains and fuel conservation. Management is targeting improvement in the ratio of full-time equivalent employees to aircraft to a level of 80 by year-end 2007, bringing JetBlue's productivity more closely into line with that of low-cost leader Southwest Airlines. Productivity gains of this kind, if achieved, should limit increases in non-fuel cost per available seat mile (CASM) and help the airline deliver better margin performance into 2007. Non-fuel CASM has been pressured since late 2005 by the introduction of the 100-seat E190, as average stage lengths and aircraft utilization levels have declined.
High fuel costs remain a concern, despite the recent decline in crude oil and refined product prices to early 2006 levels. Average jet fuel prices of $2.06 per gallon (net of hedges) in Q2 increased 38% year-over-year, and fuel drove 34% of total operating expenses in the quarter. As of June 30, JetBlue had 40% of remaining 2006 fuel purchases hedged via crude oil swaps (average price of $68 per barrel) and heating oil contracts (average price of $2.10 per gallon).
With respect to the capacity outlook, Fitch believes that the planned sale of 5 A320 aircraft in 2006 and the deferral of 12 A320 deliveries between 2007 and 2009 represents a prudent step toward capacity restraint that should improve cash generation and operating performance. Reduction of scheduled service in some of the worst-performing A320 markets, together with maintenance cost savings, should support the airline's margins moving into 2007. Moreover, the ramp-up of demand in higher-yielding E190 markets should bolster system-wide RASM performance next year. Fitch expects unit revenue growth rates to moderate somewhat over the next few quarters, particularly if leisure travel demand weakens as part of a general slowdown in U.S. consumer spending. Still, a benign capacity environment, made possible in large part by the absence of large U.S. aircraft orders, should lead to continued JetBlue RASM growth in 2007.
JetBlue faces no immediate liquidity pressure, with $468 million of cash, cash equivalents and investment securities on the balance sheet as of June 30. This total was augmented by $15 million in availability on a $77 million facility to cover aircraft pre-delivery deposits. JetBlue's cash position was equivalent to approximately 23% of its revenue over the past 12 months, largely in line with measures at the other large U.S. airlines. The company does not maintain a bank credit facility, and all of its aircraft are either encumbered under debt agreements or leased. JetBlue's wholly-owned LiveTV subsidiary could be monetized, and represents a potential source of flexibility should liquidity concerns intensify in a more difficult operating environment.
The airline's secured debt, made up of both fixed and floating-rate secured aircraft notes, totaled $2.09 billion at June 30. Unsecured debt totaled $425 million and consisted of $250 million in 3.75% convertible debentures due in 2035 and $175 million in 3.5% convertible notes due in 2033. There are no significant restrictive covenants associated with JetBlue's debt agreements. The recovery rating of 'RR6' assigned to JetBlue's two series of convertible notes reflects the preponderance of secured debt in the airline's capital structure and the expectation that enterprise values in a post-default reorganization scenario would likely result in weak recoveries for unsecured creditors.

 

[RideandDrive]

I took the 190 because I was being furloughed and I didn't want to wait months for a paycheck. In retrospect it was a mistake. I bring home $816 every two weeks for the 190 versus New York unemployment which is about $800 every two weeks.

Fast track to the left seat which earns $65k a year for reserve? I don't call that anything to look forward to either.

Also all of the "facts" the distributed to new hires re A320 v. E190 were incorrect. Reserve was advertised as 0-2 months and the pay table comparison featured a 1 month reserve example. Try 6 months of reserve plus an upgrade pushing 16 months at this time.

I've heard all of the excuses, but in the end the 190 is a debacle.

 

[coogebeachhotel]

$816? Damn. I made that at Subway as a manger in college.

 

[JP4user]

$413 a week. That just about says it all doesn't it?

 

[JethroF15]

I took the 190 because I was being furloughed and I didn't want to wait months for a paycheck. In retrospect it was a mistake. I bring home $816 every two weeks for the 190 versus New York unemployment which is about $800 every two weeks.

Fast track to the left seat which earns $65k a year for reserve? I don't call that anything to look forward to either.

Also all of the "facts" the distributed to new hires re A320 v. E190 were incorrect. Reserve was advertised as 0-2 months and the pay table comparison featured a 1 month reserve example. Try 6 months of reserve plus an upgrade pushing 16 months at this time.

I've heard all of the excuses, but in the end the 190 is a debacle.

Yikes!

 

[RideandDrive]

Just to clarify before the juice crowd jumps all over me.

$816 is my take home for reserve i.e. 75 hours. I pay medical premiums for a single person and I contribute 15% to my 401k.

 

[Hutchman]

Without a raise they still make more than you do Hutch.

Ha Ha....Actually, with the 10% b-fund at CAL it is a wash on year 1 pay. But, they need to make more than me considering where they are based!

 

[Truckdriver]

Ha Ha....Actually, with the 10% b-fund at CAL it is a wash on year 1 pay. But, they need to make more than me considering where they are based!

Ahhhh....dangit. I knew you would bring the b-fund into it. JB takes the prize on the worst retirement at an airline, but we are talking about pay not total compensation. And it may be cheap living where you live, but you still have to live in IAH and that just plain sucks other than the cheap cost of living. How's CAL treating you these days??

 

[Scrapdog]

$816? dang. I made that at Subway as a manger in college.

Do you still work as a "manger?" Does that have a christmas flavor to it? Are you sure you went to college? I guess subway taught you well. Just giving a military bro a hard time....all in good fun!

 

[Zipperhead]

You tell'em RideandDrive!!!!!!!

 

[Sailpilot]

Try 6 months of reserve plus an upgrade pushing 16 months at this time.

.

Good luck in the future with your new path. I just wanted to state that guys in my new-hire class just got 190 CApt on the last bid. Been here less than a year.

I also agree that the info sent out was WAY off on credit hours and RSV time. I don't think they tried to trick anyone, just guessing on the future of a new aircraft. I took the airbus based on past experience with the CRJ 700 in the early stages.

 

[RideandDrive]

You tell'em RideandDrive!!!!!!!

Somebody has got to warn all of these dudes going into the 190. You know how Jetblue U is...

 

[mariomia]

Are any of the 190's ever going to be based in So Cal?

 

[curtaindriver]

190 upgrade came 12 months and two weeks. Fact. 16 months is a farce....The pay, however isn't. Good luck.

CD

 

[stillflyn]

190 upgrade came 12 months and two weeks. Fact. 16 months is a farce....The pay, however isn't. Good luck.

CD

I'm gonna help you get off reserve a little faster..... I'm taking the recall... Good luck with everything. I couldn't have flown with a better bunch of guys!!!

Stillflyn

 

[RideandDrive]

The first group of guys upgraded at 12 months. For those of us hired in the spring of 2006 it will be 16+ months. Do the math. The last vacancy bid was for only 8 captains and my group has 70+ guys ahead for upgrade. I'd say June 2006 at the current rate.

 

[IB6 UB9]

I'm gonna help you get off reserve a little faster..... I'm taking the recall... Good luck with everything. I couldn't have flown with a better bunch of guys!!!

Stillflyn

UAL? Best of luck, btw.

 

[stillflyn]

UAL? Best of luck, btw.

Yep.... Heading back to UAL.

 

[elag777]

Yep.... Heading back to UAL.

How long at B6 for you?

 

[coogebeachhotel]

How long at B6 for you?

Sound like a war veteran