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Looks like SKW doesn't want to park 50 seaters

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How about well all just wait 1 year and see who is getting the new 900's and whos 200's are going away....
 
79%N1 said:
Is that why Delta took 14 crj700's away from Skywest and gave them to GoJets? If Skywest had so much say so, then why didn't DAL agree to the rate Skywest bid and keep them there? Did a cheap low ball cost offer out weigh any pull Skywest has with Delta?
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Actually, I think it was a purchase incentive. Skywest got those planes when they purchased Asa. Trans states holdings now got those planes when they purchased compass.
 
XPOO said:
SkyWest will not bid for flying at a loss, GoJets will. It's that simple. Plus, those aircraft are owned by Delta so they are not under SkyWest contract.
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I know it's really the same but..... Technically those planes are still owned by Comair.
 
Fly-By-Cable said:
Well skywest lost AT flying and needed to place those frames somewhere. They underbid mesa for the flying in PHX to keep those airplanes generating revenue, so if they are turning a profit there I'd be very surprised.
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Completely inaccurate. This has been stated numerous times on here and I'm too tired to find the link to send you to all the numerous threads about this.
 
The issue for SkyWest is that we are on the hook for the leases for the 50 seaters until 2020, so putting a 50 seater in the desert in exchange for a new 76 seater is a non starter if you must still pay the lease on the 50 seater. When SkyWest acquired the aircraft it was coupled with a long term contract with Delta for this very reason. You don't want to get stuck with a lease payment on an aircraft which is not generating revenue.

If Delta wants SkyWest to park those aircraft they will have to buyout the remainder of the contract. I don't know how that will affect the awarding of additional 76 seaters, that is actually a separate issue.

Most likely, Comair's remaining 50's will be gone and in Pinnacles situation their 50's will also most likely be gone. How many does that make? Delta needs to lose 218 I think.

The Delta connection world will likely be very bloody over the next year, but SkyWest is holding the best cards.
 
Correct me if i am wrong but Delta gave SKywest (ASA) 80% of the regional lift out of ATL as part of the Sale. There is a similar situation in SLC where Skywest owns a bunch of the gates right?

Then there is the point of who buys the new 76 seat jets from the Delta contract? If all this Delta pilot contract 50 seat reduction has to take place before the end of 2015 the Skywest order does not have much to do with this posturing. The Trans States order is one that I would be watching. Those have to be delivered before the Skywest order (Trans States is the US Launch customer) and fit nicely with the reduction of the 50 seaters.

I do not know what is going to happen but I do know that things are not looking too good for Comair (first) and Pinnacle (second).
 
Golden Falcon said:
The majors controlling the regionals is the tail wagging the dog...the regionals should all form a coalition and force the majors to deal with regionals on the regional's terms..or go piss up a rope.....
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That's because Regional airlines are really outsource lift providers. No reservation system, no revenue management, and the route structures are defacto routes contracted by the major airline partner. How long could Skywest last as a stand alone airline? My guess, slightly longer than Independence did.

If anyone is thinks regional airlines hold the reigns, they are living in a fantasy world.
 
"It's just business" attitude won't help when DL extends future contracts. Look how Comair is doing? Oh well. If they don't want a part of those 70 CR9s, then maybe the 25 extra 50 seaters above the 125 allotted (150 total SKW/ASA) will mean only 45 extra CR9s? Bonus!


Bye Bye---General Lee
 
The CRJ-200s will slowly be gone. Whether due to a suicidal pilot, Delta rejecting a contract, or pulling the right strings, Delta will get their way, and the CRJ-200s will be reduced to 125. Look at all Delta regionals since the Comair strike. Comair, Freedom, Pinnacle, Mesaba. Delta always comes out ahead. They run the show, not Skywest.
 
Flyer1015 said:
The CRJ-200s will slowly be gone. Whether due to a suicidal pilot, Delta rejecting a contract, or pulling the right strings, Delta will get their way, and the CRJ-200s will be reduced to 125. Look at all Delta regionals since the Comair strike. Comair, Freedom, Pinnacle, Mesaba. Delta always comes out ahead. They run the show, not Skywest.
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I believe you are correct.


Bye Bye---General Lee
 
I'm a little perplexed that we voted in this new contract (and I use the term "we" pretty loosely), based on the "facts" of of this whole airplane swap plan. Now it's not a done deal?
 
Jon Rivoli said:
The issue for SkyWest is that we are on the hook for the leases for the 50 seaters until 2020, so putting a 50 seater in the desert in exchange for a new 76 seater is a non starter if you must still pay the lease on the 50 seater. When SkyWest acquired the aircraft it was coupled with a long term contract with Delta for this very reason. You don't want to get stuck with a lease payment on an aircraft which is not generating revenue.

If Delta wants SkyWest to park those aircraft they will have to buyout the remainder of the contract. I don't know how that will affect the awarding of additional 76 seaters, that is actually a separate issue.

Most likely, Comair's remaining 50's will be gone and in Pinnacles situation their 50's will also most likely be gone. How many does that make? Delta needs to lose 218 I think.

The Delta connection world will likely be very bloody over the next year, but SkyWest is holding the best cards.
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I agree - I believe Comair and Pinnacle will get squeezed as a result of Skywest's power play. But won't Skywest just transfer those 50 seaters used on the Delta side over to the United side? UAL's scope clause blows - clearly a better home for the CRJ-200s after the Delta TA - right?
 
enuffalready said:
hence why they wont try. The will just "codeshare" with someone
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Bullseye! That's Delta managements loophole. Skywest brands and does point to point west coast flying, sells delta seats, codeshare. The scope will deal with the fee for departure and Skywest becomes the next alaska airlines. They're sitting on close to a billion and all they know how to do over there in St. George is make money so I'm sure it wont be a challenge to negotiate a nice deal for skyw from those dumbass atlanta dipsh1ts.
 
All SkyWest is doing is telling Delta it wont roll over for them... They have some things in the contract that may "help" them strong arm Delta alittle.. In the end they will help Delta do what they want.. But they won't just give in to something that won't make them more money, then ridding out the current contracts do... Will it be 1-1 or 2-1. Don't know. But i can tell you they wont go for anyting that is'nt equal to what there getting now...
 
Why shouldn't Skywest posture at this point? They've got the money and the size to do it. If anything it just forces Delta to move down to the next guy and take his toys away. Who is the next guy with all the 50s? Pinnacle and Comair (15 by year end, is that correct?). Wouldn't you play hard ball to let others in a lesser position accept bigger hits? Then perhaps Skywest can accept more 700s/900s at a more even swap, ie 1 for 1.
 
Data said:
Why shouldn't Skywest posture at this point? They've got the money and the size to do it. If anything it just forces Delta to move down to the next guy and take his toys away. Who is the next guy with all the 50s? Pinnacle and Comair (15 by year end, is that correct?). Wouldn't you play hard ball to let others in a lesser position accept bigger hits? Then perhaps Skywest can accept more 700s/900s at a more even swap, ie 1 for 1.
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(As has been previously discussed), Comair's 16 50 seaters are already scheduled to be returned by the end of 2015 at the end of their leases. So they don't factor into any trades...
 
If I sign an agreement with my mailman and lawn guy to not pay my mortgage....I can assure you Bank of America will not give a damn! An agreement between Delta and it's pilots cannot legally force a third party (ie Skywest) to void or change their current contract. As long as Skywest meets all performance criteria Delta cannot simply remove a/c at their whim. Skywest controls the leases on those a/c and the leases are designed to mirror the contract terms with Delta's agreement. Unless Delta wants to pony up some serious money to break their contract and cover the leases.....move on to to the next contract carrier whom you either own (Comair), or control the leases/mortgages on the aircraft the regional operates, or are in the drivers seat through bankruptcy/DIP financing (Pinnacle/Mesaba/Colgan).
 
Anyone else see the smoke and mirrors?
It isn't about the efficiency or inefficiency of the 50 seaters. It's about delta using that as a way to get rid of the smaller airplanes and get larger ones. It's about Delta outsourcing larger airplanes to regional carriers. And outsourcing jobs. Why do you think they offered Delta pilots a big raise?
 
DDpaysoff said:
Bullseye! That's Delta managements loophole. Skywest brands and does point to point west coast flying, sells delta seats, codeshare. The scope will deal with the fee for departure and Skywest becomes the next alaska airlines. They're sitting on close to a billion and all they know how to do over there in St. George is make money so I'm sure it wont be a challenge to negotiate a nice deal for skyw from those dumbass atlanta dipsh1ts.
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DING DING DING 3 to 5 years!
 
Texx said:
My crystal balls says....

http://www.flightglobal.com/news/ar...s-to-50-seat-jets-for-bankruptcy-exit-370288/

Paragraph 5.
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That article is from 3 April '12. Many things have changed since then as stated by Pinnacle's mgmt, including the expectation that they will be flying few 200's. Since Delta "owns" the leases on those planes, expect them to take the aircraft, return to the EDC/Bombardier for 900's and then use those 900's in vsrious trades with Skywest/Expressjet.
 
SkyWest can play strong all they want but if they do not do as they are told then they WILL lose at the end of the contract. This is why I left the regional industry because you are at the mercy of your master(mainline) and if you do not play ball then when contracts end you will lose your delta flying and there is nothing you can do about it except learn how to be a commuter or move out of SLC. Mainline wants to get rid of 50 seaters and guess which company has the most of them........ Tread lightly, BTW the pilot shortage thing is just a myth. The majors have done a lot of consolidation to be more efficent. The next round of consolidation is in the regional businesss, therefore, we will not have a pilot shortage. There is much consolidation left to be done. There will never be a shortage of pilots as long as consolidation keeps going down.
 

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