Looks like SKW doesn't want to park 50 seaters

[General Lee]

"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

 

[Flyer1015]

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.

 

[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.

I believe you are correct.


Bye Bye---General Lee

 

[Hamfighter]

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?

 

[johnsonrod]

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.

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?

 

[DDpaysoff]

hence why they wont try. The will just "codeshare" with someone

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.

 

[amcnd]

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...

 

[Data]

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.

 

[CRJ puppy]

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.

(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...

 

[asayankee]

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).