And this is very important.. The contract does not limit subcontracting what-so-ever. They can sell-off as much as they want. But after sell-offs on the 12 day, they must call back a certain % based on the number of sell-offs vs. the number of revenue flights for that quarter.
Like 1900 stated, based on forecasts, if 4QT planned sell-offs are stretched out more than 11 days, then NJA has 120 days to initate a recall. However I am pretty sure they would furlough more pilots within the 120 dyas just to recall them. And also based on the forecast, that would be about 35-40 pilots.
As far as this quarter, I am pretty posive the vast majority of the sell-offs will occur over a 4 or 5 day period. (Turkey day and X-mas time). I highly doubt they will be very close to 11 days.
However, 1Qt2010 had 10 sell-off days that would have resulted in close to 90 pilots if they would have gone to 12 days. If I recall, the days NJA was selling off flights, they would sell-off much more than 50 a day. Probably average close to 75 or so. (I used to have the exact numbers)
So low and behold, sell-offs are once again becoming an issue for management (like they will avery 6 months), and once again they want scope relief. They want to avoid call-backs. (and shrink the company at the same time)
I personally believe it is nothing more than threats. And also believe that the company is not hurting enough financially to garner and type of concession. I'm pretty sure we'd start hearing about potential NJA bankruptcy from someone somewhere long before it would happen. There are enough people that follow WB and BHK religiously that would catch wind of a potential NJA demise.