Pinnacle Files for Bankruptcy

[Flyer1015]

Those "niave and inexperienced" ALPA representatives you talk about got me $13k in my 401k and snapback wages during the last bankruptcy. And that $13k was on the very low end of what most Mesaba pilots got at the time. Many guys actually came out ahead wagewise from the last bankruptcy.

That was Wychor and gang, not JH and gang. Total opposites. And besides, your bankruptcy of 2005 was during a time the aviation industry had a positive outlook in terms of lots of hiring, at the majors and regionals. The economy, cost of oil, all external factors were favorable. Today, it's literally the opposite for every single external factor. I wouldn't count on this bankruptcy to look anything like your last bankruptcy.

This may be Sean Menke's second airline bankruptcy as CEO but guess what, its not Tom Wychor's first rodeo either. I'm glad he is at the helm of our local ALPA branch for this bankruptcy. Seans got some tuff competition

No, Menke doesn't have any competition. Delta will tell Menke what to do, and the bankruptcy court will allow it. You don't think they file for motion 1113 to void the JCBA in bankruptcy? It's already done at Eagle (the initial filing).

 

[Dumb Pilot]

So sorry this is happening, I met some great guys and gals on my time at PCL and made some very good friends there, all the best in this tough times.

 

[doug_or]

I would rather drink my own piss than get a free drink or wing from you.

Well then. Two PBRs for the lovebirds at table eight.

 

[DoinTime]

Actually, they are "owned" by the lessor.

All three of you are wrong. They are "owned" by PNCL with a lien from the mortgage holder. They are not on lease. If PNCL defaults on the loans, then the mortgage holder may repossess them.

 

[Whataboutbob]

That was Wychor and gang, not JH and gang. Total opposites. And besides, your bankruptcy of 2005 was during a time the aviation industry had a positive outlook in terms of lots of hiring, at the majors and regionals. The economy, cost of oil, all external factors were favorable. Today, it's literally the opposite for every single external factor. I wouldn't count on this bankruptcy to look anything like your last bankruptcy.


No, Menke doesn't have any competition. Delta will tell Menke what to do, and the bankruptcy court will allow it. You don't think they file for motion 1113 to void the JCBA in bankruptcy? It's already done at Eagle (the initial filing).

I agree that the bankruptcy laws favor the companies position and they will plead their case to the judge that they need this and that in order to stay in business. You are right the judge will probably allow it since his job is basically to give them what ever relief they need to keep the doors open and the lights on. But I think the union has some cards in their play book as well. It's going to get ugly and the company probably will file a motion to void contracts but they have to bargain in good faith before that. And filing the motion doesn't mean there actually going to use that card. Actually imposing their own terms and voiding contacts is a pretty serious move that even the boldest CEO's have to carefully consider. Neither side wants it to come to that I don't think. It will end up being a show down until the last minute. Maybe the judge will let us walk if Menke imposes terms on us. Who knows how this will all go down. But statistacally in bankruptcy the chips are in the companies favor. I think part of shrinking us down is you end up with the most senior part of the work force still hanging on who are more likely to vote through the payouts to live and fight another day....is it only day 3 of this mess. Feels like a week already.

 

[suupah]

All three of you are wrong. They are "owned" by PNCL with a lien from the mortgage holder. They are not on lease. If PNCL defaults on the loans, then the mortgage holder may repossess them.

ARe we not there yet?

 

[rbav8r]

Tell me how a CEO can run a company into bankrupcy and get a pay raise from $425,000 to $675,000 and then ask the Pilots to take a 9% pay cut when first year pilots are only making $1950 a month - before taxes. Many words come to mind and integrity is not one of them.

 

[WMUSIGPI]

It was not resolved when Mesaba went through the first time,and I am not sure if it ever has been. IF the company does use the 1113c to void the contract and impose terms there is the posibility of immediate release under the railway labor act for self help (strike).

 

[suupah]

It was not resolved when Mesaba went through the first time,and I am not sure if it ever has been. IF the company does use the 1113c to void the contract and impose terms there is the posibility of immediate release under the railway labor act for self help (strike).

that would be awesome! btw did you put that avatar up during the xj bnkrptcy? my gawd i've been at this too long.

 

[Abernathy]

Tell me how a CEO can run a company into bankrupcy and get a pay raise from $425,000 to $675,000 and then ask the Pilots to take a 9% pay cut when first year pilots are only making $1950 a month - before taxes. Many words come to mind and integrity is not one of them.

Menke didn't "run" the airline into bankruptcy. It was already on its way there before your current CEO got there. Trenary and Co. negotiated idiotic rates with your mainline partners and got you where you are today. If you should be ticked with anyone, it should be your former management team. I don't really see how he had a choice. If the airline lost money every time a Q400 left the gate, I don't see how that would have lasted much longer.

As far as how the CEO can get a raise when the company files for Ch.11, I'd imagine it having to do with the fact that very few airline executives are going to go through managing a bankrupt airline making much less, especially one who just went through it with Frontier. Sucks, but that's just how it works.

The whole regional model needs to change otherwise this is going to start happening to all the regional airlines, one by one. The bidding wars and race to the bottom is destroying the industry. The only thing that will fix it is much tighter regulations and something to level out the playing field like minimum wages for pilots based on equipment types. If we're going to be bound by the RLA, then there needs to be better protection for the airline workers. Everytime the price of fuel farts, someone's going bankrupt.

This industry needs heavy regulation.