Republic Financing Inc?

[flyboyzz1]

yeah I was kidding though...

 

[Captain Morgan]

I'm not...

 

[BoilerUP]

AWAC (really the owners' pet company, Eastshore Aviation LLC) invested $125M into US Airways. In exchange AWAC got a 10 year contract for 70 CRJ-200s and Eastshore got $125M in LLC stock along with a seat on the board.

The AWAC contract provided long-term profits, and the $125M in stock (I believe now all sold) was worth over $400M for a while. In less than 3 years, Eastshore made somewhere around 100% profit on their initial investment COMPLETELY OUTSIDE the fee-for-departure profit they make on AWAC.

Republic did a similar thing, but instead of stock got MidAtlantic and a long-term contract growing the E-Jet fleet.

I wouldn't be surprised if Bedford, Heller & Co. did this because they stand to gain something out of it; their fudiciary responsiblity to RJET shareholders means they damn sure didn't do it out of the kindness of their hearts.

 

[SizzleChest]

It has much to do with it in my eyes. If they have such excess cash that they are bailing people out then I think they could have kept staffing greater than normal. How much does it cost to keep a few jr FOs on payroll? Not much. Your not saving much by kicking them to the streets and downgrading a few capts. For example, SKW, (and things could change tomorrow) has been around 200 pilots overstaffed for the past 3 or so months. We have 75 FO rsvs at ORD alone, way too many. There is something to be said about a company that makes every effort to keep their employes loyal and employed. Not drinking koolaid, because obviously they are staffing the airline to take advantage of any growth that may turn up but lets face it... they could can some pilots and be closer to proper staffing. All Im saying is, if I was a Republic pilot id have liked to seen the company barely dip into the bank and try to keep those who make the airline run an active part.

so paying a pilot to sit around with $ and wages and longevity accrual is a good ROI? What investent is being made? When they sit in a crashpad unused, how do you make your $ back? If they get hurt at work it costs you more $. If you work in a deli and slice the cheese a bit thinner than you used to, who is gonna know? You can't taste it with everything else on your sub and you will make the cheese last longer.... if you can get by with less reserves then you pay less in payroll. These investments of late allow the company to make the $ back plus interest or allow a tax write-off or some other cool financial thing to happen. In the eyes of a shareholder (not mine) this is good business....

 

[Ratherbsurfing]

It has much to do with it in my eyes. If they have such excess cash that they are bailing people out then I think they could have kept staffing greater than normal. How much does it cost to keep a few jr FOs on payroll? Not much. Your not saving much by kicking them to the streets and downgrading a few capts. For example, SKW, (and things could change tomorrow) has been around 200 pilots overstaffed for the past 3 or so months. We have 75 FO rsvs at ORD alone, way too many. There is something to be said about a company that makes every effort to keep their employes loyal and employed. Not drinking koolaid, because obviously they are staffing the airline to take advantage of any growth that may turn up but lets face it... they could can some pilots and be closer to proper staffing. All Im saying is, if I was a Republic pilot id have liked to seen the company barely dip into the bank and try to keep those who make the airline run an active part.

Furloughs are a part of airline life. It's not the company's job to hold the furloughed employee's hands and tell them everything is going to be alright. The best thing a company can do is make hard decisions, such as furloughing, and ensure that there is actually a job to come back to when the economic pendulum swings back to better times. It may be "goodwill" for a company to spend money on salary for positions which are no longer needed. But how about the "goodwill" of employees who graciously accept the fact that they were hired at the end of a hiring expansion and unselfishly accept a furlough with the knowledge their company and fellow employees will be stronger for it. I suppose that kind of goodwill is too much to expect from a bunch of selfish egocentric people, who sadly seem to be a larger percentage of Americans daily.

 

[DOVPILOT]

"commitment to our customers, employees and shareholders"...ah

Should read "commitment to our shareholders customers, and screwing our employees every time we can to insure financial gains for aforementioned shareholders.