So ASA(SKW) buys an airline...

[Nevets]

Aren't we all ASA (now Expressjet)? Why no expansion of the CRJ?
Me thinks that they are trying to pull the wool over the eyes of the XJT people by playing nice...

Maybe it's because the XJT side is more cost competitive?

Who? Skywest Inc.? or (former) ASA?

The buyer. That is what you said in your original post.

Oil is well over $100 a barrel now. 50 seaters and high oil don't really mix, thus little expansion.

Unfortunately they will last a little longer because they pay their people less money.

So what's your excuse for the addition of five 37 seaters to people who are paid more money?

 

[ASAFOE120]

Uh Bobby. Bring me another beer cuz this should be good!

 

[WWEfan]

The Continental CPA's are just more lucrative than the Delta ones. Hard to grow when management agrees to CPA's that decrease in revenue over time while their costs go up.

 

[On Your Six]

Maybe it's because the XJT side is more cost competitive?



The buyer. That is what you said in your original post.




So what's your excuse for the addition of five 37 seaters to people who are paid more money?

I have no idea why they would try that. Probably not very smart. 37 seaters are even more uneconomical with high oil prices. AA Eagle will be dumping most of them shortly according to articles I have read. Maybe they will use them on a corporate shuttle? Face it, if oil stays this high for good, it doesn't look "good" for any 37 seater, let alone 50 seaters. The economics just aren't there. But, someone can always try to prove that wrong.


Godspeed!


The OYSter

 

[crazy8]

And that airline grows, while the buyer shrinks? Not just keeping the airplanes that they have, but pulling more (37 seat?) out of the desert. And that makes money?
But ASA sucks so bad that we lost 14 AC this year. 6 200s(50 seat) and 8 700s.

The buyer hasn't shrunk. ASA did not buy XJT. SKW did (which has been beaten to death already).


Anyway...who knows why one side of the house is growing while the other is not. Soon enough, it all won't matter anyway. Maybe United has a preference of ERJs over CRJ2's.

 

[FishandFly]

The buyer hasn't shrunk. ASA did not buy XJT. SKW did (which has been beaten to death already).


Anyway...who knows why one side of the house is growing while the other is not. Soon enough, it all won't matter anyway. Maybe United has a preference of ERJs over CRJ2's.

Asa didn't buy expressjet? I heard expressjet was on the brink of bankruptcy and ASA purhased it.

 

[www.]

They did lose some CR7s to Gojets.


Godspeed!


The OYSter

Not yet. They have to get approval to increase their fleet.

 

[www.]

Uh Bobby. Bring me another beer cuz this should be good!

But Dad, Xjet 's profit margins have been -6.0 (2007), -8.7 (2008), -6.9 (2009) and -10.9 (2010) per the DOT FORM 41. Isn't this called in the red?

 

[COOPERVANE]

Asa didn't buy expressjet? I heard expressjet was on the brink of bankruptcy and ASA purhased it.

On paper only. Skywest put up ALL......ALL the capital. So REALLY SKYW "bought" Expressjet.

ASA couldn't buy their way out of a paper bag.

 

[Freebrd]

ASA couldn't buy their way out of a paper bag.

well we could in the past, but then DAL bought us, took and spent all the money ASA had, brought their managers over to run the place further into the ground, (remember the use of ASA planes for the ceo personal use?) and then sold ASA to Skyw, even giving that 2nd DAL manager(BL) 600-700K in Skyw stock as his "bonus"), corporate America at it's best