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SWA RJ's?

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DAS at 10/250

DAS at 10/250

Coffee, captain?
Joined
Apr 16, 2003
Posts
884
Sitting in ERV today reading FORTUNE magazine, Aug 4, 2004 I believe and came across an article about the legacy carriers.

Stated: SWA is eying the RJ's due to their profitability. Delta will file for chapter 11. USAir will liquidate due to the fact that if their cash reserves fall below $700 million the government can force liquidation, they stand at $1000 million. Only three legacy carriers will exist in five years. United will not emerge from ch 11 due to the fact that the government will not back anymore loans. Delta wants 30% pilot pay concession, but even if received it will not help. JO wants an ultra-low cost carrier. MESA expanding into somewhere, PITT maybe? SWA CASM up to 8 cent/mile, something about FA pay up 36%.

I apologize for any inaccurate information. Relaying off memory.

Any thoughts on SWA and the RJ's?
 
Wow, it must be great to be able to predict the future. Where were they September 10th, 2001?


Bye Bye--General Lee
 
If Gary Kelly et. al. are planning on acquiring RJ's, they are keeping it VERY quiet. They look at RJ options every few years and would/will go that route if they believe it would help our revenue picture. So far they have decided to avoid the RJ.

Kelly's push is to lower costs by automation, efficiency, etc. He wants to lower employee to aircraft ratios to the 60-70 range. I believe we are somewhere around 80 right now with a major revised schedule coming out this fall that will further reduce that number.

The F/A pay raise will, by the end of the contract, reach 30+%, but not right away. Management believes casm will dip back below 8 cents.


Cheers
 
Cheesemo said:
The F/A pay raise will, by the end of the contract, reach 30+%, but not right away. Management believes casm will dip back below 8 cents.

Cheers
Click to expand...
The pay will be offset by the increase in productivity, and less F/A's needed on the property. The new contract raises the amount by which a line can be built from 118 TFP to 130 TFP. Imagine if Delta had the ability to build F/A lines to 114 hours. I think in 6 months you will be hard pressed to find a F/A that will say they voted yes.
 
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Cheesemo said:
Management believes casm will dip back below 8 cents.


Cheers
Click to expand...
What happens at the end of the year when SWA is no longer hedged on fuel? Didn't they hedge around $26? I'm willing to bet that if oil stays where it CASM will stay up for a while and SWA may start to feel the brunt that all the other carriers have been.
 
Captain X said:
What happens at the end of the year when SWA is no longer hedged on fuel? Didn't they hedge around $26? I'm willing to bet that if oil stays where it CASM will stay up for a while and SWA may start to feel the brunt that all the other carriers have been.
Click to expand...
No matter what happens in this industry I'll bet Southwest has a strategy to work around it. One thing they have always done is strategic planning. The airline I work for has never had anything but crisis or reactionary management.

jp
 
Rumors of RJ's

:) Back to DAS's original question, porfavor - ANYONE @SWA HEARING ABOUT POSSIBLE FUTURE RJ'S?????????????????

Gracias amigos un amigas:D
Tweek
 
Erj?

I was browsing through May/june's Airways Magazine which featured the ERJ series....I saw an ERJ-195 series in various liveries including the SWA blue-top livery. the caption hinted that SWA was considering the idea.
 
You need to put this rumor to rest for now. Last official word was it would be studied if/when the EMB190 can match the 737 operating cost, which have yet to be determined.
 
bvt1151 said:
Kinda destroys the arguments that LCC's can't operate RJ's, doesn't it?
Click to expand...
How does SWA LOOKING at an RJ destroy this arguement? Now if we get them ....
 
USAir will have plenty of RJ's to offer SWA at discount prices when they liquidate theirs next month.
 
As Cheesemo stated, SWA looks at RJ's every couple of years or so. Each time they do, it starts rumours. SWA, as most companies do, are always investigating and reinvestigating ideas to become more profitable. This most recent reinvestigation of the RJ, as I have been told, did not show potential profit. They will reinvestigate the RJ again someday, though.
 
Only losers hopes that other pilots and companys fails!

I personally think that only losers hopes that other pilots and companys fails!
 
why would swa invest in rjs when airtran just finished their contract with air wisky due to the loss in profit?
 
Doomed I Tell Ya

I guess Independence Air is doomed!.
 
There's plenty more cities SWA doesn't even fly to yet that can support 737, high-frequency flights. I'm sure they are concentrating on those markets first. Why would they be messing around with RJ's right now? Remember they only fly to 60 cities...
 
Go ahead guys, keep calling an airplane the size of a 737 an RJ.....You all must be BEGGING for a pay cut. Some people are just a glutton for punishment I guess. The Term RJ has nothing to do with an airplanes size, it has to do with how much a company has to put into a pilots wallet to fly the thing. Just because an airplane is made by Embraer doesn't make it an "RJ", that is unless you want to be paid 90 bucks an hour instead of 160.00 to fly an airplane of the same size. If Cessna made a 350 seat widebody one day, would it be a GA airplane?
 
canyonblue said:
The pay will be offset by the increase in productivity, and less F/A's needed on the property. The new contract raises the amount by which a line can be built from 118 TFP to 130 TFP. Imagine if Delta had the ability to build F/A lines to 114 hours. I think in 6 months you will be hard pressed to find a F/A that will say they voted yes.
Click to expand...
I voted "yes" and would do it again. Will the membership feel like they got the shaft by the time spring rolls around? Only time will tell, but I doubt it. A difference of 12 TFP per month is less than 2 extra days per month with the new ADG of 6.5. The ones who are most likely to complain are those who don't want to work and are ticked because it is now harder to trade a 4 day down to a turn. They should be thanking their lucky stars we didn't end up with minimums. The amount of $$ we spend on bennies for F/A's who barely fly has got to be staggering. At any rate, since the ADG did go from 4 to 6.5, trips will have to be more productive. However, our scheduled duty day remains 10.5 hours so there is only so much more the company can do with us. The company already has a 118TFP max and yet the avg line credit for BWI in September is 96.49 If nothing else, crew planning will have to stop building 3 days that pay 14 and 4 days that pay 25. In the end, if they really intended to get more bang for their flight attendant buck, they would have tied the duty rigs and pay raises to a longer duty day. They didn't. If anyone starts complaining to you about the contract just tell em to start working on their wishlist the next go round now and remind em that 2008 will be here before they know it.
 
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So 4 seats makes it an RJ?
4 seats warrent a huge reduction in pay?
4 seats somehow make it okay to pay regional airline wages to fly it?

My comparison was off, Usually when I think of the EMB195 vs the small 737's I do so using the 737's at my parent company. My point was that when you call that airplane an RJ your buying into the corporate scheme to lower major airline pay rates. Its a management marketing term used to show pilots that its okay to pay regional pay on a regional airplane when the truth is that there is no such thing as a regional jet. A jet is a jet, period.
 
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Mr Hat said:
So 4 seats makes it an RJ?
4 seats warrent a huge reduction in pay?
4 seats somehow make it okay to pay regional airline wages to fly it?

My comparison was off, Usually when I think of the EMB195 vs the small 737's I do so using the 737's at my parent company. My point was that when you call that airplane an RJ your buying into the corporate scheme to lower major airline pay rates. Its a management marketing term used to show pilots that its okay to pay regional pay on a regional airplane when the truth is that there is no such thing as a regional jet. A jet is a jet, period.
Click to expand...
FWIW, Continentals' 737-500s seat 104 in a dual class configuration 10/94 is the mix.
 

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