SWAPA has a transition agreement

[Kenney G]

In fact without bag fees, which SWA doesn't have, AT actually loses money. So if SWA adopts it's no bag fee to AT, increases wage rates to current SWA level across the board, AT would be a huge money losing operation. And this with AT already doing SE taxi, and going paperless.[/QUOTE]


Are you saying 150 planes flying in and out of Atlanta and the rest of AT's citys using SWA's style of flying and schedules and pricing power can't make money? You really don't see the big picture do you? Basically you are saying if AT went away and SWA came into Atlanta that their pilots would have to take a big pay cut and they would still lose money.

 

[maxthrottle]

Are you saying 150 planes flying in and out of Atlanta and the rest of AT's citys using SWA's style of flying and schedules and pricing power can't make money? You really don't see the big picture do you? Basically you are saying if AT went away and SWA came into Atlanta that their pilots would have to take a big pay cut and they would still lose money.[/QUOTE]

Don't believe that's what I stated or implied. I said AT cannot make money without it's bag fee's, no matter how much they SE taxi, paper they save or res system they use. I don't mean that as a slam. Just stating what the numbers show. I said nothing about SWA's ability to make money. SWA would likely have to raise AT's ticket costs to cover the lost revenue from no bag fee's, even paying existing wages. SWA could reduce AT manning and costs by increasing the utilization of the airplanes i.e pilots per plane, making existing pilots fly more. SWA would likely make money by redirecting flights to the longer destinations they can serve with the 737, which would likely be the emphasis of its operations. That and the more business oriented cities on the east coast. Also seems like some of AT's cities would not be profitable for SWA given cost of maintaining station employees with just a few departures a day. Really doesn't seem to fit the SWA business model. So can SWA make money in ATL? Probably. Just have to makes some changes. You know more about all this than I do. But try to look at it more objectively.

 

[SWA/FO]

Could you SWA guys kick the can down the road for years (maybe even a decade) and prevent the AirTran guys from getting your pay rates? Wow...But I remember a bunch of AirTran guys saying it "wasn't about the money." So I guess it's no big deal then.

All I can say is WOW. Let's talk about SE taxi!!!

 

[livintheredream]

DALLAS, Feb. 24, 2011 /PRNewswire/ -- The Federal Aviation Administration (FAA) informed Southwest Airlines that it has accepted the carrier's transition plan to combine the operations of Dallas-based Southwest Airlines and Orlando-based AirTran Airways, following the financial close of its transaction to acquire AirTran. On Sept. 27, 2010, Southwest (NYSE:LUV - News) announced an agreement to acquire all outstanding shares of common stock of AirTran Holdings, Inc. (NYSE:AAI - News), the parent company of AirTran Airways (AirTran), for a combination of cash and Southwest Airlines' common stock. Closing is subject to the approval of AirTran shareholders, receipt of certain regulatory clearances, and fulfillment of customary closing conditions.

"It's been a great team effort by a lot of people to reach this initial milestone, but we still have a lot of work to do to ultimately bring our two carriers together. We appreciate the collaborative approach of all parties, including the FAA Joint Transition Team (JTT)," said Brian Hirshman, Southwest's Vice President Maintenance and Engineering, and Executive Sponsor of the carrier's Single Operating Certificate (SOC) team. "We consider this acceptance by the FAA as the first major milestone on the journey towards SOC. There are too many people to recognize individually, but we are hopeful the team's hard work will allow us to achieve our SOC goal in the first quarter 2012."

Southwest and AirTran currently have separate operating certificates. The transition plan accepted by the FAA outlines the methodology, processes, tools, and timing to be employed to maintain the safety of their day-to-day operations during the transition period and to ultimately achieve a Single Operating Certificate. The SOC is issued by the FAA once all of the steps outlined in the transition plan have been completed. The carriers' processes, and procedures may not be fully integrated when the SOC is issued, however; they will operate under a single FAA certificate at that time.

Relevant to its submitted plan, Southwest clarified that after the transaction close, which is currently anticipated to occur during the second quarter of 2011, all certificated and flight-related AirTran Employees (Pilots, Dispatchers, Flight Attendants, Mechanics, Schedulers, etc.) will maintain their AirTran employment status at least until the SOC is issued by the FAA for the combined carriers. The logistics of how and when this group of certificated employees will then be transitioned to Southwest employment status has yet to be determined.

In its 40th year of service, Southwest Airlines continues to differentiate itself from other low-fare carriers--offering a reliable product with exemplary Customer Service. Southwest Airlines is the nation's largest carrier in terms of originating domestic passengers boarded, now serving 69 cities in 35 states. Beginning March 13, 2011, Southwest will initiate service to Charleston and Greenville/Spartanburg, South Carolina, and on March 27, 2011, service will begin to Newark Liberty International Airport. Southwest also is one of the most honored airlines in the world known for its commitment to the triple bottom line of Performance, People, and Planet. To read more about how Southwest is doing its part to be a good citizen, visit southwest.com/cares to read the Southwest Airlines One Report(TM). Based in Dallas, Southwest currently operates more than 3,200 flights a day and has nearly 35,000 Employees systemwide.

 

[funnyman12]

Ya know guys, believe it or not this is two airlines merging with a total of 43,000 employees being affected. Not integrating the airlines will hurt everyone. Unless you want an airline with less revenue, hiring, and no upgrades then don't ever integrate Airtran. Unfortunately that will hurt all 43,000 employees. Pilots are all such a-holes.

 

[SWA/FO]

Last time I typed something like that I was banned for a month.

 

[Kharma Police]

Ya know guys, believe it or not this is two airlines merging with a total of 43,000 employees being affected. Not integrating the airlines will hurt everyone. Unless you want an airline with less revenue, hiring, and no upgrades then don't ever integrate Airtran. Unfortunately that will hurt all 43,000 employees. Pilots are all such a-holes.

Well that's just great, guy! If we get integrated, then what the heck will I do with all the "Guadalupe Holdings" T-Shirts, stickers, plastic wings, plush toys and other assorted merchandise I ordered! With all your wishing for a fair and equitable integration, did you ever consider us shameless profiteers?!?!

 

[Secret Squirrel]

I have heard you guys talking that SWA and SWAPA are talking about section 1 issues. What is to stop "Guadalupe Holdings" from signing a contract with Skywest to feed "Guadalupe Holdings" to fly the 20 aircraft up to 86 seats that are allowed in our contract (along with unlimited turboprops and limited smaller jets)? Is that addressed in your transition agreement?

 

[redflyer65]

The Section 1 section of the current SW agreement prevents that from happening.

SWAPA will have to give some domestic codeshare relief for Airtran, beyond that I don't see anymore relief. Right now it's ironclad. ZERO domestic codeshare allowed.

 

[Bill Nelson]

I have heard you guys talking that SWA and SWAPA are talking about section 1 issues. What is to stop "Guadalupe Holdings" from signing a contract with Skywest to feed "Guadalupe Holdings" to fly the 20 aircraft up to 86 seats that are allowed in our contract (along with unlimited turboprops and limited smaller jets)? Is that addressed in your transition agreement?

No, not allowed in our CBA.