ATA717Pilot
Member
- Joined
- Jun 22, 2004
- Posts
- 13
Recently released info re: our restructuring plans under the AAI-ATA deal:
COMPANY BRIEFING
While much of the Company's presentation was confidential, Management outlined its proposed fleet restructuring assuming the bankruptcy court approves the AirTran transaction. Details of the AirTran deal include:
* ATA would initially operate 12 737-800s for AirTran under a wet lease with staggered retirements through June 2005.
* ATA would continue to operate the Midway station for AirTran under a phase-out schedule to be determined.
* ATA would handle AirTran at other stations and the two airlines would have a codeshare agreement
* Preferential interviews would be offered.
THE NEW ATA
As outlined by management, the new ATA would be approximately half the size of the current airline, but the Company hopes it would still generate two-thirds of the current revenue. While the Company has until the end of January to develop its business plan, the current thinking, subject to change, is this:
* A fleet of 32-33 aircraft: 3 757-300s, 14 757-200s, 11 737-800s and 4-5 L-1011s.
* 4-5 L-1011s and 6 757-200s would be dedicated to military charter operations.
* Hawaiian operations would be expanded using 8 757-200 aircraft.
* Indianapolis operations would be expanded using 8 737-800 aircraft.
* Feeder operations would be expanded, with Chicago Express operating 6 Saab 340s and 15 new 50- to 70-seat regional jets. The Company is also exploring possibilities with other regional jet entities.
* Furloughs: 400-500 cockpit crewmembers would be retained, with 600-700 crewmembers being furloughed.
* 900-950 flight attendants would be retained, with 900-950 being furloughed.
* Furloughs would begin in January, and continue over a six-month period.
* The Company would agree to offer preferential interviews to furloughed flight crew members who would want to move to the regional jet.
CONCESSIONARY REQUEST
Following the financial briefing, the Company presented to the Negotiating Committee a concessionary proposal totaling $35 million. The concessions would come in five areas, including benefits and insurance; scheduling; operating efficiency; administrative savings; and compensation and expenses.
COMPANY BRIEFING
While much of the Company's presentation was confidential, Management outlined its proposed fleet restructuring assuming the bankruptcy court approves the AirTran transaction. Details of the AirTran deal include:
* ATA would initially operate 12 737-800s for AirTran under a wet lease with staggered retirements through June 2005.
* ATA would continue to operate the Midway station for AirTran under a phase-out schedule to be determined.
* ATA would handle AirTran at other stations and the two airlines would have a codeshare agreement
* Preferential interviews would be offered.
THE NEW ATA
As outlined by management, the new ATA would be approximately half the size of the current airline, but the Company hopes it would still generate two-thirds of the current revenue. While the Company has until the end of January to develop its business plan, the current thinking, subject to change, is this:
* A fleet of 32-33 aircraft: 3 757-300s, 14 757-200s, 11 737-800s and 4-5 L-1011s.
* 4-5 L-1011s and 6 757-200s would be dedicated to military charter operations.
* Hawaiian operations would be expanded using 8 757-200 aircraft.
* Indianapolis operations would be expanded using 8 737-800 aircraft.
* Feeder operations would be expanded, with Chicago Express operating 6 Saab 340s and 15 new 50- to 70-seat regional jets. The Company is also exploring possibilities with other regional jet entities.
* Furloughs: 400-500 cockpit crewmembers would be retained, with 600-700 crewmembers being furloughed.
* 900-950 flight attendants would be retained, with 900-950 being furloughed.
* Furloughs would begin in January, and continue over a six-month period.
* The Company would agree to offer preferential interviews to furloughed flight crew members who would want to move to the regional jet.
CONCESSIONARY REQUEST
Following the financial briefing, the Company presented to the Negotiating Committee a concessionary proposal totaling $35 million. The concessions would come in five areas, including benefits and insurance; scheduling; operating efficiency; administrative savings; and compensation and expenses.
