From: Rick Leach
Date: November 13, 2009
RE: United RFP
We were notified today that we were unsuccessful in our effort to secure flying under the recent United Airlines
RFP. This disappointing outcome was despite providing United a low cost, highly competitive bid. The costs
required by United as well as some of the flexibility on the length of the agreement would have provided
substantial risk to Trans States. As I have said many times in the past, we are looking for opportunities to grow,
but only where such growth would be beneficial to the company. In this case, we could not agree to the terms
United required and realize sufficient levels of value to our company.
United did say that we offered a very competitive proposal which allowed us to be one of the final two out of
nine initial bidders for this RFP. They also indicated that our high quality service and our low costs , coupled with
the value we continue to bring to the partnership, make this a very difficult decision. They reconfirmed their
commitment to our partnership and the value we continue to bring them now and in the years to come, both on
our current flying as well as any future opportunities which may arise.
Unfortunately, this decision will result in us rescinding the recent furlough recall we initiated last week. We regret
that we will be unable to follow-through with our recalls at this time. Because of the delivery schedule required
by United and the notification requirements of our ALPA agreement, we had no choice but to send the recall
notices while still waiting for final word from United. If we could have waited until final word was given before
issuing the recalls, we would have. Unfortunately, timing did not allow that to be our course of action. We notified
ALPA leadership of our intent from the very beginning of the recall process and thank them for their cooperation
and understanding during this time. We sincerely apologize for any disruption this may have caused to our
I know this is a major disappointment to many of our employees and again I am disappointed we were unable to
bring this process to a winning conclusion. Please rest assured we will continue to work towards finding ways to
profitably grow Trans States Airlines as well as return our furloughed pilots to work as soon as possible.
Thank you for your continued support and I will keep you posted on further opportunities as they develop.