UAL Seeks Lower Fees

[Mayday911]

United seeks lower fees from Regional airline partners
Dateline: Thursday February 20, 2003

United Airlines intends to use the Chapter 11 bankruptcy process to renegotiate its fee-per-departure service agreements with Regional airlines operating in the United Express feeder program to achieve substantial savings--up to 28% below current costs.

According to the airline's Plan for Transformation presented to its creditors committee at the end of Jan., United Express carriers Atlantic Coast Airlines, SkyWest and Air Wisconsin charge a premium over market rates. In the plan document, United said it is paying one partner $3,571 per departure on a 500-mi. stage length basis, another is receiving $3,132 and the third is getting $2,960. United added that it has received bids of $2,732 and $2,565 from airlines interested in providing the service.
One current United codeshare partner, ACA, has filed suit seeking to require the Major to declare by Feb. 28 whether it intends to honor the existing contract (ATWOnline, Jan. 3).

I wonder which of the bottom feeders are bidding that low. And so it starts!!

Mayday.

 

[Rottweiller]

Chautauqua and MESA. It's common knowledge.

 

[ACABlueridge]

Now maybe some can see how Chautauquas and Mesas bottom of the barrell are hurting ALL of us in the industry. All United has to do is redistribute their flying to another carrier. Their flying is shifted and pilots make LESS.

Looks like is is going to be a race to the bottom.

MESA guys/gals please vote NO!!

 

[FlyDeltasJets]

ironic

 

[Sleepyhead]

Maybe now some of you guys will realize we are all in this together. What effects one airline will eventually effect the others.

 

[IADBLRJ41]

HERE WE GO

Very well put!! I cannot believe what this industry has turned into. Who would have ever thought that a regional would be out bid by a low feeder like MESA.. It truly shows that airline management does not care about the future it is all short term goals and fat pocketbooks. So what is next for the UAX feeders=PAY CUTS!!!!

My 2cents

IADBLR

 

[ACABlueridge]

So what is next for UEX feeders=pay cuts?

Believe me, if management thought they could get them they certainly would try. Who knows what lies ahead though, after all it is a race to the bottom.

 

[Capt RJ]

Its bad enough that UAL's probability of survival is nil to none, but now they have to screw the lonely pilots at the bottom of the food chain. Co*k Suckers

 

[AAPilot]

Capt RJ, Just curious if this is just your opinion or you have facts to back up your statement?

 

[Capt RJ]

AA Pilot

Not quite sure the facts that your looking for, but if in regards to UAL survival chances-just read todays Dow Jones report, if its about screwing the regional pilots by pitting them against each other-just read the story that started this thread. How would you like it if AMR went into bankrupcy and all of the sudden decided to save money with "cheaper" crews, because Ch 11 gave the an out of your contract. We all need to stick together or we'll all get a bad deal in the end.