Virgin America cutting capacity during Winter, offering leaves

[bri5150]

Hmmm, profitable 3rd quarter. Yup, finally another profit. Time to shut the doors. Makes sense.

 

[Skippy]

Sir, Those are IOUs. 250 thou..might want to hold onto that one

 

[jonjuan]

Hmmm, profitable 3rd quarter. Yup, finally another profit. Time to shut the doors. Makes sense.

Says who???

 

[crxpilot]

Any company thats named " Virgin" and convinced the FAA to use the callsign "Redwood" is smart enough to pull thru a tough quarter!

 

[redflyer65]

Says who???

That's what I was thinking too...

 

[NEDude]

That's what I was thinking too...

Says who is the CEO (David Cush) in the very same letter the article frequently cites. The author just chose to conveniently omit the statements about third quarter profitability (as well as initial fourth quarter outlooks) because it does not align with tone of the article.

 

[Flyer1015]

One of the above posters on the first page is a PO'ed VA interview reject.

There isn't a single airline in the last 3 years that hasn't offered some type of leave. Whether it's a reduced line guarantee (40 instead of 75 for example) a whole month leave, or early retirement. My last airline also offered a leave in times we were "overstaffed" and when flying was being cut - traditionally 1st quarter. There are many other airlines that are (or have) offered temporary leaves, especially for the first quarter.

As for VA, apparently there is a new VP of Network Planning/Revenue. He's pushing for this change, and honestly, it does make financial sense. VA's first quarters have always been the worst compared to the other three quarters. By eliminating some unprofitable flying (redyes, midweek flights), VA is cutting its schedule 3% for the first quarter Jan 1 - March 30. By trimming the schedule and not paying for fuel expenses on flights where money isn't being made, the plan is to cut the overall loses that are traditionally seen in the first quarter. Note that as soon as Apr 1 comes, the flight schedule goes BACK to normal 100% operations.

So these temporary leaves are being offered only for the first quarter Jan-March, the flight schedule will be 100% normal capacity starting on Apr 1.

 

[bri5150]

And hiring pilots starts quarter 1 again as per ceo. It is interesting that the media has so much insight into our financial situation despite Virgin America being a private company.

 

[n757st]

And hiring pilots starts quarter 1 again as per ceo. It is interesting that the media has so much insight into our financial situation despite Virgin America being a private company.

The FAA requires you to report your financials, that's why the media has access to them.

 

[bri5150]

The FAA requires you to report your financials, that's why the media has access to them.

I understand that the general financials are reported. I am sure the FAA does not have access to our business plan and and all the details. Maybe I am wrong. Just for the record, I am not saying we are in a great position financially. I just don't think we will shut our doors real soon as some say/want.