What do you think will happen to ASA?

[wms]

They paid 425M for assets worth at least that much.

Who's going to buy the -200s? Bombardier is buying them back as fast as they can get them. They are being refurbished and sold to airlines in China.

JA is interested in growing his business. Skywest Airlines is doing great. He's never had any love or any use for ASA. I do believe he bought us for our assets as a favor to Delta to "take us off their hands" before they lost us in bk.

It wasn't a favor to DAL, it was an ultimatum. Buy ASA or lose the DAL flying you have. We've been a cash cow for him and at the end of our third year he'll have gotten back his investment. He's not going to give up 100+ million a year to turn a quick buck and get rid of a headache. That would mean he under-estimated the challenges involved with buying ASA. Businessmen are too proud to bail when things get tough.

 

[John Pennekamp]

It wasn't a favor to DAL, it was an ultimatum. Buy ASA or lose the DAL flying you have. We've been a cash cow for him and at the end of our third year he'll have gotten back his investment. He's not going to give up 100+ million a year to turn a quick buck and get rid of a headache. That would mean he under-estimated the challenges involved with buying ASA. Businessmen are too proud to bail when things get tough.

Please back up your statement with facts for it to be taken seriously. There is absolutely no evidence to back up your highlighted comment.

Your own post contradicts itself. If JA was forced to buy ASA, then why would he have "under estimated" anything (implying the buyout was a choice) and why would his pride suffer for bailing out on something he (according to you) was forced to buy in the first place?

As said previously, all Skywest Inc would lose is "lost opportunity" by liquidating us. That's a paperwork excercize. They could easily recover their initial investment. And they will if our present course continues.

 

[VeeOne]

It wasn't a favor to DAL, it was an ultimatum. Buy ASA or lose the DAL flying you have. We've been a cash cow for him and at the end of our third year he'll have gotten back his investment. He's not going to give up 100+ million a year to turn a quick buck and get rid of a headache. That would mean he under-estimated the challenges involved with buying ASA. Businessmen are too proud to bail when things get tough.

If JA liquidated ASA, someone would benafit from the void we left behind. The Regional Air Line Association has even stated that the only "bulk growth" would be at the expense of another regional (we all thought Comair). If we were shut down, JA would recoupe his 425 mil through our assetts, and could even pick up a large % of the DAL flying through another RFP. He gets his money one way or the other. Personally I would rather be a part of his plan.

Businessmen don't guage themselves by pride content. It's all about the money- nothing more, nothing less. Money is the ultimate guage of success in this business. Busting a union, growing his own side of the fense, and retaining profitability/increasing profitability to come out stronger would be the ultimate for him. Unfortunately we are giving him an excuse to proceed with his backup plan if we continue to push our issues and price ourselves out of the market.

The truth is that if we give ourselves a reason to require scope, it's all over anyway. JA is willing to play ball with ALPA, but only to a point- then all bets are off and he will start to play his own game.

 

[JoeMerchant]

They paid 425m for assets that do them no good if they're not utilized. JA can still make more money with them over time in revenue than in a one-time fire sale. Besides, who's gonna buy 150 -200s for a price high enough to cover the lost revenue? JA's not interested in shrinking. Like any businessman he's interested in growing his business

wms,

What makes you think the assets can't be utilized without you? Have you seen the Skywest 900s in ATL? Those would have been ASA assets, but instead they are being utilized without you while you follow ALPA off the cliff.... you are replaceable........

 

[JoeMerchant]

If JA liquidated ASA, someone would benafit from the void we left behind. The Regional Air Line Association has even stated that the only "bulk growth" would be at the expense of another regional (we all thought Comair). If we were shut down, JA would recoupe his 425 mil through our assetts, and could even pick up a large % of the DAL flying through another RFP. He gets his money one way or the other. Personally I would rather be a part of his plan.

Businessmen don't guage themselves by pride content. It's all about the money- nothing more, nothing less. Money is the ultimate guage of success in this business. Busting a union, growing his own side of the fense, and retaining profitability/increasing profitability to come out stronger would be the ultimate for him. Unfortunately we are giving him an excuse to proceed with his backup plan if we continue to push our issues and price ourselves out of the market.

The truth is that if we give ourselves a reason to require scope, it's all over anyway. JA is willing to play ball with ALPA, but only to a point- then all bets are off and he will start to play his own game.

Very well said VeeOne.... I have been saying this since Skywest bought us and I am glad that others see this also.....

 

[Speedtape]

Very well said VeeOne.... I have been saying this since Skywest bought us and I am glad that others see this also.....

So, do you need scope or not? Don't give circular reasoning in your answer, please! Remember, "good scope is inclusive; bad scope is exclusive!"

 

[av8er2]

If they shut down ASA how many of the ASA pilots would immediately apply to SW? I think a lot would because there would be fast upgrades and a lot that would not want to move. I think over 50% of ASA pilots would apply the same day just to keep a job.

Many are at ASA for time and to upgrade. Massive openings would interest a lot of ASA pilots.

I have heard rumors that Freedom and another airline have been awarded 900 and E170 flying in ATL that will be in place around Sept. Anyone else heard this?

ASA is slowly losing flying and they don't even know it. The 80% only counts if ASA meets certain goals. I don't think ASA is meeting those goals.

Most of the signs don't indicate a good future for ASA.

 

[Speedtape]

If they shut down ASA how many of the ASA pilots would immediately apply to SW? I think a lot would because there would be fast upgrades and a lot that would not want to move. I think over 50% of ASA pilots would apply the same day just to keep a job.

Many are at ASA for time and to upgrade. Massive openings would interest a lot of ASA pilots.

I have heard rumors that Freedom and another airline have been awarded 900 and E170 flying in ATL that will be in place around Sept. Anyone else heard this?

ASA is slowly losing flying and they don't even know it. The 80% only counts if ASA meets certain goals. I don't think ASA is meeting those goals.

Most of the signs don't indicate a good future for ASA.

You must not be keeping up. We are still adding new flights and new destinations. But, not on the ATR.

And, do you think they can close the doors, walk across the corporate street, and start flying the next day? Due to attrition, both companies can barely fly their respective schedules now. According to a friend at SW, pilots are being drafted down to below 10 days off. Both training departments are backed up and losing pilots also. Do some research!

 

[JoeMerchant]

So, do you need scope or not? Don't give circular reasoning in your answer, please! Remember, "good scope is inclusive; bad scope is exclusive!"

Speedtape,

It is a circular argument.... you only need scope if you cost more than the competition.... We either need to eliminate competition within a brand/holding company, or we need to compete... It is really that simple.... Which would you prefer?

 

[Speedtape]

Speedtape,

It is a circular argument.... you only need scope if you cost more than the competition.... We either need to eliminate competition within a brand/holding company, or we need to compete... It is really that simple.... Which would you prefer?

I would prefer mine with lettuce and tomato, HEINZ 57 and french fried potatoes! and don't leave out the cold glass of ????