What do you think will happen to ASA?

[FmrFreightDog]

Remember....now the status quo is over. Management can do whatever they see fit. Expect Delta to retire ASA 200's and replace them with 700/900's at every other regional. Bad plan!

I'm done expressing my feelings on the negotiations on this forum. It's pointless. However, I will say, that the ALPA legal team has looked into the whole "status quo" concept and found that it does not apply to aircraft transfers. Even while we are in negotiations, SKW Inc. can transfer every last aircraft we have without legal ramification, which they have not done.

Like I said, you know my opinion and it's pointless for me to reiterate it, but indefinitely staying in negotiations will not protect us from asset transfer.

 

[Matt Foley]

Who farted?

 

[www.]

Let's, get real with our contract demands, drop the unionista attitudes, and finish this thing up so we can cash in on the -900 growth while it's still here.

I really don't think your going to see "growth". As DAL has stated in press releases over the last several months that there will not be any more new aircraft added to the DCI system. Only replacements of the 40, 44 and 50 seat aircraft. As we have seen at CMR in the last few weeks.

 

[John Pennekamp]

I really don't think your going to see "growth". As DAL has stated in press releases over the last several months that there will not be any more new aircraft added to the DCI system. Only replacements of the 40, 44 and 50 seat aircraft. As we have seen at CMR in the last few weeks.

That's a good point. I agree that DCI as a whole probably won't be adding many new airplanes. In fact, my crystal ball shows DCI shrinking over the next few years as mainline takes back a lot of the routes they have been using RJs as a "place marker" on while they were bk. Routes that never should have had an RJ like ATL-MDW or ATL-MKE or CVG-FLL.

What I should have said is that we don't want to miss out on the -200 for -700 or -900 exchanges which are about to begin big time. If we're still in negotiations, or if we price ourselves ot of the game, we'll miss out. Then we'll see our -200s replaced with -700/-705/-900 airplanes at Skywest. This is why we really don't want to exceed their compensation package.

 

[atlcrjdriver]

Even while we are in negotiations, SKW Inc. can transfer every last aircraft we have without legal ramification, which they have not done.

100% correct that JA could transfer every a/c we have to SKW right now and close ASA down, but they won't. It would be far to expensive to do based on our present cost structure. However, as stated earlier, if we are released and the union presses for wages higher than SKW on the CR2 and even higher wages on the CR7 they WILL make it cost effective to transfer the a/c and there will be no reason to keep ASA at her present size or grow her at all.

 

[MELIT]

100% correct that JA could transfer every a/c we have to SKW right now and close ASA down, but they won't. It would be far to expensive to do based on our present cost structure. However, as stated earlier, if we are released and the union presses for wages higher than SKW on the CR2 and even higher wages on the CR7 they WILL make it cost effective to transfer the a/c and there will be no reason to keep ASA at her present size or grow her at all.

You should press for the highest pay. Don't lower the BAR! Go for broke.

 

[outtahere]

You should press for the highest pay. Don't lower the BAR! Go for broke.

You are a dork, and you can add me to your adoring fans who have banished you to the ignore list.

 

[wms]

SkyWest payed $425 million for ASA. That was the book value of the assets. Normally you would buy the assets plus a premium, but that was not the case on this sale. If ASA goes under JA loses nothing except for the opertunity costs. Inc could sell of the assets for what they paid.

Now, if ASA continues to operate with exceptable margins, then Inc turns a profit.

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

 

[MELIT]

You are a dork, and you can add me to your adoring fans who have banished you to the ignore list.

That means alot to me.:crying:

 

[John Pennekamp]

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

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.