Who Gets Additional MDA E170s if USAirways fails?

[CF34-3B1]

The next consideration would go to AMR and DAL. Both of these carriers have scope work to do before they can even think about the 190 or 170. /QUOTE]

Why? I'm sure they could find around 1060 guys who'd fly the E190 for DAL.

 

[80drvr]

Then I guess they'll order the 736 .

They say they're not interested in that either.

 

[FlyComAirJets]

Ok. But my question was who could actually assume the order should the worst case scenario happen... You can bet that Embraer has a contingency plan in case USAirways can't recover... Who else would be likely to take up the order?

The highest bidder, of course. My crystal ball is a little fuzzy, but I would venture to guess that JetBlue, American, and Delta would be interested.

 

[FlyingDawg]

New codeshare for Chautauqua/Republic. The rumor within the company is a new codeshare in 2005. Who, is anyone guess. The rumors tend to favor America West and Continental. RP has confirmed 170 orders with no codeshares associated with them. More than likely they will pick up some of these additional aircraft. CEO recently stated that the 50 seaters are a thing of the past and the 70 seats are the future of the company.

 

[180ToTheMarker]

Hey Lowecur, what does .... mean?

 

[lowecur]

Hey Lowecur, what does .... mean? When I do my signature reply within a reply, the system requires that you have at least 5 characters outside the quote....thus.....

.....

 

[Truckdriver]

They will go to CHQ then XJT will buy CHQ.

CHQ is going to fly them out of LAX for CAL which will not violate the scope clause at CAL nor the capacity purchase agreement that XJT has with CAL. This allows XJT to very quickly reduce the risk involved of having one customer which is CAL. If XJT buys CHQ they will then have CAL, DAL, AMR, UAL, and UAIR as customers. In addition to that, CHQ will no longer be able to underbid XJT for other flying opportunites like they did with DAL. XJT wants to buy them and operate them as a seperate company withing XJT Holdings. Nothing has been announced yet because the pilots can throw a wrench into the whole deal by getting scope in the new contract. This would require all flying done in the holdings company to be provided by pilots on the XJT seniority list. If the pilots get the scope the whole deal doesn't work as well as XJT wants it to. If you talk to the XJT pilots, it is obvious that scope is the sticking point in current negotiations and I believe this is why the company doesn't want to budge.

 

[FlyChicaga]

I think a lot of people misunderstand the scope issue at XJT. The negotiating committee is trying to get language which would state that should XJT acquire another company, then that purchased company would operate under the XJT contract, unless the other company has a better contract.

 

[Truckdriver]

There are two scope issues that affect XJT. First, the CAL scope clause limits XJT to flying only 50 seat jets. It is not based on ASM's or any of that stuff. They can fly 2000 ERJ's as long as they don't have over 50 seats. The limit however does not apply to a code-share partner therefore a carrier could fly out of LAX on a code-share deal and fly larger airplanes. XJT could do it, CHQ could do it, anyone could do it. XJT has nothing to do with this scope issue, it is a CAL pilot issue.


Second, is the scope withing XJT Holdings. The XJT CEO has clearly stated that they wish to buy and operate another carrier within the holdings company. They have no wishes to merge the company with XJT Airlines. They do not want to merge them because "the block hours costs are already agreed upon in contracts with other major carriers and merging the acquired carrier with XJT Airlines would increase the block hour cost and possibly void the contract with the major carrier that the acquried airline is flying for." He did promise however, that there would be no transfer of flying between the two carriers and that they did not wish to create a whip-saw scenario. He said, "If we can buy and airline that is underbidding us now, then that is one less airline that can underbid us in the future."

There are 2500 pilots at XJT that know this is a crock and as soon as they get a new contract and XJT Holding buys another airline, that all new flying will go to the lowest cost carrier. Without rock solid scope protection, the XJT pilots will NEVER sign a TA.

 

[BigDave]

Truckdriver is correct except from the way I understand the code share aggreement issue with CAL and flying larger then 50 seats out of lets say LA, XJT or CHQ could do it under a code share with CAL but they will need their own reservation systems, own advertisment, etc for that service. I doubt it would happen but who the heck knows.