Airline Pilot Central Forums - Prepare yourselves… 2023 AEs

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Quote:

Originally Posted by iaflyer (Post 3678446)

In my opinion, the regional jet never made money on its own. Look around - how many pure RJ operators are there in the United States? They succeeded because their cost was buried in the network effect.

The RJ claim to fame was being available in large numbers right around 9/11 when airlines decided their capacity was too much. Also, in the late 90s there was slew of turboprop accidents that soured the view of the TP (I flew the ATR and liked it, so it's not turboprop hating) so the RJ was seen as a "safer" solution often using a jet bridge that provided strong revenue. Well - that's until SWA decided to expand after 9/11 and the majors shrank. Suddenly it became much cheaper to drive from Evansville, IN (for example) to Indy and take SW than to take an RJ and connect in a hub.

So suddenly the RJ became a high cost jet that was competing against SW. Airlines had to lower prices to match SWA on those routes, and any increased yield from the RJ (by going from a 100 seat DC9 to a 50 seat RJ) evaporated.

I don't think the major airlines ever broke out the profit/loss of their RJ operators or the RJ operation - I could be wrong though.

I'm glad if we can take the high cost RJ flying an bring it in house with a A220 or 717 - movement for a fair bit of the seniority list and we can make even more profit.

depends how you want to account for it. Sounds dumb, but the rjs went from paying about 20grand for an fo to paying 100g for an fo at one delta wholly owned. Captains making sig more for same work.

Ive heard everything from rjs being a network filler/buster, a loss leader, and a market share stealer. My guess is its all three and we make more with the RJs than without. However, the RJ market will have to innovate or shrink to pre '98 levels and thats where i think its heading.

RJs will whittle down to whatever lifers staff the left seat and Propel/Aviate etc cadets staff the right seat. They’ll never go fully away in case the market changes and there’s a chance to regrow the regionals. They don’t gain anything fully canning a regional as long as a few dozen planes can hang on just in case.

With the amount of time and capital that Delta and United are putting into Propel and Aviate, regionals aren’t going away.

Quote:

Originally Posted by PilotBases (Post 3678530)

spot on post. Must have lived through a cycle or 2. Ha

ill tag on until we non-regional pilot unions close the scope on the small end this is the ultimate over-pressure relief valve majors are going to count on in volatile times.

SkyHub said they are going to work on the AE memo this week - FYI for those wondering :D

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Originally Posted by FlexManFlex (Post 3679081)

SkyHub said they are going to work on the AE memo this week - FYI for those wondering :D

you’ve got it this time Flex!

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Originally Posted by Abouttime2fish (Post 3679192)

you’ve got it this time Flex!

Thanks, Fish! You bidding anything??

Quote:

Originally Posted by FlexManFlex (Post 3679081)

SkyHub said they are going to work on the AE memo this week - FYI for those wondering :D

#GoFlex

10 char

Quote:

Originally Posted by FlexManFlex (Post 3679222)

Thanks, Fish! You bidding anything??

no, I’m locked but probably never moving anyway. My interests in AE’s are solely seniority progression.

Quote:

Originally Posted by Hotel Kilo (Post 3679223)

#GoFlex

10 char

Thanks, Hotel!