vagabond

Thank God Almighty!! I've tried to read each and every post on this thread and I must admit, I had some difficulty controlling the gag reflex. I know APC has a lot of young, aspiring people, but the majority have some humility and the grace to know when they don't know something. Many posters have answered your original question many times over and in various permutations, but yet you persist in going all over the place about one thing or the other.

Before you post anymore, please check your posts for grammatical, spelling and punctuation. If this is what Delta State taught you, I suggest you march right back into the Dean's Office and demand a refund of your tuition!

md11phlyer

No, I've tried to explain, but you don't listen.

Trust me bro, no one sees where you are coming from, hence the overwhelming response to your posts.

I believe you need to do a little more research on the cost relationships between major airlines and regionals and how the regionals make their money. Also, examine some airline contracts and read what a 'scope clause' actually says and what it prevents.

Once you have done a little research you may get a better response. Unfortunately this is like trying to teach Calculus to someone who hasn't got their multiplication tables down yet. I mean no disrespect.

vagabond

md11phlyer, I thought you were going out for noodles?

TonyC

How much are you paying ATP?


Why did you say you have a B.S. degree when you don't?




.

keiundraj

I am listening! I do Understand what you're saying. What I'm saying is that people are insulting my intelligence and Doing research on me to prove a point. It's not worth it if we can't discuss an issue without belittling someone.

cbire880

Dude, you are missing the point that it is usually less expensive to subcontract work from the big picture standpoint in the short term. Airlines are certainly not the first industry to do this. Look at how airplanes and cars are built. There are a lot of non-recurring costs associated with producing a product yourself. Management must decide where they want to generate the profits from and what profit centers they are willing to invest in. When you consider the costs associated with leasing, maintaining, and crewing aircraft you will find that as the number of seats go down, the profit margin shrinks rapidly. By outsourcing the low volume aircraft, the mainline company has removed the need to tie up capital resources in those aircraft. I pay you for lift, you get people from small outstations to my hubs. If I don't need you anymore, I cut you loose. I don't have to worry about paying aircraft leases or laying off employees. That's your problem Mr. Regional.

It is not cheaper to operate a massive and diverse fleet. It is best to determine where your profit center will be and focus on it. Then leverage the other players who can get you the additional services you need. You scratch my back, I scratch yours.

Bottom line, until the regional providers demand more pay for their lift, they will be more cost effective to the mainlines than the mainlines flying the small lift themselves.

TonyC

Don't hold your breath. He already "quit" once before.

That only lasted for three minutes.




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BHopper88

isnt it most of the time the MAJORS own the RJs that they i believe "lease" out to the regionals... Such as Delta giving out CRJ700s, 900s, etc to ASA/Skywest, Comair, or Pinnacle.... or whoever... I know some regionals own their own.

Your example in the NW DC9 is flawed... the reason NW has and uses the DC9 is because they own them and it costs less to operate them then buying or leasing new aircraft and such. Now that gas and maint is getting to the point where the DC9 becomes more than say a CRJ900 then thats when the 9s will go away. PLUS the majors make their money on the INTL routes, not the domestics.

The regionals are there to say go to a route that might not make a profit on say a A319 but will on say a CRJ200. The majors pay Regional "x" to fly the route, but still the money and profits go to the MAJOR not the regional. The regional makes its money on the contract not the route... Thus why scope clause comes into play.

(thats how I have come to understand scope) but i could be wrong

keiundraj

Tony U have a Point to prove don't you. I'm paying 60K for ATP..... It Is A B.S. degree.... And I'm not here for a Spelling Contest or A Grammar contest... This isn't formal Ya'll need to calm down a bit.

blastoff

What is the point of all that Skywest data? They make money because they pay their pilots less, not because they fly CRJ's. For Mainline to make CRJ's profitable, they would have to pay pilots less too and that would be bad for all pilots. I don't know how to make it any simpler...why is this so hard to understand?