Comair updates?
10-24-2008, 02:29 PM
#9181
Gets Weekends Off
Joined APC: Mar 2008
Posts: 1,197
Welp, SB came into our recurrent ground today. Some of the same old Kool-aid, stressed D-0 and A-14 performance and completion... which is understandable, our profit sharing is predicated on this and other airlines see these numbers when awarding new flying.
Delta really hasnt said much about how much flying we will be doing in 09. We basically have no clue. He mentioned the possibility of additional furloughs in January depending on Delta's schedule reductions. (A special thank you for nothing goes out to ALPA for holding us hostage for their 'laundry list' of contract stuff to be fixed and no mitigation).
Everything for us basically rides on the Mesa trial in April 09. We have a bid in for the United flying (about 70 fifty seaters), they are impressed with our operation, however, they are not going to award this contract until April when a decision is made with Mesa. Essentially we are in a possible position to gain back some flying from Delta and additional flying out of ORD/DEN from United at the expense of Mesa. It was indicated that none of this will be 70 seat flying, all 50 seat.
In the ongoing discussion about 50 seat profitability, if oil remains under $110/barrel, the 50's are profitable. Lets hope oil prices continue to stay lower as the economy softens and demand decreases, it significantly affects our ability to remain profitable.
Outside of flying, our MX operation is doing very well. We won a contract with Pinnacle to do all the engine MX on their 900's, which pays very well. Still doing work for Air Canada Jazz and a few others. We are also doing a lot of ground handling for other carriers... often times out performing the other carrier's in house handling. We are gaining a lot of attention from that and some of it is bleeding over into our flying. The thought process is if Comair has good ground svc's, then maybe their flying might be worth taking a look at. Our recent good performance numbers have certainly caused a stir among the other DCI carriers and been noticed by United and Delta alike. It says a lot considering we operate mostly in and out of the Northeast.
When SB left, I didnt really have the greatest feeling about our future. Seems as if everything is in the air until this merger takes place and the DCI side of the house is dealt with. He mentioned that Delta might sell us a few years after the merger... not sure where he heard that from, but that could be good or bad depending on a lot of factors.... (probably when we are in the middle of contract neg in 2011).
Delta really hasnt said much about how much flying we will be doing in 09. We basically have no clue. He mentioned the possibility of additional furloughs in January depending on Delta's schedule reductions. (A special thank you for nothing goes out to ALPA for holding us hostage for their 'laundry list' of contract stuff to be fixed and no mitigation).
Everything for us basically rides on the Mesa trial in April 09. We have a bid in for the United flying (about 70 fifty seaters), they are impressed with our operation, however, they are not going to award this contract until April when a decision is made with Mesa. Essentially we are in a possible position to gain back some flying from Delta and additional flying out of ORD/DEN from United at the expense of Mesa. It was indicated that none of this will be 70 seat flying, all 50 seat.
In the ongoing discussion about 50 seat profitability, if oil remains under $110/barrel, the 50's are profitable. Lets hope oil prices continue to stay lower as the economy softens and demand decreases, it significantly affects our ability to remain profitable.
Outside of flying, our MX operation is doing very well. We won a contract with Pinnacle to do all the engine MX on their 900's, which pays very well. Still doing work for Air Canada Jazz and a few others. We are also doing a lot of ground handling for other carriers... often times out performing the other carrier's in house handling. We are gaining a lot of attention from that and some of it is bleeding over into our flying. The thought process is if Comair has good ground svc's, then maybe their flying might be worth taking a look at. Our recent good performance numbers have certainly caused a stir among the other DCI carriers and been noticed by United and Delta alike. It says a lot considering we operate mostly in and out of the Northeast.
When SB left, I didnt really have the greatest feeling about our future. Seems as if everything is in the air until this merger takes place and the DCI side of the house is dealt with. He mentioned that Delta might sell us a few years after the merger... not sure where he heard that from, but that could be good or bad depending on a lot of factors.... (probably when we are in the middle of contract neg in 2011).
For Comair's business model to be based on the survival of another airline(Mesa) I would think that is a two way street. If Mesa goes under Comair gets to stay in the fight, but if Mesa doesn't go under than Comair may be rid of.
10-24-2008, 02:45 PM
#9182
Line Holder
Joined APC: Jun 2006
Position: New Hire
Posts: 87
Delta CEO Gives Shout-out To Comair In Latest Message
Comair extended its streak of 100 percent completion days to 21 with another perfect day on Thursday, October 23. Comair now has 56 100 percent completion days for 2008. On Friday, Delta CEO Richard Anderson gave kudos to the Comair team for the accomplishment.
"[Perfect] completion factor days do not come easily with weather and ATC delays in the Northeast, so it really requires a team effort," he said.
Hey everyone, congrats again and keep up the good work. We never know what this could possibly lead us to if we keep doing a good job. We should all pat ourselves on the back for this one. Hang in there everyone and keep up the good work!!
Comair extended its streak of 100 percent completion days to 21 with another perfect day on Thursday, October 23. Comair now has 56 100 percent completion days for 2008. On Friday, Delta CEO Richard Anderson gave kudos to the Comair team for the accomplishment.
"[Perfect] completion factor days do not come easily with weather and ATC delays in the Northeast, so it really requires a team effort," he said.
Hey everyone, congrats again and keep up the good work. We never know what this could possibly lead us to if we keep doing a good job. We should all pat ourselves on the back for this one. Hang in there everyone and keep up the good work!!
10-24-2008, 03:10 PM
#9184
Line Holder
Joined APC: May 2007
Position: B76ER
Posts: 64
How about this scenario...
Mesa's stock hits rock bottom and just before de-listing SkyWest comes in and buys them for pennies on the dollar at the 11th hour. SkyWest already has code share with UA and DL. Problem solved. No more J.O. and no more Comair.
Mesa's stock hits rock bottom and just before de-listing SkyWest comes in and buys them for pennies on the dollar at the 11th hour. SkyWest already has code share with UA and DL. Problem solved. No more J.O. and no more Comair.
10-24-2008, 04:25 PM
#9185
Gets Weekends Off
Joined APC: Apr 2008
Position: Lucky to have a seat
Posts: 466
Don't think that might happen because that will give Skywest 60-70% of DCI flying. And delta doesnt' want to a single carrier that much coverage. Hench the 9 DCI carrier (soon to be 7 or less).
10-24-2008, 06:01 PM
#9186
Line Holder
Joined APC: Apr 2007
Position: Furloughed
Posts: 32
There's alot of noise on Flightinfo about Mesaba being the centerpiece after the merger...below is excerpt from an analyst conference call with Delta, any comments?
============start of excerpt=============
Raymond Neidl - Calyon Securities
Switching to the smaller aircraft, you are going to have partnerships with almost every regional airline out there, plus you’re going to own a number of regional airlines. Is there any thought to maybe consolidating that and making that a little bit more streamlined.
Douglas M. Steenland
I think the ratio, the consolidation with our regional jet both carefully owned carriers as well as our contracts is a big opportunity for the combined airline. And yes, we expect there to be of significant shuffling of the deck, as well as some cost value out of realigning our portfolio.
Richard Anderson
The great piece here is between Compass and Mesaba you have the very best operators in cost structure. So, our goal with our contract carriers is to bring their margins down over time to more accurately reflect the overall margins in the industry. And Compass and Mesaba will give us that ability to shift flying from contract carriers to owned carriers at much better CASM.
========== end of excerpt===========
============start of excerpt=============
Raymond Neidl - Calyon Securities
Switching to the smaller aircraft, you are going to have partnerships with almost every regional airline out there, plus you’re going to own a number of regional airlines. Is there any thought to maybe consolidating that and making that a little bit more streamlined.
Douglas M. Steenland
I think the ratio, the consolidation with our regional jet both carefully owned carriers as well as our contracts is a big opportunity for the combined airline. And yes, we expect there to be of significant shuffling of the deck, as well as some cost value out of realigning our portfolio.
Richard Anderson
The great piece here is between Compass and Mesaba you have the very best operators in cost structure. So, our goal with our contract carriers is to bring their margins down over time to more accurately reflect the overall margins in the industry. And Compass and Mesaba will give us that ability to shift flying from contract carriers to owned carriers at much better CASM.
========== end of excerpt===========
10-24-2008, 07:15 PM
#9189
Gets Weekends Off
Joined APC: Feb 2008
Posts: 493
It might have been from last April, but the facts still remain. Mesaba and especially Compass have young work groups which translates to decreased costs. Compass, because they're brand new and Mesaba because of our bogus trip through butt kicking bankruptcy.
Further, Compass and Mesaba have streamlined back of the house activities except for HR and operations (SOC and training), which saves money. Regarding performance, I can only speak for Mesaba, but our performance numbers are very good... you just don't ever hear about them because they're not reported to the DOT.
Which ever way the chips fall, it shall be interesting. It's finally nice to be on the side of good fortune at Mesaba.
Further, Compass and Mesaba have streamlined back of the house activities except for HR and operations (SOC and training), which saves money. Regarding performance, I can only speak for Mesaba, but our performance numbers are very good... you just don't ever hear about them because they're not reported to the DOT.
Which ever way the chips fall, it shall be interesting. It's finally nice to be on the side of good fortune at Mesaba.
10-24-2008, 08:59 PM
#9190
Gets Weekends Off
Joined APC: Dec 2007
Position: B-777 F/O
Posts: 119
Mesaba, but our performance numbers are very good... you just don't ever hear about them because they're not reported to the DOT.
Which ever way the chips fall, it shall be interesting. It's finally nice to be on the side of good fortune at Mesaba.[/quote]
Living in Grand Forks I only live with the routine CNX of Mesaba and Peanuckle flights when the booking are too low. Very aggrevating for the passengers and now I only book on the mainline! As for the crews I'm sure it's frustrating for you too.
Which ever way the chips fall, it shall be interesting. It's finally nice to be on the side of good fortune at Mesaba.[/quote]
Living in Grand Forks I only live with the routine CNX of Mesaba and Peanuckle flights when the booking are too low. Very aggrevating for the passengers and now I only book on the mainline! As for the crews I'm sure it's frustrating for you too.
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