From a Solid Source: Mesaba is being awared 15 CRJ-900s
#171
Hmmm... I guess it is rather hard to fight for something that isn't yours right? Then I wonder what the heck DL and Mesaba are waiting for in making a public announcement. We're also forgetting one huge elephant in the room: SCOPE. How is it even possible for the additional 8 to be operated? We're already over the JPWA scope for 76 seat a/c when you include all the orders. Something has got to give and it's obvious we don't know the full story.
#173
Contingencies Related to Termination of Contract Carrier Agreements
We may terminate the Chautauqua and Shuttle America agreements without cause at any time after May 2010 and July 2015, respectively, by providing certain advance notice. If we terminate either the Chautauqua or Shuttle America agreements without cause, Chautauqua or Shuttle America, respectively, has the right to (1) assign to us leased aircraft that the airline operates for us, provided we are able to continue the leases on the same terms the airline had prior to the assignment and (2) require us to purchase or lease any of the aircraft that the airline owns and operates for us at the time of the termination. If we are required to purchase aircraft owned by Chautauqua or Shuttle America, the purchase price would be equal to the amount necessary to (1) reimburse Chautauqua or Shuttle America for the equity it provided to purchase the aircraft and (2) repay in full any debt outstanding at such time that is not being assumed in connection with such purchase. If we are required to lease aircraft owned by Chautauqua or Shuttle America, the lease would have (1) a rate equal to the debt payments of Chautauqua or Shuttle America for the debt financing of the aircraft calculated as if 90% of the aircraft was debt financed by Chautauqua or Shuttle America and (2) other specified terms and conditions.
We estimate that the total fair values, determined as of September 30, 2008, of the aircraft that Chautauqua or Shuttle America could assign to us or require that we purchase if we terminate without cause our contract carrier agreements with those airlines (the “Put Right”) are approximately $294 million and $359 million, respectively. The actual amount that we may be required to pay in these circumstances may be materially different from these estimates. If the Chautauqua or Shuttle America Put Right is exercised, we must also pay to the exercising carrier 10% interest (compounded monthly) on the equity the carrier provided when it purchased the put aircraft. These equity amounts for Chautauqua and Shuttle America total $27 million and $71 million, respectively.
We may terminate the Chautauqua and Shuttle America agreements without cause at any time after May 2010 and July 2015, respectively, by providing certain advance notice. If we terminate either the Chautauqua or Shuttle America agreements without cause, Chautauqua or Shuttle America, respectively, has the right to (1) assign to us leased aircraft that the airline operates for us, provided we are able to continue the leases on the same terms the airline had prior to the assignment and (2) require us to purchase or lease any of the aircraft that the airline owns and operates for us at the time of the termination. If we are required to purchase aircraft owned by Chautauqua or Shuttle America, the purchase price would be equal to the amount necessary to (1) reimburse Chautauqua or Shuttle America for the equity it provided to purchase the aircraft and (2) repay in full any debt outstanding at such time that is not being assumed in connection with such purchase. If we are required to lease aircraft owned by Chautauqua or Shuttle America, the lease would have (1) a rate equal to the debt payments of Chautauqua or Shuttle America for the debt financing of the aircraft calculated as if 90% of the aircraft was debt financed by Chautauqua or Shuttle America and (2) other specified terms and conditions.
We estimate that the total fair values, determined as of September 30, 2008, of the aircraft that Chautauqua or Shuttle America could assign to us or require that we purchase if we terminate without cause our contract carrier agreements with those airlines (the “Put Right”) are approximately $294 million and $359 million, respectively. The actual amount that we may be required to pay in these circumstances may be materially different from these estimates. If the Chautauqua or Shuttle America Put Right is exercised, we must also pay to the exercising carrier 10% interest (compounded monthly) on the equity the carrier provided when it purchased the put aircraft. These equity amounts for Chautauqua and Shuttle America total $27 million and $71 million, respectively.
#175
Hmmm... I guess it is rather hard to fight for something that isn't yours right? Then I wonder what the heck DL and Mesaba are waiting for in making a public announcement. We're also forgetting one huge elephant in the room: SCOPE. How is it even possible for the additional 8 to be operated? We're already over the JPWA scope for 76 seat a/c when you include all the orders. Something has got to give and it's obvious we don't know the full story.
#176
Gets Weekends Off
Joined APC: Sep 2006
Posts: 787
Just wondering...not to add fuel to the fire of a rumor, but I DID speak with a gate agent who said your all's CEO has been touring the outstations and saying you guys are getting more 900s...counterpoint is that Delta seems to have a way of pulling planes and moving stuff around a lot more than NWA ever did.
#177
Are the Compass 175's included in the tally of 76-seaters under the JPWA? Or were those "gradnfathered" in, and not included in the count?
Just wondering...not to add fuel to the fire of a rumor, but I DID speak with a gate agent who said your all's CEO has been touring the outstations and saying you guys are getting more 900s...counterpoint is that Delta seems to have a way of pulling planes and moving stuff around a lot more than NWA ever did.
Just wondering...not to add fuel to the fire of a rumor, but I DID speak with a gate agent who said your all's CEO has been touring the outstations and saying you guys are getting more 900s...counterpoint is that Delta seems to have a way of pulling planes and moving stuff around a lot more than NWA ever did.
It looks like most of the changes are headed for quarter 2 of next year. New aircraft assignments, routes, added flying, etc.
#178
I'm pretty sure the 175s from CP are included in the 120 frames. What WAS grandfathered were their higher gross weight, which exceeds the gross weight in the scope provisions. If I understand correctly, the number of frames however, are apart of the 120.
All this talk of new planes for XJ are planes that were already being operated or were scheduled to be operated at current DCI carriers. 14 from freedom and 14 from Comair. If you take the 14 from Freedom and the last delivery to Comair and put them at XJ, there is no gain in 900 frames from previous announcements, just new operators. It does however, still put us slightly over the 120.
My prediction is that either they'll go right up to the 120 cap and the balance will be delivered with 70 seats in them (like Skywest before the scope relaxation to 76 seats) or they're planning on net gains at mainline, which will allow increased numbers of 76 seaters at DCI.
All this talk of new planes for XJ are planes that were already being operated or were scheduled to be operated at current DCI carriers. 14 from freedom and 14 from Comair. If you take the 14 from Freedom and the last delivery to Comair and put them at XJ, there is no gain in 900 frames from previous announcements, just new operators. It does however, still put us slightly over the 120.
My prediction is that either they'll go right up to the 120 cap and the balance will be delivered with 70 seats in them (like Skywest before the scope relaxation to 76 seats) or they're planning on net gains at mainline, which will allow increased numbers of 76 seaters at DCI.
#179
Please...don't take this at all as me throwing anything in the face of Comair because I know DL has put you guys in a very difficult position with a large chunk of your ops being at JFK. However the article in the AJC released a couple weeks about performance being related to scoring business among DCI carriers may be directly related to them taking frames from you guys. Again...not that its fair to you guys...
#180
Gets Weekends Off
Joined APC: Sep 2006
Posts: 787
Reading info like that on ATL/JFK makes one wonder why on earth Delta would shut down Memphis as some have suggested they might...Memphis could take a lot of pressure off of ATL for Southern/Southeastern routes, and with 18C/36C could even act as a decent connecting hub for some long-range stuff...zero icing issues in winter, decent weather year-round, and anyone who has been in MEM after one of the pushes knows they could squeeze in a decent "flow" of additional flights (per Delta's route structure, which is less push-oriented) while MEM is a ghosttown in the AM at least (afternoon in between pushes would conflict with FedEx I guess).
But I've heard from lots of mainline DAL that CVG will stand and Memphis will get reduced...just been trying to get my head wrapped around that one...
But I've heard from lots of mainline DAL that CVG will stand and Memphis will get reduced...just been trying to get my head wrapped around that one...
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