Compass rumor again?
#82
Gets Weekends Off
Joined APC: Feb 2017
Posts: 151
If these Compass rumors are true I don’t think YX would end up in Seattle. I would imagine we would just see another round of the Delta shuffle and OO would move their LGA flying back west. So maybe instead you can live in Queens without a commute... still about as expensive
#84
Confucius say...
If you have an opinion other than theirs, that’ll make it real easy for you to cancel theirs out since you have just as much voting clout as they do.
Just a random observation of my own....
#85
Gets Weekends Off
Joined APC: Jan 2019
Posts: 159
Yeah I don't really have time or desire to go through and change them all to 3 stars lol
#86
If these Compass rumors are true I don’t think YX would end up in Seattle. I would imagine we would just see another round of the Delta shuffle and OO would move their LGA flying back west. So maybe instead you can live in Queens without a commute... still about as expensive
#87
Why would anyone buy Compass? They don’t own anything. Planes, slots, gates, ramp equipment, nothing. They are a paper airline. Take the planes and hire their pilots as new hires. Avoids the BS of integration etc.
#88
#89
Gets Weekends Off
Joined APC: Apr 2018
Posts: 351
You probably don’t even need to take the airplanes, with Republics firm order of 100 jets and up to 200 there’s zero need for those old airplanes. Just bid for their flying when it comes up and done. We have the staffing and the airplanes are just around the corner.
#90
Since the Delta flying is being done by Delta owned 175s they are now a sunk expense for Delta. Moreover, those particular aircraft are sort of specified as an exception in their scope clause since they were wholly owned first by Northwest and then with the Northwest-Delta merger by Delta. They were sort of an exception granted to the rest of the Delta scope agreement, IIRC. I think it is very possible the aircraft and the flying is sort of a package deal.
The advantages that Compass has of course is that they already have personnel in place and they are doing the job, as well as a training system in place to replace people lost to attrition. And of course, turning the aircraft over to someone else would require a complete inspection and have to be done in a phased manner in any event.
Their personnel costs are also lower than that of Republic, in part because their payscale is lower but to an even greater extent because the turnover of personnel as their senior people move on is so quick that almost everyone is relatively low on the already lower payscale. Currently an FO hired one year ago has not only been holding a line for seven or eight months at this point, they are bidding at about 35-40% as an FO in most domiciles while there are only a few captains actually pulling fifth year pay. So basically ALMOST EVERYONE is sort of at the low end of the payscale amd the average personnel costs for a Captain and an FO are $78 and $42 per hour for CPZ versus more like $92 and $51 for Republic with higher benefit costs for Republic as well.
None of that means that Republic couldn't take the flying, simply that they are at a competitive disadvantage economically at present in competing for that flying.
Assuming Delta wanted a change to happen, it certainly could. But the startup costs would be nontrivial and the delta (no pun intended) in personnel costs would also be non-trivial. And exactly what that would do to Delta's scope if it was decided to sell off the birds is something I think would have to be worked out between ALPA and Delta.
But if indeed the decision was to just get rid of the aircraft, I imagine it would be cheaper to simply have OO do the flying since they already have bases out West and already fly about 200 aircraft as Delta Connection and many of those startup costs could be avoided.
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