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Old 01-28-2019, 09:02 AM
  #11  
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Originally Posted by domino
Not even close. It’s a bidding game. Plain and simple. All the regionals put in a bid. The majors go back to each individually and say “well, Regional X gave us a bid lower than yours (without naming numbers) and then it’s up to regional Y if they want to counter. The regionals never know the numbers and are awarded flying based on their overall bid. Skywest has lost plenty of bids and it has nothing to do with owning aircraft.

As for growth, if we take on more flying, kiss your days off good bye. Everyone will be working like crazy.
More $$ I guess.
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Old 01-28-2019, 09:09 AM
  #12  
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Originally Posted by domino
Not even close. It’s a bidding game. Plain and simple. All the regionals put in a bid. The majors go back to each individually and say “well, Regional X gave us a bid lower than yours (without naming numbers) and then it’s up to regional Y if they want to counter. The regionals never know the numbers and are awarded flying based on their overall bid. Skywest has lost plenty of bids and it has nothing to do with owning aircraft.

As for growth, if we take on more flying, kiss your days off good bye. Everyone will be working like crazy.
I respectfully disagree. The ability for their regional partners to finance their own aircraft is very important to them. It works out well for all parties concerned, and it often results in more lucrative and longer term CPA’s
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Old 01-28-2019, 09:41 AM
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I hear rumors of Delta wanting 3 regional partners. But this rumor went around 6-8 years ago when they dumped Mesaba, Compass, and tried to dump Comair. But then they turned around and bought Pinnacle/Mesaba/Colgan (now Endeavor) to save them from bankruptcy. Comair liquidated, because those guys were paid too much, and signed on GoJets. Hey I heard Mesa likes the West Coast too as they have a 175 program too.


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Old 01-28-2019, 10:26 AM
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Regional life has always been fly your tail off. You want time off go to FedEx or a legacy Major...
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Old 01-28-2019, 04:53 PM
  #15  
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Originally Posted by saxman66
I hear rumors of Delta wanting 3 regional partners. But this rumor went around 6-8 years ago when they dumped Mesaba, Compass, and tried to dump Comair. But then they turned around and bought Pinnacle/Mesaba/Colgan (now Endeavor) to save them from bankruptcy. Comair liquidated, because those guys were paid too much, and signed on GoJets. Hey I heard Mesa likes the West Coast too as they have a 175 program too.
I don't think a lower bid by Gojet or Compass would change Delta's mind about ending their relationship with them. Delta doesn't like the way Trans States Holdings is doing business and does not want to take a chance that it comes back at them and gives them a lot of bad publicity.

When those contracts are up I expect them to go to Skywest or someone else. When are the contracts up?
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Old 01-28-2019, 05:12 PM
  #16  
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Originally Posted by LadyJustice
I don't think a lower bid by Gojet or Compass would change Delta's mind about ending their relationship with them. Delta doesn't like the way Trans States Holdings is doing business and does not want to take a chance that it comes back at them and gives them a lot of bad publicity.

When those contracts are up I expect them to go to Skywest or someone else. When are the contracts up?
September 2019 for the Delta contract..
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Old 01-29-2019, 09:46 AM
  #17  
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Originally Posted by TenaciousB
Is it true that SkyWest tends to be cheaper in the bidding process compared to other regionals? I was told way back in training by someone who had been around a long time that SkyWest is often the highest bidder but offers the partner more stability, reliability, etc.

I can see how lower pilot wages could drive down the costs, but just don't know if that actually translates into lower bidding for the flying or just higher profits on flying they get.
Think of skywest like walmart in this situation
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Old 01-29-2019, 10:30 AM
  #18  
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Originally Posted by Phoenix21
Yah, don’t believe any of it until it actually happens...

Plans can change and regional flying can be shifted around quickly at the last minute.

Mainline partners love Skywest because it is non union, and makes itself cheaper than the competition to get flying. This next round of CPAs are expiring at several regionals at the same time, and mainline management openly talking about taking flying away from partner X and giving it to Skywest (or whoever else) applies pressure encourages those regional partners to come back and offer to do the job cheaper to keep their flying.
Originally Posted by TenaciousB
Is it true that SkyWest tends to be cheaper in the bidding process compared to other regionals? I was told way back in training by someone who had been around a long time that SkyWest is often the highest bidder but offers the partner more stability, reliability, etc.

I can see how lower pilot wages could drive down the costs, but just don't know if that actually translates into lower bidding for the flying or just higher profits on flying they get.
It's mainly cost advantage due to economy of scale (size really does matter, and they are twice as large as any other regional), and consistent quality over the long run. DAL tried mesa once. Once. They will never do that again.

The lack of a pilot union (and other unions) provides the company a little extra profit margin but it's really more about flexibility. ALPA would not fundamentally change their business. In fact years ago JA himself told me that a pilot union would be good in one regard... they could pay the pilots what they need to for recruiting/retention and blame it on ALPA. Doing that unilaterally would offend other employee groups, although they just had to bite the bullet on that with recent raises and things like PPS.

Honestly my biggest concern with ALPA was a common-carrier petition from XJT/ASA. That's now irrelevant, I'd definitely go for it today.
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Old 01-30-2019, 06:34 AM
  #19  
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Originally Posted by domino
Not even close. It’s a bidding game. Plain and simple. All the regionals put in a bid. The majors go back to each individually and say “well, Regional X gave us a bid lower than yours (without naming numbers) and then it’s up to regional Y if they want to counter. The regionals never know the numbers and are awarded flying based on their overall bid. Skywest has lost plenty of bids and it has nothing to do with owning aircraft.

As for growth, if we take on more flying, kiss your days off good bye. Everyone will be working like crazy.
Have you seen our seniority list? We are cranking new hires through at a rate of ~100 per month!
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Old 01-30-2019, 07:45 AM
  #20  
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Originally Posted by saxman66
I hear rumors of Delta wanting 3 regional partners. But this rumor went around 6-8 years ago when they dumped Mesaba, Compass, and tried to dump Comair. But then they turned around and bought Pinnacle/Mesaba/Colgan (now Endeavor) to save them from bankruptcy. Comair liquidated, because those guys were paid too much, and signed on GoJets. Hey I heard Mesa likes the West Coast too as they have a 175 program too.


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Not so much rumors when DL's CEO says it and someone catches it on camera and then posts it on youtube. Funny thing is, you can see how much power a company like that has when the video goes up in a puff of smoke a few days later.
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