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Old 08-25-2022, 07:18 AM
  #41  
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Default Pay Proposal Details

New hire here with indoc in early Oct.
I'm curious about the details of the proposal you're all discussing.
For those of us who aren't on the official email list yet, would someone be willing to share the specifics of what's been proposed?
Thanks!
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Old 08-25-2022, 08:52 AM
  #42  
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Originally Posted by threeighteen
When he starts putting money where his mouth is by buying an A220/E190 equivalent aircraft to replace the massive loss of RJs, I'll believe him.
Doesn't have to buy them. He can lease 175's from regionals who shift from FFD to a dry lease business model (dry lease means no crews FYI).

The legacies are at a fork in the road and have to make a decision...

a) Bring it all in house, and eventually transition to bigger RJs as delivery slots are available. I'll go out on a limb and say they will not bring 50-seaters in house, although they could eventually cover that niche with new-generation super-efficient turbo-props. The later would probably be 70+ seats but efficient enough to serve smaller markets at lower load factors than jets (especially 50's).

Or

b) Try to keep the regional model on life support so they can resurrect it at some point in the future. As long as they still have CBA scope allowance, they can bring some in house now and undo down the road at some point.

If it's b), I'd almost suspect that might work well for OO and other independents... they might need to keep them around as bogeymen to keep downward pressure on in-house RJ compensation.

Time will tell.
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Old 08-25-2022, 10:08 AM
  #43  
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Originally Posted by threeighteen
When he starts putting money where his mouth is by buying an A220/E190 equivalent aircraft to replace the massive loss of RJs, I'll believe him.
they have purchased 500 aircraft, many for growth. The 737s start arriving there very soon which is why they are on a hiring spree. The maxes will be doing the flying. Not little airbus
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Old 08-25-2022, 11:19 AM
  #44  
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Originally Posted by rickair7777
Doesn't have to buy them. He can lease 175's from regionals who shift from FFD to a dry lease business model (dry lease means no crews FYI).

The legacies are at a fork in the road and have to make a decision...

a) Bring it all in house, and eventually transition to bigger RJs as delivery slots are available. I'll go out on a limb and say they will not bring 50-seaters in house, although they could eventually cover that niche with new-generation super-efficient turbo-props. The later would probably be 70+ seats but efficient enough to serve smaller markets at lower load factors than jets (especially 50's).

Or

b) Try to keep the regional model on life support so they can resurrect it at some point in the future. As long as they still have CBA scope allowance, they can bring some in house now and undo down the road at some point.

If it's b), I'd almost suspect that might work well for OO and other independents... they might need to keep them around as bogeymen to keep downward pressure on in-house RJ compensation.

Time will tell.
the answer is b - for pure option value alone. It may not look promising right now for regionals but the tide will turn eventually. No reason to give up that outsourcing option.
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Old 08-25-2022, 03:22 PM
  #45  
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Originally Posted by rickair7777
Doesn't have to buy them. He can lease 175's from regionals who shift from FFD to a dry lease business model (dry lease means no crews FYI).

The legacies are at a fork in the road and have to make a decision...

a) Bring it all in house, and eventually transition to bigger RJs as delivery slots are available. I'll go out on a limb and say they will not bring 50-seaters in house, although they could eventually cover that niche with new-generation super-efficient turbo-props. The later would probably be 70+ seats but efficient enough to serve smaller markets at lower load factors than jets (especially 50's).

Or

b) Try to keep the regional model on life support so they can resurrect it at some point in the future. As long as they still have CBA scope allowance, they can bring some in house now and undo down the road at some point.

If it's b), I'd almost suspect that might work well for OO and other independents... they might need to keep them around as bogeymen to keep downward pressure on in-house RJ compensation.

Time will tell.
They will not bring 175s in house. It will be option B for sure. Once the market corrects they will park the old airbus and old 737s and revive the regionals.
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Old 08-25-2022, 04:45 PM
  #46  
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Dunno what it means and clearly speculation..but delta is paying off and owning our 900s over at 9E. No more lease on them and they are changing registrations on the planes.
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Old 08-25-2022, 05:09 PM
  #47  
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Originally Posted by Zerosilver84
Dunno what it means and clearly speculation..but delta is paying off and owning our 900s over at 9E. No more lease on them and they are changing registrations on the planes.
Changing the registrations to what?
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Old 08-25-2022, 06:38 PM
  #48  
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Originally Posted by Twr199
Changing the registrations to what?
From Wells Fargo to Delta. Changing ownership name.
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Old 08-25-2022, 09:03 PM
  #49  
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Originally Posted by Zerosilver84
From Wells Fargo to Delta. Changing ownership name.
That probably doesn’t mean anything at all. Most likely the leases were up and it was more advantageous (read “cheaper”) for Daddy Delta to buy them with cash or use a different credit facility with better terms than they can get with commercial leases due to the current interest rate environment.

Delta could own the planes but turn them over to GoJet to operate them, if they so chose.
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Old 08-29-2022, 01:30 PM
  #50  
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Originally Posted by DrBill
New hire here with indoc in early Oct.
I'm curious about the details of the proposal you're all discussing.
For those of us who aren't on the official email list yet, would someone be willing to share the specifics of what's been proposed?
Thanks!
I'm in the same boat with a Nov start. Any details or updates would be greatly appreciated.
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