Relevance of 717 to SWA continues to diminish
#151
BINGO! However I don't agree with the "what the SWAPA pilots want to do" portion. That ball is in the companies court. SWAPA also cannot compel them to integrate. But our section one is industry leading and will need to be greatly relaxed on a one time basis if in fact the company chose to operate them separately. I'm not sure if that is a concession we would ever want to consider. Only time will tell.
What makes this case very interesting for all airline pilots, is that you both fly the 737-700 yet, to date the methods of integration do not fall along those lines. In the end what is done here will effect all future SLI's and therefore the impact on fellow pilots is very important.
#153
Gets Weekends Off
Joined APC: Jun 2007
Position: CA
Posts: 1,207
It doesn't take long for me to have to ask a question. Sorry, but how do you know that M/B has nothing to do with the eventuality that SWA could legally choose to run completely seperate operations?
Yes. I know that was your point, but if it was in response to my post, it was off base.
Yes. I know that was your point, but if it was in response to my post, it was off base.
(4) COVERED TRANSACTION.—The term ‘‘covered transaction’’ means—
(A) a transaction for the combination of multiple air carriers into a single air carrier;
and which
(B) involves the transfer of ownership or control of—
(i) 50 percent or more of the equity securities (as defined in section 101 of
title 11, United States Code) of an air carrier; or
(ii) 50 percent or more (by value) of the assets of the air carrier.
Don't combine and it is not covered. Involves the transfer or control of less than 50% of the assets (by value) and it is not covered.
#154
Gets Weekends Off
Joined APC: Oct 2009
Posts: 224
It is a process agreement, not a final agreement, nor a joint contract that binds the three parties. The process agreement only binds them if they decide to integrate.
I'm surprised ACL. What exactly are you basing this on ? The ALPA lawyers say otherwise.
The whole holding company owning ATN could be used as a large stick if they choose to.
You're stating the blindingly obvious. It began four months ago.
It goes back to what the SWAPA pilots want to do, help the company or help the profession.
You're allowing your personal dislike for SWAPA to show. I used to believe that you were prejudiced. Now I think that you've got the right idea, but for the wrong reasons.
What does bind, is your pre-merger contacts.
SWA has agreed to honor our current contract. It's in writing from from SWA COO. Again, the ALPA lawyers disagree with you. SWAPA has agreed that the current contract is binding. If you disagree then please expand.
In SWAPA's case that is what? two years after acquisition. In ATN's case that is their section 1 in their last contract, not the one ratified after the date of constructive notice.
I'm surprised ACL. What exactly are you basing this on ? The ALPA lawyers say otherwise.
The whole holding company owning ATN could be used as a large stick if they choose to.
You're stating the blindingly obvious. It began four months ago.
It goes back to what the SWAPA pilots want to do, help the company or help the profession.
You're allowing your personal dislike for SWAPA to show. I used to believe that you were prejudiced. Now I think that you've got the right idea, but for the wrong reasons.
What does bind, is your pre-merger contacts.
SWA has agreed to honor our current contract. It's in writing from from SWA COO. Again, the ALPA lawyers disagree with you. SWAPA has agreed that the current contract is binding. If you disagree then please expand.
In SWAPA's case that is what? two years after acquisition. In ATN's case that is their section 1 in their last contract, not the one ratified after the date of constructive notice.
18 months is the limitation. In fact, it's one of the sticking points that will be negotiated this week. SWA needs it waived and the clock started on the date of corporate closure. Why are they negotiating a waiver of a a limitation contained in a contract that you believe doesn't apply ?
You either have poor information or you disagree with the legal opinion of ALPA's 'crack legal team'. Even SWA's COO disagrees with you. In writing.
Both you and Slow are painfully ignorant about the entire process.
#155
I think the applicability is very well spelled out in the amendment. Specifically the covered transactions summary.
(4) COVERED TRANSACTION.—The term ‘‘covered transaction’’ means—
(A) a transaction for the combination of multiple air carriers into a single air carrier;
and which
(B) involves the transfer of ownership or control of—
(i) 50 percent or more of the equity securities (as defined in section 101 of
title 11, United States Code) of an air carrier; or
(ii) 50 percent or more (by value) of the assets of the air carrier.
Don't combine and it is not covered. Involves the transfer or control of less than 50% of the assets (by value) and it is not covered.
(4) COVERED TRANSACTION.—The term ‘‘covered transaction’’ means—
(A) a transaction for the combination of multiple air carriers into a single air carrier;
and which
(B) involves the transfer of ownership or control of—
(i) 50 percent or more of the equity securities (as defined in section 101 of
title 11, United States Code) of an air carrier; or
(ii) 50 percent or more (by value) of the assets of the air carrier.
Don't combine and it is not covered. Involves the transfer or control of less than 50% of the assets (by value) and it is not covered.
You know, we probably have about 25-40 pages of discussion of what a single air carrier is on the Delta thread. Transfer 50% or more of equity securities, or assets? How is a judge going to rule if those assets or securities are placed in a holding company? I have no idea. How do you know?
To sum it up, I'm wondering how do you, or anyone else at SWA, know how a federal judge will rule if presented with the facts of your situation with Air Tran? Or, are you just puffing things up to make it seem like you know for sure what will happen, so you can use leverage against a group so they will make an uninformed decision?
#156
Gets Weekends Off
Joined APC: Jun 2007
Position: CA
Posts: 1,207
Thanks. I've read M/B and know that section is the sticking point. But, how do you know how a judge will rule?
You know, we probably have about 25-40 pages of discussion of what a single air carrier is on the Delta thread. Transfer 50% or more of equity securities, or assets? How is a judge going to rule if those assets or securities are placed in a holding company? I have no idea. How do you know?
To sum it up, I'm wondering how do you, or anyone else at SWA, know how a federal judge will rule if presented with the facts of your situation with Air Tran? Or, are you just puffing things up to make it seem like you know for sure what will happen, so you can use leverage against a group so they will make an uninformed decision?
You know, we probably have about 25-40 pages of discussion of what a single air carrier is on the Delta thread. Transfer 50% or more of equity securities, or assets? How is a judge going to rule if those assets or securities are placed in a holding company? I have no idea. How do you know?
To sum it up, I'm wondering how do you, or anyone else at SWA, know how a federal judge will rule if presented with the facts of your situation with Air Tran? Or, are you just puffing things up to make it seem like you know for sure what will happen, so you can use leverage against a group so they will make an uninformed decision?
#157
18 months is the limitation. In fact, it's one of the sticking points that will be negotiated this week. SWA needs it waived and the clock started on the date of corporate closure. Why are they negotiating a waiver of a a limitation contained in a contract that you believe doesn't apply ?
You either have poor information or you disagree with the legal opinion of ALPA's 'crack legal team'. Even SWA's COO disagrees with you. In writing.
Both you and Slow are painfully ignorant about the entire process.
Second, I though the limit in the SWAPA contract was two years to integrate a group. It is the limit I am referring to. A process agreement is that, an agreement to the process, not an agreement to an endgame. It has been a few years since I read their contract. If the SWAPA pilots are willing to help the company at your detriment, it will give short term gains for them in exchange for a life time of strife with your group. In DALPA and NWALPA's case we had a joint contract and a process agreement that were agreed to before a SLI. It made all of it binding. As I understand it, and correct me if I am wrong, you have a process agreement, not a joint contract nor a SLI.
To be honest, it is not prejudice at all. My point with SWAPA is that they do what is good for them in the short term, it has effected the piloting profession as a whole. It allowed their company to be ruthless with competition, which is good for them, but now when the scores have been settled with the legacies, we all suffer. Rates are lower, and we are now using their compensation as the bar to reach for. Nothing miraculous has happened in their contracts, it has been slow and steady, but even that is waning as they face the headwinds they helped create. That is my issue.
Part of their strategy is great, but in the long term, collective cooperation results in better gains for all. I would have the same issue if a legacy pilot group allowed their company to make the cost of admission a type rating. I have issues with our scope concessions. I look at the explosion of the LCC phenomenon and its timing, and then look at when RJ's took off. They were LUV's best years, and the majors dropped the ball and misjudged the whole lot. I saw the SWAPA pilots only to happy to help their company not only undercut other airlines, but other pilots and the profession for many years to come. My vision of history is a lot longer than the last few years. I do not share the rosy perspective of SWAPA for the reasons listed above. Great culture, and great people, it works for their company but as we are seeing they and the whole sector and now feeling the effects of the down-bidding that has occurred over the last decade.
If a ALPA pilot group did the same thing, I would have the same issues.
#158
I would like to know why the SLI proposal offered by "SWA management" is so lopsided.
What would the motivation be for SWA mgt. to carry SWAPA's water?
Why would an effective and strong leader want to deliberately p!ss off 25% of his new and larger employee group in one fell swoop?
Lastly, what is the rationale behind getting so indignant that someone else gets a gain, even though it does not decrease your QOL or pay at all? (and actually offers a stronger future for your earnings, QOL and stability)
What would the motivation be for SWA mgt. to carry SWAPA's water?
Why would an effective and strong leader want to deliberately p!ss off 25% of his new and larger employee group in one fell swoop?
Lastly, what is the rationale behind getting so indignant that someone else gets a gain, even though it does not decrease your QOL or pay at all? (and actually offers a stronger future for your earnings, QOL and stability)
#159
As I have said before, I don't even know what Southwest management has in mind. I can assure you though that if in fact this is a path that THEY choose to go down, they will only do so if they feel they have a 100% defensible position in a court of law. What a judge may or may not rule is completely a wild card and is in fact the million dollar question.
#160
On Reserve
Joined APC: Nov 2010
Posts: 14
SWA management IS NOT doing the SLI bidding for SWAPA. SWA management is doing the SLI bidding for SWA. They want both pilot groups to know that, ultimately, they are in charge. I know it's hard for the outside observers to believe, but the SWAPA NC has not worked with SWA management on either proposal.
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