COMAIR........

[NewHampshire Black Bears]

http://biz.yahoo.com/ap/060928/comair_unions.html?.y=2

This is NOT good news for Comair.
Coupled with a(recent) tragic crash, this may be the "final nail" !!

There are several Comair people who contribute to this web site, and I (SERIOUSLY) wish the best for them.

Unfortunately, this is a tough, Unforgiving Industry !!!!


NH/BB's

 

[luv2fly]

You know Bear, I have been wondering the same thing. I am kind of suprised this hasn't been getting more attention.
Comair is in dire straights now. Forget DL being in BK. If they don't secure this bid, and it is highly likely they won't, they are done.

 

[DLFlyer31]

You know Bear, I have been wondering the same thing. I am kind of suprised this hasn't been getting more attention.
Comair is in dire straights now. Forget DL being in BK. If they don't secure this bid, and it is highly likely they won't, they are done.

It is sad, as Comair was once a very good regional. But ever since the purchase by DL, it has been a downward slide.

If Comair loses the bid, they will certainly lose a good chunk of flying (27 CRJ700's and 15 CRJ200's). However, that still leaves them with about 100 CRJ200's. So, the real question is whether Comair can remain a viable entity solely as a 50 seat operator?

Of course, another factor is the long-term health of CVG. After heavy cuts, CVG has been reported as being profitable as a hub. However, DL continues to cut more capacity out of CVG and fares have been skyrocketing...pushing traffic to other cities (DAY, SDF, etc).

 

[superG]

It is sad, as Comair was once a very good regional. But ever since the purchase by DL, it has been a downward slide.

If Comair loses the bid, they will certainly lose a good chunk of flying (27 CRJ700's and 15 CRJ200's). However, that still leaves them with about 100 CRJ200's. So, the real question is whether Comair can remain a viable entity solely as a 50 seat operator?

Of course, another factor is the long-term health of CVG. After heavy cuts, CVG has been reported as being profitable as a hub. However, DL continues to cut more capacity out of CVG and fares have been skyrocketing...pushing traffic to other cities (DAY, SDF, etc).

Unfortunately probably less expensive for DL to contract out the service than deal with operation of a feeder carrier as evidenced by the sale of ASA at such a low price.

 

[chucky]

Leo Mullin should have never bought Comair or ASA to begin with. Hope it all works out.

 

[WorldTraveler]

DL and the Comair RJ owners have been extending Comair's RJ leases on a month to month basis for 10 months now - the time limit beyond when BK protection to restructure leases normally expires.

All DL has to do is find another carrier that can fly their planes cheaper than OH and OH is through. I don't think Comair employees realize how grave the situation is. DL has been incredibly patient with Comair but has to resolve their connection carrier issues in order to emerge. They are not willing to carry OH any longer. Given that DL's own restructuring has gone better than expected, they have little incentive to try to preserve Comair which was previously thought as necessary for DL to do in order to help fund DL's BK exit. As NW is doing with Mesaba, regional airlines are expendable. Sad but true.

 

[NewHampshire Black Bears]

DL and the Comair RJ owners have been extending Comair's RJ leases on a month to month basis for 10 months now - the time limit beyond when BK protection to restructure leases normally expires.

All DL has to do is find another carrier that can fly their planes cheaper than OH and OH is through. I don't think Comair employees realize how grave the situation is. DL has been incredibly patient with Comair but has to resolve their connection carrier issues in order to emerge. They are not willing to carry OH any longer. Given that DL's own restructuring has gone better than expected, they have little incentive to try to preserve Comair which was previously thought as necessary for DL to do in order to help fund DL's BK exit. As NW is doing with Mesaba, regional airlines are expendable. Sad but true.

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And then there's AMERICAN EAGLE

NH/BB's

 

[RowUnderDCA]

small rj capacity equivalent to comair needs to come out and not be replaced.

 

[FWAAA]

small rj capacity equivalent to comair needs to come out and not be replaced.

I agree completely.

And NH/BBs: As I've posted before - when you're making money hand over fist - outsourced regional feed might make some sense. You pay fee per departure and get to keep all the excess.

But when you're losing money - it makes little sense to me to pay Republic or Mesa or anyone else a guaranteed profit on each fee per departure. Better, IMO, to keep that regional flying inhouse, as AA has mostly done with Eagle. Only with AX in STL does AA enrich outside carriers with guranteed profit contracts. With Eagle, the money stays in the family; if you overpay your kids in the family business, you can always raise their rent or require they buy groceries.

 

[DLFlyer31]

small rj capacity equivalent to comair needs to come out and not be replaced.

And this is based on what analysis?

Most of these RJ's are flying into small markets with minimal competition and already high fares. Getting rid of Comair (and not replacing them) would only mean higher fares. Plus, it would do little for congestion since most of Comair's capacity flies out of CVG...one of the top hubs for on-time performance.

 

[magsau]

DL and the Comair RJ owners have been extending Comair's RJ leases on a month to month basis for 10 months now - the time limit beyond when BK protection to restructure leases normally expires.

All DL has to do is find another carrier that can fly their planes cheaper than OH and OH is through. I don't think Comair employees realize how grave the situation is. DL has been incredibly patient with Comair but has to resolve their connection carrier issues in order to emerge. They are not willing to carry OH any longer. Given that DL's own restructuring has gone better than expected, they have little incentive to try to preserve Comair which was previously thought as necessary for DL to do in order to help fund DL's BK exit. As NW is doing with Mesaba, regional airlines are expendable. Sad but true.

If I had the time I would look up the post you made in the past. I know you tossed a few stones at UA for the rebib process and the elmination of the ACA contract as a UAX a few years ago. Of course now that the Dirty D is goin it, then it is just good business sense. A man of many faces. Nice.

 

[WSurf]

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And then there's AMERICAN EAGLE

NH/BB's

Yep.... And then there is ConEx!!!