Transformation or Transfusion?
>
> Is the company truly trying to transform itself, or does it
>want to use labor organization's blood for a transfusion? The
>Company's recent negotiation proposal definitely has the air of
>"out with the old, in with the new." Earlier this year, then CEO
>Dave Siegel claimed that US Airways must bring their Cost per
>Available Seat Mile (CASM) down to 6 cents. As you can see by
>the information below (all information was taken from each
>respective carrier's website to assure accuracy), this is an
>unreachable and ludicrous goal to attempt as a legacy or even a
>low cost carrier. In order to reach the ridiculously low CASM of
>6 cents per available seat mile, we would indeed have to start
>from scratch,as the company has proposed in the latest
>negotiations, and basically forfeit our entire contract.
>
> With the Company's viewpoint in mind as to the current
>negotiations, we should never attempt to match Jet Blue's CASM,
>the comparison continually being made is to America West, whose
>CASM is 1.70 cents lower than US Airways, and didn't Dave Siegel
>mention in his web cast on March 24th that 2 cents of cost
>reduction was obtainable without employee participation? In
>fact, Mr. Siegel stated that a cost reduction of 2 cents could
>be achieved by restructuring aircraft utilization, aircraft
>seating configuration, scheduling, and distribution.
>
> This realization leads one to suspect that the Company
>merely wants concessions from labor in order to pad its own
>pockets, while stripping employees of an already meager standard
>of living. Recent negotiation proposals from the Company attack
>wages, healthcare, vacation, sick time, premiums, holidays, and
>overtime, 401K, and retiree benefits. They might as well take
>blood too.
>
>Airline: Independence Air
>Profit/(Loss): (27.1 Million)
>CASM (in cents): 19.90
>
>Airline: Northwest
>Profit/(Loss): (182.0 Million)
>CASM (in cents): 10.61
>
>Airline: Delta
>Profit/(Loss): (1.96 Billion)
>CASM (in cents): 10.58
>
>Airline: United
>Profit/(Loss): (247.0 Million)
>CASM (in cents): 9.83
>
>Airline: AMR
>Profit/(Loss): 6.0 Million
>CASM (in cents): 9.57
>
>Airline: Continental
>Profit/(Loss): (17.0 Million)
>CASM (in cents): 9.42
>
>Airline: USAirways
>Profit/(Loss): 34.5 Million
>CASM (in cents): 9.40
>
>Airline: Frontier
>Profit/(Loss): 12.6 Million
>CASM (in cents): 8.48
>
>Airline: Air Tran
>Profit/(Loss): 16.8 Million
>CASM (in cents): 8.46
>
>Airline: Southwest
>Profit/(Loss): 113.0 Million
>CASM (in cents): 8.09
>
>Airline: America West
>Profit/(Loss): 5.7 Million
>CASM (in cents): 7.72
>
>Airline: Jet Blue*
>Profit/(Loss): 21.5 Million
>CASM (in cents): 5.90 operating expense
> 5.84 airline expense
>
>* Jet Blue was the only carrier to break out CASM in operating
>and airline expense, leading one to believe they have an actual
>CASM of 11.74
>
>* Some airlines did not denote if fuel costs were included in
>CASM reporting
>
> Is the company truly trying to transform itself, or does it
>want to use labor organization's blood for a transfusion? The
>Company's recent negotiation proposal definitely has the air of
>"out with the old, in with the new." Earlier this year, then CEO
>Dave Siegel claimed that US Airways must bring their Cost per
>Available Seat Mile (CASM) down to 6 cents. As you can see by
>the information below (all information was taken from each
>respective carrier's website to assure accuracy), this is an
>unreachable and ludicrous goal to attempt as a legacy or even a
>low cost carrier. In order to reach the ridiculously low CASM of
>6 cents per available seat mile, we would indeed have to start
>from scratch,as the company has proposed in the latest
>negotiations, and basically forfeit our entire contract.
>
> With the Company's viewpoint in mind as to the current
>negotiations, we should never attempt to match Jet Blue's CASM,
>the comparison continually being made is to America West, whose
>CASM is 1.70 cents lower than US Airways, and didn't Dave Siegel
>mention in his web cast on March 24th that 2 cents of cost
>reduction was obtainable without employee participation? In
>fact, Mr. Siegel stated that a cost reduction of 2 cents could
>be achieved by restructuring aircraft utilization, aircraft
>seating configuration, scheduling, and distribution.
>
> This realization leads one to suspect that the Company
>merely wants concessions from labor in order to pad its own
>pockets, while stripping employees of an already meager standard
>of living. Recent negotiation proposals from the Company attack
>wages, healthcare, vacation, sick time, premiums, holidays, and
>overtime, 401K, and retiree benefits. They might as well take
>blood too.
>
>Airline: Independence Air
>Profit/(Loss): (27.1 Million)
>CASM (in cents): 19.90
>
>Airline: Northwest
>Profit/(Loss): (182.0 Million)
>CASM (in cents): 10.61
>
>Airline: Delta
>Profit/(Loss): (1.96 Billion)
>CASM (in cents): 10.58
>
>Airline: United
>Profit/(Loss): (247.0 Million)
>CASM (in cents): 9.83
>
>Airline: AMR
>Profit/(Loss): 6.0 Million
>CASM (in cents): 9.57
>
>Airline: Continental
>Profit/(Loss): (17.0 Million)
>CASM (in cents): 9.42
>
>Airline: USAirways
>Profit/(Loss): 34.5 Million
>CASM (in cents): 9.40
>
>Airline: Frontier
>Profit/(Loss): 12.6 Million
>CASM (in cents): 8.48
>
>Airline: Air Tran
>Profit/(Loss): 16.8 Million
>CASM (in cents): 8.46
>
>Airline: Southwest
>Profit/(Loss): 113.0 Million
>CASM (in cents): 8.09
>
>Airline: America West
>Profit/(Loss): 5.7 Million
>CASM (in cents): 7.72
>
>Airline: Jet Blue*
>Profit/(Loss): 21.5 Million
>CASM (in cents): 5.90 operating expense
> 5.84 airline expense
>
>* Jet Blue was the only carrier to break out CASM in operating
>and airline expense, leading one to believe they have an actual
>CASM of 11.74
>
>* Some airlines did not denote if fuel costs were included in
>CASM reporting
