Quote:
Originally Posted by av8sean  I don't see any reason Pinnacle would want to exit these contracts... The only thing in the contracts I'm aware of that allows an early reduction in aircraft would be if Pinnacle starts service for another airline (hence the new DL service = CRJ's to Mesaba)... In this case, NW could remove planes at a 1:2 ratio if I'm not mistaken. Still an overall gain for Pinnacle. |
Actually, our flying for Delta had nothing to do with the CRJs going to Mesaba. Our not having a contract signed by 3/31/07 did that. That was specifically outlined in the ASA and was a negotiating scheme. Personally, I think those CRJs were going to Mesaba from the get go. As long as we're not flying XX amount of airplanes for another carrier, NWA can't reduce us below 124 planes (which is where we are now). I think (I'd have to check) that number is 25 planes for another carrier. We're currently contracted for 16 planes, so NWA can't reduce the number of planes on their side under the current ASA. Now, if Delta exercises the options for the other planes in THEIR contract, then we start getting into the reduction clause. And it is based on a ratio. Even then there's a floor to the number of planes NWA can reduce us to.