What do we do Now?

US,

No one put a "gun" to the head of Siegel and team. And I mean no one. Management held all the "trump" cards. That's where all the arrogance comes from. Now, it seems that PA has a slight advantage in that USAirways needs PHL for their "franchise". PHL has more O/D traffic then any other Hub for U, and it makes our "franchise" have much value. That is why we have all the interest in this company and money from these investors. Rendall has just evened off the playing field.

With regard to CCY "clean up". The wizard in CCY will not eliminate the NEW team. It will be the old mangement (who I respect and has some desency). You watch how this falls out. I can already predict it.

I know these people. I know how they operate.
 
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On 6/14/2003 8:57:41 PM PITbull wrote:

Live U for awhile, and you will have a more understanding of where we sit.

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I''m not as far removed from U as you might think. No, I''m not an employee, but I''m very close to folks that are. Regardless, we''ll never see eye-to-eye on this, so I''m willing to let time pass to see how things ultimately play out.
 
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On 6/14/2003 8:27:02 PM PITbull wrote:

No one put a "gun" to the head of Siegel and team. And I mean no one. Management held all the "trump" cards. That''s where all the arrogance comes from. Now, it seems that PA has a slight advantage in that

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With all due respect, you cannot possibly say with a straight face that RSA, GE, etc. were not holding a gun to management''s head. They wanted certain concessions, and Dave had to achieve them or else funding was being pulled. Period.
 
US,

I don't know who you are, but unless you work here, you can hypothesize and make all the assumptions you want. I can tell you that Dr. Bronner got involved (which most investors never do with employees) because Mangement needed to make the liquidation "credible". Otherwise, Labor would not have foot another $200 plus million more dollars so soon after consession #1 was just ratified. Especially, when Siegel and management stated in October media that THEY WOULD NOT COME TO LABOR FOR MORE....

More deception...how about this, Siegel told us he would not touch our W2s this time (winter consession). He said that we have the most outrageous work rules and that would only be the focus...blah, blah, blah...

Well my freind, another 5% pay cut and major increases in medical AGAIN...direct hit on W2 and pension.

Nope, can't follow your thinking. You give these guys too much credit for someone who sits on the outside looking in.

Live U for awhile, and you will have a more understanding of where we sit.

This attitude is not about Mangement and Labor relations anymore...it goes far beyond that now.

"Its about human suffering, and injustice in the work place.
 
US,

Didn't think you were too far removed. Just wanted you to admit it.

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Nice chatting with you though, did you fall in love with me yet?
 
There is a real fury surrounding the 5% pay cut (it's only a differal if you stand a chance of getting it back). It was bad enough to have to take these huge cuts in pay and benefits, but the shear dishonesty surrounding the taking of another 5% under the pretense of a war that was over nearly before it began is more than many (including me)can take. I can't help but feel the crosshairs on my back everytime a statement is made about labor costs. Will it ever be enough? How much sacrifice will win the praise of "Just call me Dave"? All of it? The route system is largely GONE, the moral is largely GONE, the airplanes are largely GONE, our pay and benefits are largely GONE and our best customers are largely GONE. The boys at the top keep this up, then U will be largely GONE.
Can't this management team focus on the competition for a while and let us have a breather!!!
This airline's greatest asset is it's employees, but NO employee can keep this up forever. We need some GENUINE appreciation from the top for the level of service we've provided in the face of terrible conditions. They can start by PUTTING AN END to this ridiculous paycut called a "war differal!


A320 Driver
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GIVE IT BACK!!!!!
 
Clue:



In March 2002 US’ RPM was 93 to 94% of other network carriers, and Siegel told investors at Tuesday’s Merrill Lynch Airline Conference, US has a revenue premium.

Moreover, Barbara Beyer, AVMARK airline analyst, reported the following Yield RPM (revenue per passenger mile):


Airline – Yield RPM


US – 13.05
AA – 11.86
CO – 11.57
WN – 11.54
DL – 11.33
NW – 10.76
UA – 10.54

From this report, US has gone from below average to number 1 of the legacy carriers in 15 months since Siegel arrived at the company.

The business plan is increasing revenue in four parts:


1. Optimize core network with the PIT & CLT hub restructuring.


  • In PIT the traffic flow was directionalized with an East-West focus and with the dramatic increase in RJ feed, will become similar to DL in CVG. The company anticipates its two-class EMB170-/175, which will be the only RJ in the U.S. industry with a First Class cabin, will add to this revenue premium in PIT, provided an acceptable agreement can be reached with PA. officials to restructure costs (which I believe will occur).

  • The CLT hub has become "omni-directional" and has larger, higher frequency banks due to the regions geography and is now similar to scope to DL’s ATL operation.


When fully implemented with other strategic initiatives, these changes are expected to dramatically improve revenues. According to Andrew Nocella, vice president of planning and scheduling, the changes reflect the capacity reduction of 13% (this was the 32 unit aircraft reduction from 311 to 279 mainline aircraft), will result in an annual improvement of an estimated $400 million in additional revenue and cost reductions.

This information was included in the POR and Disclosure Statement that the unsecured creditors committee approved. Obviously, this has provided a significant RASM improvement.



2. US anticipates in UAL, LH, Star, and GoCaribbean code share agreements will yield more than $300 million per year in revenue, with no increase in costs. Furthermore, at the May 31 Star Alliance CEO meeting the chief executives reached an agreement to focus in alliance cost reduction synergies, which will further improve bottom line results. The LH bilateral alliance will begin in Q4 and the Star Alliance in Q1 2004 (after US completes required IT and employee training, which must be complete by December 31).



3. The US network has 84 affiliate RJs in service and this number is expected to grow to around 300 by the end of 2006. US has 170 RJs on firm order, of which 110 are 70-seat aircraft and above and 60 are 50-seat CRJs and all of these aircraft will be delivered within the next 39 months. These aircraft will lower costs and become a weapon where Siegel has said the EMB-170/175 will be "revolutionary". The affiliate airline and US Airways Group RJs are expected to add over $300 million in annual revenue.



4. According to AVMARK, US has the highest Yield RPM and Siegel told analysts last week US held a revenue premium over the industry. Moreover, Siegel said the company is focused on having "big airline revenues" at the Merrill Lynch Conference as the number 7 major airline.


In conclusion, with all due respect, I disagree with your comments.

Best regards,

Chip
 
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On 6/14/2003 10:27:45 PM A320 Driver wrote:

There is a real fury surrounding the 5% pay cut (it's only a differal if you stand a chance of getting it back). It was bad enough to have to take these huge cuts in pay and benefits, but the shear dishonesty surrounding the taking of another 5% under the pretense of a war that was over nearly before it began is more than many (including me)can take. I can't help but feel the crosshairs on my back everytime a statement is made about labor costs. Will it ever be enough? How much sacrifice will win the praise of "Just call me Dave"? All of it? The route system is largely GONE, the moral is largely GONE, the airplanes are largely GONE, our pay and benefits are largely GONE and our best customers are largely GONE. The boys at the top keep this up, then U will be largely GONE.
Can't this management team focus on the competition for a while and let us have a breather!!!
This airline's greatest asset is it's employees, but NO employee can keep this up forever. We need some GENUINE appreciation from the top for the level of service we've provided in the face of terrible conditions. They can start by PUTTING AN END to this ridiculous paycut called a "war differal!


A320 Driver
14.gif


GIVE IT BACK!!!!!

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A320,

AMEN, brother!
 
Chip,

U better be #1 in 15 months. This management was the first who schemed, distorted, lied, threatened, intimidated and screwed (BK) everyone to get that spot, and their not done yet. Corporate America at its finest with the perfect "plan".

So, now let's focus on U's greatest assets...THE EMPLOYEES.

Where are they with that? Care to rate this unfriendly labor team, or shall I?

And if you dare tell me that they saved my job, I will bite you.

Who saved my job was a junior employee who took my place because of contractual seniority.

We employees saved the company and SAVED mangement's azzes too. If they would have dared followed through with their threat, they would have been on the OUTSIDE of CORPORATE AMERICA...looking IN!
 
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On 6/14/2003 4:13:03 PM USFlyer wrote:

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On 6/14/2003 3:45:18 PM ClueByFour wrote:

I''ve seen nothing to suggest that Seigel and the marketing team want to generate the revenue of a big airline. They are, in fact, driving large enterprise and corporate revenue away.

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Excuse me? UA codeshare, LH codeshare, Star Alliance, RJ order, GoCaribbean, etc.?! Also, those were Siegel''s words himself, not Chip''s. He said that in a speech just this past week.

And which one of these is generating positive cash flow for US??
 
Chip,
Yield may in fact be way up at US--given the draconian cost cutting measures enjoyed during the Chapter 11 process, it stands to reason that yield will be way up. However, there are two problems that nobody has seemed to want to address:

1. Everybody else (or UA and AA at a minimum) is shortly going to be enjoying some seriously reduced costs as well.

2. Yield may be way up, but it is up on a huge reduction in capacity, which _does not help the overall revenue picture_. You cannot shrink an airline into profitability. There is a limited number of people who want to fly RJs between PIT-PHL-CLT. That''s a rather gross oversimplification, but to imply that great yield numbers over a 15-20% capacity reduction are anything to get excited about is just not a financially sound way of thinking. On that much capacity drawdown, yield must be up.
 
Clue,

I've been saying this all along...just wait until the other majors gets their costs down in or out of BK...then what?

Gee, there is at least 4 of you on here I am just "nuts" about. You, my friend are "right on" with your insight, hindsight and forsight.
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There already HAVe been two major blood baths at Crystal City...two rounds of layoffs. The management ranks are quite thin. Also, almost ALL VPs and above that Wolfe and Gangbang brough in are now gone.
 
SalesguyCCY,

And your point???????????????

There has been no thinning out. Some are gone from the old management, (which is not uncommon when there is a NEW CEO) only to be replaced by Siegel and Co. adding their Airline industry/classmate pals.

Please??? Enough with the Smoke and Mirrors. We are down some 19,000 in personnel...why do we still have 30 plus VPs? Directors out the ying-yang, and Managers under every peeble you turn?
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