jrkmsp
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Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 3:19 pm

It seems like Delta has finally rationalized it regional carriers to just three — as Ed Bastian said they would in a leaked video from about a year ago.

Trans States supposedly announced internally today that GoJet would transfer the bulk of its Delta flying to Endeavor by the end of 2020, with a few CR9s sticking around until 2022 unless an earlier transfer can be arranged for those frames as well. Here's Endeavor's announcement of the increased CRJ flying: https://edvonthefly.com/2019/08/06/edvc ... or-growth/.

In addition, Compass ERJs will be transferred to Republic by the end of 2020, though I haven't seen an official announcement of that transfer.

And, it seems Delta is going back to the future, by assigning each of its regional carriers a geographic territory to improve operations. SkyWest will, obviously, be in the west. How Endeavor and Republic will split up remains to be seen.

I'll be curious to see what happens with Compass. They have some AA flying still, and there are rumors of UA flying coming their way. It's sad that one of the last links to the old Northwest is parting ways with Delta, but business is business.
 
Scarebus34
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 3:31 pm

Compass is trying to push rumors that they are going to get UA flying, I’d be very surprised if that happened. Why would United further complicate their express operations with yet another carrier. Makes no sense, but that’s precisely why it may happen. Lol.

Maybe TSH will sell Compass and they can merge with ExpressJet.... XJT could use the pilots and then United will be able to maintain control.
 
MIflyer12
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 3:41 pm

Do Compass or GoJet own/lease directly any of the aircraft they fly for Delta, or are they all DL-owned?

Those two represent just 65 of the 445 frames flown as Delta Connection 12/31/18.
 
ethernal
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 3:51 pm

I'm curious how this will impact Delta in the long run with their regional operations. I do believe that there will be short term operational benefits, but at the same time, by reducing the number of carriers and creating geographic regions for them they are creating their own vendor lock-in that may result in increasing costs and lower performance in the long run.
 
Scarebus34
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 4:00 pm

MIflyer12 wrote:
Do Compass or GoJet own/lease directly any of the aircraft they fly for Delta, or are they all DL-owned?

Those two represent just 65 of the 445 frames flown as Delta Connection 12/31/18.

Compass doesn’t own anything. Literally nothing, everything was leased. GoJet I believed owned just a handful of 900s but the rest Delta owned.
 
amcnd
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 4:07 pm

Scarebus34 wrote:
Compass is trying to push rumors that they are going to get UA flying, I’d be very surprised if that happened. Why would United further complicate their express operations with yet another carrier. Makes no sense, but that’s precisely why it may happen. Lol.

Maybe TSH will sell Compass and they can merge with ExpressJet.... XJT could use the pilots and then United will be able to maintain control.



Exactly. XJT will need the next 20 aircraft to get there E175 fleet to a “justifiable “ size for parts/spares ect... Compass getting UA flying seems a long shot unless Mesa losses some..
 
jrkmsp
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 4:13 pm

Here's the full memo from Delta, posted by someone on Reddit:

https://www.reddit.com/r/flying/comment ... _carriers/

It aligns with what I had seen/heard from people in the know.
 
freakyrat
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 4:30 pm

Skywest has a maintenance base in SBN and can work on all CRJ models in their fleet. Even with the presence of this base Delta in recent months have scheduled larger Endeavor Air CRJ700 and CRJ900 in for the Atlanta Flights and Detroit Flights. Presently all SBN flying has returned to Skywest CRJ200's I wonder if this will continue to facilitate overnight maintenance on their 200's or will Delta start moving to the larger CRJ's from both carriers at least for the Atlanta flights which are always pretty full.
 
Murf
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 4:56 pm

Someone was said to be getting the United CRJ 550 flying... Am I remembering correctly that Gojet or compass was one of the airlines on the short list

Murf
 
ScottB
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:02 pm

ethernal wrote:
I'm curious how this will impact Delta in the long run with their regional operations. I do believe that there will be short term operational benefits, but at the same time, by reducing the number of carriers and creating geographic regions for them they are creating their own vendor lock-in that may result in increasing costs and lower performance in the long run.


Vendor lock-in is indeed a potential problem, but with consolidation in the regional segment over the past decades, in part encouraged by the network carriers themselves, there just aren't many options for switching vendors in any event, particularly in the case of larger regional operators like SkyWest (which owns EV) or Republic. G7 and CP are both owned by Trans States and the only other independent regional is Mesa (LOL).

Delta, of course, owns 9E. If they're going to rely on two outsourced regionals, OO and YX are probably their best options at this point anyway.
 
DiamondFlyer
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:05 pm

ScottB wrote:
ethernal wrote:
I'm curious how this will impact Delta in the long run with their regional operations. I do believe that there will be short term operational benefits, but at the same time, by reducing the number of carriers and creating geographic regions for them they are creating their own vendor lock-in that may result in increasing costs and lower performance in the long run.


Vendor lock-in is indeed a potential problem, but with consolidation in the regional segment over the past decades, in part encouraged by the network carriers themselves, there just aren't many options for switching vendors in any event, particularly in the case of larger regional operators like SkyWest (which owns EV) or Republic. G7 and CP are both owned by Trans States and the only other independent regional is Mesa (LOL).

Delta, of course, owns 9E. If they're going to rely on two outsourced regionals, OO and YX are probably their best options at this point anyway.


Just to point it out, Skywest no longer owns EV. And ZW is still an independently owned regional carrier
From my cold, dead hands
 
jrkmsp
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:15 pm

ScottB wrote:
ethernal wrote:
I'm curious how this will impact Delta in the long run with their regional operations. I do believe that there will be short term operational benefits, but at the same time, by reducing the number of carriers and creating geographic regions for them they are creating their own vendor lock-in that may result in increasing costs and lower performance in the long run.


Vendor lock-in is indeed a potential problem, but with consolidation in the regional segment over the past decades, in part encouraged by the network carriers themselves, there just aren't many options for switching vendors in any event, particularly in the case of larger regional operators like SkyWest (which owns EV) or Republic. G7 and CP are both owned by Trans States and the only other independent regional is Mesa (LOL).

Delta, of course, owns 9E. If they're going to rely on two outsourced regionals, OO and YX are probably their best options at this point anyway.


Delta also owns a big chunk of YX, along with AA and UA, based on the Republic bankruptcy. So it's really SkyWest and two carriers Delta owns at least a part of.
 
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aemoreira1981
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:17 pm

MIflyer12 wrote:
Do Compass or GoJet own/lease directly any of the aircraft they fly for Delta, or are they all DL-owned?

Those two represent just 65 of the 445 frames flown as Delta Connection 12/31/18.


Compass - all DL owned.
GoJet - all CRJ7s DL owned, all CRJ9s leased from Nordic Aviation Capital.
 
ScottB
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:17 pm

DiamondFlyer wrote:
Just to point it out, Skywest no longer owns EV. And ZW is still an independently owned regional carrier


Good points, both. I suppose I forgot about CommutAir as well. The ownership of EV seems to be indirectly controlled by United, though.
 
Scarebus34
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:18 pm

Murf wrote:
Someone was said to be getting the United CRJ 550 flying... Am I remembering correctly that Gojet or compass was one of the airlines on the short list

Murf

GoJet and this was announced a long time ago. They already do flying for United so really nothing is changing in that regard. However, GoJet apparently has staffing issues which has UA re-thinking the 550 at G7.
 
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enilria
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:36 pm

Moving Skywest to the West to improve operations makes little sense. They have at risk everywhere. Does this impact at risk?
 
DiamondFlyer
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:38 pm

enilria wrote:
Moving Skywest to the West to improve operations makes little sense. They have at risk everywhere. Does this impact at risk?


West, as in, leaving LGA. That’s about it
From my cold, dead hands
 
rsgolfpunk
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:48 pm

Maybe someone can confirm that DL’s equity interest in Republic is under 20%. Still a good size stake.
 
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JBo
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:57 pm

enilria wrote:
Moving Skywest to the West to improve operations makes little sense. They have at risk everywhere. Does this impact at risk?


How much of OO's at-risk flying is for DL rather than UA, though?

I'm guessing that since OO still has sizeable UA flying nationwide, whatever at-risk flying they do for DL (e.g. EAS contracts) will be allowed to continue since they'll still have the crew bases and maintenance facilities, etc.
I'd take the awe of understanding over the awe of ignorance any day.
 
ilovelamp
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 5:57 pm

The three remaining DCI carriers will be assigned geographic regions from which to operate. This is will enhance performance by not having their assets spread out too far apart.

Republic will be getting the Compass Delta birds while they GoJet does have less than 10 CRJ9s under contract with Delta until 2022. Delta is making efforts to end that part of the deal early.


ILL
 
jrkmsp
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 6:08 pm

 
ilovelamp
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 6:13 pm

jrkmsp wrote:


It’s confirmed internally at Delta but no employee can post the announcement from official company internal websites.


ILL
 
catiii
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 6:23 pm

ilovelamp wrote:
jrkmsp wrote:


It’s confirmed internally at Delta but no employee can post the announcement from official company internal websites.


ILL


It's certainly never stopped them before... :rotfl:
 
PSU.DTW.SCE
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 6:24 pm

The only real thing that could change for OO is as mentioned, getting them out of NYC. They are still going to have a sizable presence in DTW & MSP, where they still have a significant portion of the CR2 flying, and a lot of that is at-risk and/or EAS.

Its likely that they will back-fill LGA with Republic and/or more A220 flying to cover the E75s. Then OO takes over the Compass flying out West.
G7 is highly replaceable by either 9E or OO.
 
jrkmsp
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 6:26 pm

ilovelamp wrote:
jrkmsp wrote:


It’s confirmed internally at Delta but no employee can post the announcement from official company internal websites.


ILL


I know. But I was looking for public confirmation.
 
oosnowrat
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 7:19 pm

JBo wrote:
enilria wrote:
Moving Skywest to the West to improve operations makes little sense. They have at risk everywhere. Does this impact at risk?


How much of OO's at-risk flying is for DL rather than UA, though?

I'm guessing that since OO still has sizeable UA flying nationwide, whatever at-risk flying they do for DL (e.g. EAS contracts) will be allowed to continue since they'll still have the crew bases and maintenance facilities, etc.


There are about a dozen DL prorate routes out of both DTW and MSP. SLC is the only other hub with DL prorate flying.
 
FlyingElvii
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 7:27 pm

Scarebus34 wrote:
Compass is trying to push rumors that they are going to get UA flying, I’d be very surprised if that happened. Why would United further complicate their express operations with yet another carrier. Makes no sense, but that’s precisely why it may happen. Lol.

Maybe TSH will sell Compass and they can merge with ExpressJet.... XJT could use the pilots and then United will be able to maintain control.

Hulas should have taken the money last year, when it was offered....
 
FlyingElvii
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 7:31 pm

ScottB wrote:
ethernal wrote:
I'm curious how this will impact Delta in the long run with their regional operations. I do believe that there will be short term operational benefits, but at the same time, by reducing the number of carriers and creating geographic regions for them they are creating their own vendor lock-in that may result in increasing costs and lower performance in the long run.


Vendor lock-in is indeed a potential problem, but with consolidation in the regional segment over the past decades, in part encouraged by the network carriers themselves, there just aren't many options for switching vendors in any event, particularly in the case of larger regional operators like SkyWest (which owns EV) or Republic. G7 and CP are both owned by Trans States and the only other independent regional is Mesa (LOL).

Delta, of course, owns 9E. If they're going to rely on two outsourced regionals, OO and YX are probably their best options at this point anyway.

Bedford said early last year that there were "economies of scale" to be gained on the Delta side. More planes of the same type, lower costs spread among more flying.
 
FlyingElvii
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 7:33 pm

enilria wrote:
Moving Skywest to the West to improve operations makes little sense. They have at risk everywhere. Does this impact at risk?

SKywest also runs Ground Ops at many western airports, in a couple of cases, being the only operator on the field. Going back west makes a ton of sense, on several points.
 
lavalampluva
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 7:38 pm

I wonder if that will force CP to relocate their HQ since they currently occupy space in DL building C at MSP
Remind me to send a thank you note to Mr. Boeing.
 
FlyingElvii
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 7:40 pm

lavalampluva wrote:
I wonder if that will force CP to relocate their HQ since they currently occupy space in DL building C at MSP

Plenty of space in the old TWA HQ in STL. Just gotta mind the roof leaks and critters.
 
lavalampluva
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 7:48 pm

FlyingElvii wrote:
lavalampluva wrote:
I wonder if that will force CP to relocate their HQ since they currently occupy space in DL building C at MSP

Plenty of space in the old TWA HQ in STL. Just gotta mind the roof leaks and critters.

My guess is that's what would end up happening. They are part of Trans States Holdings. If they don't do that then probably move out west closer to the bulk their operations. :twocents:
Remind me to send a thank you note to Mr. Boeing.
 
airtran737
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 7:50 pm

lavalampluva wrote:
I wonder if that will force CP to relocate their HQ since they currently occupy space in DL building C at MSP


The CP internal memo said that DL has granted them the ability to stay in the HQ facility after the planes are transferred. I am wondering how long it will take AA to give CP the boot next, and what is CP's contingency plan? Sure they can chase the UA flying that Mesa does, but what else is there? AS doesn't have a scope clause, so they can also go after that, but it requires aircraft and CP doesn't have any of those to immediately offer.
Nice Trip Report!!! Great Pics, thanks for posting!!!! B747Forever
 
amcnd
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 7:58 pm

Compass is a paper aircraft. They need the Major to purchase the aircraft. Only one doing that at the moment is United for Expressjet... they could try to pick of Mesa flying.. as they seem to be trying to switch to cargo.. but who knows... Mesa performance seems to bad completion factor in the 95% range... there 700’s are off contract yet still flying. And all you hear on the investor call is will know soon...
 
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JBo
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 8:18 pm

oosnowrat wrote:
JBo wrote:
enilria wrote:
Moving Skywest to the West to improve operations makes little sense. They have at risk everywhere. Does this impact at risk?


How much of OO's at-risk flying is for DL rather than UA, though?

I'm guessing that since OO still has sizeable UA flying nationwide, whatever at-risk flying they do for DL (e.g. EAS contracts) will be allowed to continue since they'll still have the crew bases and maintenance facilities, etc.


There are about a dozen DL prorate routes out of both DTW and MSP. SLC is the only other hub with DL prorate flying.


How many of those are EAS contracts versus non-subsidized at-risk routes? I imagine if DL doesn't want OO operating routes out of DTW/MSP, then OO can rebid the EAS contracts to fly under UA to ORD instead. Either that, or Endeavor could rebid those routes to maintain DL service to MSP/DTW.
I'd take the awe of understanding over the awe of ignorance any day.
 
barney captain
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 8:28 pm

aemoreira1981 wrote:
MIflyer12 wrote:
Do Compass or GoJet own/lease directly any of the aircraft they fly for Delta, or are they all DL-owned?

Those two represent just 65 of the 445 frames flown as Delta Connection 12/31/18.


Compass - all DL owned.
GoJet - all CRJ7s DL owned, all CRJ9s leased from Nordic Aviation Capital.


I don't believe DL "owns" any of the Compass aircraft - I believe everything at Compass is leased. As someone mentioned "a paper airplane". One might call it a Paper Company.
Southeast Of Disorder
 
FlyingElvii
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 8:29 pm

airtran737 wrote:
lavalampluva wrote:
I wonder if that will force CP to relocate their HQ since they currently occupy space in DL building C at MSP


The CP internal memo said that DL has granted them the ability to stay in the HQ facility after the planes are transferred. I am wondering how long it will take AA to give CP the boot next, and what is CP's contingency plan? Sure they can chase the UA flying that Mesa does, but what else is there? AS doesn't have a scope clause, so they can also go after that, but it requires aircraft and CP doesn't have any of those to immediately offer.

Wasn't there some clause attached to the NW bankruptcy by the city, about leases and minimum employment levels?
 
DiamondFlyer
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 8:30 pm

barney captain wrote:
aemoreira1981 wrote:
MIflyer12 wrote:
Do Compass or GoJet own/lease directly any of the aircraft they fly for Delta, or are they all DL-owned?

Those two represent just 65 of the 445 frames flown as Delta Connection 12/31/18.


Compass - all DL owned.
GoJet - all CRJ7s DL owned, all CRJ9s leased from Nordic Aviation Capital.


I don't believe DL "owns" any of the Compass aircraft - I believe everything at Compass is leased. As someone mentioned "a paper airplane". One might call it a Paper Company.


Delta owns the lease on the aircraft, not Compass...
From my cold, dead hands
 
FlyingElvii
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 8:33 pm

amcnd wrote:
Compass is a paper aircraft. They need the Major to purchase the aircraft. Only one doing that at the moment is United for Expressjet... they could try to pick of Mesa flying.. as they seem to be trying to switch to cargo.. but who knows... Mesa performance seems to bad completion factor in the 95% range... there 700’s are off contract yet still flying. And all you hear on the investor call is will know soon...

Mesa's performance issues are, IMO, related to how spread out they are. They run coast-to-coast, moving crews around that far is a nightmare, let alone the maint headaches of repoing aircraft across the entire country. From people who work there, I have heard that crew issues are the biggest issues they have. Tough to move your only spare HOT Captain left for the day from LAX to Dulles, for an ontime.
 
FlyingElvii
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 8:35 pm

JBo wrote:
oosnowrat wrote:
JBo wrote:

How much of OO's at-risk flying is for DL rather than UA, though?

I'm guessing that since OO still has sizeable UA flying nationwide, whatever at-risk flying they do for DL (e.g. EAS contracts) will be allowed to continue since they'll still have the crew bases and maintenance facilities, etc.


There are about a dozen DL prorate routes out of both DTW and MSP. SLC is the only other hub with DL prorate flying.


How many of those are EAS contracts versus non-subsidized at-risk routes? I imagine if DL doesn't want OO operating routes out of DTW/MSP, then OO can rebid the EAS contracts to fly under UA to ORD instead. Either that, or Endeavor could rebid those routes to maintain DL service to MSP/DTW.

Most of that is the Northern Michigan flying.I recall something about maintaining that indefinately being part of the merger agreement with the Feds?
 
PSU.DTW.SCE
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 8:42 pm

Skywest isn't going to be getting out of DTW & MSP, they are heavily entrenched within the core operations of these hubs.

The intent is to get OO out of JFK/LGA/BOS.
 
jrkmsp
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 8:49 pm

FlyingElvii wrote:
Scarebus34 wrote:
Compass is trying to push rumors that they are going to get UA flying, I’d be very surprised if that happened. Why would United further complicate their express operations with yet another carrier. Makes no sense, but that’s precisely why it may happen. Lol.

Maybe TSH will sell Compass and they can merge with ExpressJet.... XJT could use the pilots and then United will be able to maintain control.

Hulas should have taken the money last year, when it was offered....


Jon Ostrower reported that the deal was done, except United wouldn't agree with it. So it's not that Hulas wouldn't take the money — it's that he couldn't...
 
Jshank83
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 9:07 pm

FlyingElvii wrote:
lavalampluva wrote:
I wonder if that will force CP to relocate their HQ since they currently occupy space in DL building C at MSP

Plenty of space in the old TWA HQ in STL. Just gotta mind the roof leaks and critters.


This is what I wonder also. Is there a reason Tran States can't just absorb them all back into one company? With no more DL for any of the 3 wings and just a little bit of AA it seems like that would make sense.

But I know it isn't just something you can snap your figures and do.
 
KCaviator
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 9:19 pm

rsgolfpunk wrote:
Maybe someone can confirm that DL’s equity interest in Republic is under 20%. Still a good size stake.


Republic ownership:

American: 25%
United: 19.16%
“All others” (40 creditors): 18.68%
Delta: 17.35%
Embraer: 11.54%
Contrarian Funds: 8.27%
 
MIflyer12
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 9:38 pm

FlyingElvii wrote:
airtran737 wrote:
lavalampluva wrote:
I wonder if that will force CP to relocate their HQ since they currently occupy space in DL building C at MSP


The CP internal memo said that DL has granted them the ability to stay in the HQ facility after the planes are transferred. I am wondering how long it will take AA to give CP the boot next, and what is CP's contingency plan? Sure they can chase the UA flying that Mesa does, but what else is there? AS doesn't have a scope clause, so they can also go after that, but it requires aircraft and CP doesn't have any of those to immediately offer.

Wasn't there some clause attached to the NW bankruptcy by the city, about leases and minimum employment levels?


There were some Metropolitan Airports Commission financing restrictions. Delta terminated that by paying off the loans early, in 2011. Ample free cash flow is a wonderful thing.

https://www.aviationpros.com/home/news/ ... -job-fears
 
as739x
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 9:40 pm

lavalampluva wrote:
I wonder if that will force CP to relocate their HQ since they currently occupy space in DL building C at MSP


CP will retain offices in MSP. Delta has agreed to continue leasing the space after the flying contract terminates
"Some pilots avoid storm cells and some play connect the dots!"
 
flightsimer
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 9:54 pm

ScottB wrote:
ethernal wrote:
I'm curious how this will impact Delta in the long run with their regional operations. I do believe that there will be short term operational benefits, but at the same time, by reducing the number of carriers and creating geographic regions for them they are creating their own vendor lock-in that may result in increasing costs and lower performance in the long run.


Vendor lock-in is indeed a potential problem, but with consolidation in the regional segment over the past decades, in part encouraged by the network carriers themselves, there just aren't many options for switching vendors in any event, particularly in the case of larger regional operators like SkyWest (which owns EV) or Republic. G7 and CP are both owned by Trans States and the only other independent regional is Mesa (LOL).

Delta, of course, owns 9E. If they're going to rely on two outsourced regionals, OO and YX are probably their best options at this point anyway.

Skywest does not own Expressjet. That was sold back in January to Mana Air which is a United shell company...

Delta owns Endeavor, but they are also a owner in Republic. I wouldn't be surprised if they have become a larger owner in Republic as well.
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flightsimer
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 9:57 pm

PSU.DTW.SCE wrote:
Skywest isn't going to be getting out of DTW & MSP, they are heavily entrenched within the core operations of these hubs.

The intent is to get OO out of JFK/LGA/BOS.

Actually, I have heard the 175's will be leaving those airports soon.
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flightsimer
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 10:01 pm

barney captain wrote:
aemoreira1981 wrote:
MIflyer12 wrote:
Do Compass or GoJet own/lease directly any of the aircraft they fly for Delta, or are they all DL-owned?

Those two represent just 65 of the 445 frames flown as Delta Connection 12/31/18.


Compass - all DL owned.
GoJet - all CRJ7s DL owned, all CRJ9s leased from Nordic Aviation Capital.


I don't believe DL "owns" any of the Compass aircraft - I believe everything at Compass is leased. As someone mentioned "a paper airplane". One might call it a Paper Company.

Delta OWNs every 175 Compass operates. They were bought by NWA. DL is the registered owner.

Compass operates the aircraft on behalf of DL, the don't lease them from DL.
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PSU.DTW.SCE
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Re: Somewhat confirmed: Delta ending contract with GoJet, Compass

Tue Aug 06, 2019 10:40 pm

flightsimer wrote:
PSU.DTW.SCE wrote:
Skywest isn't going to be getting out of DTW & MSP, they are heavily entrenched within the core operations of these hubs.

The intent is to get OO out of JFK/LGA/BOS.

Actually, I have heard the 175's will be leaving those airports soon.

That would make sense, but the OO CR2s aren't going to be leaving DTW & MSP anytime soon.

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