US Airways to further reduce mainline fleet

[avrodriver]

I really hope this doesn't mean anymore furloughs. Even if there isn't I suppose it's only a matter of time before we hear an announcement for a EMB-190 or CRJ-900. Less mainline jobs...more J4J crap.....more people stuck in the cess pool of the regionals. AD

US Airways to further reduce mainline fleet

Wed May 4, 2005 12:56 PM ET
WASHINGTON, May 4 (Reuters) - US Airways (UAIRQ.OB: Quote, Profile, Research) will reduce its mainline fleet by another 10 aircraft to cut costs beginning with its August schedule, the company said on Wednesday. The bankrupt seventh-largest domestic airline noted the fleet reduction as it reported its load factor for April fell 3.9 points to 75.9 percent compared with the same month last year.

 

[Boeingman]

Sounds like another agreement ALPA made with management is about to be violated. One of the past rounds of concessions (I've lost count) there was an
minimum number of aircraft at mainline (279) to be kept on property.

 

[Swaayze]

I think the 279 minimum is long gone courtesy of R3.

Supposedly mainline is short-staffed on pilots now so hopefully no new furloughs from this.

 

[avrodriver]

Taken from a follow up article:


"The airline does not plan to eliminate service to any cities because of the change or furlough any employees."

"The aircraft will be identified in the coming weeks and will most likely include planes that are not fuel efficient or that have expensive maintenance coming up."

"US Airways is gradually reducing its fleet to save money. The airline started the year with 281 mainline planes and will have 266 next week. By the end of August, the fleet will stand at 253 planes."

 

[avrodriver]

The whole thing

UPDATE 2-US Airways to cut fleet again, restates loss
Wed May 4, 2005 02:23 PM ET
(Includes AIRLINES-USAIRWAYS-FLEET; changes dateline, previously CHICAGO)

WASHINGTON, May 4 (Reuters) - Bankrupt US Airways Group Inc. (UAIRQ.OB: Quote, Profile, Research) took a $91 million charge for terminating employee pension plans on Wednesday and said it would shrink its mainline fleet by another 10 aircraft this summer.

The seventh-largest domestic carrier also said its load factor, or the percentage of available seats that are filled each month, fell 3.9 percent to 75.9 in April.

US Airways said the decline was partly due to the shift in Easter holiday travel from April in 2004 to March in 2005. US Airways said its load factor for the year through April was up 1.2 percent at 73.9 percent.

In disclosing its noncash expense, US Airways said it lost a measure of equity when it turned traditional defined benefit pension plans over to government insurers as part of its attempt to cut costs and survive bankruptcy. The pensions cover flight attendants, baggage handlers and other ground workers. The pilots' plan was terminated in 2003.

The $91 million charge for pensions resulted in a net loss for the first three months of 2005 of $282 million, or $5.13 a share. The revised figure compared with a loss of $191 million, or $3.48 per share reported last Friday.

Additionally, US Airways said it would reduce its mainline fleet by another 10 aircraft in August. Some flying to the Caribbean and Florida, which tapers off in summer, will be canceled. The airline does not plan to eliminate service to any cities because of the change or furlough any employees.

The aircraft will be identified in the coming weeks and will most likely include planes that are not fuel efficient or that have expensive maintenance coming up. US Airways paid $368 million for fuel in the first quarter, more than double for the same period a year ago.

US Airways is gradually reducing its fleet to save money. The airline started the year with 281 mainline planes and will have 266 next week. By the end of August, the fleet will stand at 253 planes.

The airline says the reduction has had little impact on operations since it overhauled schedules and changed the way it operates aircraft to improve efficiency.

The changes are designed to make US Airways as viable as possible as it seeks potential investors. The company is in talks with America West Airways (AWA.N: Quote, Profile, Research) on a possible merger. Mesa Air Group (MESA.O: Quote, Profile, Research) has also emerged as a possible investor. "As we continue to talk with potential investors, the elimination of unprofitable flying is a key topic of conversation," said Bruce Ashby, US Airways executive vice president of marketing and planning.

 

[ash5855]

This is probably just the tip of the iceberg on future mainline reductions.
Listening to Doug Parker speak a few weeks ago, he said a merger of US and AWA would be fat about 50 birds.

The key is to reduce USairs fleet while it remains in chapter 11 and easier to do. When most of the reduction is complete, you than begin to merge the operations as part of the Business plan for exiting chapter 11.

 

[gcsass]

"US Airways is gradually reducing its fleet to save money."

So if they shrink it to 0 their savings should go thru the roof!!

Does anyone really believe this crap, including the moron who said it?

Disgusting.......

 

[GoABX]

What aircraft types are being parked?

 

[Captzaahlie]

Asleep at the helm

I know I'm not supposed to bite the hand that feeds me but.............
even if each and every passengers paid an extra $100 per ticket Usair management would find some way to screw things up and lose more money. I think it's past due time to hold management accountable! They just amended the companys losses this last quarter by misreporting almost another million dollars........ Opps sorry we didn't realize that we actually lost more than we thought........... SOMEBODY PLEASE BUY THIS TEAM OF IDIOTS A CUP OF STARBUCKS SO THEY CAN WAKE THE F&*CK UP AND GET SOMETHING POSITIVE ACCOMPLISHED!
Other than that everyone have a nice day as I vacation till the 22nd, no oh dark thirty reports for a few weeks...... yippie!

 

[Andy]

Good luck to all at USAirways.