May Cost As Many As 264 Jobs

Delta Air Lines has made good on its promise to shift regional jet operations to more cost-efficient carriers, even if it means taking away business from its own low-cost subsidiary. On Tuesday, Delta announced it will reassign 12 CRJ700 regional jets from Comair, to SkyWest early next year.

Comair officials would not confirm a report in the Cincinnati Enquirer the loss of those jets could mean the elimination of as many as 264 jobs at the bankrupt regional carrier. They did, however, say each 70-seat jet represents 11 pilot jobs, as well as employment of 11 flight attendants -- so the math adds up.

St. George, UT-based SkyWest will take over operations of the CRJ700s that fly dozens of flights out of Cincinnati/Northern Kentucky International Airport. (In the "adding insult to injury" category, Comair is based at that airport.)

SkyWest operates its namesake airline, as well as Atlantic Southeast Airlines -- which it purchased from Delta in September 2005, two weeks before that carrier filed for Chapter 11 bankruptcy.

"SkyWest or ASA will be operating those aircraft and those routes," said Delta spokeswoman Gina Laughlin. "It will be business as usual for customers."

As Aero-News reported, Delta put approximately one-fifth of its regional routes up for bid in August, in order to trim costs and help the mainline operator exit bankruptcy. Analysts said the move was meant to put pressure on Comair to cut its rates.

Comair maintained its prices were as low as they could go -- especially as that airline struggled to win pay concessions from its pilots. The two sides are scheduled to meet in bankruptcy court at the end of November, as Comair seeks to impose a new contract on the pilots.

Whatever the outcome of that meeting, it will happen too late for 12 of Comair's former planes... and that may be only the beginning.

"Today's news underscores the importance of completing our restructuring in all areas of our business," Comair president Don Bornhorst wrote in a memo to employees. "We cannot retain what we have or put ourselves in position to grow with Delta or other mainline carriers without achieving competitive costs across our business."

Bornhorst added he hopes negotiations with pilots will bear fruit, so the company can regain a competitive edge -- and not only retain its remaining routes, but perhaps win back business lost to other carriers.

FMI: www.comair.com