CRJDriver
Well-Known Member
Looks like Delta is getting rid of another wholly owned company, this time Regional Elite!
Regional Elite to transition work to other service providers
August 7, 2012
Regional Elite Airline Services (REAS) – one of Delta’s two wholly owned aviation service providers – told its people Tuesday that the company will transition all of its work to other service providers by the end of the year. This move is expected to have no impact to Delta’s customers, people or operations.
Delta recently issued a request for proposals (RFP) to service providers for ground handling of regional carrier operations at more than 100 stations. As a normal course of business, Delta continuously reviews its supplier contracts to ensure partners deliver a reliable, efficient operation at competitive rates.
“The Regional Elite team has worked hard to run a strong operation for our customers. However, our cost structure kept us from effectively competing with other aviation service providers in this RFP,” said Don Stephens, s.v.p. – REAS, in a memo to employees. “Unfortunately, we were not awarded the work in the vast majority of these locations, which will mean higher overhead costs spread across a smaller number of stations.
“With very limited opportunities to maintain or grow our business, we will not be a viable company moving forward. As a result, we have made the decision to transition all of our remaining work to other aviation service providers by the end of the year,” Don said.
The majority of stations currently supported by Regional Elite will transition to Delta Global Services (DGS) in the coming months. Regional Elite employees in these stations will be offered positions with DGS at the same location.
As part of Delta’s recent RFP, Delta Global Services was awarded work in a total of 72 locations across the domestic system, making the company one of the largest aviation service providers in the industry.
Regional Elite to transition work to other service providers
August 7, 2012
Regional Elite Airline Services (REAS) – one of Delta’s two wholly owned aviation service providers – told its people Tuesday that the company will transition all of its work to other service providers by the end of the year. This move is expected to have no impact to Delta’s customers, people or operations.
Delta recently issued a request for proposals (RFP) to service providers for ground handling of regional carrier operations at more than 100 stations. As a normal course of business, Delta continuously reviews its supplier contracts to ensure partners deliver a reliable, efficient operation at competitive rates.
“The Regional Elite team has worked hard to run a strong operation for our customers. However, our cost structure kept us from effectively competing with other aviation service providers in this RFP,” said Don Stephens, s.v.p. – REAS, in a memo to employees. “Unfortunately, we were not awarded the work in the vast majority of these locations, which will mean higher overhead costs spread across a smaller number of stations.
“With very limited opportunities to maintain or grow our business, we will not be a viable company moving forward. As a result, we have made the decision to transition all of our remaining work to other aviation service providers by the end of the year,” Don said.
The majority of stations currently supported by Regional Elite will transition to Delta Global Services (DGS) in the coming months. Regional Elite employees in these stations will be offered positions with DGS at the same location.
As part of Delta’s recent RFP, Delta Global Services was awarded work in a total of 72 locations across the domestic system, making the company one of the largest aviation service providers in the industry.