Republic Files Chapter 11

Additionally: you're not paying a contractor to maintain its own administrative overhead. While CS and MX functions would necessarily increase at the mainline carrier to support the additional aircraft and pilots, the administrative support largely already exists.

Well, yes and no. Running one system will be somewhat cheaper than two, but...

As usual, the devil's in the details. System capacity may well need to be increased to handle the larger volume. Ka-Ching! The number of people to feed and care for the system is at least somewhat proportional to the system's size. More Ka-Ching!! The process of change-over, as we've seen, can involve confusion, duplication and things going wrong. Even with great planning, they won't get something smooth and right out of the gate. Wah, Wah, Wah, Wah! Think of the US Airways & American reservations system merge.
 
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