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Recovered

Embattled airlines coming back

Six years ago, the airline industry was on life support. Airplanes and airports were wanting for passengers. The FAR Part 121 carriers suffered financial losses in the billions of dollars.

But the airline business is resilient. The red ink on the airline financial reports is almost a memory. According to the Bureau of Transportation Statistics, from April through June 2007, the airlines posted their best profit numbers since 2000. In that quarter, the major airlines (now called network carriers) reported a profit margin of just over 9 percent. That number represents a 22-percent improvement over the same period in 2006.

The big winners were United Airlines with a $526-million profit; Delta came in with $470 million; American tallied $394 million. Even some of the regional airlines came up smelling like roses. American Eagle led the pack with a $53-million profit; SkyWest made $48 million; ASA earned $40 million.

Any aspiring airline aviator should study the industry's financials from time to time. If the airlines are making money, business is good. If business is good, demand for travel is robust. If demand for travel is hot, the airlines expand. Ergo, those companies need more airplanes--and more pilots to fly them.

As an indicator of how hiring is going these days, take a look what occurred in the first nine months of 2007. Data from Kit Darby's AIR, Inc. are quite positive. Although the numbers can vary, given the peculiarities of data collection and the changes that seem to be occurring daily, they should be fairly close estimates.

The nay-sayers predicted in 2001 that the major airlines would not recover for a decade and flight-deck jobs would not be available until then. Well, Continental Airlines brought in close to 400 pilots during the period and is expected to recruit at least 400 in 2008. Delta, which was truly "on the ropes" a few years ago, hired 282 fresh pilots from January to September 2007. Even United put out the welcome mat for about 20 newbies and is expected to train another 300 at its Denver Flight Training Center in 2008.

Southwest, a perennial favorite, hired 604 aviators during 2006, according to AIR, Inc.; the 472 hired in the first nine months of 2007 tracks that pace very closely. JetBlue picked up about 350 new pilots and may hire another 380 in 2008.

Of course, it will be a few years before most readers will have the 5,000-plus hours that are considered competitive for a real shot at these companies. But, the good news is that those flight-deck jobs on the first rung of the airline career ladder seem quite plentiful. Leading the pack in hiring appears to be Republic Airlines, which includes Chautauqua and Shuttle America. And, as we predicted, here is a company that is attempting to soften the financial blow for new hires who have invested heavily in their training. According to AIR, Inc. sources, the company will pay a $2,500 bonus to EMB-145 and CRJ-200 first officers who successfully complete initial operating experience.

Mesa Airlines kept up its strong hiring pace with just over 480 pilots finding work at the Phoenix-based airline through September 2007. This compares to about 500 in all of 2006.

Mesaba Airlines, which has experienced financial turbulence over the past few years, recruited some 459 pilots through the first three quarters of 2007. The Saab 340 operator is ramping up with regional jets for the future.

Coming in at number four in the hiring race is American Eagle, which has hired more than 400 pilots through September 2007, and 700 more anticipated in 2008. It recently lowered hiring minimums to 500 total flight hours and 100 multiengine hours.

The always-popular SkyWest had hired around 370 pilots by the end of October 2007. Because of the company's stature and the awesome route structure out West, lots of pilots seem to want in. Hiring minimums are 1,000 hours total time and 100 multiengine.

The recruiters at Atlantic Southeast Airlines have been earning their keep as they interviewed and hired 351 pilots. Need more proof that there is a pilot shortage? Apparently, ASA will consider you with as few as 500 hours total time and 50 hours of multiengine experience.

Over at ExpressJet, which seems to be having better fortunes operating some routes independently than the old Independence Air (previously Atlantic Coast Airlines), an estimated 345 pilots signed up during the first nine months of 2007. At last check, this airline was looking at airmen with 600 hours total time and 100 hours multiengine; its Web site notes that "minimum flight hours may fluctuate as the airline industry changes and ExpressJet grows."

Every day, a swarm of Pinnacle regional jets descends on Detroit Metro Airport. Many of their rights seats are occupied by some of the 318 or so pilots who were hired during the first three quarters of 2007. By the end of the year, the company will most likely have added another 100 to 150.

Comair, which historically has been at the top of the hiring heap, petered out just a little through the first nine months of 2007, adding an estimated 245 aviators. Here's another company that had hiring minimums way up there in the past. The last update is that Comair is hiring at 600 total time and 100 multiengine.

Over at Trans States, about 180 pilots landed jobs between January and September of last year. Here's a company that, according to AIR, Inc, will gladly accept your r�sum� with 500 hours total time and 50 hours of multiengine USAirways Express/Piedmont Airlines rounds out the top 10; it hired 135 pilots during the first three quarters of 2007 and is said to be awarding a $5,000 hiring bonus at signing.

So, for those who contend that the industry is stale, 2007 seems to dispute that contention. From what the FAA's annual forecast depicts, air travel will only increase--to about a billion passengers annually by 2015. The demand for airplanes and pilots is forecast to keep growing, as well.

Wayne Phillips is an airline transport pilot with a Boeing 737 type rating. He is a B-737 instructor and operates the Airline Training Orientation Program in association with Continental Airlines. He is an aviation safety consultant in Michigan and speaker for the AOPA Air Safety Foundation.

Wayne Phillips
Wayne Phillips manages the Airline Training Orientation Program.

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