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Overlap plan
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<blockquote data-quote="deve" data-source="post: 3368945" data-attributes="member: 71084"><p>1) I see your point about col-locaiton. If HD and Ground routes are based off different terminals - overlap is only burden for contractor. Contractor would be better of doubling his HD operation rather than getting overlap. But in case of co-loc (which is my case and all stations in my area) there is no loss in equity. By the time they start 6-day operations, they will address co-location since 6-day operation won't be possible without it.</p><p>2) Overlap revenue is exactly old HD + Ground revenues in that same territory. Correct me if I am wrong.</p><p>3) 6 operations - correct it is going to be extra profit for FX and our extra expense but we benefit from efficiency being overlapped (i.e. cutting expenses by collapsing redundant routes) so I think it is going to be a wash.</p><p>Conclusion: Yes FX will benefit from overlap/6-say operations and won't share its extra profit with us but i do not see loss of equity on our end either.</p></blockquote><p></p>
[QUOTE="deve, post: 3368945, member: 71084"] 1) I see your point about col-locaiton. If HD and Ground routes are based off different terminals - overlap is only burden for contractor. Contractor would be better of doubling his HD operation rather than getting overlap. But in case of co-loc (which is my case and all stations in my area) there is no loss in equity. By the time they start 6-day operations, they will address co-location since 6-day operation won't be possible without it. 2) Overlap revenue is exactly old HD + Ground revenues in that same territory. Correct me if I am wrong. 3) 6 operations - correct it is going to be extra profit for FX and our extra expense but we benefit from efficiency being overlapped (i.e. cutting expenses by collapsing redundant routes) so I think it is going to be a wash. Conclusion: Yes FX will benefit from overlap/6-say operations and won't share its extra profit with us but i do not see loss of equity on our end either. [/QUOTE]
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