They do indeed plan to eliminate the ASM position this quarter. Here is the confirmed plan.
Firstly, by doing it in the third quarter it allows the company to use the cost savings/ revenue from selling off property assets and leasing them back at lower rates which will allow them to afford the severance pay of the 700 or so ASM positions in the core company. This will give a long term cost savings of close to ~32 million for the upcoming year. They also plan to eliminate other ASMs before this restructure by aggressively coaching and terminating ASMs to save the cost of severance. This will also give great cost savings for stores who are not very profitable at the current moment.
They will restructure the store management as follows:
Store Manager - Store Team Leader
Operations Sup - Operations Team leader
Sales/ Dept Sups- Sales Team Leader
Leads (already here)- Specialists
Receiving Sup- Operations specialist
Store trainer- Sales and CS Team leader/ Specialist.
This is the reality. The goal is to refresh the cost structure and create less management layers in the store for quicker decision making while still enacting a sense of promotion within the organization.