NWA wants to buy Mesaba

[WTF-Over]

A memo came out today at Mesaba stating that XJ managment is in talks with NWA managment about buying XJ outright.
Any guesses as to why. I bet MAIR will jump on this and make a profit and be free to do what they want. Big Sky is poistioned for growth.

 

[gnx99]

Hmmm. Very interesting. How much of Mesaba does NWA currently own?

 

[WTF-Over]

About 35%

 

[i fly boxes]

Here, just replace Express one with Mesaba and replace Pinnacle with Compass


Northwest Airlines, which at that time had its own code sharing network of regional airlines operating as Northwest Airlink, was more than happy to incorporate the existing Express I into its network. Subsequently, Express Airlines I began doing business as Northwest Airlink at both Memphis and Minneapolis-St. Paul.

Over the next decade, Express I provided safe, comfortable, and convenient airline service to 56 cities in the Southeast and upper Mid-West. In 1997, Northwest Airlines elected to make changes in the structure of Express I, which, until then, had been privately held. Effective April 1, 1997, Express I became a wholly-owned subsidiary of Northwest Airlines. In order to consolidate the many Airlink systems operated at that time, Express I transferred flying at Minneapolis-St. Paul, allowing it to concentrate on the Memphis Hub.

In August 1997, Express I moved its corporate headquarters to Memphis, allowing all the various departments to function from its main base of operations. On May 7, 1999, Express I announced a major transition into the jet age as its parent company announced that Express would be the launch operator of the Canadair Regional Jet (CRJ) at Northwest. This award was for a minimum of 42 CRJs designated to operate as Northwest Jet Airlink. Delivery of the CRJs began in April 2000 and the first Northwest CRJ lifted into the sky on June 1, 2001 bound for Greenville – Spartanburg, SC.
Express I further expanded by the development of three additional Maintenance, Repair, Overhaul (MRO) facilities related to CRJ operations. The first, located in Knoxville, Tennessee, is a permanent base. It is capable of handling up to four aircraft under cover. The Knoxville facility will serve as the primary CRJ Maintenance, Repair, and Overhaul facility. Other CRJ maintenance sites are located at South Bend and Fort Wayne, Indiana.

In order to more accurately reflect our mission as an airline, Express Airlines I changed its name to Pinnacle Airlines, Inc., effective May 8, 2002. In November, 2003, Pinnacle Airlines became a publically traded company, using the symbol PNCL on the NASDAQ. Pinnacle has been contracted to fly 129 CRJ's on behalf of Northwest Airlines. On July 18, 2004, the 100th CRJ was christened the 'Spirit of Beale Street,' in honor of a WWII bomber that was paid for with funds raised by the African-American community in Memphis.

 

[Poahi]

Sure. Drive it into the ground - then, when it's virtually worthless, buy it. Everyone will blame it on incompetent XJ' management and NWA get's it's certificate. Win-win?

They won't be able to do that with Pinnacle though.

 

[EL10]

So what happens to the “Holdings” letter once XJ becomes a subsidiary of NWAC holdings?

 

[fieldinsight]

They keep all the money that XJ earned over the years, and Foley buys a Tim Horton's franchise. Something like that.

<http://www.startribune.com/535/story/889732.html>

 

[kmox29]

This will be great for Big Sky and not so great for Mesaba. MAIR gets out of the scope letter and Mesaba pilots get to enjoy all the benefits of being owned by their mainline...just ask the Comair pilots how that one worked out.

 

[filejw]

Well I hope this time we are smart enough to make sure Mesaba pilots get on our list or at least the flow thru that the Compass agreement has. The whipsaw BS has got to stop.

 

[n32jk]

This will be great for Big Sky and not so great for Mesaba. MAIR gets out of the scope letter and Mesaba pilots get to enjoy all the benefits of being owned by their mainline...just ask the Comair pilots how that one worked out.

Sinister comes later. Right now it appears that NW wants to quick start "compass" in a different manner. Just a quess.....Big winner? Foley...took the loot and still gets to sell the empty shell for millions. Wonder who he plays golf with??? I bet the Big Sky kids are getting exited. Could now be where the 900's are going. Could mean they aren't needed any more. You don't see Brady trying to run an airline anymore after raking in 35 million unloading a few saab leases in 1997. Anybody's guess. It may be NW hasn't decided how much punishment the 9E pilots deserve for working so cheap for 6 years then refusing to give back the food stamps in the present negotiations. Let the games begin....

 

[n32jk]

Well I hope this time we are smart enough to make sure Mesaba pilots get on our list or at least the flow thru that the Compass agreement has. The whipsaw BS has got to stop.

When NW bought 9E we approached them (NW ALPA) about common seniority. Even proposed a fence that would effectively keep old timer 9E pilots out of their equipment. We were told a resounding hell no!! Four years later comes 911. About 95 percent of all 9E captains would be NW furloughs, but the short sighted NW MEC could never abide by common seniority or flow up only flow down. Pilots can be their own worst enemies...

 

[xjgearbtch]

If you read the Side Letter it states that as long as MAIR "controls" BigSky they can't fly anything over 19 seats unless it's with our seniority list. States nothing if NWA buys us. I remember in the Road show they showed that if we had, this side letter when Air Tran was spun off, every pilot at mesaba (Even Today) would have a position at Air Tran even after the swensen family spun it off. The LOA states that over 19 seats and it will always be flown by our senority list.

If NWA bought Big Sky, then I think we would be hosed.

 

[SplitBar]

Correct, as long as MAIR owns Big Sky, XJ pilots have the rights to anything over 19 seats at Big Sky. Nothing changes if NWAC buys XJ regarding the MAIR letter.

 

[YourPilotFriend]

Would you give up the letter for a mainline staple job?

 

[YourPilotFriend]

I suspect as I have said here before that there is no staff for compass airlines. I say this because the insurance requirements negate any street hiring, 2000+ hrs to make $20K. Also the Compass contract is way more expensive than the Mesaba concessionary agreement to operate the E175/195, which compass will do. Compass is not a regional airline, it is simply a way to shed the debt of a mainline fleet purchase and then be sold off. Whether or not you get a mainline number is something you should fight for.

Skywest will win the CRJ900 RFP.

 

[Monster Buck]

Would you give up the letter for a mainline staple job?

No.

Letter between ALPA and MIAR: Scope in section one is with Mesaba. Provisions are in there for this. The letter stands. Must liq. MIAR to kill letter or our 63% YES people come up to bat again.:angryfire

 

[xjhawk]

YPF, so now you are saying skywest will win the 900's? Wow were they the lowest bidder? If i were working for skywest right now, I would be making over 40 grand a year, but as it sits, i am a 4 year FO making under 32 grand. So what you are saying they underbid us at Mesaba?

And the other thing you are suggesting is that Mesaba will be compass? How does that stand with mainline pilots? So what you are saying is that Mesaba will get the EMB's? How will that stand with Mainline guys? Oh and another thing, if NWA wants to buy Mesaba, why would they give away the 900's to skywest? when giving them to mesaba would make them the money.

Here is two scenerios that i see as feesable

1. that yes, mesaba will be compass, even though i was thinking it was going to be MAIR, looks like its going to be Mesaba. That is if the mainline guys will allow it. Its their scope, so its their choice.

2. That NWA buys mesaba and they (we) will get the 900's. In a few short years NWA will do the same thing to XJ as they did to 9E. Spin them off and make hundreds of millions.

I do know that it will be interesting...even though interesting might suck

 

[Lear70]

Ancient Chinese "curse":

May you live in INTERESTING times.

Good luck, guys....

 

[YourPilotFriend]

XJhawk, BigSky just won a huge RFP from delta. To expand that business, the MAIR contract with ALPA needs to be null and void. They couldn't do it through bankruptcy now it looks like they will have to staple you to the bottom of the NWA list to get rid of that thing. I don;t know of any other way they could end it. MAIR made $120 mill off of mesaba + the DIP loan. NWA mainline and Compass have staffing issues, this may solve those problems.

 

[TAWS]

This is gonna happen soon. Compass is already sending boys through FS STL!!
Get ready for more roadshows XJ boys/gals - good luck!!

 

[n32jk]

XJhawk, BigSky just won a huge RFP from delta. To expand that business, the MAIR contract with ALPA needs to be null and void. They couldn't do it through bankruptcy now it looks like they will have to staple you to the bottom of the NWA list to get rid of that thing. I don;t know of any other way they could end it. MAIR made $120 mill off of mesaba + the DIP loan. NWA mainline and Compass have staffing issues, this may solve those problems.

I keep seeing you post "staple" That would be great but I don't see it happening. Wishful thinking??

 

[CoATP]

XJhawk, BigSky just won a huge RFP from delta. quote]

Missed that one ...explain?

 

[WMUSIGPI]

I keep seeing you post "staple" That would be great but I don't see it happening. Wishful thinking??

Great for who? That just adds 700 more names for me to get recalled (and that would still be to a Saab not a DC-9)

 

[drift diamond]

Pretty simple boys and girls. Mesaba=Compass.

 

[YourPilotFriend]

Compass will have two seniority lists.

 

[avrorj-85]

eewwww...

This whole thing is about to get VERY messy.

 

[Hulk Hogan]

1st list covers 49 saabs and 36 seventy-six seaters (XJ's built in clause for the Avro's I believe) the 2nd list covers seventy-six seater # 37 +. Very messy I would imagine. How many NWA guys and gals would have "flowed back" if given the option back when furloughs were happening?

 

[YourPilotFriend]

1st list covers 49 saabs and 36 seventy-six seaters (XJ's built in clause for the Avro's I believe) the 2nd list covers seventy-six seater # 37 +. Very messy I would imagine. How many NWA guys and gals would have "flowed back" if given the option back when furloughs were happening?

That is incorrect if Mesaba became wholly owned it is not entitled to those 36 jets no strings attached. As per the NWA agreement once mesaba becomes fully owned and takes on a new aircraft the flow up/down agreement begins and mesaba pilots may occupy mainline seats and vice versa.

 

[TinGoose1]

That would put the remaining XJ pilots on the street. Flow downs can be a bee-atch. Why would anyone want to flow up into the mainline red-tail anyway? Haven't you folks experienced enough of NWA managements tactics? If I were you, I'd try to keep the greatest distance between myself and mainline as possible. A stapled list will only hurt you.

-TG

 

[YourPilotFriend]

That would put the remaining XJ pilots on the street. Flow downs can be a bee-atch. Why would anyone want to flow up into the mainline red-tail anyway? Haven't you folks experienced enough of NWA managements tactics? If I were you, I'd try to keep the greatest distance between myself and mainline as possible. A stapled list will only hurt you.

-TG

Not exactly, If NWA contracts all pilots get screwed. If NWA expands and the Mesaba pilots have mainline seniority, they will have better jobs. Also if NWA chooses to spin off Mesaba at a later date; with mainline seniority the Mesaba pilots would have the right to the 76 seat flying even if it went to mesa or someone else. In the current scenario, you are going to have mainline guys flying with mesaba pilots in the new aircraft. It's much better to have one list to not start the A vs. B BS.