SWA a Leveraged Buyout Target?

[Noserider76]

Bear Stearns upgraded LUV today saying the company could be a leveraged buyout target with a 50% price premium on today's stock price.

 

[Lear70]

AirTran CEO announced today that they are rescinding their Midwest takeover attempt and will announce the Southwest takeover on Friday.

Said we are interested in their 737 delivery slots, and we may offer preferential interviews to existing 737 pilots at Southwest.

 

[bravodude]

In other news the worlds largest penut manufacturer stated that if airtran and southwest merge there will not be enough penuts to meet the increased demand.

 

[IAHERJ]

Airtran will send a delagation from the A-T-L to offer customer service seminars to all those in need throughout Southwest's route network. Nothing like spreading some good Atlanta/Airtran hospitality throughout the nation.

"you is now free to be movin around dis country"

 

[GuppyPuppy]

Great. Drive up the stock price so I can sell!

GP

 

[Noserider76]

Great. Drive up the stock price so I can sell!

GP

An LBO would be great for the stockholders and private equity guys but generally wouldn't be good for the employees except for a bump in stock price. Your assets are leveraged to buy....you, adding debt to a relatively clean balance sheet. See NWA in the early 90's.

Pure speculation on my part, but might this drive LUV to do a deal of their own to dirty up the balance sheet and make themselves a less attractive target? Must be nice to have the best management team in the business in times like these.

 

[CF34-3B1]

We're taking a few billion and building our own oil refinery, opimized to produce JetA, then we're buying International Lease Finance Corp, and taking all the delivery slots for 737-700s and 787s for ourself. Any cash left over will be used for the next deck party.

 

[Lear70]

We're taking a few billion and building our own oil refinery, opimized to produce JetA, then we're buying International Lease Finance Corp, and taking all the delivery slots for 737-700s and 787s for ourself. Any cash left over will be used for the next deck party.

That's actually the best idea I've heard yet...

 

[bravodude]

when do have the deck party. Hopefully i will be in groundschool when they have them.

 

[NuGuy]

AirTran CEO announced today that they are rescinding their Midwest takeover attempt and will announce the Southwest takeover on Friday.

Said we are interested in their 737 delivery slots, and we may offer preferential interviews to existing 737 pilots at Southwest.

Heyas Lear,

While I know you are joking, and this would be a bad thing....some back part of my brain wants to see this happen...like slowing down to see the wreck on the interstate....

Nu

 

[SkiFishFly]

Please buy AirTran to dirty up that balance sheet a little bit - only if you keep the pilots of course...

 

[Lear70]

Heyas Lear,

While I know you are joking, and this would be a bad thing....some back part of my brain wants to see this happen...like slowing down to see the wreck on the interstate....

Nu

Please buy AirTran to dirty up that balance sheet a little bit - only if you keep the pilots of course...

No doubt.

 

[Dirty Sanchez]

Wouldn't most companies be ideal LBO targets with a 50% premium?

 

[STL717]

Carl Icahn filed a SEC report today as required after he had acquired 5% of Southwest Airlines common stock.

 

[SkiFishFly]

Carl Icahn filed a SEC report today as required after he had acquired 5% of Southwest Airlines common stock.

Oh F#@#@#@#$@4@$1@$4!!!!!!!!!!!!


You're kidding right? Please tell us you joke....

 

[Noserider76]

Please buy AirTran to dirty up that balance sheet a little bit - only if you keep the pilots of course...

I recommend you guys apply to SWAPA now and start donating 25% of your paychecks to fund SWA new hire parties. Buy the MEC chair a new Beemer (the Doug Parker model maybe), send his wife flowers on her birthday and they may have mercy on you.

 

[Truckdriver]

"you is now free to be movin around dis country"

Now that is funny. That would be a perfect tranny slogan. I love it!!

 

[Lear70]

I don't know, I think our current one in ATL form is funnier:

"Go... ain't SH*T stoppin yo a*s."

 

[SkiFishFly]

I don't know, I think our current one in ATL form is funnier:

"Go... ain't SH*T stoppin yo a*s."

ROTFLMAO...

 

[ultrarunner]

Bear Stearns upgraded LUV today saying the company could be a leveraged buyout target with a 50% price premium on today's stock price.

Been a loooong time since LUV has been priced that hight. Could be a good exit point for a large number of investors.

The stock has split so many times that it's fairly diluted. But obviously that's the philosophy of management.

Didn't read too deep into the filings, but is SWA currently have a stock by back program going on?

Not that they'd make a huge dent...but....

 

[Whataburger]

Herb is buying the airline back.

 

[The Prussian]

Didn't read too deep into the filings, but is SWA currently have a stock by back program going on?

Management has had two recent buyback programs during 2006 of $300 million apiece. A third buyback of $400 million this past couple of months may be close to ending if not already concluded.

 

[ultrarunner]

Herb is buying the airline back.

There is something to like about a cigar smoking drunk. No that I necessarily want that person running my business....

...but, he's plenty colorful enough, and I think thats the goal.

 

[FlyWolf]

I don't know, I think our current one in ATL form is funnier:

"Go... ain't SH*T stoppin yo a*s."

lol
Now that is funny

 

[DX Jake]

when do have the deck party. Hopefully i will be in groundschool when they have them.

Traditionally they start right before Memorial Day, and end right around Labor Day.

Tonight at the DAL Message, some guy asked Gary during the Q&A session if Southwest was gonna merge with Target because he read it in a newspaper today. Needless to say everyone was confused and laughed as he was embarassed. After reading the title of this forum "SWA a Leveraged Buyout Target?", I had to laugh.

 

[STL717]

Oh F#@#@#@#$@4@$1@$4!!!!!!!!!!!!


You're kidding right? Please tell us you joke....

This whole thread is a joke!!

 

[737tanker]

Tonight at the DAL Message, some guy asked Gary during the Q&A session if Southwest was gonna merge with Target because he read it in a newspaper today. Needless to say everyone was confused and laughed as he was embarassed. After reading the title of this forum "SWA a Leveraged Buyout Target?", I had to laugh.

So once the confusion was cleared up what was Gary's response to SWA being a target of a LBO?

 

[bailey3083]

No No you guys got it all wrong! Johnny O wants to buy you guys and after looking at your books and route structure he is going to open his alter ego airline instead of go! it will be yo! airlines and people can fly for as low as $19.95 but thats not all! If you act now you will also receive this bag of peanuts absolutely free! Thats right this $20 value only $19.95! But you have to act now on Yo! airlines!