ASTAR Air Cargo Sets Deadline for ABX Air

[rotor&wing]

ASTAR Air Cargo Sets Deadline for ABX Air, Inc. Response

MIAMI--(BUSINESS WIRE)--John Dasburg, the Chairman, President and Chief Executive Officer of ASTAR Air Cargo Holdings, LLC sent the following letter dated July 16, 2007 to the board of directors of ABX Air, Inc. (NASDAQ:ABXA):
July 16, 2007
The Board of Directors of ABX Air, Inc.
c/o W. Joseph Payne, Secretary
145 Hunter Drive
Wilmington, Ohio 45177
Gentlemen:
As you know, I have had general discussions with your chief executive officer, Joe Hete, since December 2006 about the possibility that ASTAR might acquire your company. As you also know, Mr. Hete cancelled a previously scheduled meeting with me in June 2007 to discuss our interest. On June 26, 2007, I then sent a letter to you to indicate ASTAR's interest in acquiring all the shares of ABX at a price of $7.75, subject to certain conditions.
To date, neither I nor any ASTAR board member, executive, or adviser has received any response from you, ABX's management, or any advisers acting on behalf of ABX. I therefore wish to inform you that ASTAR will withdraw the indication of interest described in my letter of June 26 unless we receive a meaningful response from ABX or its advisers by the close of business on Wednesday, July 18.
Very truly yours,
John H. Dasburg

 

[inplaneview]

Good! I hope Joe ignores him. I fail to see how this merger is in our (ABX pilots') best interest.

 

[HeavyjetDC8]

A merger is the best option for both pilot groups - an airline in effect controlled by DHL efficiently flying DHL freight. Without it Astar will soldier on and ABX will pursue ever more asinine adventures in Asia.

 

[shooter]

A merger is the best option for both pilot groups - an airline in effect controlled by DHL efficiently flying DHL freight. Without it Astar will soldier on and ABX will pursue ever more asinine adventures in Asia.

no it's not. It's only the best option for the Astar group and the senior ABX group. I thought it was a Brotherhood at ABX, not eat the young.

 

[fodc8]

I'm curious other than a merger between Astar and ABX. Where do the ABX guys think there headed? Asia? USA other than DHL? Where?? Dasburg's plan included ABX and all of it's employees. You may not like it but it creates a powerhouse at the barginning table and security for all of the pilots on both sides. Dasburg's plan to take over all of the flying in the US for DHL is moving forward. DHL has firmed up their support by buying 49% of the Airline. I will be very disappointed if Hete doesn't come to the table. Dasburg and DHL will pick ABX apart in the US over the remaining few years of the ABX ACMI and there no telling what they will try to do to replace ABX. This will not benefit either of our groups. I'm sure the Asia stuff is good but do all of you guys want to move there?

 

[abxdx]

Dasburg's plan included ABX and all of it's employees.





What dreamworld are you living in. Do you really think that Astar would keep all th pilots and operations people. The firstr thing they do will be to trim away all the fat, and I would make a bit there will be alot more trimmed from ABX then Astar...

 

[fodc8]

Well I'm sure Hete's plan is much better.

 

[shooter]

I'm curious other than a merger between Astar and ABX. Where do the ABX guys think there headed? Asia? USA other than DHL? Where?? Dasburg's plan included ABX and all of it's employees. You may not like it but it creates a powerhouse at the barginning table and security for all of the pilots on both sides. Dasburg's plan to take over all of the flying in the US for DHL is moving forward. DHL has firmed up their support by buying 49% of the Airline. I will be very disappointed if Hete doesn't come to the table. Dasburg and DHL will pick ABX apart in the US over the remaining few years of the ABX ACMI and there no telling what they will try to do to replace ABX. This will not benefit either of our groups. I'm sure the Asia stuff is good but do all of you guys want to move there?

I hope ABX continues to have DHL work, is where I think the best place for ABX to be headed. Along with finding other ACMI work like we currently fly for many other carriers. Dasburg and DHL have a plan? Please! DHL could not do it before, what makes you think they can do it now? They had to buy #3 in order to become #3 and they have squandered most of that business away. I do NOT want to see them squander away one great workforce that ABX has. And if you think half of the current ABX workers will be employed 2 years after this thing goes through, you are dreaming or tickling our butts with smoke. If ASTAR and DHL want to build an airline then go do it like ABX has. By buying out ABX you are just putting ABX employees out on the street because your management and DHL has a proven track record of destroying everything they touch in the US and ABX workers will be the fall guys for their ineptitude.

Sure, you would be disappointed if Hete does not come to the table. Because you know your group is not capable of getting a more modern fleet, or the capabilities ABX already has built. You just want your DHL cash to buy what your management could not get on their own. It’s your best shot. But don’t worry; Hete looks out for the stock holders so it will probably go through once the offer becomes realistic (I should say when there even is formal offer). I believe ABX to remain a stand alone company is best for ABX workers and hopefully DHL will part of that work. Let’s turn the tables, let’s get ABX to but out ASTAR. How do your junior guys feel about that? Knowing the 767 is the current aircraft of choice and last I looked, ASTAR has nothing modern on the field. Yeah, I can see why you want this to go through, at the cost of ABX guys not being able to upgrade or the ones to be put out on the street.

So let’s see, the ABX ACMI expires in 2010. Do you think ASTAR can get a fleet to replace ABX in that time? I bet NO. The Japan issue is a sore spot that has nothing to do ASTAR and DHL, yet. Let’s not muddy the water with that until we have to.

 

[fodc8]

You know at no point did I attack you or your group. It does seem that you could care less about anyone but yourself. I hope all ABX pilots don't feel that way. I do understand your desperation and I'm sorry you feel the way you do. I would suggest a therapist who can help you with your anger and hate issues.

 

[flyinboxes]

Hete's press release tomorrow better have some meat to it or the stockholders are going to run. I don't know where this headed more than anyone else, but it is far from over. You don't just "not respond" to 475 million in cash.

 

[Box-Hauler]

Basic business, DHL needs to consolidate, period. They are pissing away money like a sailor on shore leave. The best way to do it is buy an established airline (AKA ABX), stupid US law forbids competition (foreign ownership) like this. So we have Astar that is DHL controlled (but only 49%, yeah right) buy ABX. Instantly we have one airline, the way it was supposed to be. Will there be growing pains, yes.....will some people lose their jobs, yes, and in managements case this is not a bad thing...... long term this is whats best for DHL.

As for pilot jobs once the companies merge. ABX is understaffed now. Every month we have more retirements with no hiring. Not sure of Astar but even if they are fat in some planes they are short on others. Together I believe we would still be understaffed. There is also the time line of combining the unions, voting on representation, combining the contracts etc..... This all takes time. Not sure but the way I understand it is that this then becomes a status quo time frame, can you furlough during this time? But more importantly who will fly the boxes, you know the stuff that actually makes the money. Without crews the boxes don't go, the money does not get made and whoever is driving the ship will not get his/her bonus......... See basic business. And you though I slept through all those business classes.

As for Joe saving ABX I do not know. I do know he is not a "I have a dream" leader. His vision is .......... exactly I do not know either. He has never said what his dream or even his 5 year plan is. He is an accountant who is trying to be a CEO. Don't get me wrong lots of my family members are accountants, heck I started my college as an accountant, but we do not need an accountant, we need a CEO with dreams and goals that is being "reigned" in by an accountant.

 

[Fly Astar Jets]

Props for Box

Well said Box :beer:

FAJ

 

[ABXbooger]

Seriously, why can't you guys just read the original Astar proposal. It says right there that they have already negotiated an even further extension of their ACMI with DHL if the ABX buyout goes through. If that doesn't say DHL is behind this 10000000000% then I don't know what does.

If ABX doesn't take this offer or some other huge thing is in the works, DHL's biz is gone for ABX. As a junior pilot with ABX, I welcome this offer and hope I can finally look forward to a semi-stable career.

Look at the new proffer for KIX. Talk about a bunch of genius managers...do the words TITANIC FAILURE mean anything??

 

[shooter]

You know at no point did I attack you or your group. It does seem that you could care less about anyone but yourself. I hope all ABX pilots don't feel that way. I do understand your desperation and I'm sorry you feel the way you do. I would suggest a therapist who can help you with your anger and hate issues.

Wow, I don’t know why you guys always think I have hate and anger issues every time I post a reply. You guys need a thicker skin because I don’t know how to speak "puddie" cat. I did not speak ill of your group, just your management as well as DHL’s and I meant it. If you want to speak ill of ours you are more than welcome…..oh wait….you did.

Where do the ABX guys think there headed? Asia? USA other than DHL? Where??

Guess you lost management crew is just as lost as ours. And we are just holding on during the ride.

And I said that the deal will go through:

But don’t worry; Hete looks out for the stock holders so it will probably go through once the offer becomes realistic (I should say when there even is formal offer).

Dasburg just needs to get a deal on the table and make a formal offer. Once it reaches that magic mark Hete wants for the stockholders, then they have a vote.

If you don’t like the way I speak of how your management has kept you guys down, take it up with them because it’s the truth. If you don’t like the way I speak poorly of DHL, then tell them to get the Airborne business they lost back to fill these planes.

As far as acting all swell about ABX guys being out on the street, never gonna happen. There is nothing I can do about it, but I sure won’t be singing kumbaya while holding hands with ASTAR there chief. Sorry if that brings a tear to your eye, but this is the freight business and freight guys are not "dogs" because they are soft.

 

[HeavyjetDC8]

From the perspective of both the shareholder and employee a merger is the only way forward. Without a merger the ABX stock price along with employment opportunities will trend to zero as the airline shrinks. Charter work alone without DHL isn't going to keep the ABX ship afloat.