Mesa Air Group Settles Aloha Lawsuit and Agrees to Enter Long Term Licensing Agreemen

[dowhite2]

"Frikken retard"

Give me a break PBR, Pdub never said he was bidding to fly out there. Pdub just basically stated its amazing the stuff JO pulls out of his hat at the last minute. I don't think anyone wasn't amazed by this one!

 

[pdub20s]

"Frikken retard"

Give me a break PBR, Pdub never said he was bidding to fly out there. Pdub just basically stated its amazing the stuff JO pulls out of his hat at the last minute. I don't think anyone wasn't amazed by this one!

Exactly... I owe you a beer!

 

[ex j-41]

Maybe they settled for $2million because they stand a better chance of getting that then if they went for $100 mil. If Mesa files chaper 7 then the only people to get cash is our federal government.
Something is better than nothing. I would take 2 instead of nothing.

 

[OCP]

Isn't there still the Hawaiian lawsuit to go?

 

[Raoul Duke]

no Hawaiian was settled a year or so ago for 52 mil! must be good to go first. There is a bs suit by mokulele but it does not have much to it and looks like it was filed solely in response to Mesa sueing them in PHX. Boyer has to be crapping himself with the ALOHA name going to Mesa. Could not have happened at a worse time for him.

 

[thepotato232]

Okay kiddies, Devil's Advocate time: With Mesa's acquisition of the Aloha name, issuing stock to the shareholders, and continued insistence on sticking it out in HI, this may bode well for their continued survival in the area.

The comment about the E170s being more efficient than CRJs only applies if the planes are booked. Load factors in the Mokulele operation have been far from full, and with the Hawaiian tourism industry still in the doldrums with no end in sight (something about a "global recession" or whatnot), island traffic isn't likely to get much better in the near future. RAH went over into that market with the expectation that Mesa would be out of the picture in the very near future. In the meantime, we've got four competing carriers in the same market. Has that ever worked? Hawaiian and Island Air still have the loyalty of the people over there who want to keep Hawaiian business local, for what that's worth. Aloha name recognition could sway loads of uneducated travelers in the future. In the meantime, Mesa can still keep things cheaper than the other jet guys by means of labor costs, etc. With the price of Jet-A dropping even in HI, we may see yet another logic-defying escape by Mesa at the expense of the other three carriers. Just a thought.

 

[Pilot124]

PHOENIX, Nov. 28 /PRNewswire-FirstCall/ -- Mesa Air Group, Inc. (Nasdaq: MESA - News) today announced that it entered into a settlement with the former controlling shareholder of Aloha Airlines concerning the Aloha Airlines lawsuit over Mesa's Hawaiian inter-island flight services operated under the go! brand name. Under the terms of the settlement, and without admitting any wrongdoing, Mesa agreed:

-- Mesa will make a cash payment of $2 million;
-- Mesa will issue shares of Mesa common stock equal to 10% of its currently outstanding shares;
-- Mesa will provide certain Hawaiian inter-island travel benefits to the former employees of Aloha Airlines; -- In the event the shareholder is able to purchase the "Aloha" name in the upcoming bankruptcy court auction, it will license the "Aloha" name to Mesa.

http://biz.yahoo.com/prnews/081128/clf916.html?.v=1

Don't jump to conclusions boys. The shareholders still ned to purchase the name first in BK court.

 

[CX880]

Mesa up to 35 cents today!!! 2 more weeks to go, can they do it!!!

 

[rene]

No risk of delisting

In case you missed it. There is no longer a risk of delisting. As part of the wall street bailout NASDAQ has suspended enforcement of the $1 minimum value rule.

 

[brokedash]

In case you missed it. There is no longer a risk of delisting. As part of the wall street bailout NASDAQ has suspended enforcement of the $1 minimum value rule.

Could you cite a reference on that?

 

[bmpilot2003]

http://www.mondaq.com/article.asp?articleid=68228

there it is.

 

[brokedash]

It only stipulates the supension is throught 1/16/09. Not statement on what happens after that... Could start enforcing the rules again.

 

[CX880]

Why would they extend it just one more month?

 

[Broke in CVG]

Why would they extend it just one more month?

They didn't expand it just for MESA, it was a temporary measure because of the huge number of stocks that slid below the $1 mark in Oct. Had they not suspended this rule it would have generated a huge amount of paperwork and cost to NASDAQ. To be honest, I am not sure whether this even applies to MESA since their stock has been below $1 since early spring and they had already been notified of delisting. Who knows....

 

[Broke in CVG]

This applies to Companies that fell out compliance after the Oct date and does not apply to MESA since they have not been in compliance since spring and such they will still be booted Dec 15th.

Effective immediately, NASDAQ has suspended the enforcement of the rules requiring a
minimum $1 closing bid price.

• Effective immediately, NASDAQ has also suspended the enforcement of the rules
requiring a minimum market value of publicly held shares (MVPHS).

• NASDAQ will not take any action to delist any security for these concerns during the
suspension.

• The suspension will remain in effect through Friday, January 16, 2009. These rules will
be reinstated on Monday, January 19, 2009.

Given the current extraordinary market conditions, NASDAQ has determined to suspend the
bid price and market value of publicly held shares requirements through Friday, January 16,
2009. In that regard, on October 16, 2008, NASDAQ filed an immediately effective rule change
with the Securities and Exchange Commission, such that companies will not be cited for any
new concerns related to bid price or market value of publicly held shares deficiencies. These
rules will be reinstated on Monday, January 19, 2009.

As a result of the suspension, all companies presently in the compliance process will remain at
that same stage of the process. However, if such a company is presently subject to being
delisted for concerns not related to the bid price or market value of publicly held shares
requirements, it will continue in that process with respect to those other concerns. Over the
next few days, NASDAQ staff will contact each company affected by this suspension to discuss
the specific impact to the company. NASDAQ will continue to monitor companies to determine
if they regain compliance with these requirements during the suspension.

NASDAQ believes that this temporary suspension will allow companies to focus on running
their businesses, rather than satisfying market-based requirements that are largely beyond
their control in the current environment. Moreover, this temporary suspension should help to
restore investor confidence in affected NASDAQ companies as the suspension will allow
investors to make decisions without considering the likelihood of a very near-term delisting. In
the coming months, NASDAQ will continue to monitor the affect that market conditions are
having on the operation of our rules.