ABX buys Pace

[shooter]

Every aircraft listed on the website is leased. Pace appears to own one 737-200, which is not listed on the website.

Thanks for the reply. It will be interesting to see how this plays out if true.

 

[B737Dvr]

the 737-200 that they own is used for spares, so it will never fly again. they only things they own of any real value is their certificate and it's authorities, and obviously their 145, which i hear is kicking ass and makin some $$$. other than that they own nothing and have dwindling positive customer service reputation due to the state of affairs there and the 'in-limbo' nature of everything with pace.

 

[lahyatt]

I am a pace Captain we have been in business for many years prior to Hooters coming along. We were bought by Brooks 3 years ago and he trashed the company. We had 120 pilots and 20 aircraft when he bought us. Now we are 30 pilots and 5 airplanes.

We were told that there was a letter of intent signed in March for ABX to buy us, we have been sitting waiting for a final outcome.

Then Brooks died 2 weeks ago and now we are really anxious.

If anyone hears anything either way would love to hear it.

 

[LarryinTN]

Lahyatt,

Glad to have you here in the thread. We've heard nothing at all on our end other than rumors. Management won't say a word one way or the other. We're all just speculating as to why our management would want to buy Pace and what they might do with it. Most of what we know about Pace comes from the Pace web site. Anything you can add would be appreciated.

Regards...

 

[lahyatt]

This is rumor and speculation but I will fill you in on what we have been hearing.

They have some 767's that they bought that for whatever reason would cost alot of $ to reconfigure so they have decided to get in the PAX business. ONe of the big things was to make sure we could get DOT qualified. We have. The second big thing I guess is we have a MX 145 certificate that they want.

We had not heard what will happen to us(pilots) when and if it goes through but all of abx mangament has been through our headquarters. It certaintly would be nice to get some real info.

Let me know if you hear anymore
Thanks

 

[Jurassic Jet]

The union was simply quoting a report from Cargo Facts. It goes on to say that, if true, by SEC rules, ABX has until 8/9 to publicly announce.

This looks to be timed pretty well. The second quarter conference call is going to be 8/10.

 

[LarryinTN]

The story with the 767s is that we've bought twelve from DAL and DAL has already removed them all from service but our conversion lines can only do one or two at a time so it's going to take time to get them all converted to freighters. We assume that if we could use them for pax then we'd be able to take delivery of them sooner and put them to productive uses while they wait for their turn on the conversion line.

We've already received and converted some of those twelve. Maybe three or four with two or three finished? I'm not sure what the schedule is for conversion of the rest. I've heard that they're putting them through as fast as they can. Maybe a 767 guy would know more.

All of the DAL airplanes are getting the flat panel conversion when they go through the freighter conversion. Here's a picture of the first one to get it. http://www.airliners.net/open.file/1067871/M/

Meanwhile, we just got a brand new international ops manual and, for the first time, we all must now carry the international ops manual on all flights. Also word that the 767 instructors have been/are doing a number of international proving runs. Don't really know to where but heard something about Asia.

CRAF work has also been a persistent rumor as has stories about our mechanics going all over the place checking out other 767s that may be for sale including -200ERs and -300s.

Remember, everything in this message after the bit about the international ops manual is rumor and speculation. Could all be right or it could all be wrong. Will certainly be interesting to listen on the 10th!

 

[GoABX]

ARE YOU GUYS MAKING MONEY? or at least close to breakeven.

If the pax path is only a revenue bandaid to keep the birds flying until they can get them converted, then Pace might be in trouble. They would probably strip out what they wanted and cast away the rest. ala Challenge Air. (I'm not saying I want that...these guys are pretty tough businessmen. I'd rather have another 100 on the seniority list)

The world doesn't need another passenger carrier (ABX), but Pace seems to have a specialized slice of it. With the other pax carriers reporting profits maybe they think they can do it too. Correct me if I'm wrong but with such a low utilization and small seat density, making a buck in the vacation & VIP charter business has got to be really tough.

As someone stated earlier, ABX would have up to 9 months to decide what to do with the Pace assets and people. If they want to keep the operation small and strip out the value then they will probably keep everything separate. This would allow them to continue to pay the Pace rates instead of ABX rates. If they are serious about getting into your business & growing they might integrate.

Based on the threats, fears, and rumours we heard years ago about an Astar/ABX comingling, I'd guess that IF they wanted the pilots they offer preferential interviews rather than merging. Obviously we aren't qualified to fly your pax charters, so they do need you. This is just a cheesy way to reset your longevity clocks.

All I can say to the Pace guys is that I (We) can fully appreciate the stressful time you are going through. We have been on the emotional roller-coaster for 5 years too. (Not flamebait) If it were me I guess I'd prefer to swallow the bitter pill and hope for a seniority staple, keep your current seat, and hitch my horse to a bigger company with better pay/stability/pension. The alternative is staying independent, but with leased aircraft you can be cut loose at anytime.

Has your DO or CP not given you any indication of the future? He can't tell you inside info before it is announced, but have they said anything like 'brush up your resumes' or 'you hit the lottery'? With no intel morale has got to be sketchy.

How busy are the guys that are still working? When do the current leases end? Do you have any scheduling rules? Profit potential? I think the current state of things at Pace provides insight as to what the plan is and where they'd put the assets.

 

[GoABX]

Do you know any of the names of the ABX people that were taking the tour?

 

[FreightNazi]

ARE YOU GUYS MAKING MONEY? or at least close to breakeven.

If the pax path is only a revenue bandaid to keep the birds flying until they can get them converted, then Pace might be in trouble. They would probably strip out what they wanted and cast away the rest. ala Challenge Air. (I'm not saying I want that...these guys are pretty tough businessmen. I'd rather have another 100 on the seniority list)

The world doesn't need another passenger carrier (ABX), but Pace seems to have a specialized slice of it. With the other pax carriers reporting profits maybe they think they can do it too. Correct me if I'm wrong but with such a low utilization and small seat density, making a buck in the vacation & VIP charter business has got to be really tough.

As someone stated earlier, ABX would have up to 9 months to decide what to do with the Pace assets and people. If they want to keep the operation small and strip out the value then they will probably keep everything separate. This would allow them to continue to pay the Pace rates instead of ABX rates. If they are serious about getting into your business & growing they might integrate.

Based on the threats, fears, and rumours we heard years ago about an Astar/ABX comingling, I'd guess that IF they wanted the pilots they offer preferential interviews rather than merging. Obviously we aren't qualified to fly your pax charters, so they do need you. This is just a cheesy way to reset your longevity clocks.

All I can say to the Pace guys is that I (We) can fully appreciate the stressful time you are going through. We have been on the emotional roller-coaster for 5 years too. (Not flamebait) If it were me I guess I'd prefer to swallow the bitter pill and hope for a seniority staple, keep your current seat, and hitch my horse to a bigger company with better pay/stability/pension. The alternative is staying independent, but with leased aircraft you can be cut loose at anytime.

Has your DO or CP not given you any indication of the future? He can't tell you inside info before it is announced, but have they said anything like 'brush up your resumes' or 'you hit the lottery'? With no intel morale has got to be sketchy.

How busy are the guys that are still working? When do the current leases end? Do you have any scheduling rules? Profit potential? I think the current state of things at Pace provides insight as to what the plan is and where they'd put the assets.

What about Hete merging ABX with Pace and having Pace the surviving entity? That way he can pay EVERYONE Pace payrates.