Airtran and Midwest/Skyway... What happens to Skyway?

[skipper1]

Anyone heard anything about what might happen to Skyway if the Airtran deal goes through? I know Airtran would be buying Midwest Holdings which includes Skyway so, any possible integration or would we stay seperate? Just curious to know if anyone has heard anything. Thanks all.

 

[BR715]

you'll all be fired and then replaced with a cheaper mexican work force

 

[Tarzan]

I gathered that SkyWest had secured that flying. I've also read that Air Tran says the regional feed with work with it's plan in the Midwest.

Yahoo airlines news is a great place for intel on this sort of stuff. Sorta helps add credence to specualtion and wild rumor.

 

[Freightdog75]

We all loose our job.

I, like many here are running from the "sinking ship" for multiple reasons.

 

[colorado14hi]

Should AirTran be successful in their takeover attempt, there will be uncertainty for sure. AirTran gave the regional feed a tryout with Air Whiskey a couple of years ago, only to abandon the effort as too costly. The Atlanta traffic probably had some impact on scheduling and performance of the Air Wisconsin group. Suffice it to be said, those congestion conditions are not present in Milwaukee or Kansas City where a regional feed may be able to perform better and provide a better dollar return to AirTran. Guess time will tell.

 

[Windsor]

Midwest decided to give the shaft to SYX a long time ago when they decided to farm out flying that should have been theirs. I'm betting if a merger goes through, SYX will be on their own.

 

[Lear70]

Midwest decided to give the shaft to SYX a long time ago when they decided to farm out flying that should have been theirs. I'm betting if a merger goes through, SYX will be on their own.

Possibly, but certainly not immediately

Skyway is owned by Midwest; if we purchase Midwest, we will then own Skyway by default.

There's every indication that the SHORT-TERM plan is to continue operations as they now exist, HOWEVER... the previous poster talking about uncertainty is putting it mildly.

It will all depend on what kind of yields the RJ flying brings into the MKE operation. If it's making money, we'll keep it. If it's not, we'll drop it like a South Perimeter prostitute on a Friday night in ATL.

Our yields are already down due to declining RASM this year over last. CRJ flying at ANY loss just to bring traffic into the hub, which is typically what RJ's do in an attempt to stimulate markets and increase loads for profitable mainline routes, would be unacceptable to AirTran management.

It's happened before, it'll happen again. It's all about the money. Period.

I predict 6-8 months after the Midwest purchase we put Skyway up for sale. Just my opinion... No factual data other than prior history with the company.

 

[BoilerUP]

I doubt AWAC's performance in ATL had anything to do with AirTran terminating that agreement...Leonard and Co. simply found that they could operate the 717 on per-seat basis for the same cost as the CRJ-200. Purely economics..

 

[Whataboutbob]

So if Airtran buys Midwest how secure is the deal between Skywest and Midwest? Is there any outs in the deal if there is a buyout?

 

[skipper1]

So if Airtran buys Midwest how secure is the deal between Skywest and Midwest? Is there any outs in the deal if there is a buyout?

I heard that they would have the option to buy out the contract and most likely would. They are not in favor of 50 seat flying and more geared up to the idea of 70 seater flying.

 

[MarineGrunt]

Any idea how much the contract is? I find it hard to believe that AirTran would buy out a contract worth millions when they can just wait 5 years for it to expire.

 

[Peter Sashell]

I heard that SkyWest is going to buy Midwest out right and send all the delta/United flying to ASA.

 

[Moustache]

Any idea how much the contract is? I find it hard to believe that AirTran would buy out a contract worth millions when they can just wait 5 years for it to expire.

You seem pretty worried about this on this and other threads. Fact: Airtran hates 50 seat jets.