Airtran to buy Air Midwest

[gt1900]

If AAI ever wants to be the size of any of the big majors, their going to have to buy airlines to do it. Every airline has done it, even SWA, so AAI is no exception...

 

[mnboyev]

Tinder ...box..

I like tender box ...myself...but that's just me...

 

[Lear70]

Seriously, it'll be expensive, more complicated than it's being given credit for and we'll have to integrate something like thirty seven airplanes worth of employees for a net gain of 25 airplanes. That is a recipe for a lot of unhappy people on both sides and that will make AAI a less pleasant place to be.

Agreed, although I think the unpleasantness will die down fairly quickly (within a year or two) as long as nobody gets hosed TOO badly in the integration.

I sympathize for the AAI FOs who will have their upgrade time lengthened, but if we're going to buy Midwest, we need to bring their people on board and treat them right from day one.

Thanks, and yeah, we do. That's why I've NEVER said anything but relative integration with fences is appropriate. We should not even THINK about stapling or anything else just as rude.

Remember, it was our management's idea to buy Midwest, through no fault of the employees of Midwest Airlines. Nobody at AAI can look into a crystal ball and declare that "Midwest was going out of business anyway so they're lucky to have jobs". It shouldn't work that way. If the deal goes through we should respect what Midwest is bringing to the table, ie, 25(ish) 717s, gates and slots at DCA, LGA and operations at MKE and MCI.

Well-said. I don't think they're in any danger of not existing 5, 7, or 10 years from now, although I doubt their potential for any real growth (Hoeksema's smoke and mirrors about new aircraft orders for half a decade now). Definitely not a "lucky to have jobs" situation...

Since I don't think that this industry has demonstrated (in recent acquistions) that level of mutal respect and unionism among employees, I'm afraid that any integration would be unfair to the airline being acquired and the seeds of discontent would be sown.

IF this happens, I would REALLY like to see something done that's mutually agreeable to the Midwest pilots and be the FIRST acquisition/merger that actually has the "majority" of the pilots peaceably resigned, if not outright thrilled.

I think it would be more beneficial to the existing employees of AAI and more cost effective to grow in-house than to acquire another carrier which will inevitably mean reduntant infrastructure stagnation and the probable downsizing of certain departments.

Yep. But then again, I've never been an airline CEO, so I guess the answer to why we're doing it this way is above my pay grade.

The only positive I can see to this beyond long-term planning (and I'm trying REALLY hard to see an upside) is that Midwest services my home town whereas AAI doesn't. I hope that wouldn't change with an acquisition; it would be REALLY nice to actually be able to USE my pass privileges for a change.

And if we're looking for a place to grow independently, Indianapolis sounds like a great place to start...but TV9 would probably prefer STL.

Works for me,,, just as close as ATL and cooler places to hang out on reserve. Can anyone say "Rick's Boatyard"?

 

[75M]

Works for me,,, just as close as ATL and cooler places to hang out on reserve. Can anyone say "Rick's Boatyard"?

I'll see you out on the deck...

 

[gt1900]

Here we go boys..

 

[gt1900]

Citation.. Many investors have already told AAI that they plan on tindering thier shares. However, AAI doesn't have to divolge who and how many until the 16th, when the offer expires. In other words, not much will happen as far as tindering on the 16th, thats just the day AAI has to file with the SEC how many shares have been tindered. AAI will extend thier offer for another month at that point.. During the last offer, AAI said about 7% of the total shares had been tindered to AAI.. I'm gonna say on the 16th your gonna see 40%+ tindered to AAI. Possibly enough to get more than 50%...

Tinder, Tender, whatever........ Say what you want, but I was right.. I was suprised to see 57% though.. I figured it would be close to 50% just to make it interesting.. 57% though, as one Lear70 said "that should pretty much to it"....... Hey lear, you better follow up on those resumes......... So, anybody want to start making wagers on if Timmey and Carol are gonna pull out the poison pill?? Either way, its a done deal....

 

[Citrus531]

What did it start out at several months back...10 %?? I'm kinda suprised it's already approaching 60...pretty quick

NEW YORK (Reuters) - AirTran Holdings Inc. (AAI.N: Quote, Profile , Research) is expected to announce on Thursday that holders of nearly 57 percent of Midwest Air Group Inc.(MEH.A: Quote, Profile , Research) shares have backed its hostile bid for the airline, a source close to the matter said.
AirTran, the 10th largest U.S. airline by revenue, has made a hostile bid worth about $389 million for rival Midwest. Midwest's management has called the offer inadequate and encouraged shareholders to reject it.
AirTran is expected to extend the deadline for its tender offer to June 8, the source said. Its tender offer expired on Thursday and the final figure was still being counted, this person said. The airline has until Thursday morning to extend the offer.

 

[FlyWolf]

That pretty much sums it up...

Seriously, it'll be expensive, more complicated than it's being given credit for and we'll have to integrate something like thirty seven airplanes worth of employees for a net gain of 25 airplanes. That is a recipe for a lot of unhappy people on both sides and that will make AAI a less pleasant place to be.

I sympathize for te AAI FOs who will have their upgrade time lengthened, but if we're going to buy Midwest, we need to bring their people on board and treat them right from day one.

Remember, it was our management's idea to buy Midwest, through no fault of the employees of Midwest Airlines. Nobody at AAI can look into a crystal ball and declare that "Midwest was going out of business anyway so they're lucky to have jobs". It shouldn't work that way. If the deal goes through we should respect what Midwest is bringing to the table, ie, 25(ish) 717s, gates and slots at DCA, LGA and operations at MKE and MCI.

Since I don't think that this industry has demonstrated (in recent acquistions) that level of mutal respect and unionism among employees, I'm afraid that any integration would be unfair to the airline being acquired and the seeds of discontent would be sown.

I agree, we pilots of both airline should work together and deal with the on hand situation, after all we are all professionals.

 

[Lear70]

Tinder, Tender, whatever........ Say what you want, but I was right.. I was suprised to see 57% though.. I figured it would be close to 50% just to make it interesting.. 57% though, as one Lear70 said "that should pretty much to it"....... Hey lear, you better follow up on those resumes...

Actually, what I said was, that should pretty much DO it.

Kind of like the difference between tinder and tender...?

Spell check doesn't work if you've got a correctly spelled word, but it's not the right word for the context.

And I never said I was bailing based solely on the acquisition going through or not. In fact, I specifically said that I wasn't going ANYWHERE unless things here drastically changed for the worse.

Remember... I've said repeatedly in this and other threads how much I enjoy this company, the quality of life, and the people I fly with. I'm just hoping and praying that this deal doesn't change any of those dynamics.

I hope our M&A committees of both airlines will be able to work together to avoid the kind of angst that has plagued so many other airlines in past and presently occurring mergers/acquisitions. Midwest has an excellent corporate culture that it would be a SHAME to dampen or diminish.

p.s. To the couple of Midwest guys that are down here in Alteon in training,,, come up and say hi, we'll buy you some beers. :beer:

 

[Moustache]

Heard from the CP this morning ...
Airtran will buy ZV in Fall 2007.

watch out Great Lakes, you are next!!!!

 

[Captzaahlie]

No you didnt!!!!!
The mighty beech spank all over the dash. Nothing worse then having to slow Vref 20 miles out because you had a dash in front of you.:beer:

I predict this thread is going to driff a bit.

Only if you dont know how to fly the thing.......

 

[Illini Pilot]

what has AAI said about its plans with Skyway?

 

[AFcitrus]

I agree, we pilots of both airline should work together and deal with the on hand situation, after all we are all professionals.

Just curious because I haven't heard any suggestions from the Midex folks. What type of integration do you guys/gals feel would be fair to both Midex and AAI pilots?

Please be specific and remember it must be fair to all Midex and all AAI pilots.

I too, would like to see as many of us as possible pleased with the integration plan. I just don't know how this could happen.

Thanks.

 

[rhino3040]

Hello all,

Don't mean to steal the thread, but I potentially have an interview with AirTran this week, and was wondering if anyone had any insights about the process, and what they are looking for? I have read through most of the gouges, and q and a...but for the most part would like a couple opinions from guys on the line.

Any thoughts would be appreciated,

And yes the beech 1900 is spanky kick ass aircraft!!!

 

[CitationLover]

Just curious because I haven't heard any suggestions from the Midex folks. What type of integration do you guys/gals feel would be fair to both Midex and AAI pilots?

Please be specific and remember it must be fair to all Midex and all AAI pilots.

I too, would like to see as many of us as possible pleased with the integration plan. I just don't know how this could happen.

Thanks.

well following ALPA's "career" expectations, i would imagine they would start with FO's at MEH / AAI just ready to upgrade. start the integration there and work forwards and backwards on a reasonable level.

i will be at the bottom of any scenario. i simply hope AAI training is as nice as what i hear MEH is. i have heard from some AAI 717 fo's that their program is a little old school, which in this day and age appears a little over the top for a major airline.

 

[LUalum]

If you are halfway competent, and come in with a good attitude the AT training dept. will ensure your survival, it might not be pretty but you'll make it through. I would compare AT training to a regional style program. It's not train to proficency and there are very obvious cost constraints but the program is improving and the instructors (majority) are stand up guys. (a couple may need a walker to do so but I digress).