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Be Wary about Midwest's takeover by Northwest

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Northwest Airlines did the math and found it was cheaper to buy a small competitor than to risk the entry of AirTran Airways as a low-cost carrier smack in the middle of its so-called Heartland market area.

It won't matter, AAI will expand anyway NWA can do whatever they want.
 
Goulet... AAI used to have 1 gate in MKE.. They recently received 3 more. AAI hasn't gotten a new plane since the middle of 2007. Without new planes, AAI wasn't going to pull planes off profitable routes to start new cities out of MKE (new cities rarely make money in the first year). However, AAI is going to start receiving planes again in February.. You can bet some of the 10 new 737's will be placed on new markets out of MKE.. Besides, last time I checked AAI did start new cities (for AAI) out of MKE.. Pretty sure AAI added Phoenix and Las Vegas recently.. You can bet your @ss there is more to come.. The new AAI cities may overlap MEH cities for a while, but there will be cities added that MEH doesn't serve..

PHX and Vegas compete mostly with Airways on those routes out of MKE, not YX. Our 80 routes are very low yield routes.

and besides if they want to make a counteroffer, then overlapping routes is the LAST thing AAI would want to do.
 

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