F9 still in play

[FlyWolf]

ITS OVER, move on

 

[SWA/FO]

Hey F9!

Idiom Definitions for 'Bird in the hand is worth two in the bush''A bird in the hand is worth two in the bush' is a proverb meaning that it is better to have something that is certain than take a risk to get more, where you might lose everything.

If any of this stuff is true, the above saying just seems so fitting.

 

[airlinepilot]

Let's see, 49% with interviews to follow. First hear pay saves SWA lots of $$$$ and no issues about SLI......I think we have a winner!

 

[Skyboy722]

Wouldn't surprise me if they had all this worked out as soon as SWA put a bid in.

Kelly and Bedford probably got on a call, hashed out the details, Kelly got word of the pilots not coming to an agreement and let the rest of it fall out to pursue the 49% deal later.

Sounds EXACTLY like today's Airline Management 101. Survival of the fittest takes on a whole new meaning...

Lear,
I was thinking the same thing. The way this whole thing went down just seemed a little strange to me. This whole thing was probably worked out on a golf course somewhere...

 

[airlinepilot]

Actually SWA made RUH bid alot more than they wanted to (didn't they forgive 110M+ as part of their bid?) Now RUH is sorta short of CASH....

 

[USMC319]

Actually SWA made RUH bid alot more than they wanted to (didn't they forgive 110M+ as part of their bid?) Now RUH is sorta short of CASH....[/QUOTE]

No. Not even close. RAH had a $260mm claim against F9 for cancelling an EMB-170 contract. That claim was for future earnings not money lost or earned. Later they negotiated that claim down to $150mm during the BK process. Ultimately they dropped that claim in order to get the Frontier bid away from SWA, making it more attractive to the UCC (unsecured creditors committee). Ironically, it was money that never existed and that they never earned. So, whomever made that preposterous statement above has a shallow understanding of the facts in this case. Oh well, it makes for good FI banter and WN conspiracy theories.

 

[jhill]

Actually SWA made RUH bid alot more than they wanted to (didn't they forgive 110M+ as part of their bid?) Now RUH is sorta short of CASH....[/QUOTE]

No. Not even close. RAH had a $260mm claim against F9 for cancelling an EMB-170 contract. That claim was for future earnings not money lost or earned. Later they negotiated that claim down to $150mm during the BK process. Ultimately they dropped that claim in order to get the Frontier bid away from SWA, making it more attractive to the UCC (unsecured creditors committee). Ironically, it was money that never existed and that they never earned. So, whomever made that preposterous statement above has a shallow understanding of the facts in this case. Oh well, it makes for good FI banter and WN conspiracy theories.

Except for the fact that RAH has approached SWA with an offer.

 

[T B O N E]

Lear,
I was thinking the same thing. The way this whole thing went down just seemed a little strange to me. This whole thing was probably worked out on a golf course somewhere...

I highly doubt GK would play golf with BB, unless GK was Ty Webb and BB was Judge Smalls....

"Don't sell yourself short BB, You're a tremendous slouch."

 

[FBN0223]

A staple job of a Major Airline narrowbody pilot group to another Major Airline narrowbody pilot seniority list?? YGBFSM. I don't think that its even legal to agree to something like that in this day and age.
.

I agree. A stable job would have been difficult to stomach. Did FAPA propose a DOH integration? What was FAPA's proposal?

 

[Monster Buck]

A staple job of a Major Airline narrowbody pilot group to another Major Airline narrowbody pilot seniority list?? YGBFSM. I don't think that its even legal to agree to something like that in this day and age.

In any event I think all the chatter of RAH leveraging F9 is BB's efforts to raise capital for his yet to be announced expansion plan. (Mostly institutional investors) I don't think SWA has anything to do with it and it doesn't play into BB's plan, but who knows for sure.

As to all of you soothsayers, just relax on the Frontier thing. The holding company (RAH) can operate F9 as a successful mainline carrier, distinctly different from their "fee for departure" business or they can operate it like one of their commuters. In the case of the latter, it will be a miserable failure, but I think they know that. I would have loved to joined forces with WN but not at the expense of a staple job and there was really no time for either side to negotiate anything else.

No one on the planet except an F9 pilot would ever attempt to make this parallel. Frontier has what 30 planes? With all due respect they are nothing more than a SMALL regional type airline with airbuses. They uplift what?...like 1/1000th of SWA and like many have pointed out before most all at F9 would have taken a new hire job at SWA. That alone points to the fact that Frontier is nowhere near an airline deserving of an equatable merger.