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100LL... Again! said:"Live to fight another day" only works if you can live on what you make.
Imagine the publicity when pilots go to the welfare and food stamp offices in full uniform.
Workin'Stiff said:The latest....
MESABA AIRLINES
May 18, 2006
Dear Colleague:
U.S. Bankruptcy Court Judge Gregory F. Kishel has denied the Company’s motion to
reject its collective bargaining agreements. It’s very important to note the judge states
that Mesaba’s core business assumptions, including the 19.4 percent labor cost
concessions over 6 years, are “reasonable and necessary.” He also states that if the unions
do not recognize the dire financial condition of the company soon, Mesaba can re-file the
motion and it will be heard promptly.
Judge Kishel denied the 1113(c) motion only due to the company’s failure to provide a
working financial model to the unions and its workforce attrition model. These limited
issues either have been addressed already or will be shortly. What is clear from Judge
Kishel’s well-reasoned and thoughtful opinion is that Mesaba is in dire financial straits
and needs cost restructuring. [Judge Kishel’s full opinion is available on
www.MyMesaba.com under Key Bankruptcy Court Documents.]
While we’re disappointed in the delay, Mesaba will continue to meet with its unions to
address their concerns about the bankruptcy and to continue to seek consensual
agreements. However, if we are not able to reach consensual agreements with the unions,
the judge’s ruling permits Mesaba to address the issues he raised regarding the working
financial model and the attrition model and return to court quickly to resubmit the
1113(c) motion.
It’s quite simple, ruling or no ruling, if we cannot finalize the cost reductions, we cannot
secure the core Saab business. If we cannot secure the core Saab business, we cannot
compete for jets. If we cannot compete for jets, we cannot avert the complete downsizing.
As a result, we will continue to try to reach consensual agreements at the same time we
are redoubling our efforts in court.
You have my promise that I will keep you fully informed as Mesaba continues to work
through the bankruptcy process. Thank you for our professionalism and attention to the
safety and reliability of our flights during this challenging time.
Sincerely,
John Spanjers
President & COO