MAIR Holdings filing Bankruptcy

greygoose

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Mesaba parent filing Bankruptcy

Sounds like Mesaba is in even worse shape after today.

Mesaba parent considering bankruptcy Updated: 10/07/2005 09:50:37 AM
http://www.kstp.com/kstpimages/system/buttons/Printer.gif Print Story | http://www.kstp.com/kstpimages/system/buttons/email.gif Email to a Friend http://www.kstp.com/kstpimages/Mesaba.jpgMINNEAPOLIS (AP) - Northwest Airlines Corp. regional carrier Mesaba Aviation Inc. is considering filing for bankruptcy protection because of sharp reductions in its schedule, according to a regulatory filing by its parent company on Friday.
Mesaba flies under the Northwest Airlink name, picking up passengers in small cities and funneling them into Northwest's hubs. It gets its schedule, passengers, planes and revenue from Northwest, which filed for Chapter 11 protection on Sept. 14. Northwest has said it will shed unprofitable routes.
"Mesaba is focused on reducing all areas of its cost structure, but will incur substantial losses in the third and fourth fiscal quarters," Mesaba parent MAIR Holdings Inc. said in a filing with the Securities and Exchange Commission. "Mesaba is considering all options available to it, including a court supervised restructuring under Chapter 11 of the Bankruptcy Code."
Northwest has told Mesaba it will remove 10 Saab B+ aircraft on Jan. 4, and that it probably won't be able to deliver 13 more Canadair Regional Jets on time, according to the filing. Northwest has also intends to take away Mesaba's 35 Avro Regional Jets; nine of them were already planned to come out of service on Oct. 31.
Mesaba is MAIR's largest business, although it also runs Big Sky Transportation Co., a Billings, Mont.-based regional airline.
MAIR shares dropped a penny to $5.25 in morning trading on the Nasdaq Stock Market. They traded around $9.50 last month before Northwest filed for bankruptcy protection.
 
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FlyinPiker

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Could you please highlight the part that says that MAIR is filing bankruptcy?

Tool.

Piker
 

Mesabi Miner

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I agree. Jumpin the gun, ain't cha?
 

Monster Buck

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I would like to know if any of you guys out there know how or where to look this up. A friend told me that he read that the US Gov. accounting office is launching an investigation of all airlines with a focus on Delta and NWA and thier regionals into for a lack of a better term "cooking the books" to get under the soon to expire bk laws. I tried to do a gov search but was unsuccesful. Does anyone have any knowledge on how to search this?
 

Dodge

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A couple of things

Mesaba has to prove to the trustee that they (Mesaba) are insolvent for the labor contracts to be tossed. If ALPA and their (our) attorneys can prove that Mesaba has no difficulty paying their creditors and the employees, BK is going to be a whole lot tougher on MAIR and Mesaba Aviation than it will be on the employees. Let's all hope that ALPA and their attorneys are awake for this one.

The trustee is also going to have to buy into the fact that FO's making $25 grand and FA's less than $20 grand per year are bogging down the airline. That there alone should ensure that our contracts stay right where they are.

Bottom line, if Mesaba needs concessions and the only way for them to get them is through CH.11.....I say prove it. Our contract is still binding and I will vote to let the courts tell us if concessions are necessary.
 

screwed_again

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If Mesaba keeps getting stiffed by NWA, I don't think it would be tough to file Chapter 11. Maybe Mesaba doesn't need wage concessions as much as relief in the areas affected by furloughing pilots and incurring costs as a result of training. I think Chapter 11 will happen next week and a lot of seat locks will result.
 

sf3boy

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Uh yeah....let's lay off the senior pilots and keep the ones who have been here for 2 days. Sorry for the 2 day guys and girls.
 
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Deli Guy

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What a mess. Looks like a bunch of us are in the same boat. Hang tough.
 

House_X

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DTW and MSP newspapers both reported Mesaba is considering Ch11.

Something has got to done about all the bk filings...it's not just the airline industry...every industry is getting kicked in the nutz...
 

Butters

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Deli Guy said:
What a mess. Looks like a bunch of us are in the same boat. Hang tough.
Thanks...

We're considering going to UND and scoping them from flying "our" Seminoles. ;)

Starts with you guys killing this Newco piece of crap and then Mesaba guys need to be strong enough not to buckle and take cuts just because.

MAIR Holdings has well over $100 million in the bank. If they let Mesaba Aviation filing bankruptcy, we need to charge Foley with fraud.
 

airmasn

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What sucks worse is that Big Sky (also owned by Mesaba Holdings-MAIR) has been losing money ever since they bought them...and now Mesaba Aviation is considering bankruptcy???? What a joke. MAIR has been supplementing Big Sky for this long...why not supplement Mesaba Aviation too?

Because it's all a game...bankruptcy has become not a last resort for airlines, but a card they can play when they dont want to deal with union contracts anymore.

Management can suck me
 
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