Mesa Freefall

[XPOO]

June can't roll around fast enough.

 

[asa rat]

Mesa removed from S&P Smallcap 600 index

www.planebuzz.com

S&P Kicks Out Mesa From SmallCap 600 Index


This afternoon, after the close of trading, S&P announced that it was removing Mesa Air Group from the S&P SmallCap 600 Index. Aftermarket Technology Corp. (Nasdaq: ATAC) will replace Mesa Air Group.

As those of you who are market watchers know -- being included in an index encourages institutional buyers to buy a stock -- as institutional buyers attempt to mimic the underlying ownership mix of a particular index fund. When S&P selects a stock for inclusion in a fund, institutional investors usually flock to the stock, as they attempt to mimic the underlying stocks in a particular index.
Conversely, when a stock is bumped from an index, you tend to see institutions bail out of the stock. We'll see what happens tomorrow.
Meanwhile, Mesa had yet another rough day today on Wall Street, as shares ended the day down 13%, closing at 1.23. The stock collapsed last week -- losing 41% of its value, closing Friday at 1.41. Trading in Mesa shares was extremely heavy again today.
S&P noted in its release this afternoon that Mesa's market cap is now down to $33 million.
Ticker: (Nasdaq: MESA)
Posted by Holly at 7:05 PM | Permalink | Comments (0)

 

[JustaNumber]

It is better for the profession if a company with a unionized pilot group is successful as opposed to one without a union. It's that simple and that's my point.

Not quite accurate. It's better for the profession if ANY pilot group is successful, regardless of union affiliation. Consider, that when XYZ Airlines is renegotiating pilot compensation, the average for the rest of the industry, unionized or not, is a critical factor.

That being said, I understand your point that, generally speaking, unions are primarily responsible for attempting to raise that average, so most rational pilots are happy to see union groups succeed.

 

[Nevets]

Oh, BTW, DO NOT LISTEN TO THE MEC! These guys will lead you down a path to nowhere! ALPA serves up plenty of koolaid of it's own making. Just put yourself and your family's interests first and get out ASAP!

The last letter didn't seem like koolaid to me. Seem to be an honest assessment.

http://forums.flightinfo.com/showthread.php?t=110991&highlight=mesa+mec+letter

 

[Nevets]

ALPA allowed the pos contract that MESAhas today - They signed off on it!
Pax will pay more for a ticket and DEMAND more service than before, hence the fact that MESA has no place in this industry anymore. SkyWest pilots seem alot happier than MESA people - ask yourself why ?????
It's not about union/non union - I used to think it was. It's about mngt and whether they are in it for the long run, or if they are only interested in running a sweatshop.

ALPA had to use up most of their negotiating capital to reign in Freedom. That is how they ended up with their current contract. That was not ALPA's fault. Like you said, it depends on management more than anything. This is why companies with unions at a well managed airlines are successful, like SWA, and companies with bad management require unions to protect its pilots. In this case JO decided to start up an alter ego and ALPA got rid of it (unfortunately to the pilots, at a high expense to their QOL).

 

[TAWS]

Trust me. ALPA will try to help MAG mngt save the carrier, to the detriment of the industry. As MAG slips further down the toilet bowl, their MEC will tell the junior guys anything but the hard truth.
Watch what is happening in the markets. You could be the best carrier out there, but if you can't raise capital, your performance is moot.
MAG is the worst carrier in any category you could possibly measure. The most senior people have a huge interest in keeping the carrier alive - who wants to start again at another regional?
Now MAG has started to aggressively recoup their training agreements from those who dared to jump ship! The one good thing I could give ALPA was that when XJ mngt started this, they called them out in the press and publicly embarrassed them into stopping the practice (different circumstances).
The only decent thing that the union could do here, is let the carrier burn and educate the newbies, before they sign up.
I know this sounds like anti ALPA rhetoric, but if you watch what they do when carriers falter, it's the same time and again. They try to hold on for as long as possible, instead of telling their people to jump ASAP!

 

[crusader 22]

I remember when their MEC signed off on their current POS contract and then one of them went crying on the ALPA web board that atleast they "live to fight another day". No doubt, any mesa pilot that has done a lateral move to another regional carrier is now living with lower wages brought on by that POS contract.

 

[ex j-41]

Of course ALPA will help Mesa.
Think of how much money is dues are paid.

 

[satpak77]

Long story short, the stock freefall is indicative of major investors selling shares, why we don't know, but obviously a reason exists.

The stock has been in a gradual decline for two years now, but some "trigger event" occurred on/about APRIL 2, and definitely APRIL 4, which caused the stock to crash.

Maybe company employees can shed some light.