Mesa to file bankruptcy

[GOULET!]

Ornstein is such a tool and needs the boot out....but this is probably a very smart move now. Bankruptcy will let them shed the ERJ contracts and temporarily fix their pilot shortage problems, all while pilot contract negotiaitions are going on. Mesa still has 900 flying at Delta and USAirways along with all the flying at United ( none of this flying opens Mesa to fuel costs, it is paid by their codeshare). I am also hearing that they have made a deal with Bombardier for a 3 to 1 deal for swapping old CRJ 200's for 900's that are in demand. This just allows Mesa to have an all CRJ fleet cutting costs by not having to keep parts,maintain and train for multiple types of aircraft.

Unfortunately your right. BK is going to make these scumbags a leaner, bottom of the barrel feeder machine.

 

[samballs]

Ornstein is such a tool and needs the boot out....but this is probably a very smart move now. Bankruptcy will let them shed the ERJ contracts and temporarily fix their pilot shortage problems, all while pilot contract negotiaitions are going on. Mesa still has 900 flying at Delta and USAirways along with all the flying at United ( none of this flying opens Mesa to fuel costs, it is paid by their codeshare). I am also hearing that they have made a deal with Bombardier for a 3 to 1 deal for swapping old CRJ 200's for 900's that are in demand. This just allows Mesa to have an all CRJ fleet cutting costs by not having to keep parts,maintain and train for multiple types of aircraft.

To make anything of CH 11 you need cash, if you don't have cash you need investors. Mesa probably will have neither. The majors will not offer money to them, they hate Mesa and don't need them, it will help reduce capacity. At OH we have began to hire more again to cover the flying lost by Mesa, more will be out on the 18th. A lot of the routes are done but the ones that will stay will be back at other carriers. Funny because of Mesa's terrible contract they got all of that flying from OH, now that terrible contract cannot keep that flying or the company.

 

[Soverytired]

Union leadership confirm the opposite

Uh, yeah. Do you really think that Mesa's CEO is going to share that kind of information with the union? Because of their incredibly tight relationship?

Not only would the union not know dick about a BK, very, VERY few outside the proverbial "inner circle" would know until the actual filing.

Ask anyone who's ever worked at at BK airline . . . it always comes as a shock to the working stiff.

 

[MusicMan]

To make anything of CH 11 you need cash, if you don't have cash you need investors. Mesa probably will have neither. The majors will not offer money to them, they hate Mesa and don't need them, it will help reduce capacity. At OH we have began to hire more again to cover the flying lost by Mesa, more will be out on the 18th. A lot of the routes are done but the ones that will stay will be back at other carriers. Funny because of Mesa's terrible contract they got all of that flying from OH, now that terrible contract cannot keep that flying or the company.

You also need pilots. They can't keep their current group of pilots when all the other regionals are hiring. Without pilots, the whole game is over.

 

[time builder]

You also need pilots. They can't keep their current group of pilots when all the other regionals are hiring. Without pilots, the whole game is over.

Exactly, and what has made other airlines "leaner" was that they had employess who stuck around despite their pay cuts and/or pensions being taken. Mesa is far from comparable. Their problem is that they can't staff their flights in the first place.

 

[samballs]

I think Jo is thinking the samething and is trying to do something that won't work, and when it doesn't here comes CH. 7.. What that something is beats me.

 

[Papps]

Unfortunately your right. BK is going to make these scumbags a leaner, bottom of the barrel feeder machine.

Fortunately ch. 11 isn't the cash cow that it used to be. Although I'm sure it can still be abused like crazy.

 

[No.W.]

I don't think a BK at Mesa guarantees their destruction.

I agree that they will be leaner and meaner than before...BUT until they get rid of JO...they will still be mismanaged. Even if they are leaner and meaner. Of course, a smart B.O.D. would fire JO at the soonest possible time...then they just might be unstoppable after BK.

 

[Jon Rivoli]

If you're out of cash and can't raise any your outside vendors cut you off. If you can't get parts DMI's start to expire and planes go AOG and don't move. Chapter 11 may help with the $37.8 million but not your opperating expenses, if you can't pay those you can' continue to operate. I think the final implosion will happen very quickly and sooner than you might think. My bet is they won't make it until June, file ch. 11 to forestall the June 16 payment then nothing but smoke and rubble within a week. Noone is going to accept MESA stock in lieu of cash, that is J.O.'s pipe dream.

 

[DOVPILOT]

Good, hopefully Chapter 7 next and that right soon.

Trojan

Yes this is my daily prayer, and Mesa still sucks