Mesaba losing the Avros (?)

vc10

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Hot off the press from a MAIR Holdings SEC filing tonight. It need not be the last word, but it doesn't look good for the Mesaba guys.

Item 8.01. Other Events.


Northwest Airlines, Inc. ("Northwest") has provided Mesaba Aviation, Inc. ("Mesaba"), a wholly owned subsidiary of MAIR Holdings, Inc. (the "Company"), with Northwest's flight schedule for the period between October 31, 2005 and December 14, 2005. The schedule provides that nine of the Avro Regional Jets ("Avros") operated by Mesaba will be removed from service. Additionally, on September 21, 2005, Northwest provided Mesaba with written notice of its intent, effective December 20, 2005, to terminate the leases between Northwest and Mesaba for all 35 of the Avros operated by Mesaba. The termination of these leases and subsequent removal of the Avros from Mesaba's fleet will result in a substantial decrease in Mesaba's revenue and will have a material adverse effect on the Company's financial results. Mesaba has notified Northwest that the removal of the nine Avros from service as of October 31 is in violation of the parties' contractual arrangement, and Mesaba is reviewing all available alternatives. Separately, on September 23, 2005, Mesaba provided written notice to Northwest that a portion of the amount Northwest failed to pay Mesaba on September 12, 2005 included approximately $400,000 due for Mesaba's provision of ground handling services to Northwest and Pinnacle Airlines, Inc. Mesaba notified Northwest that Mesaba reserves the right to terminate ground handling services and to exercise any other available remedies.
 

filejw

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Looks like the boys in Eagan want to make sure everybody shares the pain.Sorry to hear this but not unexpected.
 

Mesabi Miner

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You ain't an airline pilot til you've been furloughed...

Isn't it about time for some good news at Mesaba? Where can I get one of those stickers that has the kid pissing on the Northwest Airlines logo? Might look good on my flight bag.

MM
 

nwaredtail

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To be replaced by CRJ's, smaller but better for the whole operation.........
MM[/QUOTE]
 

schmitty340

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What ever.... try posting a source.. until then, just flame bait.




schmitty
 

schmitty340

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I stand corrected......that sucks donkey d1(ks....looks like back to reserve again.

Whoop Whoop...pull out!!!!!

Schmitty
 

Workin'Stiff

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Lots..
In addition, Doug Steenland resigned from the MAIR Holdings board today... *Looking at the writing on the wall...*
 

JPAustin

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35 for 35

Well, it might be tough for awhile, but with 35 CRJs coming its even steven. And thats ofcourse if this actually happens. Remember all the doom and gloom official looking press releases 2 years back about parking the Avros and everybody was convinced it would happen. Atleast in this case Mesaba has an even trade of aircraft, so theoretically no need for furloughs, the only downside being the transitional period.
 

nwaredtail

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They have been taken out of reservation and replaced with either DC-9's or CRJ's, and planning confirmed it. CRJ deliveries will be accelerated
 

Dodge

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JPAustin said:
Atleast in this case Mesaba has an even trade of aircraft, so theoretically no need for furloughs, the only downside being the transitional period.

Kind of. Mesaba has hired and upgraded a bunch of pilots with the CRJ's coming with the intent of keeping Avros as well.
 

JPAustin

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Dodge said:
Kind of. Mesaba has hired and upgraded a bunch of pilots with the CRJ's coming with the intent of keeping Avros as well.

Well, the current number of pilots is at 950 and Mesaba had only hired around 50 in advance of the CRJs (priorly at around 900). With monthly attrition, my guess is Mesaba will be fat for awhile on pilots but will catch-up in a few months. Of course, this is a very shortsighted initial view based upon a salvo of bad news designed to make concessions from the labor groups smoother so that they will just be grateful to keep flying and growing with 70-90 seaters as soon as scope is breached.

Concessions look a lot less lethal when the "career mortality light" is going off (did I quote "Backdraft" correctly?)...
 

Dodge

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JPAustin said:
Well, the current number of pilots is at 950 and Mesaba had only hired around 50 in advance of the CRJs (priorly at around 900). With monthly attrition, my guess is Mesaba will be fat for awhile on pilots but will catch-up in a few months.

Lets hope people can get on to FDX in a hurry.
 
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dondk

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What does this do for the Avro drivers? I thought Avro CA's were NOT allowed to bid to CRJ?

Losing 9 Avro's by X-mas, and you have 2 maybe 3 CRJ's on the property now and none in service yet?

Sounds ugly for a few months until you can catch up with training.

Good luck guys...
 

Redmeat

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Dodge said:
Lets hope people can get on to FDX in a hurry.

FDX, What? How many traps do you have on a carrier? Time flying CAP (Combat air patrol not Civil air patrol)? Have a lot of "bubbas" from your ex unit do you?

Not that any of the aforementioned things have anything to do with flying boxes, mind you.

FDX, yeah right.
 
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Of more importance might be Steenland resigning your board. IF you recall, that happened before with Anderson and your contract negotiations.

What you should be worried about is an ACA/Air Wisc vs. Mesa/CHQ scenario--sounds like the stage could be getting set for an end to the MES/PCL exclusivity of flying for NWA. That's what I would be worried about. Be interesting to see what happens in MEM....

----
We've got to stop this Eagan-on-Eagan violence. Let's all just go to the Towne Center Applebee's and settle this over some snacks. 2 for 1 appetizers after 9pm, cause we know you're cheap, Big NW.
 
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