Midwest Air Group Board Determines Revised AirTran Offer is Inadequate;

[EX_CV580FR8Dawg]

boy you sound like an AA pilot regarding the TWA merger. now you wonder why MEH pilots were leery of the "integration".

Good one!

 

[AFcitrus]

boy you sound like an AA pilot regarding the TWA merger. now you wonder why MEH pilots were leery of the "integration".

I think he's refering to the company. It's nothing personal against the pilots. It's unfortunate that due to some greedy self-centered senior officers the employees of MEI are going to suffer in the long run.

That was our final offer, according to Joe. Now let's let them go ("die on the vine") and move on with our growth plans. There are plenty of other options for growth.

 

[Heavy Set]

I think he's refering to the company. It's nothing personal against the pilots. It's unfortunate that due to some greedy self-centered senior officers the employees of MEI are going to suffer in the long run.

That was our final offer, according to Joe. Now let's let them go ("die on the vine") and move on with our growth plans. There are plenty of other options for growth.

I am curious to figure out where those other options for growth are. You were going to get a new terminal in ATL, but that was delayed when DL entered Bankruptcy, delaying your growth there. You tried to expand a bit in DFW, but AA stopped that. MDW growth has stopped due to a lack of gates. You just announced new LAS service, but you had other LAS flights (to FNT and others) that you dropped when NW started competing. It just seems your management wanted MKE with Midwest to dump new airplanes that they couldn't find homes for anyway. With Skybus and Virgin America jumping in on the scene, it may be more difficult finding more focus cities to base planes. I think Leonard is getting desperate. Good luck.

 

[mnboyev]

Plenty of farm towns left...get er done I say..move on to plan C...maybe D....who cares....its never dull ..is it fellas...

 

[Yuppyguppy]

I just want to know where you guys are going to put all your planes. Perhaps now you can get a contract?

 

[Lear70]

from a business standpoint they are only offering 30% more in cash than the company has with a 50% stock swap for the company.

if you didn't want to sell something, would you accept a 30% premium in short term liquidity with only a half equity stake?

Because as soon as we rescind the offer, it won't be a 30% premium, it'll be closer to a 90% premium.

Lacking a clear order for aircraft, firm financing for that order, and any kind of business plan to make any real money, as soon as AAI drops the offer, your stock will fall back BELOW where it was when this mess started. Bet you a C-note.

I think he's refering to the company. It's nothing personal against the pilots. It's unfortunate that due to some greedy self-centered senior officers the employees of MEI are going to suffer in the long run.

BINGO!

Hoeksema and the rest of the senior management folks don't have a resume stellar enough to obtain a similar-paying position anywhere else in the business world, so they're holding on as long as they can.

Can't blame them on a personal level, but from a fiduciary standpoint, they are doing the shareholders a HUGE disservice.

Not that I mind, I've been against the acquisition from the beginning, although I still don't think the fat lady has sung yet.

That was our final offer, according to Joe. Now let's let them go ("die on the vine") and move on with our growth plans. There are plenty of other options for growth.

Agreed. JL and the MCO boys have made this place profitable for almost a decade now when every year people predicted our near-demise. Somehow I think we're going to be just fine...

 

[Lear70]

Don't hold back now, Joe. Tell us how you really feel about it - ROFLMAO!!

Facts and Shareholders Don't Matter at Midwest
Friday April 13, 11:23 am ET

AirTran Calls Midwest's Rejection of Recent Offer Irresponsible and Company's Growth Plan Delusional

ORLANDO, Fla., April 13 /PRNewswire-FirstCall/ -- AirTran Holdings, Inc. (NYSE: AAI - News), the parent company of AirTran Airways, today responded to Midwest's rejection of AirTran's enhanced offer and reiterated its commitment to its exchange offer for Midwest Air Group, Inc. (Amex: MEH - News), initially launched on January 11, 2007.

Leonard, AirTran's chairman and chief executive officer stated, "We are disappointed, but unfortunately not surprised, that the Board of Midwest rejected our materially enhanced offer of $15 per share. This kind of behavior flies in the face of good corporate governance and is clearly irresponsible, demonstrating that the Board is derelict in its fiduciary duty to the Midwest shareholders."

As of yesterday's closing price of AirTran's stock, the airline's current offer is worth $15.75 per Midwest share, a substantial premium to the $8.13 the stock was trading at just prior to the public announcement of AirTran's offer.

"We have a difficult time believing their refusal to enter in discussions with us is based on price," said Leonard. "What is even more incredible is that the Board's rejection came after Midwest's management announced the company will miss, by a substantial amount, its 2007 earnings projection put forth only a few short weeks ago. Midwest is just over 100 days into the year, and already lowering its earnings guidance. How can any truly independent Midwest director vote for management's 'standalone, go-it-alone' plan that is already flawed and pass up, without even bothering to discuss with us, the value and certainty the AirTran offer provides?"

"We had hoped that the Board would demonstrate its fiduciary duty by entering into discussions with AirTran to learn more about our offer, which provides shareholders greater value, employees more jobs and career opportunities, passengers increased service at low fares, and the Milwaukee community a stronger hub with greater economic opportunities. Instead the Board of Midwest has chosen to support management's "Just Say No" policy, favoring the entrenchment of its long tenured executives over their obligations to their shareholders and other Midwest stakeholders."

"Moreover, we have outlined a comprehensive plan that demonstrates how AirTran would generate greater service, economic growth and jobs in Milwaukee than the 'stand-alone plan' -- strategic rationale does not appear to be a factor."

"Despite the Board's rejection, we will move forward with our exchange offer and pursue the election of our three nominees to fill positions on the Midwest board of directors at the now rescheduled June 14 annual meeting of the Midwest shareholders. We have already received an outpouring of support from Midwest shareholders who see the compelling benefits of bringing these two airlines together to create a highly efficient airline with a broad national network, better positioned for success in an increasingly competitive environment, and we look forward to hearing their voices on June 14 when they will make known their desire to either continue on the current plan which has reaped no material growth or profits in five years or join with AirTran to create a formidable competitor that will bring greater value to shareholders, jobs to employees, and growth for the Milwaukee region," concluded Leonard.

Midwest shareholders with questions about how to tender their shares may call AirTran's Information Agent, Innisfree M&A Incorporated, toll-free at 877-456-3422. (Banks and Brokers may call collect at 212-750-5833).

 

[FlyAirtran]

You just announced new LAS service, but you had other LAS flights (to FNT and others) that you dropped when NW started competing..

not true. someone said we moved most of our flights out of FNT to DTW once we started flying out of there last year. Our DTW loads are pretty darn good.

 

[gt1900]

Dont worry about where AAI might put those 737's... The rumor mill says IND has offered us between 14 and 17 gates in IND when they open the new terminal...

 

[CitationLover]

Because as soon as we rescind the offer, it won't be a 30% premium, it'll be closer to a 90% premium.

you're not understanding my point. they will still have $170million in cash even if AAI withdraws, hence the 30% cash premium comment.

Lacking a clear order for aircraft, firm financing for that order, and any kind of business plan to make any real money, as soon as AAI drops the offer, your stock will fall back BELOW where it was when this mess started. Bet you a C-note.

it probably will for a short time due to momentum on the down turn, but your stock is down 50% also. why are you happy about this? you sound like a 3rd grader who is taking his toys and running home.

Hoeksema and the rest of the senior management folks don't have a resume stellar enough to obtain a similar-paying position anywhere else in the business world, so they're holding on as long as they can.

again the board is completely separate from senior management. goldman sachs, who made this call, is separate from MEH senior management. you seem like you want this to be personal again.

Can't blame them on a personal level, but from a fiduciary standpoint, they are doing the shareholders a HUGE disservice.

well the EXPERTS that people hire at Goldman Sachs disagree with you. so are we to believe an air tran fo or the folks at goldman sachs?