Northwest Bidding for Midwest

[HalinTexas]

I think this is funny, in a peculiarly tragic way, that FL is offering $315M for YX and only offered $100 (barely) for ATA. While I think YX is a fine airline and popular with the locals, FL is paying too much for it considering what it offers to them.

If FL had offered that kind of money for ATA, then they'd be going to Europe and HI and have a dominent presence in the Carib. vis-a-vis SJU.

Then again, integration would have been uglier than US/HP.

 

[BSkin]

BSkin, how long have you been in this industry? There is no such thing as a DONE DEAL until it is done and made public! They said the same thing about ATA and we all no that outcome. In this industry I can't tell you how many times I've heard pilots say, "It's a done deal" and it wasn't. This is coming down to the wire. AirTran has to make a decision on rather to extend or walk away by 9am Monday. Who knows what is going to happen, but I don't think it is a done deal at this point. Monday may shed more light.

Eagle, RTFP post before you go spouting, where did "I" say it's a done deal!

 

[BSkin]

Training department. Don't they have their own thread somwhere on this page.

Not part of the training department, just there for training. They DO get the info prior to must of us line pilots.

 

[russtgol]

Skywest!

 

[IdRtherBsailing]

Also from JL, if it goes through, 22 aircraft in MKE (ours) right away. MKE as a pilot base, possibly MCI

What exactly do you mean when you say "Ours". You mean AirTran or MidTrans? Because if the deal goes through there is no longer yours or ours it is only ours. Even if its a done deal it won't be overnight so "Right away" will probably be down the road.

To make enough gate space for 22 new a/c the MD-80s would have to go away. If that were to happen there would be a lot of YX pilots displaced. I would think that those displaced pilots would get priority over New Hire Tranny FOs.

 

[TOOL CRIB]

Yeah, don't count out Skywest buying them. Rumors are everywhere!

 

[BSkin]

What exactly do you mean when you say "Ours". You mean AirTran or MidTrans? Because if the deal goes through there is no longer yours or ours it is only ours. Even if its a done deal it won't be overnight so "Right away" will probably be down the road.

To make enough gate space for 22 new a/c the MD-80s would have to go away. If that were to happen there would be a lot of YX pilots displaced. I would think that those displaced pilots would get priority over New Hire Tranny FOs.

"Right away" may not be the way he put it, but that was the way I, and everyone else that heard the call, interpreted it. "IF" it goes through, the MD's will be "quickly" replaced by the 73. Plan on keeping the Skywest service, don't know about the Dornier and 1900 guys. I'm just passing on what I heard. He did say 22 planes will be up there, above what Midwest already has there -- whether that means mostly 73s replacing the MDs -- I don't know - again, just passing on what was said!

 

[Stewie]

Skywest!

AWESOME!!! LOL

 

[FlyWolf]

Airtran and Midwest continue to meet through the weekend.

Weekend pivotal for Midwest

Airline negotiating with AirTran over possible sale, weighing other offers

By TOM DAYKIN
[email protected]

Posted: Aug. 10, 2007

Representatives of Midwest Air Group Inc. and AirTran Holdings Inc. are continuing to negotiate this weekend over a possible sale agreement.


"The weekend is going to be key," said one source, who asked not to be identified.

That source, who is familiar with the talks, said Friday he believes there's a "75 percent chance" that an agreement will be reached by Monday.
Another source, however, said a new twist involving Northwest Airlines Corp. could complicate the chances of an agreement being reached between AirTran and Midwest.

Northwest has discussed buying an equity stake in Midwest Air, instead of bidding to buy the entire company, that source said. That would accomplish Northwest's goal of preventing AirTran from creating a hub in Milwaukee without having to commit the roughly $400 million needed to buy all of Midwest Air.

AirTran's tender offer was set to expire at midnight Friday. AirTran Chairman and Chief Executive Officer Joe Leonard has said the offer will not be renewed when trading resumes Monday morning, raising speculation that a sale agreement might be reached by then.

Neither Midwest Air, which operates Midwest Airlines and Midwest Connect, nor AirTran issued any public updates Friday. A Northwest spokesman declined to comment.

Midwest Air said last week it would have discussions with four "interested parties" that had surfaced as possible bidders.

Aside from AirTran, the other parties are believed to be Northwest, the No. 2 airline at Mitchell International Airport, and two separate groups of equity investors.

Airline industry analysts and consultants believe Midwest Air is most valuable to AirTran, which operates a similar fleet, has few overlapping routes, and harbors ambitious expansion plans. Northwest, with hubs in Minneapolis and Detroit, would acquire Midwest Air as a defensive move to keep AirTran from building a major hub in Milwaukee, analysts said.
AirTran's cash and stock offer was valued Friday at $15.25 a share, based on AirTran's closing stock price of $10.70. That was a 7.2% premium to Midwest Air's closing price of $14.23 a share. Midwest Air's price was $9.08 a share on Dec. 12, the day before AirTran announced its interest in the company.

Midwest Air agreed to hold discussions with AirTran and other prospective bidders after nearly 60% of the company's shares were tendered to AirTran in June, and after three AirTran nominees were elected to Midwest Air's nine-member board by a 2-to-1 ratio.

As of Friday evening, the number of tendered shares had increased to 62.7%, AirTran said.
Also Friday, Midwest Air reported that the number of passenger miles flown by Midwest Airlines and Midwest Connect increased 25.9% in July compared with the year-earlier period.
But the company's revenue per available seat mile, a key indicator, dropped 3.5%. That indicator is up 0.3% for the first seven months of 2007, despite a 15% increase in passenger miles in that period.

 

[Eagle757shark]

Eagle, RTFP post before you go spouting, where did "I" say it's a done deal!

Go back and read your own post and see where you posted (and I know you were quoting JL) 90% done deal, and you can take your cursing and save it for someone who cares or just grow up. Don't take this crap so personal. Everyone on this board is free to express their opinions.............remember that. YOU WROTE 90% done deal!