Republic will be the next large National Airline

[jmreii]

Its my understanding that Bedford did some jail time for insider trading, can anyone confirm this? If thats true that tells me that this guy is a total snake. Who the hell would believe anything this guy says. He would say whatever it takes to get f9 pilot group to give in and then have his way with the company. Even if f9 voted no the bk judge will waive the contract and the same fate will lay for f9 that happened with midwest. Very sad, I think this guy will be the new Lorenzo and Johnny O.

These guys don't die, they just multiply!

 

[Flying the Line]

I would not put it past him to put money into virgin America and put it together with frontier and Midwest. To pay for all this he will sell chq and shuttle am. That's my prediction.

 

[lookin4better]

Just because its a " Major " doesnt mean anything .... American Eagle is a " Major " ..... just because its classified as such does not mean its a great place to work or pay well.

 

[S40Sailor]

How about code share? Midwest to code share with Delta, Frontier with United. Republic will keep on doing what they do best, Fee for departure,and undercut labor. They might run web sites and pretend they're selling tickets but the bulk of the revenues will be coming from the major partners.
Just wondering..

 

[Cornelius]

Virgin America isn't desperate for a buyer and branson has too much money, if they go down nobody will buy them. All their assets except employees would somehow make it to Virgin overseas, just a guess.



What about Spirit?? Rah could buy them maybe.

 

[Cornelius]

No disrespect intended for Spirit.

 

[airksk]

Bedford will continue to use Republic, Shuttle America, and Chautauqua as regional lift providers. There may be some incest going on, with CHQ flying as a contract carrier for Midwest, and republic flying 190's for Frontier, but these will still be contracted carriers with someone else's paint job. United cannot punish RAH for having Republic fly for Frontier, because United does not contract with republic, they contract with Shuttle and Chautauqua. Likewise, Delta cannot dump Shuttle America and Chautauqua because RAH flies Midwest 190's on the Republic certificate. On the surface, it seems that there are conflicts of interest all over the place, but remember that much goes on behind closed boardroom doors. RAH just gave the string pullers of TGP a cash return on their investment that they otherwise would not have gotten. It may be dimes on the dollar, but money is money. US Airways has been pumped full of RAH money, and will not bite the hand that feeds. United may not like RAH owning Frontier, but United is not in a financial position to call the shots right now. At this point, United has a minor dependency on the lift RAH provides them.


Only question is, how long does United have a contract with Shuttle and Chatauqua and how long is the Delta contract?

I can't believe these companies will be happy funding a competitor, and will be looking for reasons to dump the contract. With the number of regionals looking for contracts, I can't imagine that the contracts would be renewed if they can't find cause to dump them.

Bedford better have a plan for the future as a stand alone, I think it is coming no matter how clever he thinks he is.

 

[BeachBummer]

buy buy buy buy.....

sell sell sell sell everything!

iT'S THE twa, ata, united? way

 

[PBRstreetgang]

I guess Bedford is well known for his religous mailings....would anybody here charactorize his actions as Christ-like? WWJD?

You be the judge.....

Lilah

Some of the worst Mafia dons were devout Christians, some use it to try to scrub the filth off of their souls. Airline execs are no different, how else could they sleep at night and then stand in front of the mirror in the morning and not slash their own throats while shaving?
PBR

 

[huncowboy]

What about Spirit?? Rah could buy them maybe.

Well... nope. Spirit made money even in 2008 (although after some significant cuts), and made some of the best margins so far this year. It is also not in Ch11. Spirit has no obligations to RAH unlike F9 or Midwest had. So what is the parallel between NK or F9/Midwest? Zero, nada.

But more important than that, Indigo/Oaktree is not desperate for a buyer (Oaktree alone manages $30 billion), it is building a global network of ULCCs and it seems they are going ahead with that plan. Spirit in USA, Wizz Air in Central Europe, one coming into Russia, Tiger Airways in Asia, and now Spirit just bought Air Jamaica. 4 A320 deliveries were just comfirmed for 2010 (1 in March, April, May, September), 2 or more for 2011, 6/year starting 2012. Yeah I don't think the investors behind any of those above mentioned airlines need RAH to bail us out.

I think BBs hands will be full trying to figure out what to do with airplanes that did not break even when fuel was $50. It worked good as long the majors paid the bill at the pump. But the majors had finally enough from regional "jets" for good. Once those contracts will expire, all the regionals will have to face some deep cuts. Just watch out this Fall. It will be bleeding.