Ryan International files Chapter 11

[alpine1989]

Not much here

http://www.wrex.com/story/17097072/rockford-based-airline-files-for-bankruptcy-protection

 

[SKC]

Not surprising in that they had morphed into almost nearly 100% DOD trips and it's hard to support that kind of operation with the reduction of troops in Iraq. Shame to see it happen. Hopefully they can emerge healthier.

 

[eelb53]

Ryan has always tended to put most of their eggs in one basket. Emery, Apple Vacations, now DoD. They seem to bounce back each time.

I remember back in the 90's, hauling fish between remote South Pacific islands was going to be the big thing. An operational nightmare to run from Wichita, given the technology at the time.

 

[SKC]

Although, even when Emery was the big customer, there was still some passenger stuff. When Apple or Funjet were the main ones, there was still the sports charters / ACY / Suntrips contracts to diversify things. Now it is just the govt and very little else. The money was pretty good while it lasted, but it wasn't going to last forever.

I always had to chuckle at the things that I'd hear about [hypothetically] getting hauled from island to island during ferry legs.

 

[alpine1989]

Management became obsessed with getting a larger aircraft for DOD and forgot about running the rest of the airline.

For those of you that don't know, DOD changed the rules for FY11. They split widebody pax into two groups - Small widebody (B763) and Large widebody (DC10, MD11, B744, B772 & A333). This was known in the FY11 solicititation which was published in July 2010. The rule change would cause Ryan to lose DOD entitlement. Ryan missed the rule change. They didn't catch it for several months. When they did get up to speed, management literally became obsessed with getting a larger aircraft. They looked at the DC10 and B744. The B772 was selected for obvious reasons. They identified two ex United/Air India frames. They attempted to nickel and dime the owners. Omni eventually came in and from what I understand paid cash for these two aircraft. They are currently in Omni's fleet. Then Ryan went after Egypt Air B772s. Arab Spring threw a wrench in that plan. Next the Virgin Atlantic A333.

Ryan was sucessful in getting the A333 on the certificate in December 2011. They missed the DOD deadline to qualify for large widebody flying starting in January 2012. They will qualify effective April 2012. They are currently operating the A333 for the DOD but at B763 rates and using B763 entitlement.

Ryan says they spent $7 million in their quest for a single larger frame. A good decision?

Ryan recently furloughed out of seniority. Senior B767 guys on the street while junior MD80 guys were retained.

Now the company is blaming Arab Spring.

This company is completely mis-managed. They need an ownership and/or management change. Hopefully the BK judge will see through the BS and get Ryan back on the right track.

Good luck to everyone at Ryan.

 

[alpine1989]

http://www.rrstar.com/blogs/brianle...national-Airlines-seeks-bankruptcy-protection

 

[DASHDRIVER]

How many pilots and flight attendants are being furloughed?

 

[SKC]

This company is completely mis-managed. They need an ownership and/or management change. Hopefully the BK judge will see through the BS and get Ryan back on the right track.

This is what happens when you get a real estate investment company trying to run an airline with an admiral at the helm.

 

[alpine1989]

This is what happens when you get a real estate investment company trying to run an airline with an admiral at the helm.

The lines are coming tight.

- The Admiral