Re: Republic Buys Midwest
Two-fers goin on in the US airline industry! Wow.
Re: Republic Buys Midwest
Hmmmm this is interesting...yesterday they buy out Frontier and today Midwest. One has to wonder if the long term plan is to run these companies under their existing names? From a cost perspective that's going to be pricey.
Re: Republic Buys Midwest
Well there goes the neighborhood...or whatever was left of it. I can see Republic losing contracts over this and things getting very sour. It will be very interesting to see how things play out....
Re: Republic Buys Midwest
Technically....we are not breaking any of the scope clauses, since all airlines owned by RAH are independent from one another, just owned by same holding company.
Okay I am going to say this, people complaining about this...well guess what, jobs are being saved, but from all the little whiny a** babies out there, what they would rather be unemployed.
Guess what, if another airline bought either of these companies, these names would be gone because all they would have been bought for are the gate spaces and slots and not what the airlines offer the public.
And has far has we know here is, each company will be operated has a subsidiary of RAH, just like RAH/TCF AND CHQ.
I guess people would rather see a AA go in and destroy peoples lives like they did TWA employees, or WN like they did to ATA
And if one more whiny a## Midwest pilot complains, well guess what you voted down the concessions, you could have saved your company and maybe still be flying. RAH has nothing to do with the 717's being returned, that was long in the works, and now getting new EMB 190's....cut in pay or no pay and unemployment only goes so far
Re: Republic Buys Midwest
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Originally Posted by crj200dispatcher
now getting new EMB 190's....cut in pay or no pay and unemployment only goes so far
The major problem here is that we now have a regional operating 100 seat airliners. While RAH operating these may not violate any airlines scope, its setting a bad stage for the rest of the industry.
Re: Republic Buys Midwest
I agree with most of what you say, but WN had nothing to do with ATA's demise.
Re: Republic Buys Midwest
Yup, you have Republic pilots flying 100-seaters for 40K/year and Delta/Northwest pilots flying 100-seaters at 90K/year. Other airlines through eventualities will be forced into a race to the bottom creating far fewer well-paid jobs for pilots and cheapening the entire profession.
Re: Republic Buys Midwest
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Originally Posted by crj200dispatcher
I guess people would rather see a AA go in and destroy peoples lives like they did TWA employees, or WN like they did to ATA
And if one more whiny a## Midwest pilot complains, well guess what you voted down the concessions, you could have saved your company and maybe still be flying. RAH has nothing to do with the 717's being returned, that was long in the works, and now getting new EMB 190's....cut in pay or no pay and unemployment only goes so far
Boy, hindsight is a bi-atch, Midwest should have taken that Airtran deal, would have been a whole lot better.
Re: Republic Buys Midwest
So Republic is cheapening the profession...MMMM
So, Republic, who has lent US Airways millions prior to the America West merger and preventing them from closing down, along with Air Wisconsin, and saved alot of those $90K a year aviation professionals jobs...and by the way we are still loaning US Airways millions to keep those $90k a year pilots flying
Without the millions lent to Midwest by Republic, they would have been gone a long time ago, one more, unemploying overpaid pilots in a already shrinking airline, but yet, that is Republic's fault, and this was happening long before they entered the picture. Are you that naive to think AirTran wanted the Midwest employees, they wanted what they have in MKE to prevent WN from coming in
Frontier, without the millions lent to them would have been gone a long time ago...once again by Republic...and they cancelled our flying contract...grounding 14 aircraft and furloughing employees here...and yet we still lent them millions
Re: Republic Buys Midwest
Republic has a very respectable reputation as a strong regional carrier with serious potential to become a very serious player in the future should they continue to play their cards right over the next decade. These guys are not some poop-show ooperation that had some extra cash to buy up hurting businesses.
These guys are winning, while others are losing, because of their ability to adapt. Lesser-paid pilots is not the work of companies like Republic, but a necessary evil while we are are recession. They aren't looking to rip off pilots, but rather looking to survive. These same piltos will be ecstatic as years pass and Republic is a powerhouse in the US. I think it's unfair to say they "cheapen the profession", because the economy is cheapening it.
I'm not saying Republic will become the next American or US Airways, but I think you're going to see them grow steadily over the next decade. I'm eager to see what decisions they make and what direction they go in.
Re: Republic Buys Midwest
It is actually very exciting Phil...history for one is being made, and then 2 great airlines are going to still be flying Midwest and Frontier.
And that is the important thing...2 great airlines are still around and not merged, not bought just to gain assets and people out of work or has many out of work. I could not imagine not seeing the Frontier tails or the beautiful Midwest colors flying
Re: Republic Buys Midwest
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Originally Posted by crj200dispatcher
It is actually very exciting Phil...history for one is being made, and then 2 great airlines are going to still be flying Midwest and Frontier.
And that is the important thing...2 great airlines are still around and not merged, not bought just to gain assets and people out of work or has many out of work. I could not imagine not seeing the Frontier tails or the beautiful Midwest colors flying
Who's being naive now? Do you really think for one second Republic bought these two airlines out of the goodness of their heart? They were bought for a bargain price as an investment and you can rest assured people will lose their jobs. Midwest has no product identity any longer, there's no reason for Republic not to rebrand them under the Frontier name. This is far from history being made, history was made by airlines like PanAm and TWA...and guess what their gone, so its very easy to imagine the skies without Midwest or Frontier. At the end of the day this is a business and the decisions that are made are made because there should be a positive return, if there's no return for Republic then those animals are dead and the cookie is going to go stale.
Re: Republic Buys Midwest
Under no way did WN cause ATA to liquidate, if anything WN might have helped ATA live longer by injecting cash and such. Why this was done, probably to ensure FL didn't get the gates at MDW and such. Which is doing business.
I won't say WN is innocent and all smiles, but ATA/WN had quite a healthy relationship, and really was excited for ATA to expand the intl flights and segments and Hawaii too. We were very sad as airline employees to see ATA go.
Alex
Re: Republic Buys Midwest
The WN statement was a mistake
How will Midwest not have any product identity because Republic bought them? Midwest will operate the way they always have just under a new ownership and under a tighter budget and a new aircraft type that will be cost effective
Why are you people so against this, I mean I can get on here and say I hate all AA people, "One big Happy Family My A**" You took my job at TWA away from me...boo hoo. Or how WN is aggressively going after Midwest in MKE and F9 in DEN, the same way they went after US in PHL, when US was weak. Which I think is BS
T-Bird history has been made, a airline holding company that owns regionals has bought one major and offered a bid on another
I would rather see people working than unemployed and being an enthusiast more airlines in different colors than a monopoly of one
Re: Republic Buys Midwest
Excellent views all, but please let's continue to be friendly and not take anything personally.
Re: Republic Buys Midwest
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Who's being naive now? Do you really think for one second Republic bought these two airlines out of the goodness of their heart? They were bought for a bargain price as an investment and you can rest assured people will lose their jobs
Hit the nail right on the head with that one. Understandibly for the folks at Republic, this will be exciting, especially if it works out profitably. Bottom line if Frontier and or Midwest continue to lose money, they will be disposed of/sold off/liquidated. People will lose their jobs and eventually the competition will fill in the voids as needed.
What this does to those airlines who use Republic's services? No one knows for sure; The relationship may become strained, undermining the very foundation of Republic and the reason all it's subsidiaries has become so successful. Bottom line, every single airline exists because of a desire to make profit, even state owned airlines need to sustain themselves or else eventually the well runs dry.
Food for thought ,crj200dispatcher. People are stating their opinions here, just as you may think it's great, some may not. We can all agree to disagree. It's certainly not personal at all.
Re: Republic Buys Midwest
I do think that some will get laid off, but I think that if Republic didn't come along, ALL of them would have lost their jobs.
Also, the airline industry is all about losing your job. There are hardly any career pilots who have not been fired or furloughed more than once in their careers. It's something that every airline has done, and no one should be surprised when it happens.
I see Republic as having saved Midwest and Frontier, no matter what kind of chopping might go on (to an extent).
Re: Republic Buys Midwest
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How will Midwest not have any product identity because Republic bought them? Midwest will operate the way they always have just under a new ownership and under a tighter budget and a new aircraft type that will be cost effective
Midwest has no product identity now...Midwest's mantra was that they catered to the business traveler by offering all biz class seating, high frequency between business centers, and fine onboard service. Midwest doesn't offer any of that now...instead they have this hybrid model of half Signature and half Saver. Go fly a Midwest flight and you'll notice something...the plane is pretty tail heavy...why? Because no one is buying the Signature seats. They don't offer fine meals anymore, they have far less frequency then they did in the past. They built themselves on one model and now are trying to be something else..what that is, is beyond me.
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Why are you people so against this, I mean I can get on here and say I hate all AA people, "One big Happy Family My A**" You took my job at TWA away from me...boo hoo. Or how WN is aggressively going after Midwest in MKE and F9 in DEN, the same way they went after US in PHL, when US was weak. Which I think is BS
Who said everyone is against this? If this didn't happen YX would be gone. However because of what I stated above Republic should fly the two under one name and that name should be Frontier. Midwest is a damaged name with little identity around the country. The cost savings would be in the millions if they flew them under one name.
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T-Bird history has been made, a airline holding company that owns regionals has bought one major and offered a bid on another
Its not history and Frontier and Midwest are not considered Major airlines. To be considered a major airline you need to have revenue of 1 billion a year or more, neither have that. Its one company buying two other companies, something that happens every day.
Re: Republic Buys Midwest
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I see Republic as having saved Midwest and Frontier, no matter what kind of chopping might go on (to an extent).
This has nothing to do with saving those airlines, its about Republic saving the investment they made in both these airlines in 2008. Republic provided the DIP financing for Frontier when they went into Chapter 11 and the funds to keep Midwest flying in exchange Republic would fly for Midwest. Basically if Republic didn't step in both carriers would have failed and Republic would have lost their investment. This deal allows them to protect that investment and ensure they receive a return on their own terms.
My company did something similar in 2007, we owned 50% of another company that was failing and if we didn't buy them out we would have lost big time...I still think we lost on that deal but we were able to protect certain assets.
At the end of the day this is a numbers game...the shareholders could careless about the people, all they want is a return on their investment and the airline has to do what it takes to ensure the shareholders are happy.
Re: Republic Buys Midwest
Wave your flags and jump up and down at Republic but its my bet that Bedford is in over his head with this.
