Midway Still Alive

[passed_over]

It is unbelievable that the court would continue to allow the money to pour out the back door.


http://newsobserver.com/business/story/289...p-2666122c.html

 

[USFlyer]

It boggles my mind why US just doesn't pick up the Midway CRJs, convert them to the PSA configuration (since PSA is receiving the CRJs first anyway) and eliminate one of the contract carriers. No offense to the Midway folks, but it seems crazy to have all these affiliates who are in and out of potential Chapter 7 at any given moment (e.g., Shuttle America).

 

[Hope777]

My question is this, when did the Loan get up to $12 Million? If I remeber the early (yes I'm looking) loan amount was in the Three-Four Million range for start up. That is alot of Mainline and Express Salaries that also went out the window.....



If Midway and its pilots can't agree on a new contract or if Midway is not out of bankruptcy by Oct. 31, US Airways has said it won't extend the terms of a $12 million loan that is due on that date.

 

[Cloud Watcher]

Midway is on the way out and for management to hang the future of this airline on the back's of the pilot group is laughable!

Midway has no plan and they have been in banckruptcy for 2 yrs. Their administrative costs to exit bankruptcy are around $9million dollars. With few aircraft to produce revenue it is obvious that the judge must liquidate Midway!

What concessions did their CEO take to make the airline work? I bet not much!

 

[funguy2]

"Two weeks is do-able," Ferguson said of the next deadline. "But whether it can be done in two weeks is another matter."

Sounds like Ferguson can talk out both sides of his mouth... He just shouldn't all at once. I am sure he is meaning an agreement can be reached in two weeks but implementing it may take longer. But this quote just sounds... odd. Maybe the reporter took 'liberties' with sound-bites...

Hope777: I am with you... I thought the loan from US Airways was $5mil...

USFlyer: I agree... Not only does US not need Midway (never really did), nor any more regional partners (if anything it needs less... some consolidation, my last count was 12 partners, not sure if that included CCAir or not though), this whole Midway issue is taking up valuable (and expensive) time on the part of US's lawyers, and presumably some time of CCY people, plus its taking up to $12Mil out of US's hands which it could be using for something useful. I am sure that US could get 5 or 10 more RJ's from Chuatauqua, Mesa, or TransStates without loaning them $12mil.

 

[ITRADE]

How many flights is Midway doing a day? 20? 40? I'm guessing that all of it is DCA based.

 

[WOJetDreamer]

Peidmont WO by U
Allegheny WO by U
PSA WO by U

Contract
Trans State
CHQ
Shuttle America
MESA
Air Midwest (Sub of MESA)
Midway
Colgan
Commute Air (I think they fly for CO now)

I agree U has got to consolidate somewhere. No other Airline in the country has this amount of contract carriers. Common sense tells me that this is costing more money than needed.

 

[USFlyer]

Don't forget the Caribbean partners, though they aren't flying in US colors technically.

 

[the turtle]

midway operates about 20 flights a day out of DCA, when their planes aren't broken. BTW, how many passes does this sorry excuse of a CEO get? why don't these employees just revolt? how many times have these hard working folks been beaten down in the last 36 months? Pathetic.

 

[Busdrvr]

Peidmont WO by U
Allegheny WO by U
PSA WO by U

Contract
Trans State
CHQ
Shuttle America
MESA
Air Midwest (Sub of MESA)
Midway
Colgan
Commute Air (I think they fly for CO now)

I agree U has got to consolidate somewhere. No other Airline in the country has this amount of contract carriers. Common sense tells me that this is costing more money than needed.

Nope, that many players allows massive "whipsawing". If the Mechs at Midway want a raise, you transfer flying to Mesa. if the pilots want off the government (free school lunch for the kids) cheese program at CHQ, Air midwest moves in....

 

[funguy2]

Well... lets see my latest info is (proposed or soon to be in parentheses):

Allegheny - WO US Airways Group
Piedmont - WO US Airways Group
PSA - WO US Airways Group
(Mid Atlantic, if ever - WO US Airways Group)

Mesa Airlines - Mesa Air Group
Air Midwest -Mesa Air Group

Chautauqua - Wexford Mgmt
Shuttle America - Wexford Mgmt
Midway - Wexford Mgmt
(Repulic, if ever - Wexford Mgmt)

Colgan Air

Trans States

So I guess that makes 10 Express partners, maybe going to 12 (depending on how you count MAA)... But I guess they are really controlled by 5 management groups, including the US Airways Group. Still 10 to 12 separate certificates seems like alot to manage.

Still DL has 5 partners - ASA (Wholly owned), Comair (Wholly owned), Sky West, Chautauqua, and ACA, and the were still able to "whip saw" the Comair pilots, with 1/2 the number of partners... Although the 3 month Comair strike did hurt DL to some degree financially.

 

[Dashcaptain]

If things don't change, those of us at Allegheny and Piedmont will be removed from your list of express carriers. We are the only ones losing a/c without replacements. Thanks Dave. I guess this is what we get for agreeing to concessions.