Southwest's Ata Bid
- Thread starter wnbubbleboy
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IMO, the DOJ would not get in the way of WN's bid. WN would have 25 of 43 gates at MDW, along with a codeshare with TZ. So even if you count the TZ gates, that's 33 of 43. There are plenty of hub airports around the country in which the dominant airline has a much more overwhelming position that that.
And with AA and UA each having a hub across town at ORD, I don't think antitrust concerns will come into play, no matter how much FL would like them to.
And with AA and UA each having a hub across town at ORD, I don't think antitrust concerns will come into play, no matter how much FL would like them to.
coolflyingfool
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- Aug 20, 2002
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Just saw that the SWA also includes the ATAH hangar in MDW. That would give SWA some more room for working on a/c, but how much? Anyone know how big the ATAH hangar is in MDW? Just wondering out loud..........
http://biz.yahoo.com/ap/041214/ata_bankruptcy_6.html
Hmmm, SWA plans to cut "labor costs" at already low labor cost ATA by 15-20%, then code share with them..... Somehow, I see BIG growth at ATA with the SWA deal and the whipsaw begins..... Welcome to he11.
Hmmm, SWA plans to cut "labor costs" at already low labor cost ATA by 15-20%, then code share with them..... Somehow, I see BIG growth at ATA with the SWA deal and the whipsaw begins..... Welcome to he11.
OP
wnbubbleboy
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Busdrvr said:http://biz.yahoo.com/ap/041214/ata_bankruptcy_6.html
Hmmm, SWA plans to cut "labor costs" at already low labor cost ATA by 15-20%, then code share with them..... Somehow, I see BIG growth at ATA with the SWA deal and the whipsaw begins..... Welcome to he11.
[post="229075"][/post]
Just reading an article in todays (Dec-15-04) "Baltimore Sun" on page one "Southwest denies it's trying to buy ATA". Taken from the "Dallas Morning News"
It states in the original bid language it called for ATA to lower it's bid by as much as 20%. Gary Kelly stated that is no longer part of Southwest proposal.
"There is no requirement by Southwest for ATA to do anything with labor." he said, though he added that a restructured ATA "needs to make a profit," under Southwest terms.
Sorry no links both sights require membership and running at 28bps I be here all day just to try a post the link.
coolflyingfool
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News articles are now appearing that state that SWA did win the BK hearing at ATAH over AAI. I hope this is good news for all involved, except for AAI.
ngneer
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- Aug 20, 2002
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The latest that I see is that the judge needs more time and won't reach a decision until next Tuesday.
Link to article in USA Today
Link to article in USA Today
Some history to ponder:
August 7, 1983 - Muse Air
Muse Air began service in 1982 between Dallas Love and Houston with MD-80s. In direct cooperation with Southwest, Muse was named for founder Lamar Muse. Lamar Muse was the co-founder of Southwest.
March 14, 1986 - Muse Air/TranStar
Southwest purchased major competitor Muse Air and renamed it TranStar in March, 1986. TranStar operated a 2-class service on a coast-to-coast southern U.S. basis. Muse Air flew DC-9s and MD-80s at the time. Southwest would shut down TranStar in late 1987.
Synopsis:
1. Muse Air was bought by LUV June 1985 for $60.5m.
2. Muse Air was a wholly owned subsidiary of LUV.
3. LUV installed their own personal in top positions at Muse Air.
4. LUV change the name of the airline from Muse Air to TranStar
5. TranStar was operated as a completely separate operation from WN. A passenger couldn’t interline between TranStar and WN.
6. Several talks were held between SWPA (Southwest Pilots Association and MAPA (Muse Air Pilots Association) about a common seniority list. SWPA wanted bottom of the list, MAPA want date of hire.
7. Because of the stonewalling by SWPA on the seniority issue MAPA went ALPA spring of 1987.
8. TranStar was shut down quickly summer of 1987 because TranStar was going to report a profit for the third quarter after a bruising fare war against CAL at HOU.
9. LUV told the TranStar MEC if the TranStar pilots didn’t fight the shutdown in court the pilots would be given a small severance pay package tied to their longevity with TranStar.
10. Those TranStar pilots with a B-737 type rating would guarantee an INTERVIEW with SWA if they filled out an application
11. Those TranStar pilots without B-737 type ratings were shown the door
12. Any TranStar pilot who later purchased a B-737 type rating would be guaranteed an INTERVIEW
13. The TranStar MEC requested LUV to wave the B-737 type-rating requirement for the TranStar pilots to be granted interview. To satisfy the LUV requirement that all pilots for WN have a B-737 type rating the TranStar MEC requested any TranStar pilot who passed the interview phase wouldn’t be assigned a class date until the B-737 type rating was obtained. LUV denied this request.
WN/ATA situation is starting to look familiar. I will let everyone speculate what the outcome will be.
In either case this will be very interesting :unsure:
August 7, 1983 - Muse Air
Muse Air began service in 1982 between Dallas Love and Houston with MD-80s. In direct cooperation with Southwest, Muse was named for founder Lamar Muse. Lamar Muse was the co-founder of Southwest.
March 14, 1986 - Muse Air/TranStar
Southwest purchased major competitor Muse Air and renamed it TranStar in March, 1986. TranStar operated a 2-class service on a coast-to-coast southern U.S. basis. Muse Air flew DC-9s and MD-80s at the time. Southwest would shut down TranStar in late 1987.
Synopsis:
1. Muse Air was bought by LUV June 1985 for $60.5m.
2. Muse Air was a wholly owned subsidiary of LUV.
3. LUV installed their own personal in top positions at Muse Air.
4. LUV change the name of the airline from Muse Air to TranStar
5. TranStar was operated as a completely separate operation from WN. A passenger couldn’t interline between TranStar and WN.
6. Several talks were held between SWPA (Southwest Pilots Association and MAPA (Muse Air Pilots Association) about a common seniority list. SWPA wanted bottom of the list, MAPA want date of hire.
7. Because of the stonewalling by SWPA on the seniority issue MAPA went ALPA spring of 1987.
8. TranStar was shut down quickly summer of 1987 because TranStar was going to report a profit for the third quarter after a bruising fare war against CAL at HOU.
9. LUV told the TranStar MEC if the TranStar pilots didn’t fight the shutdown in court the pilots would be given a small severance pay package tied to their longevity with TranStar.
10. Those TranStar pilots with a B-737 type rating would guarantee an INTERVIEW with SWA if they filled out an application
11. Those TranStar pilots without B-737 type ratings were shown the door
12. Any TranStar pilot who later purchased a B-737 type rating would be guaranteed an INTERVIEW
13. The TranStar MEC requested LUV to wave the B-737 type-rating requirement for the TranStar pilots to be granted interview. To satisfy the LUV requirement that all pilots for WN have a B-737 type rating the TranStar MEC requested any TranStar pilot who passed the interview phase wouldn’t be assigned a class date until the B-737 type rating was obtained. LUV denied this request.
WN/ATA situation is starting to look familiar. I will let everyone speculate what the outcome will be.
In either case this will be very interesting :unsure:
WNjetdoc
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- Aug 20, 2002
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Saw that article but also read this: http://news.ft.com/cms/s/48abb874-4f14-11d...000e2511c8.html It states that its over and SWA won.
Read also today that Airtran is unhappy they didn't win the bid for ATA but they were not going to overpay.
Seems like its over, or is it?
Read also today that Airtran is unhappy they didn't win the bid for ATA but they were not going to overpay.
Seems like its over, or is it?
ngneer said:
