Midwest Airlines
Aug 13th, 2007 | 06:08 AM
#1
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Joined: May 2007
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Midwest Airlines
According to an ariticle in the Kansas City Star today, Midwest airlines intends to go private with an all cash proposal from TPG Capital worth $440 million. Midwest will continue to have substantial operations in Kansas City and Milwaukee. In addition, Midwest will build on a joint marketing agreement with Northwest. Needless to say, Air Tran is not too happy.
Aug 14th, 2007 | 08:29 AM
#2
Joined: Mar 2003
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Glad to see the FL-YX merger fall through. Both had very different operating philosophies. Always thought FL should try to merge w/another similar carrier, such as F9 or even B6.
Here's a pretty good analysis:
http://www.thestreet.com/s/northwest.../10374094.html
Here's a pretty good analysis:
http://www.thestreet.com/s/northwest.../10374094.html
Aug 16th, 2007 | 07:03 AM
#5
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Keith - Air Tran is making another attempt for Midwest....
Annpay - We really enjoyed the ME Cancun. In fact, we're heading back in December with friends to celebrate my 37th bday. Think W Hotels, Kimpton Hotels, etc. The ME is on a great stretch of beach with high end hotels on both side. The pools are very nice.
Great chill music playing at all times. Good service. The rooms are nice - contemporary - flat screen tvs -cool art - Aveda products - be sure to get an ocean view room - most rooms DO NOT have a balcony. Sign up for their loyalty progam, Mas Rewards, and enjoy 2 for 1 at their fantastic breakfast spread. Spa was excellent. FYI, the rate we booked for our next trip was $129 per night which includes welcome drinks - $50 spa credit - dinner for two at Silk or Salt. I have absolutely no complaints and plan on staying at the ME in Madrid, Spain.
Annpay - We really enjoyed the ME Cancun. In fact, we're heading back in December with friends to celebrate my 37th bday. Think W Hotels, Kimpton Hotels, etc. The ME is on a great stretch of beach with high end hotels on both side. The pools are very nice.
Great chill music playing at all times. Good service. The rooms are nice - contemporary - flat screen tvs -cool art - Aveda products - be sure to get an ocean view room - most rooms DO NOT have a balcony. Sign up for their loyalty progam, Mas Rewards, and enjoy 2 for 1 at their fantastic breakfast spread. Spa was excellent. FYI, the rate we booked for our next trip was $129 per night which includes welcome drinks - $50 spa credit - dinner for two at Silk or Salt. I have absolutely no complaints and plan on staying at the ME in Madrid, Spain.
Aug 16th, 2007 | 10:58 AM
#6
Joined: May 2007
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Thanks mjz! I booked 4 nights at $129 on expedia and I received the free dinner but not a spa credit. No matter! I am still delighted with that deal. We go in November over Thanksgiving so might upgrade our room on arrival there. I also signed up for the Mas card, but did not see anything about the 2 for 1 breakfast. Thanks a mil.
Aug 17th, 2007 | 05:34 AM
#7
Joined: Jan 2003
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mjz kc,
They have been like a monster in a horror movie, always coming back. But this looks good:
Midwest Air Group, parent company of Midwest Airlines, today announced that it has signed a definitive merger agreement to be acquired by an affiliate of TPG Capital, L.P. in a transaction valued at approximately $450 million. The merger agreement was unanimously approved by the Midwest Air Group Board of Directors.
Under the terms of the agreement, each outstanding share of Midwest's common stock will be converted into the right to receive $17.00 per share in cash. On December 12, 2006, the last trading day before the public announcement of AirTran's indication of interest in acquiring Midwest, the per share price of Midwest's common stock was $9.08. Midwest has approximately 26.6 million shares outstanding, including shares subject to options, restricted share awards and outstanding warrants.
Keith
They have been like a monster in a horror movie, always coming back. But this looks good:
Midwest Air Group, parent company of Midwest Airlines, today announced that it has signed a definitive merger agreement to be acquired by an affiliate of TPG Capital, L.P. in a transaction valued at approximately $450 million. The merger agreement was unanimously approved by the Midwest Air Group Board of Directors.
Under the terms of the agreement, each outstanding share of Midwest's common stock will be converted into the right to receive $17.00 per share in cash. On December 12, 2006, the last trading day before the public announcement of AirTran's indication of interest in acquiring Midwest, the per share price of Midwest's common stock was $9.08. Midwest has approximately 26.6 million shares outstanding, including shares subject to options, restricted share awards and outstanding warrants.
Keith
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Aug 17th, 2007 | 05:57 AM
#8
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Keith,
I saw this today as well. On a personal level, this is a great thing for Kansas City. In my opinion, Midwest provides a product that few other carriers can replicate. I hope this is the best business move for Midwest and that they continue to expand their non stop operations out of Kansas City as I will continue to fly with them more and more.
I saw this today as well. On a personal level, this is a great thing for Kansas City. In my opinion, Midwest provides a product that few other carriers can replicate. I hope this is the best business move for Midwest and that they continue to expand their non stop operations out of Kansas City as I will continue to fly with them more and more.
Aug 17th, 2007 | 07:20 AM
#10
Joined: Feb 2004
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Great news for current stock holders. Not so sure about customers.
TWA went private by selling to Carl Icahn in the 80's, who basically sold off the airline piecemeal.
UA's employers bought 55% of the company in the early 90s and all of that was lost during the recent bankruptcy.
TPG has a better track record, taking Continental out of bankruptcy in the early 90's. But CO was already bankrupted at that time. Midwest is not.
Not saying this won't work, just that things may not be as bright as it seems.
TWA went private by selling to Carl Icahn in the 80's, who basically sold off the airline piecemeal.
UA's employers bought 55% of the company in the early 90s and all of that was lost during the recent bankruptcy.
TPG has a better track record, taking Continental out of bankruptcy in the early 90's. But CO was already bankrupted at that time. Midwest is not.
Not saying this won't work, just that things may not be as bright as it seems.
Aug 17th, 2007 | 10:33 AM
#11
Joined: Mar 2003
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Would like to amend my earlier comment a tad . . .
"Not saying this won't work, just that things may not be as bright as it seems."
Exactly. Plus, a "silent partner" in this deal is Northwest Airlines, and one of the reasons they wanted this deal is to cement their stranglehold on the upper midwest.
While I still believe FL-YX was a bad idea, this may be a case of death by electrocution vs. death by hanging. Only time will tell . . .
"Not saying this won't work, just that things may not be as bright as it seems."
Exactly. Plus, a "silent partner" in this deal is Northwest Airlines, and one of the reasons they wanted this deal is to cement their stranglehold on the upper midwest.
While I still believe FL-YX was a bad idea, this may be a case of death by electrocution vs. death by hanging. Only time will tell . . .
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