Originally Posted by
coop77
I've heard a lot of speculation that Compass could be sold off to the highest bidder (Republic?) if the merger goes through. It seems like a very likely possibility since there's money to be made and DAL doesn't need another feeder in the mix. Any thoughts?
Just returned from my 4 day trip and there are many new interesting threads here, including this one.
Do you fly for Compass or are you thinking of going there? If you are thinking of going there from another regional now, it would be a risky move.
This is my guess based on information I have gathered by reading up on what aviation analysts are saying and by talking to pilots at the NWA. If the merger goes through, and if this fuel price keeps soaring like it has been, and all the indications are that they will be, I think Compass will be built up and then sold off. It will most likely be not sold to Republic, because NWA and DAL do not want to make Republic any bigger than it is. NWA/DAL will try to balance out the regionals. XJT, if they have the cash, may be a potential buyer. Alternate potential buyer that NWA/DAL will consider is another Major that wants a wholly owned regional.
Initially, NWA/DAL will operate Compass as a part of Mesaba Compass Holding Corporation. There's also been talks that Compass may be merged with Mesaba eventually. This would depend on what aircraft NWA decides to replace DC9s with. If NWA picks E190s as a DC9 replacement, Compass may be merged with Mesaba. If NWA picks Bombardier C Series as a DC9 replacement (I think this is more likely), Compass will be sold.