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Old 07-16-2009 | 03:50 PM
  #74  
JeremiahWeed
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Joined: Jun 2009
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Originally Posted by 3XLoser
A little research? There hasn't been any from ANYONE!

Midwest stopped making payments on the airplanes under the "shock and awe" negotiating strategy of the consultants that were hired by the new owners (TPG). Then they went to Boeing and Rolls Royce, and told them what they were willing to pay for the airplanes.

Boeing agreed. What else were they going to do with 25 717s?

Midwest's CEO said, "wait, let's come back tommorrow, and talk about another five grand lower per plane per month."

The next day Boeing said' "just give us back the airplanes."

Oops. Midwest had to find some airplanes QUICK! Frontier just broke Republic's contract, so they had 12 airplanes that could fly in two months. Midwest pulled back to a 21 airplane schedule, so Boeing let them keep 9 on short term leases. Meanwhile, all 25 were on the market, and Boeing found a customer. A dios.

Arrogance was the reason why Midwest was flying 9 airplanes, but some people seem to think that they're saving a dying airline. If that was really the case, why did the park the airplanes with the lowest seat mile costs, 5 of which they owned, and the others were on property for lunch money? Maybe because this deal was 13 months in the making, and MD-80s weren't part of the plan.

Stay tuned kids.
Was my point. There is these big misconceptions that RAH is responsible for YX's demise and those few that think RAH is saving a "dying airline." Mean while back at the ranch, YX's demise was in process even before RAH came along. While I'm sure RAH didn't help matters the vast majority of the blame can be placed squarely on the shoulder's of YX's management and TPG.

Unfortunately, when you lease the vast majority of your fleet you're at the mercy of the lessor.

Joker