Originally Posted by
Rightseat Ballast
In reality though, with everyone looking to reduce regional lift, I think any regional that filed Chapter 11 would have a hard time exiting unless another airline bought them. Look at Frontier. Good company, profitable while in bankruptcy, positive future, but only other airlines would give them a serious look. And any regional is far less attractive to purchase than Frontier was. As for Mesa, I think if one partner decided to end its relations with Mesa, that Mesa could not sustain itself anymore. The margins are too thin.
Exactly, that's what I am saying. That for a regional, it would be very hard to come out alive unless someone buys them, kind of like Mesaba. But they were sort of set up for that scenario because in their case NWA obviously saw them as very valuable for their region of flights as well as for interests like Compass. For other airlines like Mesa, which have multiple partners looking to get rid of them in court, filing BK would be crazy but it would also be as risky as not filing.