Originally Posted by
iPilot
So they poured all that money into Midwest leading up to bankruptcy, bought them outright in bankruptcy, and now have all those pilots to integrate....just to drop the whole thing. Brilliant.
RJET didn't pour any money into Midwest. They loaned them very small amounts, and then they purchased the remaining entity from TPG. TPG reduced the amount of the purchase by an amount greater than what RJET loaned YX. The existing debt has already been cleaned from the RJET balance sheet. Bedford basically stole Midwest, but he purchased Frontier for an even greater deal (a little more than $200MM below estimated value).
Midwest never filed BK, and therefor was never purchased outright in BK.
While I am biased about the Frontier name surviving (I am a F9 pilot), it was a sad day when the last original YX plane stopped flying, and it will be sad when the last RJ gets repainted. It was a truley great airline once upon a time with some of the best flight crews in the business.
RIP Midwest Express.