Originally Posted by
seafeye
So mesa goes into BK and does everything to get rid of 50 seaters. Then when exits BK they buy an airline with 75% 50 seaters?
Yep, we can discount this rumor.
Ya know, I thought the exact same thing. However, let's look at this scenario:
"Hey, O. You need our contract and some cash to exit BK, right?"
"Yea...."
"Well, I'll give you the contract, at a reduced rate, and we'll give you some operating cash..."
"Ok....."
"So here's the thing, I know you can drop contracts in BK. So offload a bunch of 50 seaters, because you have to take PSA, too. Don't worry, we'll float you the loan. You keep the 70-seaters and 90-seaters and do whatever with those dang 200s. I'm sure we'll use some, but again, at a reduced rate."
"uhh....."
"Did I mention we'll take 10% of Mesa, too?"