ASTAR attempting to acquire ABX AIR
07-02-2007, 02:29 PM
#11
Gets Weekends Off
Joined APC: May 2007
Position: 767 Captain
Posts: 335
Hellecat,
Thanks for the update on the jet lag club. I just put them in my favorites so if I get to Narita, I'll keep them in mind.
As previously stated, we are ALPA. It's a big mess right now with the potential merger of the two seniority lists with Atlas. Too much to get involved on here. The company wants a merged seniority list but they also state that they want to keep the two companies -- Atlas and Polar -- seperate. Here's the press release on the DHL deal:
ATLAS AIR WORLDWIDE HOLDINGS SUBSIDIARY CLOSES ON STRATEGIC TRANSACTION WITH DHL EXPRESS
Purchase, NY - June 28,2007 -- </B>Atlas Air Worldwide Holdings, Inc. (AAWW) (Nasdaq: AAWW), a leading provider of global air cargo services, today announced that its subsidiary, scheduled-service operator Polar Air Cargo Worldwide, Inc. (Polar), closed on a strategic transaction with DHL Express that includes the acquisition of an equity stake in Polar for $150 million in cash and a landmark 20-year commercial arrangement, with opportunities for AAWW companies to provide additional service and for future growth.
The agreement provides the AAWW companies with a valuable, long-term customer and potential revenue stream in excess of $3.5 billion over the full term of the agreement. The commercial arrangement includes blocked-space and related flight-service support agreements, and will ensure DHL Express has access to aircraft capacity in key global markets.
With the transaction in place, DHL Express acquired a 49 percent equity interest, including a 25 percent voting stake, in AAWW’s subsidiary, Polar. Of the $150 million cash payment, $75 million was paid upon closing, with another $75 million to be paid in two installments, subject to acceleration should the blocked-space agreement commence prior to Oct. 31, 2008.
Under the agreements, DHL Express will gain access to capacity on six Boeing 747-400 freighters and one 747-200 freighter operated by Polar. DHL Express will also have access to additional capacity through wet-leasing of aircraft from AAWW’s subsidiary, Atlas Air, Inc.
“We are pleased to close on this significant transaction,” said William J. Flynn, President and Chief Executive Officer of AAWW. “We welcome DHL Express as an anchor customer for Polar and the opportunity to be a sizeable supplier of air cargo capacity to a dominant player in the express business. At the same time, we look forward to building on this relationship to meet the demands for future growth on some of the world’s most important trade routes.” “Completing this partnership with Polar Air Cargo is a strategic thrust instrumental in positioning DHL as the global express and logistics provider of choice,” added John Mullen, Global CEO of DHL Express. “It shows that recognizing and responding to the needs of customers are a reiterative process for DHL – we understand the importance of broadening the scope of our service offerings to stay ahead of the curve in view of the increasing demand for cargo routes between Asia-Pacific and the U.S.”
Thanks for the update on the jet lag club. I just put them in my favorites so if I get to Narita, I'll keep them in mind.
As previously stated, we are ALPA. It's a big mess right now with the potential merger of the two seniority lists with Atlas. Too much to get involved on here. The company wants a merged seniority list but they also state that they want to keep the two companies -- Atlas and Polar -- seperate. Here's the press release on the DHL deal:
ATLAS AIR WORLDWIDE HOLDINGS SUBSIDIARY CLOSES ON STRATEGIC TRANSACTION WITH DHL EXPRESS
Purchase, NY - June 28,2007 -- </B>Atlas Air Worldwide Holdings, Inc. (AAWW) (Nasdaq: AAWW), a leading provider of global air cargo services, today announced that its subsidiary, scheduled-service operator Polar Air Cargo Worldwide, Inc. (Polar), closed on a strategic transaction with DHL Express that includes the acquisition of an equity stake in Polar for $150 million in cash and a landmark 20-year commercial arrangement, with opportunities for AAWW companies to provide additional service and for future growth.
The agreement provides the AAWW companies with a valuable, long-term customer and potential revenue stream in excess of $3.5 billion over the full term of the agreement. The commercial arrangement includes blocked-space and related flight-service support agreements, and will ensure DHL Express has access to aircraft capacity in key global markets.
With the transaction in place, DHL Express acquired a 49 percent equity interest, including a 25 percent voting stake, in AAWW’s subsidiary, Polar. Of the $150 million cash payment, $75 million was paid upon closing, with another $75 million to be paid in two installments, subject to acceleration should the blocked-space agreement commence prior to Oct. 31, 2008.
Under the agreements, DHL Express will gain access to capacity on six Boeing 747-400 freighters and one 747-200 freighter operated by Polar. DHL Express will also have access to additional capacity through wet-leasing of aircraft from AAWW’s subsidiary, Atlas Air, Inc.
“We are pleased to close on this significant transaction,” said William J. Flynn, President and Chief Executive Officer of AAWW. “We welcome DHL Express as an anchor customer for Polar and the opportunity to be a sizeable supplier of air cargo capacity to a dominant player in the express business. At the same time, we look forward to building on this relationship to meet the demands for future growth on some of the world’s most important trade routes.” “Completing this partnership with Polar Air Cargo is a strategic thrust instrumental in positioning DHL as the global express and logistics provider of choice,” added John Mullen, Global CEO of DHL Express. “It shows that recognizing and responding to the needs of customers are a reiterative process for DHL – we understand the importance of broadening the scope of our service offerings to stay ahead of the curve in view of the increasing demand for cargo routes between Asia-Pacific and the U.S.”
07-02-2007, 05:18 PM
#12
Line Holder
Thread Starter
Joined APC: Jun 2007
Position: wishing i was still sipping rum on the beach, anywhere!
Posts: 98
thanks...
polar,
right back atcha! enjoy narita and give my regards to vincent, the owner of the jet lag club. he's a sabena pilot from belgium. i think he's sitting on a gold mine, only time will tell.
good luck with that merger thing, i'd rather tell my wife that those pants make her b@#@tt look too big than deal with that.
fly safe.
right back atcha! enjoy narita and give my regards to vincent, the owner of the jet lag club. he's a sabena pilot from belgium. i think he's sitting on a gold mine, only time will tell.
good luck with that merger thing, i'd rather tell my wife that those pants make her b@#@tt look too big than deal with that.
fly safe.
07-02-2007, 05:21 PM
#13
Gets Weekends Off
Joined APC: Mar 2006
Position: Completely Apolitical Nonsensical Slogan that has nothing to do with politics in the slightest....
Posts: 160
Or as a good friend once said, "You haven't lived until you've told your wife that your girlfriend's pregnant."
That's some food for thought....
That's some food for thought....
07-03-2007, 06:17 AM
#14
Line Holder
Thread Starter
Joined APC: Jun 2007
Position: wishing i was still sipping rum on the beach, anywhere!
Posts: 98
ABX internal response to ASTAR.....
Chief Pilot Perspective:
As you have probably heard by now, ASTAR Air Cargo Holding announced as desire to acquire ABX Air, Inc. Immediately below is a copy of the letter Joe Hete sent to all employees discussing this recent unsolicited bid. Further below is a copy of the ASTAR press release announcing the bid. Now you know what I know. That said, the best thing we can all do now is to concentrate on the task at hand—safely moving cargo and providing quality customer service—stay focused.
That’s it for this WIGO
Work Smart, Work Hard, Have Fun, and Fly Safe!
Mike
---------------------- Joe's Letter to the Employees for your reference ------------------------
June 29, 2007
Dear ABX employees:
As you may have heard, our Board of Directors has received by letter a non-binding indication of interest from ASTAR Air Cargo Holdings, LLC to acquire ABX Air for $7.75 per share, payable in cash. No matter what you may have heard, we did not solicit this overture, and we have not put the company up for sale.
Nevertheless, we are a public corporation, which means that our Board members have a fiduciary duty? or the responsibility to exercise a high degree of care ?to evaluate the ASTAR letter on behalf of our shareholders. They are consulting with independent financial and legal advisors, and will respond in due course.
Unfortunately, until our Board members complete their work, we simply cannot speculate on the outcome, or respond to ASTAR’s statements about its intent. Unlike ASTAR, which is privately owned, we are subject to federal laws that limit what, when, and how we may communicate with you and others at times like this.
However, I assure you that we are committed to keeping you informed about any developments, as often and as quickly as we can. I can tell you that rumors about a link between this overture from ASTAR and the possibility of ABX Air forming a new holding company structure for ABX Air are unfounded.
Please be assured that as our Board members consider ASTAR’s letter, they are aware that events like this are unsettling for you and your families, and leave you with many questions about the future. You should know that ABX Air’s outlook is bright, and that we regard our employees as vital for our future. You have done a wonderful job of building a great company. I encourage you to remain focused on keeping our company safe and successful by continuing to deliver high quality service that maintains the respect and confidence of our customers, shareholders, and communities.
When we have something to announce, we will make sure it is posted on our bulletin boards and in other locations as appropriate. If you have specific questions that are not addressed by the press release, please feel free to talk with your supervisor who can forward them on to Employee Relations. Alternatively, you may contact John Starkovich at ext. 62096 or email him at m0n3, or write the [email protected].
Have A Quality Day!
Joseph C. Hete
President and Chief Executive Officer
As you have probably heard by now, ASTAR Air Cargo Holding announced as desire to acquire ABX Air, Inc. Immediately below is a copy of the letter Joe Hete sent to all employees discussing this recent unsolicited bid. Further below is a copy of the ASTAR press release announcing the bid. Now you know what I know. That said, the best thing we can all do now is to concentrate on the task at hand—safely moving cargo and providing quality customer service—stay focused.
That’s it for this WIGO
Work Smart, Work Hard, Have Fun, and Fly Safe!
Mike
---------------------- Joe's Letter to the Employees for your reference ------------------------
June 29, 2007
Dear ABX employees:
As you may have heard, our Board of Directors has received by letter a non-binding indication of interest from ASTAR Air Cargo Holdings, LLC to acquire ABX Air for $7.75 per share, payable in cash. No matter what you may have heard, we did not solicit this overture, and we have not put the company up for sale.
Nevertheless, we are a public corporation, which means that our Board members have a fiduciary duty? or the responsibility to exercise a high degree of care ?to evaluate the ASTAR letter on behalf of our shareholders. They are consulting with independent financial and legal advisors, and will respond in due course.
Unfortunately, until our Board members complete their work, we simply cannot speculate on the outcome, or respond to ASTAR’s statements about its intent. Unlike ASTAR, which is privately owned, we are subject to federal laws that limit what, when, and how we may communicate with you and others at times like this.
However, I assure you that we are committed to keeping you informed about any developments, as often and as quickly as we can. I can tell you that rumors about a link between this overture from ASTAR and the possibility of ABX Air forming a new holding company structure for ABX Air are unfounded.
Please be assured that as our Board members consider ASTAR’s letter, they are aware that events like this are unsettling for you and your families, and leave you with many questions about the future. You should know that ABX Air’s outlook is bright, and that we regard our employees as vital for our future. You have done a wonderful job of building a great company. I encourage you to remain focused on keeping our company safe and successful by continuing to deliver high quality service that maintains the respect and confidence of our customers, shareholders, and communities.
When we have something to announce, we will make sure it is posted on our bulletin boards and in other locations as appropriate. If you have specific questions that are not addressed by the press release, please feel free to talk with your supervisor who can forward them on to Employee Relations. Alternatively, you may contact John Starkovich at ext. 62096 or email him at m0n3, or write the [email protected].
Have A Quality Day!
Joseph C. Hete
President and Chief Executive Officer
07-03-2007, 09:10 AM
#16
Gets Weekends Off
Joined APC: May 2007
Position: 767 Captain
Posts: 335
Well, one thing I do see in that announcement from you CEO is a thank you. Not that I need it but some people over here do. The only people our CEO seems to care about are the shareholders. He mentions it every time he puts something out. Here's one that makes me laugh, too. When you go to our company website and check the WEEKLY updates from our CEO, the current one is MONTHS not days OLD. 
07-04-2007, 11:15 PM
#18
Line Holder
Thread Starter
Joined APC: Jun 2007
Position: wishing i was still sipping rum on the beach, anywhere!
Posts: 98
anyone heard about an announcement of a new COO at ABX? heard it might be a guy from ATA, by way of AAR (aircraft repair company). anyone?
seems kind of weird if it is under a microscope for acquisition. maybe this guy is the trouble shooter who trims fat or "deadwood".
fly safe.
seems kind of weird if it is under a microscope for acquisition. maybe this guy is the trouble shooter who trims fat or "deadwood".
fly safe.
07-06-2007, 01:51 AM
#19
Line Holder
Thread Starter
Joined APC: Jun 2007
Position: wishing i was still sipping rum on the beach, anywhere!
Posts: 98
ABX Air Eyes ASTAR Bid
here's the web page for original article:
http://www.aircargoworld.com/break_news/07022007d.htm
now here is what it says:
ABX Air says it has hired a financial advisor and will evaluate a buyout offer from cargo airline ASTAR Air Cargo, its fellow provider of domestic air services in the United States for DHL.
ASTAR Air Cargo disclosed a bid this week to acquire ABX Air for $7.75 a share, a move that would combine the two carriers operating in the United States for DHL Express.
ABX said its board, "consistent with its fiduciary duties and commitment to enhancing value for shareholders, will evaluate this indication of interest as well as any formal offer actually made." The Wilmington, Ohio-based airline hired Goldman, Sachs as its financial advisor on the potential transaction and O'Melveny & Myers as legal counsel.
The ASTAR offer would be about a 7 percent premium on the carrier's share price earlier this week or, according to ASTAR, a 15 percent premium on ABX's average share price on the NASDAQ exchange over the past month.
ASTAR announced the acquisition bid Thursday by releasing the letter from ASTAR Chairman John Dasburg as Dasburg was preparing to meet with ABX President and CEO Joe Hete. That meeting was canceled, however, because of the public announcement.
ASTAR said it was disclosing the offer in advance because of "unusual volume and pricing activity in the market for ABX stock in recent days."
ABX's stock has grown more than 20 percent and trading in the stock has grown from less than 200,000 shares in past weeks to nearly two million shares on Monday. More than four million shares traded hands
ABX became an independent airline on the sale of the former Airborne Express to DHL and now manages a large part of DHL's air and ground operations out of the former Airborne hub in Wilmington, Ohio.
ASTAR shares the DHL domestic air network with ABX and recently expanded its outsourced flight contract with DHL when the express carrier took a 49 percent ownership stake, including voting stock of 24.9 percent, in the carrier.
http://www.aircargoworld.com/break_news/07022007d.htm
now here is what it says:
ABX Air says it has hired a financial advisor and will evaluate a buyout offer from cargo airline ASTAR Air Cargo, its fellow provider of domestic air services in the United States for DHL.
ASTAR Air Cargo disclosed a bid this week to acquire ABX Air for $7.75 a share, a move that would combine the two carriers operating in the United States for DHL Express.
ABX said its board, "consistent with its fiduciary duties and commitment to enhancing value for shareholders, will evaluate this indication of interest as well as any formal offer actually made." The Wilmington, Ohio-based airline hired Goldman, Sachs as its financial advisor on the potential transaction and O'Melveny & Myers as legal counsel.
The ASTAR offer would be about a 7 percent premium on the carrier's share price earlier this week or, according to ASTAR, a 15 percent premium on ABX's average share price on the NASDAQ exchange over the past month.
ASTAR announced the acquisition bid Thursday by releasing the letter from ASTAR Chairman John Dasburg as Dasburg was preparing to meet with ABX President and CEO Joe Hete. That meeting was canceled, however, because of the public announcement.
ASTAR said it was disclosing the offer in advance because of "unusual volume and pricing activity in the market for ABX stock in recent days."
ABX's stock has grown more than 20 percent and trading in the stock has grown from less than 200,000 shares in past weeks to nearly two million shares on Monday. More than four million shares traded hands
ABX became an independent airline on the sale of the former Airborne Express to DHL and now manages a large part of DHL's air and ground operations out of the former Airborne hub in Wilmington, Ohio.
ASTAR shares the DHL domestic air network with ABX and recently expanded its outsourced flight contract with DHL when the express carrier took a 49 percent ownership stake, including voting stock of 24.9 percent, in the carrier.
07-06-2007, 01:53 AM
#20
Line Holder
Thread Starter
Joined APC: Jun 2007
Position: wishing i was still sipping rum on the beach, anywhere!
Posts: 98
Polar, this is why they owe you a thanks!
Atlas Execs Get Boost From DHL
Atlas Air Worldwide Holdings' decision to sell an ownership stake in its Polar Air Cargo subsidiary will pay off for Atlas' senior executives.
William J. Flynn, AAWH's president and CEO, will get more than $100,000 worth of additional compensation, including a 10 percent increase in salary and 6,530 additional shares in a stock grant, according to an Atlas filing with the Securities and Exchange Commission.
Executive Vice President and Chief Operating Officer John W. Dietrich will get about $68,000 in compensation. The Atlas board approved the added compensation, according to the filing, "in connection with the new operations" Polar will undertake as a result of the agreement with DHL.
The express carrier agreed last November to buy a 49 percent ownership stake, including 24.9 percent of the voting stock, in Polar, a scheduled 747 freighter operator. Polar and DHL agreed after the stock purchase to share capacity on Polar all-cargo flights across the Pacific.
Flynn's compensation includes a 10 percent increase in salary to $715,000 annually and 6,530 restricted shares, which will be granted in three stages over three years. At this week's price for AAWH stock, that would amount to about $39,000 in addition to the $65,000 salary increase.
Dietrich will get 4,269 shares in three stages, worth about $25,000 at current prices, in addition to a 10 percent salary hike to $467,500.
Atlas Air Worldwide Holdings' decision to sell an ownership stake in its Polar Air Cargo subsidiary will pay off for Atlas' senior executives.
William J. Flynn, AAWH's president and CEO, will get more than $100,000 worth of additional compensation, including a 10 percent increase in salary and 6,530 additional shares in a stock grant, according to an Atlas filing with the Securities and Exchange Commission.
Executive Vice President and Chief Operating Officer John W. Dietrich will get about $68,000 in compensation. The Atlas board approved the added compensation, according to the filing, "in connection with the new operations" Polar will undertake as a result of the agreement with DHL.
The express carrier agreed last November to buy a 49 percent ownership stake, including 24.9 percent of the voting stock, in Polar, a scheduled 747 freighter operator. Polar and DHL agreed after the stock purchase to share capacity on Polar all-cargo flights across the Pacific.
Flynn's compensation includes a 10 percent increase in salary to $715,000 annually and 6,530 restricted shares, which will be granted in three stages over three years. At this week's price for AAWH stock, that would amount to about $39,000 in addition to the $65,000 salary increase.
Dietrich will get 4,269 shares in three stages, worth about $25,000 at current prices, in addition to a 10 percent salary hike to $467,500.
Thread
Thread Starter
Forum
Replies
Last Post
