So its not a merger with Frontier. Its still just Spirit but with a different owner. This way if it fails Frontier isn't burdened by the debt nor the employee bloat from bringing over all the employees. Indigo could just sell assets to Frontier and not transfer any employees over.

My question is why do the bondholders of Spirit just have the assets go somewhere else and not liquidate them to replay what they are owed?

What will the SLI look like?? I’m gonna get displaced to Siberia or who knows what.

Or even worse, Cleveland.

It will never get that bad

The big question is how F9 handles all of the NK debt. F9 is not rolling in the dough by any means and it gives thought to the Biffle departure from F9. I think F9 is better buying assets than the whole chunk to avoid major strain on the balance sheet. Time will tell and time is not on NKs side. NK really doesn’t have room to negotiate and F9 would essentially be buying a boatload of debt. Still begs the question, why? Is F9 just trying to take a look at the books? Or does F9 want to be strategic about what parts they want to avoid employee integration? Maybe they just want to roll the dice and take it all? We will know shortly. If F9 backs away, I do believe NK liquidates.

it could be a merger, just one on Franke’s timeline. Or Franke could sell off the pieces he wants to Frontier and scrap the rest, including the pilots. Cheaper to hire new pilots on the bottom of our pay scale than it would be to have an SLI and bring guys over at the top. Knowing Franke it’s something he would do. He hasn’t forgotten they went on strike on him and he’s petty enough for pay back. Teach us F9 guys a lesson as we continue our negotiations, too. Yeah, I’m a pessimist this morning.

its going to be a merger and the ALPA Merger Policy will be in full effect. Definitely a better deal for NK guys than current F9 but the good news is no “synergies” reached until JCBA is done

ALPA merger policy is nothing more than a guide. It’s up to each pilot group and the mediators to determine an SLI. Unfortunately NK is negotiating at a disadvantage being in bankruptcy. I can see attrition accelerating even more over there to the point there will be so few pilots it would make sense for Franke to simply sell the assets to F9.

The VAST majority of integrated seniority lists have been created through binding arbitration, which is dictated by ALPA merger policy should a negotiated list prove unattainable. The arbitrators must craft their list within the constraints of merger policy. It is far more than a guide.

Frontier will take the planes but not the pilots. Essentially Frontier will continue its hiring spree of pilots while adding Spirit planes to the operation as quick as they can repaint them. Spirit will be wound down and shutdown at a rate that keeps yellow planes flying while waiting for integration into Frontier. Spirit's CBA, even with the paycuts, needs to be destroyed to keep Frontier a viable business.

Essentially, Frontier will be like a SkyWest but with A321s. Low pay and low benefits.

Pretty sure most of the planes are encumbered, so that isn't really possible.

They're leased and will come over with the leases. Those owned by Spirit will be severed from encumbered debt through a 363 asset sale.

lol wutttttt? Lol

you understand there’s some massive differences between us an Skywest right?

No? Doesn’t surprise me.

Even Republic didnt understand the differences between us and them. Lol

If Frontier buys over 51% of assets, you are taking the unionized employees as well onto your seniority list per McCaskill Bond. Then you will do an SLI in accordance with ALPA merger policy.

If your holding company buys Sprit and tries to do this the same thing applies per case law.

Only if Frontier buys less than 50% of the total assets can they choose to not bring over any employees.

It is really pointless to speculate on what frontier will do at this point. The one thing we know is this. They have been orchestrating this possible scenario for a long time. In the end of the day, they will and are making moves that directly benefit them and them alone. Whatever they need to do to manipulate the situation for them they will do. I am sure they are meticulously reviewing exactly what lines they need to stay between to influence the exact outcome they want. Unfortunately, this will not benefit any of us. What is good for us, cost them money. Hold on, I think we are about to see just how manipulative this group can really get.

Its something like 78 financed and 28 leased currently over at spirit.

Yes, this.

A merger/acquistion is 50.1% of the company's assets (whatever those assets may be). It's difficult to know exactly what Spirit owns vs. what they rent but there isn't really that much that they possess that F9 needs. Acquiring a training facility (whether it's owned or leased), some offices, maybe a few sims and some aircraft leases is only attractive if obtained pennies on the dollar. TBH, the last thing F9 needs is aircraft and pilots aren't really a problem now either. Most NK pilots already have apps out and would probably be gone by the time it takes for a full SLI.

F9 needs gates more than anything else.

The leased planes are capitalized on Spirit's balance sheet. Even though they don't own them, they are assets attached to Spirit. Just like Spirit's liabilities includes the leases.

So whether those planes are leased, owned or financed, they are all "assets", per se, and part of the calculation of the total %.

How deep are the furloughs and downgrades at NK and how would it affect a JCBA and SLI if a merger is announced?

Had north of 3500 pilots at Spirit when this started. Down to about 2100 by month end. How many are furloughed vs resigned I’m not sure exactly. Furlongs have been stapled I believe in past seniority list integrations.

Does Frontier ALPA have a merger fund you’ve been building. I think Spirit ALPA has about $2million for the cause.

The way the pilot market is nowadays...people worry to much. With legacy retirements and hiring at the big 4 which is causing attrition to increase at NK and F9 then add the order book between both airlines and growth, there will be soooo much movement at the combined airline in the coming years. Whoever might see a slight hit during SLI wont even matter, nobody will notice a thing. Upgrades will explode, hiring will explode. I wouldnt worry anymore what will happen in SLI. Pilots are needed everywhere. Nobody will actually take a hit in QOL due to the crazy movement. I truly think a stronger F9 is a good thing... its bigger scale quicker. NK debt wont go with F9 after a deal closes. This is a good thing, not a bad thing. Everyone relaxxxxx LOL

Back to Topic…….
hmmm slender man has quite the temper…..maybe he went off on Frankie?
DOH!

https://www.yahoo.com/news/us/articl...172350457.html

Any relation to Barry?