Getting bought by SKW now would probably be good for you guys. Your union and contract would be unaffected...which is not the case if things turn south later and you enter ch.11 before being bought.

If you get bought now, the branded stuff might go away, but JA would probably have some other scheme in mind to utilize the assets. What that would be, I have no idea.

in the world of airline mergers, the smart ones are the sellers...

Skywest may see some value in acquiring ExpressJet, but what that value is I do not know. Most people would shy away from buying control of more 50 seat jets, and the branded flying is a risky proposition that could be a huge liability as fuel costs rise. About the only benefit I see to buying ExpressJet is "buying" the business relationship with CAL. This is what Pinnacle did by acquiring Colgan, though they bought relationships with USAirways, United, and Continental for 20 million, not 200 million.

I see Skywest trying to get their foot in the door with CAL, much like CHQ/RAH did by going after some 50 seat flying under less than ideal terms. Skywest is a solid company with capital to acquire more 70+ seat jets. RAH's goal in flying 50 seaters for CAL was to trade up to 70+ seaters in short time.

Conclusion: SkyWest smells scope relaxation at CAL in the future, and wants to be positioned to make a deal with CAL when that happens. RAH is already at the party, and ExpressJet holds the only other invitation...

I don't know about that, you can expect branded to be dumped asap followed by the delta pro-rate with jets deal, as both are the reason xjt is bleeding so much cash. They would probably get rid of about 40 airplanes when all is said and done and you know what that means.

True, but ASA was STILL able to push a contract through. Whether or not SkyWest owning them affected much of it, I don't know. They HAD been in negotiations for YEARS even before they were bought.

The difference would be the differing fleet types. I guess SkyWest could funnel the planes to their side (a la EV's airframes), but it would be expensive for them to spool up a 145 program just for that purpose alone.

I suggest a little research before you go posting making a fool of yourself. The pro-rated deal with Delta is still generating a profit.

Guys here's a big reality check for some of you. IF (and that's still a pretty big IF) skywest was to buy XJT it would be a short/mid term loss for skywest, hence the low ball offer on the table to offset the cost that would be incurred in the acquisition. Based on that, I believe the forces that be at skywest will not tolerate the gamble at higher sticker price.

I guess they thought our stockholders/management were going to roll over and say "oh thank you for saving us".....

nice try though!

Usually skywest waits for the firesale anyway.

Maybe they should look at MESA then, they're a little closer to that.:rolleyes:

Not gonna happen.

Oh and by the way, CONTINENTAL holds the poison pill. No one can buy XJT without their say...now you guys think about that.

Well when you guys don't lose 20% of your market cap per fiscal quarter I'll believe you a little more.

Whats to say they aren't the ones pushing this? This happened 3 years ago when Skywest was given an offer they couldn't refuse for ASA.

Why would Continental care if SkyWest bought ExpressJet, as long as the flights continue to operate as normal?