HermannGraf

Thinking about XJT and how their stock is doing................maybe the SKYW offer was not that bad after all (I for one did not understand the offer at all looking at the value and future of XJT).......maybe they should have accepted that 3.50 offer immediately.........

The XJT stock is 1.70 on the after hours market.
The market cap is now 83.49M
If Skywest really wants to buy it....what prevents them from start buying stocks a float on the market?

I know that it would have been a hostile move if they would have done it before presenting an interest and an offer but now that the offer seems to have been a very good one at 3.50 and was turned down by XJT... why not start buying on the open stock market?........they may not get all they want but the volume today was 5.4M and that is like 10% of all the stocks.

I dont see that buying XJT would be a good idea for SKYW. Why do it at the moment when the value of XJT is going down, down, down?

SKYW already know they will get the flying from Continental, they already received the 145 certificate from the FAA so they can operate the 145 owned by Continental so what would they gain from buying XJT at the moment?

I know that XJT has enough cash in the Bank that the deal would pay itself and maybe that is what is behind the interest from SKYW but SKYW would be taking over the responsability for XJT that is loosing the Continental contract and will be facing a tough, very tough future........

why should SKYW buy XJT? anybody have an opinion?

doug_or

SkyWest will no necessarily get CO flying if the can't buy XJT. I believe all XJT has to do is match SKW's bid to keep the flying. SKW doesn't want to just buy the stock because they would be bound by the XJT pilot's scope clause.

duvie

SKW may not get the flying if XJT keeps the airplanes and bids lower, but this move by CAL may not be about the money. I don't think there was a price XJT could have given CAL two years ago to keep the flying that was awarded to CHQ.

flyboyzz1

I don't think they LIKE xjt ie. ****ing match

Flyby1206

It would be much easier to just buy XJT since they already have all the pilots, bases, training programs/facilities for their flying. Also it would give SKYW a HUGE amount of control over the entire regional airline market as a whole. Im sure SKYW is positioning for the future if/when scope is relaxed and CAL RFPs for 70+ seaters are up for bid.

rickair7777

I did not think the SKW would go after XJT either.

The biggest downside is all the fifty-seaters, followed by restrictive pilot contract language.

In retropsect here are some factors which favor an acquisition attempt:

- CAL flying could be worth a lot of money long-term.

- Fifty-seaters suck right now, but CAL scope doesn't allow anything else so they at least have value in CAL-land.

- Market cap is low, so it would not cost a fortune to acquire.

JoeyMeatballs

Maybe SkyWest is getting somewhat nervous at the fact that UAL is on the verge of Bankruptcy and then they do go under they can hack up their CPA with SKywest, then where where will that leave their precious pilot group???????????????oh I know they will just take the CAL flying and furlough Express guys...........

make no mistake about it, CAL is probably more interested in this deal then SkyWest

rickair7777

Diversity is always a good thing.

Historically, skywest CPA's have ALWAYS been reaffirmed very early in the BK process. Both DAL and UAL appeared to want to retain SKW rather them than leave them nervous and looking for other uses for the airplanes. If a BK company does not reaffirm a contract, the OTHER party can leave anytime they like.

There's no indication that UAL wants to get rid of SKW. Actually I would be more worried about a UAL liquidation than anything else.

tpersuit

I really think this deal is about Skywest's problems and trying to prevent it's self from getting hurt. They are at much of a risk with Delta and United as we are with CAL. Trying to say Skywest pilots are in a better position than the XJT pilots is a wash. Remember, things can change on a dome, just ask the guys at RAH.

tpersuit

Couldn't be happier that we have one fleet of 50-seaters. They cost less per hour to operate than any 70-seater out there. Also as fuel rises, you need to increase your ticket prices a ton. Any 70-seat market those 50-seaters were turning into are reverting back to a 50-seat market. Until you invent a 70-seater that burns the same gas per hour the 50-seater will NEVER DIE.