Tic-Toc, Tic-Toc JO
 

You have 26 cents to live!!!

God speed to the victims...

Why wouldn't they do a reverse stock split in order to prevent being delisted, others have done it.

So how does this delisting thing work? I've read that if you trade under $1.00 for 30 consecutive days, the process is set in motion. At that point, you have anywhere from 90 to 180 days depending on which criteria you're not meeting. The last time MESA traded for $1.00 or more was 5/06/2008. That means that on 6/06/08 they should have gotten the notice that they were in danger of being delisted if they didn't get their stuff together within 90 or 180 days. 90 days would have been 9/06/08 and 180 days would be 12/06/08 if my math is right.

Can somebody explain why they haven't been delisted yet and if they are going to be delisted in December or what? I'm confused as usual.


EDIT: After googling some more, I discovered that MESA has until 12/15/2008 to regain compliance or they will be delisted. That should be an interesting day.

EDIT AGAIN: It looks like MESA has to close above $1.00 per share for 10 consecutive days for the delisting not to happen. They also plan to request a hearing if they don't meet the requirements in time. The hearings take another few months, during which time I'm not sure if they get to stay listed on the NASDAQ or not.

For the most, it ultimately means pooling together shares by willing participates who have already seen huge losses in the past 3 to 4 months on a farm that has shown no sign of improvement with employee relations. It would have to combine at least 5 to 1 shares to keep from delisting...



The wretched truth about reverse stock splits - MSN Money

If you understand what a reverse stock split is why would you start a thread like they are going to be delisted tomorrow?

Investors primary concern has nothing to do with improvements on employee relations, it wants return on investmens. Becoming delisted wont make them any money so expect to see a reverse stock split like XJet did recently.

They have a shareholders meeting on December 22nd. That should be interesting. I say sell everything and just move on.

The stock could be the least of their problems.

I have a really hard time grasping what happens when a company goes bankrupt. Can anybody shed some light on what might happen to mesa should they have to file for bankruptcy? Are they basically done at that point or will they hang around for a long time after that? It seems like the pattern for airlines is that you file for bankruptcy, go to court and get all kinds of restructured and continue on, hopefully succeeding and coming out of bankruptcy a stronger company.

It just sounds like we're near the end of Mesa, but i think the end might really just be the beginning of something else.

When a company enters Chap.11, they list all their debt outstanding and who the creditors are. The companies first hurdle is to prove to the court they have enough money to continue operations or otherwise obtain DIP financing.
Beyond that is all becomes a court brokered negotation on re-negotiated costs and writing off what debt they can. Eventually the company comes to a sound restructuring and exits from the oversight of the courts and back into the public realm.

There is no way mesa would survive a charter 11. United, USAirways and Delta all have an out in their contracts if Mesa files bankruptcy. This is confirmed in Mesa 10k filing from last year.

If Mesa files Chapt. 11 then Delta will pull their contract, and so will US Air. Not sure about United but both Delta and US Air dont want to have anything to do with them anymore. If Mesa goes bankrupt then its basically over for them.

Whats the point in the shareholders meeting, if the date that they will be delisted is before it?

Maybe they're going to appeal.

That's the old policy. Now the U.S. Bankruptcy Court requires DIP financing before the company can even file for CH.11. No DIP your going to CH.7! I really don't think JO can get DIP if MAG were to declare bankruptcy. I mean it's not like MAG is an integral part of the airline trasportation system like say Delta or American are. There are plenty of players to pick up the routes and contracts flown my MAG, so it's not like if MAG were to go into bankruptcy there would be a huge halt in flights across the U.S.

This is a critical point. Naturally nobody wants to be contractually locked to a bankrupt regional feeder, so that is a routine contract clause.

With everyone looking to unload regional capacity in general, (and mesa in particular) a Ch.11 filing would provide an easy out for DAL for sure, USA almost for sure, and probably UAL as well.

Loss of even one major codeshare combined with very low propsects for DIP financing would almost certainly cause a judge to shut them down if they file Ch.11.

For this reason I think JO will not intentionally attempt to use Ch.11 as a reorganization tool. He'll probably go kicking and screaming straight into Ch.7, following FBI raids on the Crystal Palace.

Boy there's a lot of dirt and skeletons in every crevice of that building waiting to be found!;)

What's the best case scenario for mesa? I'm thinking with all that they owe and their contracts up in the air, there is none.

Best case is they start selling stuff..Would they rather keep GO! or there United/USair flying. I think they could sell off there east coast flying to AirWilly and maybe The west coast flying to SkyWest. Or its a free for all when they fill Ch.11. Or someone puts up allot of money and bails them out.

And we think there's a lot of 121 guys on the streets right now....wow.

Yup, there will be alot of Mesa pilots on the streets. But they maybe able to find another job relatively quick becasue their will probably be airlines calling back and maybe hiring to cover their flying. PSA, Piedmont, and Air Wisconsin would get alot of their guys back for the US Airways flying. Im sure Skywest will cover the United side. Mesaba will hire more pilots becasue Im sure that the Delta flying will go to them and not Comair. If they do give it to Comair then they will get to recall their pilots. RAH will probably get all of their pilots back.

I can't believe how bad my decision to go to Trans States was. I thought I was doing a good thing by not accepting the offer from Mesa. If I'd gone to Mesa, I'd at least still be flying. Crazy how this industry works.

Well it's refreshing to see some optimism on this board every once in a while.

If Mesa goes under, that's almost 1,500 pilots on the street. I work at an airline flying Cessna 402s and have seen former ATA, Air Tran, American, and Eos pilots applying for jobs. I'll be the first to admit that it's a great place to work, especially in the current state of the industry, but if those guys can't find another job right now, I can't imagine the thousand plus Mesa pilots finding work as easily as you imagine.

Mesa going under will leave a void, but it won't be large enough to create jobs for as many pilots as it puts out of work.

I don't blame you, the period from late 07/early 08 TSA was booming, they told us a year upgrades and no reserve out of IOE. You'd have to be crazy to turn that down for anything else. I didn't really do my homework either, I just saw what was happening and I wanted in. I had no idea how badly TSA management had positioned the airline to basically crumble badly if something went wrong like it did this summer. Still learned a valuable lesson though, always think about the future, not what's happening at that time. Also TSA apparently had a history of repeatedly furloughing guys with no regard, things you find out later I guess.

heh.

I went to TSA instead of Mesa because I mentioned going to Mesa to a few people I know and got hell for it. Mesa this, Mesa that, if you value your career, you won't go to Mesa, if you want to be alive in a year, stay away from Mesa... etc. I'm not saying Mesa is perfect, but most of the gripes I've heard regarding Mesa are ones that exist at nearly every other regional.

I guess it serves me right for taking advice from people with an agenda.

Well, they did lose almost half of the pilots in 07 and 08 and are current mesa refugees all over the regionals including Skywest, xjet, RAH, they do have the worst contract in the industry, and they might go into liquidation so in fairness to your friends they were probably on to something.

Thinking and preparing for the future doesn't work either brother. Nothing does in this industry it's all the luck of the draw.

I guess the only downside to Mesa tanking would be that the APC forums would get really boring and the threads would be less abundant due to us all knowing the fate of Mesa........:D

Yeah, I know I'd still be flying there though. I interviewed with a guy who I still occasionally talk to and he got the class the month after me and he's still flying. I think he's the absolute lowest guy that didn't get the furlough though.

I know the grass always seems greener on the other side...but at MESA??? Trust me, you're better off furloughed from TSA than rock-bottom reserve at mesa in IAD.

Besides, mesa is a house of cards right now...as soon as anything goes wrong, they are done. And they have not one, but FOUR impending train-wrecks that I can think of: Delisting (Dec), Bond Payments (Jan/Feb?), Aloha Lawsuit (Spring), and DAL Termination Lawsuit (Spring?). JO's pretty slippery, but I doubt he can dodge all of these...

TSA Furloughs?
 

For the TSA furloughs...

Are you guys being offered gojet jobs?

What is the thought process on that right now? I mean if they are going to bleed TSA down to nothing anyway, I'm not sure I would it against a legit TSA pilot if he had nowhere else to go at this point...

I dont get why so many people want mesa to fold. Why dont people encourage them to get a better contract and be more supportive? There are many airlines that have crappy contracts
TSA
Pinnacle
Lynx
Colgan
CommutAir
I am sure the list can go on...
We do not need more pilots on the streets!!!

Anyone who knows anything about the airline biz wants to see...

1) OJ out of this industry.

2) Definitive proof to the business community that his model of lowest-cost by cheating, theft, and abuse does not work. Ultimately your employees make or break you, and there are many folks out there who have lost sight of this fact and need to be reminded...OJ will serve as the best object lesson to the others.

Obviously the best scenario would involve OJ and friends getting booted by the shareholders, but somehow I don't think it's going to happen...I think he's going down with the ship.

As for right now it looks like that rumor was true but management decided it was cheaper to operate 145s rather than crj2. As of right now there is no plan to downsize TSA, in fact management is talking about adding uax and airways by next spring........ I doubt we'll be able to call back all the furloughs by next spring unless there is some pretty good attrition the next few months.

Dont forget Mokulele Lawsuit. Saw it posted on here. :rolleyes:

Sadly, I chose to interview there but luckily was not offered the job. I sort of got into an argument with the CP during the interview because I thought he was out of line with his questioning. I know another guy who got fired during the first week of class for making a joke about Hulas. He has been told the real reason he was fired was because somebody in the company has a grudge against him and asked management to get rid of him. He's now glad he's not there. So to answer your question, furloughed TSA guys are sort of getting preferential interviews and I know a couple that have been hired, but the company is crap, the CP is a cum dumpster, and I feel better off on the street than at GJ.

What did they ask you?

I had a goatee at the time of my interview and the first question was, "why would you show up to an airline interview with a beard?"

I gave somewhat of a smart ass answer along the lines of "I didn't think I'd be donning an oxygen mask during the interview to save my life and the lives of a bunch of people sitting behind me."

I guess for future interviews I'll show up in in my uniform, epaulets and all. Obviously the only way you can prove you are a pilot is to be dressed in uniform, ready to fly a plane that second. I dunno, some people have told me it was dumb of me to to show up like that but I disagree and think the question was out of line.

I think part of the guy's problem with me was that I was not wearing a suit. I was wearing dress pants, shirt, and tie. My suit I bought for my Trans States interview back in January doesn't fit me anymore since I've lost 70 pounds and I'm too poor to buy another suit. I guess they got the impression that I wasn't taking the interview seriously when in reality I'm just poor and they're out of touch with reality. Oh well, I'm very very glad I didn't get hired.

Delta's appeal against the injunction has a court date of January 26th.

What happens if they win that?

Delta will cut them off immediately and JO will have to find a new home for 25 ERJ-145's