Umm...Preview Post?;)

I think that was part of the joke.

[quote=OscarOscar;535901]Was their a statement made cause that didn't make any cents.

Umm....Preview Post?

Yea......I'll spend time worrying about my proff reading on this rag.....see.

You are right. I've dealt with the SEC on businesses before and this is, very much, borderline fraudulent if not completely. There is no, legal, document that JO can produce for current holders or future consideration that would conclude that holding that stock vs. cashing out is a good idea. There is way too much legal disclosure required to make this pig look good.

You're a quick one. I guess I'll have to make it a little MORE obvious next time.









OO.

The note holders didn't have a say on how XJT pays them. XJT had the choice of paying them cash, stock, or a combination thereof. XJT had said in an SEC filling that their intent was to pay in stock only. The XJT note holders' only option was to take the shares or keep the notes at a higher interest rate. XJT only offered the higher interest rate notes in order to entice some of the note holders to stay put and prevent all note holders from requiring XJT to repurchase and possibly requiring bankruptcy protection because of their current cash position. The note holders never had a say or had a choice in getting paid with cash only. This was decided by a vote of the shareholders. In the end, some note holders requied XJT to repurchase the notes with stock and others opted to take the new notes at the higher interest rate.

tpersuit it really depends on the conditions set when the deal is made. If the note holders thought the stock was going to be worth something they'd allow it as payment. Hindsight being 20/20 I bet there are few that would rather eat dog food but it is what it is. Either way I doubt Mesa will be around much longer. I give it two months before drastic events start happening. During 2008 they never released any of their quarterly reports on time. This usually happens for a few reasons. One of which being a nice coverup.

I wouldn't be surprised if JO doesn't get investigated after this. Look for Mesa to come out with one MASSIVE loss at the very end that they can't account for. People will be asking how this debt all the sudden appeared and then they'll probably start digging through JO and his wife's stock purchases and sales along with business practices. They already don't have enough cash on hand to hand all the legal fines. I think JO's way of business right now is simply to jerk around as many people he can so when the penny drops there will be a zillion lawsuits from so many directions that no one will know where to start or be able to trace the money meanwhile he's already out of the country or enjoying life on some retreat of his.

You're right, I'm not sure why I thought we repurchased the amount with cash. We did work out a deal with the Note Holders though, because they could have demanded it all paid. We paid off $58.9 million with stock and renegotiated the last 69.3 million at 11.25%.

Aviation Today :: ExpressJet Reports Expiration of Tender Offer and Notes to be Repurchased
ExpressJet Holdings (NYSE: XJT) today announced the expiration and results of its tender offer with respect to $128.2 million aggregate principal amount of its 4.25% Convertible Notes Due 2023.

The Paying Agent, The Bank of New York Mellon Global Corporate Trust, reported that $58.9 million in aggregate principal amount of outstanding notes had been validly tendered for purchase as of 5:00 P.M. Eastern on July 31, 2008. As a result and pursuant to the terms of the tender offer, the company will issue 161,494,295 shares of common stock in payment of the repurchase price for the principal amount of the notes validly tendered and to settle accrued and unpaid interest due August 1, 2008.

Following the completion of the tender offer, the company will have $69.3 million aggregate principal of its 4.25% Convertible Notes due 2023 remaining outstanding. Noteholders of record on August 2, 2008, will automatically receive the benefits of the supplemental indenture that becomes effective the same day. From August 2 forward, the notes will be referred to as 11.25% Convertible Notes due 2023.

Toilet, the sad thing is that we could have another Bernard Madoff situation here and the authorities won't do anything until everyone gets screwed below him.

If there's any justice in this world, hopefully JO and Madoff will be able to share the same cell.

Can't think of a logical reason to consistently send out late SEC filings, unless there is something Mesa doesn't want the shareholders to see.

*************

I guess US Airways figured out the JO is a big crook.
From CNBC:

Jan 13 (Reuters) - Mesa Air Group Inc: * Says received notice of US Airways Group intent to cut one CRJ-200 in January 2009, one in July 2009 and one CRJ-200 in January 2010 * Sees US Airways to continue to further cut number of covered aircraft in accordance with pact - SEC filing * Air's auditor says expressed adverse opinion on co's internal control over financial reporting because of a material weakness ((Bangalore Equities Newsroom; +91 80 4135 5800; within U.S. +1 646 223 8780)) (For more news, please click here) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved.

The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.

Mesa 4th. quarter 2008 earnings

Mesa Air Group - Press Releases

Listen to JO's conference call at Noon ET:

Mesa Air Group - Event Details

statement....more like a rant of my perspective on Mesa being a poor company.

And it can't be said that any company is like this.

Doug Parker has never been a fan of OJ...he inherited him. MAG loaned AWA money when they were in BK in the 90's, in exchange mesa got a long term contract. Parker has just not been able to find a way out of it yet. It expires in 2012 and has some early-withdrawal provisions for a few aircraft...which Parker has been executing like clockwork for the last several years.

Unfortunate situation for everyone
 

I didn't want to dive into a Mesa Bashing thread....but I wanted to read this because I did not know the outcome of the shareholder vote. I have a little better idea 5 minutes later....but not a much better idea. It sounds crazy what is being done to keep the company alive.

I am surprised to see people question why all non-mesa employees are eagarly waiting for a knock out punch. Quite simple and non-emotional, the ultra-low cost pilot contract that was ratified six or seven years ago invalidated the Comair strike and initiated negative pattern bargaining. (That is everyone bidding below everyone else to retain work.)

The negative pattern bargaining forced people to look themselves in the mirror and acknowledge something that they may still wish to aviod...
The fact that all airline seniority lists are nothing more than pyramid schemes. The only reason a senior captian can enjoy good schedule and good pay is because there are many below him that get poor schedule and poor pay.
The antidote for a company that does not want to pay senior labor costs is to simply employ a "portfolio concept" and introduce a younger cheaper company to the market. Negative pattern bargaining continues. Management is never forced to actually manage....or improve the product, they simply have a relatively stable (certainly not increasing) price and they work to lower cost to increase profit. Most industries try to offer a better/more reliable product and increase profit by charging more for it.

There will always be a "bad guy" in this arrangement. Mesa is obviously the bad guy.

I personally have suffered a downgrade, and my company has furloughed as a result of the judges stay. If Delta was allowed to dump Mesa as they had wished....this may not have occured. Comair as a whole has lived under the assumption that all the pain we are feeling is a direct result of mesa flying in Delta paint.

I was a afforded the opportunity to speak to Jon Bedoritis...the new and fifth president Comair has had in 6 years, and learned that this sentiment at Comair (and truly..industry wide) is not entirely accurate. Bendoritis said that he personally believed that Mesa would not survive beyond the first quarter 2009 but that he has been told in meetings in Atlanta that NOBODY will benefit from thier banckruptcy because ALL of the Mesa flying for DCI is MARKED FOR DELETION from the Delta system.

To read this another way.... if Delta loses the lawsuit and JO can actually raise the cash to keep the corpse alive..... ALL other DCI carriers have the potential to suffer. Most specifically would be the wholey owned (Comair, Mesaba, Compass).

OOOOHHHHHHHHH I'm tellinnnnnnnnnn!!!!!!!

Not exactly true. If DAL can unload mesa right now, I'm sure they will just use it as a capacity cut. But when things turn around, that's more flying available for the rest of DCI. And a slightly higher lowest-common-denominator.