Yup. Indigo can afford to pay in stock as they hold a overwhelming majority of shares in ULCC. They could certainly get a loan and finance it like B6 is doing, but that’s much more expensive. F9 just has the option to pay in stock which is much cheaper, B6 doesn’t have that option.

I believe Indigo will still be the majority shareholder in the new company if it eventually goes through. They’d have full control. BOD and shareholder.

 

You could very well be right about this. But it’s still in the hands of the shareholders. Nk bod and Ted have looked like absolute fools in all this. How much goodwill is left for them to support F9?

 

I’m sure they have D&O insurance. They won’t be bankrupted.

 

yeah, only Pilots of Spirit get sued 😂😂

 

Are you saying that NK cannot survive, or even become profitable, without being bought out by F9 or B6?

While we wait, it’s business as usual. Any other summer. I see the anecdotal “but it’s a rudderless ship and no one leading the crew” thing all the. Shall I dig up last summers threads? Or even an other airlines threads for that matter. They’re all the same. Pilots complaining about the failures within management. What else is new?

 

Where did he say anything close to what youre insinuating? He basically says that the other airlines are probably taking a wait and see attitude when it comes to making moved because of the fact there could be a large swing in the domestic air travel market very soon. You dont think UAL, DAL, SWA, or AA are all watching to see if they will have to deal with a larger JBLU, a huge ULCC or status quo as before? Of course they are.

 

I wasn't saying anything about NK's survival; you're correct.

But none of the three airlines can make any long range plans until this merger issue is resolved.
F9 and B6 are going to have different long range plans depending on whether or not they acquire/merge with NK.
NK is going to have different long range plans depending on whether or not they merge with either airline.

Other airlines can move forward on their long range plans; I don't see significant impact from either merger. There are some impacts at the margin - for instance if B6 and NK merge, they'll likely walk away from a lot of EWR gates/flights (just one example I can think of off the top of my head).

Things like new city pairs, aircraft orders, and staffing are likely on hold at the three airlines until this is resolved.
Short term (day to day) operations aren't impacted by this delay, but long range plans can't proceed until each airline knows the end result of this merger.

 

That’s how I read it too. Everybody is kinda in a holding pattern until this thing is settled. Heck, our Section 6 negotiations are at a dead stop until we know what we have moving forward.

 

https://otp.investis.com/clients/us/jetblue_airways/usn/usnews-story.aspx?cid=981&newsid=84134 Well it looks like JetBlue already has at least 12 percent of the shares tendered to them.

 

why would they walk away from EWR? It’s a JB base…