https://www.southwestairlinesinvesto...onday%2C%20Aug.

"One of the contingencies in Southwest's proposal was that labor groups from the two airlines would need to reach an agreement on how the two Pilot Unions (SWAPA and FAPA) would work together. Despite a good faith and diligent effort by all involved, including the top leadership of the Southwest Airlines Pilots Association (SWAPA) and the Frontier Airlines Pilots Association (FAPA), who labored long into the night, the two unions were not able to come to an agreement before the auction deadline. As a result, Southwest's bid was deemed unacceptable."

 

Gates and slots are not typically fungible property of the airline.

They belong to governments, which allocate them for their own reasons and are usually not transferable (some exceptions in certain jurisdictions). Such reasons might be to enhance the local economy by bringing tourists, open access for local residents to certain places, foster competition and lower fares, etc.

 

This really doesn't matter.. it matters to the average Joe americans, but in the financial world (Wall St) They live in a different world. I have the experience in finance, business in the cesspool they call Wall St for 5yrs before I left that corrupt cesspool to get back to my passion of flying. The money isnt everything to me... i continue to keep close contacts with my friends at my last firm i worked at. Spirit is getting acquired... new lines of credit will continue to come. You DO NOT hire PJT Partners if you are closing up shop. The Bond Holders have made it clear that they are not liquidating this company under a Chapt 7 filing. Alot of people dont realize that the worse Spirit gets, the more lucrative Spirit becomes to a potential buyer. The buyer and Spirit can do a prepackaged Chapt 11 363 sale, take the planes, slots, gates and restructure the debt and take over. Bottomline is everything is negotiable during an acquisition... and the bankruptcy laws will greatly benefit the new buyer to shed, restructure debt. So much happens behind the scenes that you don't read on the "newzzzz"

I say to all the guys on the fence in leaving, make that decision with your family, not a bunch of pilots of APC... they dont know squat!

 

Like what happened to Silver? Didn’t work out too well for them.

 

While that’s correct it was one of many contingencies. The other contingencies were to offer a better deal to the committee than republic. They didn’t do that.

Let’s put it this way. Had a list been agreed to rep still would have won the auction. Rep also withdrew a 240 million dollar claim as a creditor.
I was at f9 when this happened and was sick to my stomach for about a year over it.

 

They had a whopping 14 turbo prop regional aircraft...

 

Frontier can be the stalking horse for the 363, but the bid will still have to go out publically which means they will get out bid. There is no legal path for a final “prepackaged” sale to Frontier at a massive discount.

Also, the 363 sale, if it goes this way, won’t be the entire airline. Thank god our genious negotiators left Fragmentation out of Scope during our 2018 CBA.

Whether we get fragmented and sold off in a 363 or liquidated and converted from a 11 to a 7, the outcome for many here will be the same.

Furloguhed and forced to start over somewhere else .

 

Spirit ALPA CBA currently lacks fragmentation/transfer of assets protection. The MEC/NC reportedly did not peruse that protection because NK simply has very little assets,
most everything is leased and owned by banks which would not trigger frag language.

Merger and Fragmentation is when airline A transfers assets to airline B. This is a case where airline A has planes taken back by Bank A, and then sells to Airline B

This is what was told to me directly by the MEC when I asked them

 

Any idea how 363 plays into fragmentation?

Any frag language at all? But that's pretty complicated stuff, and CBA provisions could get tossed in Ch 11 anyway. 121 to 121 transfer might require that pilots go with planes, but what if the planes made a 30-day stop at a holding company first? Etc, etc.

 

Assuming spirit ceases to exist after an asset sale, would CBA asset-transfer protections matter? It's one thing if Pan-Am sells its pacific ops to United and remains a going concern, but I don't see anyone retaining the employer obligations in spirits CBA here.