Skywest to Replace Mesa

[BoeingBoy]

The good - Mesa will be gone.

The bad - at least initially Skywest will be using CRJ-200's - the last thing US needs more of.

Article

Jim

 

[700UW]

And yet US owns a piece of Mesa and not Skywest, lets make Delta money and take money out of US, makes no sense?

 

[USFlyer]

DL does not own SkyWest, last I checked. SkyWest is its own company and its stock is traded under ticker SKYW.

 

[BoeingBoy]

I erred somewhat - the announcement doesn't say that Skywest will be completely replacing Mesa, but only the Mesa PHX ops - CRJ-200's replacing Mesa CRJ-200's and Dash 8's. Further down the road, when Mesa's contract expires, we'll have to see what happens.

Jim

 

[phllax]

It will be interesting to see if they allow SkyWest to keep the interiors in house colors and allow in-house uniforms and the in-house magazine like the UA/DL sides have or USX it to the max. One thing's for sure, they are a classy operation.

 

[HPearlyretiree]

SkyWest is a great airline, good to hear! JO is a first class $*&#@. I will miss seeing the Dash 8 though.

Mesa is a disgrace of an airline.

 

[hp-csr-phx]

Company mentioned we are trying to buy the Mesa DH-8's for Piedmont. This was in the quarterly earnings Q&A.

 

[SparrowHawk]

SkyWest is a great airline, good to hear! JO is a first class $*&#@. I will miss seeing the Dash 8 though.

Mesa is a disgrace of an airline.

Good Move. I'd would have loved to make the phone call to JO telling him:

 

[FWAAA]

And yet US owns a piece of Mesa and not Skywest, lets make Delta money and take money out of US, makes no sense?

Wanna know what makes no sense? Your nonsensical post.

US owns no part of Mesa. Delta owns no part of Skywest.

Prior to its 2005 bankruptcy, Delta owned ASA, which it sold to Skywest in a desparate bid to raise cash. DL has no ownership in Skywest.

 

[malikie]

Wanna know what makes no sense? Your nonsensical post.

US owns no part of Mesa. Delta owns no part of Skywest.

Prior to its 2005 bankruptcy, Delta owned ASA, which it sold to Skywest in a desparate bid to raise cash. DL has no ownership in Skywest.

Actually if I am not mistaken US has a 10% stake in Mesa resulting from Mesa's bankruptcy.

 

[SparrowHawk]

Actually if I am not mistaken US has a 10% stake in Mesa resulting from Mesa's bankruptcy.

I think they do, which kind of tells you just how bad Meas Sucks

 

[FWAAA]

Actually if I am not mistaken US has a 10% stake in Mesa resulting from Mesa's bankruptcy.

I stand corrected. US got 10% of the new Mesa stock. Does US still hold that interest today?

 

[BoeingBoy]

As far as I know US does, as well as note issued by Mesa as part of their emergence from bankruptcy.

The Mesa/USX contract extension only applied to the CRJ-900's and ends in 2015. The -200's/Dash 8's portion of the contract expires as originally scheduled next year. I guess the big question is what will happen in 2015. Will Mesa be phased completely out of USX as it is going to be for the -200's/Dashes?

As Mesa's only place to fly the CRJ-900's, one would think that Mesa would fight being replaced - not legally so much, but with even lower rates than they agreed to with the contract extension. Or they could not agree to a phase-out of the -900's, taking an all or nothing approach and leaving US with the choice of either renewing the contract or facing a shortage of large RJ's until another carrier could procure enough to replace Mesa overnight (and likely paying for both fleets of large RJ's while using only one until the transition).

JimG

 

[700UW]

Wanna know what makes no sense? Your nonsensical post.

US owns no part of Mesa. Delta owns no part of Skywest.

Prior to its 2005 bankruptcy, Delta owned ASA, which it sold to Skywest in a desparate bid to raise cash. DL has no ownership in Skywest.

How does crow taste? Maybe you should do some research!

US Airways' third-quarter earnings call, President Scott Kirby said the mainline carrier would save about $28 million annually through its contract extension with Mesa Air compared with its original contract.

US Airways will also receive $6.8 million in notes from Mesa and a 10 percent stake in the company's new stock.

The contract extension applies only to Mesa Air's 86- to 90-seat planes. Mesa Air's smaller aircraft will not be flown under the US Airways banner beyond 2012.

Read this

 

[FWAAA]

How does crow taste? Maybe you should do some research!

It tastes great, thanks. 😀

I'm still waiting to hear you explain how a contract with Skywest helps Delta. Having read other posts of yours, I doubt that explanation will be forthcoming.

My guess is that partially dumping Mesa is much more beneficial to US than the possible upside of that 10% stake in a basically worthless company.