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Northwest Bids $2M For FLYi Operating Certificates  
User currently offlineLeelaw From , joined Dec 1969, posts, RR:
Posted (8 years 6 months 1 week 5 days 8 hours ago) and read 7939 times:

(Dow Jones) WASHINGTON -- FLYi Inc.'s Independence Air, which stopped flying in January after failing to find a buyer, is seeking bankruptcy court approval to sell its operating certificates to Northwest Airlines Corp. for $2 million.

FLYi said Northwest has agreed to buy Independence Air's Department of Transportation and Federal Aviation Administration certificates, Federal Communications Commission licenses, manuals and some proprietary software.

In court papers filed Thursday, FLYi said the sale is subject to higher offers and Northwest's obtaining the necessary government approvals to buy the certificates.

FLYi said it will give competing bidders until March 17 to submit higher offers.

A hearing on the sale is scheduled for March 20 in the U.S. Bankruptcy Court in Wilmington, Del.

Dulles, Va.-based FLYi has been selling off its assets since January...

The company last month won court approval to sell its lease at Washington Dulles International Airport to UAL Corp.'s United Airlines for $4.3 million.

FLYi also expects to fetch between $8.6 million and $11.1 million when it auctions off leftover equipment, including spare parts, ground support equipment and office and computer equipment...

47 replies: All unread, showing first 25:
 
User currently offlineDLPMMM From United States of America, joined Apr 2005, 3592 posts, RR: 10
Reply 1, posted (8 years 6 months 1 week 5 days 8 hours ago) and read 7923 times:

Sounds to me like a short cut to get "Newco" off the ground.

User currently offlineAvConsultant From United States of America, joined Feb 2006, 1360 posts, RR: 3
Reply 2, posted (8 years 6 months 1 week 5 days 8 hours ago) and read 7860 times:

Quoting DLPMMM (Reply 1):
Sounds to me like a short cut to get "Newco" off the ground.

You know it!! This is going to get ugly. NW will agressively build Newco will the rank and file vote.


User currently offlineDsuairptman From United States of America, joined Jul 2003, 900 posts, RR: 0
Reply 3, posted (8 years 6 months 1 week 5 days 7 hours ago) and read 7650 times:

Yes, but Newco will need planes, so it would take time for them to be delivered. Bottom line, the foundation might be laid, but launching acutal ops still has a ways to go.


GEAUX SAINTS!
User currently offlineGSPITNL From United States of America, joined Oct 2003, 374 posts, RR: 3
Reply 4, posted (8 years 6 months 1 week 5 days 7 hours ago) and read 7648 times:

This is going to get real messy. NW Is just begging for more problems!


Fly Delta - The Only Way To Fly! Silver Medallion Baby :)
User currently offlineATWZW170 From United States of America, joined Oct 2004, 904 posts, RR: 3
Reply 5, posted (8 years 6 months 1 week 5 days 6 hours ago) and read 7466 times:

Do you think NW would get Newco up and going, then simply do away with mainline NW...kind of start over from the beginning?


Success is getting what you want...happiness is liking what you get
User currently offlineOPNLguy From , joined Dec 1969, posts, RR:
Reply 6, posted (8 years 6 months 1 week 5 days 6 hours ago) and read 7441 times:

Quoting Dsuairptman (Reply 3):
Yes, but Newco will need planes, so it would take time for them to be delivered.

If you mean new aircraft from a manufacturer, there are already plenty of aircraft on the market which could be sold or otherwise transferred to any new entity...


User currently offlineBennett123 From United Kingdom, joined Aug 2004, 7605 posts, RR: 3
Reply 7, posted (8 years 6 months 1 week 5 days 6 hours ago) and read 7414 times:

Do the certificates include landing slots.

User currently offlineUAXDXer From United States of America, joined Jul 2004, 765 posts, RR: 3
Reply 8, posted (8 years 6 months 1 week 5 days 6 hours ago) and read 7379 times:

Quoting ATWZW170 (Reply 5):
Do you think NW would get Newco up and going, then simply do away with mainline NW...kind of start over from the beginning?

I think that is very possible with their domestic operation and keep the international flying as NWA.



It takes a bug to hit a windsheild but it takes guts to stick
User currently offlineM404 From United States of America, joined Nov 2003, 2226 posts, RR: 5
Reply 9, posted (8 years 6 months 1 week 5 days 6 hours ago) and read 7363 times:
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For all the time that NW owned Pinnacle outright, before it went public, they whined that they did not want to own a regional and they they did not see it as advantageous. What all has changed in the last 18 months or whatever it's been since the Pinnacle IPO to make them change their minds?


Less sarcasm and more thought equal better understanding
User currently offlineSunking737 From United States of America, joined Feb 2005, 2045 posts, RR: 8
Reply 10, posted (8 years 6 months 1 week 5 days 6 hours ago) and read 7292 times:

Remember NWA Inc. is the parent company, Northwest Airlines is part of that company. If they get the Ifly cert. they could operate it as a sub., of NWA.

They (NWA) also have A320 sitting in the desert, they only take a few days to get back in the air.

What is the stat. of Ifly A320's. NWA could get them also.

NWA could bring its crews in at the lower pay, to fly the planes, under the Ifly name.



Just an MSPAVGEEK
User currently offlineIowaman From United States of America, joined May 2004, 4401 posts, RR: 6
Reply 11, posted (8 years 6 months 1 week 5 days 5 hours ago) and read 7246 times:
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FORUM MODERATOR

Quoting Bennett123 (Reply 7):
Do the certificates include landing slots.

Um, IAD has no slots, and neither does any of the airports they flew into.



Next flights: WN DSM-LAS-PHX, US PHX-SJD. Return: US SJD-PHX, WN PHX-MDW-DSM
User currently offlineKarlB737 From United States of America, joined Mar 2004, 3105 posts, RR: 10
Reply 12, posted (8 years 6 months 1 week 5 days 5 hours ago) and read 6820 times:

Courtesy: The Associated Press

Northwest Buys FLYi Operating Certificate

http://biz.yahoo.com/ap/060310/northwest_subsidiary.html?.v=2


User currently offlinePanAm330 From United States of America, joined Mar 2004, 2679 posts, RR: 9
Reply 13, posted (8 years 6 months 1 week 5 days 4 hours ago) and read 6452 times:

Quoting Iowaman (Reply 11):
Um, IAD has no slots, and neither does any of the airports they flew into.

Last I knew, Independence flew to LGA.


User currently offlineTornado82 From , joined Dec 1969, posts, RR:
Reply 14, posted (8 years 6 months 1 week 5 days 4 hours ago) and read 6410 times:

Quoting OPNLguy (Reply 6):
If you mean new aircraft from a manufacturer, there are already plenty of aircraft on the market which could be sold or otherwise transferred to any new entity...

Newco doesn't seem to want 50-seat RJ's from any publication/propaganda I've seen about them. There aren't any E70/E90, CRJ700/900's sitting in the desert, either. About the only practical plane in that size sitting around anywhere would be Avro/BAe's.


User currently offlineSpinkid From United States of America, joined Jul 2001, 1113 posts, RR: 0
Reply 15, posted (8 years 6 months 1 week 5 days 3 hours ago) and read 6237 times:

Quoting PanAm330 (Reply 13):
Last I knew, Independence flew to LGA.

Last I knew they were in Chapter 11, out of business and not flying anywhere. They never served LGA to begin with.


User currently offlineMoose1226 From United States of America, joined Apr 2004, 250 posts, RR: 1
Reply 16, posted (8 years 6 months 1 week 5 days 3 hours ago) and read 6178 times:

I beg to differ.


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User currently offlineBurnsie28 From United States of America, joined Aug 2004, 7545 posts, RR: 8
Reply 17, posted (8 years 6 months 1 week 5 days 3 hours ago) and read 6109 times:

Quoting UAXDXer (Reply 8):

I think that is very possible with their domestic operation and keep the international flying as NWA.

Not with the new contract, this is because its easier then doing their own paper work to get a new airline up and running.



"Some People Just Know How To Fly"- Best slogan ever, RIP NW 1926-2009
User currently offlineLightsaber From United States of America, joined Jan 2005, 13113 posts, RR: 100
Reply 18, posted (8 years 6 months 1 week 5 days 2 hours ago) and read 5754 times:
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Quoting DLPMMM (Reply 1):
Sounds to me like a short cut to get "Newco" off the ground.

Good point.

Quoting OPNLguy (Reply 6):
If you mean new aircraft from a manufacturer, there are already plenty of aircraft on the market which could be sold or otherwise transferred to any new entity...

??? Desirable aircraft aren't available. What was a profitable aircraft at $25/bbl oil isn't at $60+/bbl. 737NG's and A32X aircraft are rarely available.

Quoting Sunking737 (Reply 10):
They (NWA) also have A320 sitting in the desert,

A320's that are under lease dispute. These will fly only when the lease rates are settled. Most of these A320's aren't at NW's disposal.

This gives me an indication of the real cost of getting a certificate. And I thought Virgin America might bid on this.  Wink  duck 

Lightsaber



Societies that achieve a critical mass of ideas achieve self sustaining growth; others stagnate.
User currently offlineMptpa From United States of America, joined Feb 2006, 546 posts, RR: 0
Reply 19, posted (8 years 6 months 1 week 5 days 1 hour ago) and read 5489 times:

Why would they want to pay $2M other than to get the paperwork already processed, so the process of getting the NewCo would be faster.

Certificates do not mean the pilots and their contracts come with it....


User currently offlineATWZW170 From United States of America, joined Oct 2004, 904 posts, RR: 3
Reply 20, posted (8 years 6 months 1 week 5 days 1 hour ago) and read 5374 times:

I guess I don't understand why they would do this. I keep thinking that they will do away with domestic NW as we know it, allow planes like the E170 - E195 fly a majority of the routes....the 757, A320's will do most of the transcon, and a seperate company will fly all the international flights. It just doesn't make a lot of sense.


Success is getting what you want...happiness is liking what you get
User currently offlineFlyGuyClt From United States of America, joined Aug 2005, 537 posts, RR: 8
Reply 21, posted (8 years 6 months 1 week 5 days 1 hour ago) and read 5318 times:

The "New" FLYi can only fly jets that seats 51 to 76 PAX. For NWA.

NWA's A319's are not compatable with FLYi's. Different engines.

This is a certificate purchase only.

Safe Flying  Smile



Florida Express, Braniff II and ......
User currently offlineB707Stu From United States of America, joined Feb 2005, 918 posts, RR: 4
Reply 22, posted (8 years 6 months 1 week 5 days 1 hour ago) and read 5245 times:

So is Newco NW's answer to DL's Song, which ultimately will change the entire face of DL's domestic business product, though we know the "Song" name and brand is history?

User currently offlineDsuairptman From United States of America, joined Jul 2003, 900 posts, RR: 0
Reply 23, posted (8 years 6 months 1 week 4 days 23 hours ago) and read 4837 times:

Quoting Tornado82 (Reply 14):
Newco doesn't seem to want 50-seat RJ's from any publication/propaganda I've seen about them. There aren't any E70/E90, CRJ700/900's sitting in the desert, either. About the only practical plane in that size sitting around anywhere would be Avro/BAe's

The entire essence of Newco's existence is to replace the DC-9 fleet with 90-110 seat regional jets, preferably the E-JET series from Embrarer. There is no desire indicated that Newco would be intrested in anything smaller than this range.

Its obvious the Avro is out of the running, NW is cutting that type out as we speak. In addition They would want a plane that provided greatly reduced operating costs, but have a cabin size of a main line jet. So far the E-JET is the only product that appears to acheive both of these requriements.



GEAUX SAINTS!
User currently offlineLTBEWR From United States of America, joined Jan 2004, 13113 posts, RR: 12
Reply 24, posted (8 years 6 months 1 week 4 days 23 hours ago) and read 4821 times:

Perhaps this is prevent another airline from buying these certificates (Virgin USA?) and compete against NW. Mmmmm? Maybe?

25 TOLtommy : No, not really. The certificate has been out there since FlyI shut down in January. If VUSA wanted it, they had plenty of time. Obviously they didn't
26 Srbmod : No, Newco will be something similar to US Airways' Mid Atlantic Airlines. Newco's pilots will be previously furloughed NW pilots flying smaller a/c (
27 Lincoln : I don't think so... Song operated under the DL certificate and was more of a marketing thing than anything else (from what I understand, the crews we
28 L1329II : Sooo... Although Indy's 319 engines were different why would it take a different certificate? I guess what I mean to ask is wy wouldnt NW be able to
29 Post contains images Lightsaber : Interesting theory into the -705 purchase. I'll have to give it some more thought. Are Embraer's order books really that full? I've worked for manufa
30 Post contains images FlyGuyClt : It is all contractual. The TA's reached with both pilots and flight attendants allow Northwest to purchase this certificate. Then it allows them to s
31 Post contains images CRJ900 : Makes sense, plus NWA/Pinnacle has experience with flying the CRJ, so pilot training and mx will be easier (and cheaper, I assume...). Here is a hot
32 Bahadir : More pilot , f/a, mechanic jobs under much lower pay scales.. Welcome to another step in airline consolidation..
33 FutureFO : So with NW buying this certificate, I guess that means that NW has money to burn????? Very interesting. Get the employees to go to poverty level and t
34 FlyingRev : Please forgive my ignorance, maybe I have missed something. What exactly is "Newco"? Thanks, FLyingREV
35 Bobnwa : It is the temporary name that Northwest is calling the new carrier it wants to start up.
36 Post contains images FlyingRev : Bobnwa: Thank you very much! I must have missed the news on that! It seems to me a little off the wall for them in the financial state they are in! Bu
37 Srbmod : $2 million for a company that size is like $20 for the average person. Hell, if Delta can still afford all of it's sponsorship deals and promotions w
38 Ewmahle : Did any one else get the e-mail from Independence Air recently, if you were on the FlyI mailing list originally you should have. It was a promotion fo
39 Midway2airtran : I'd be a little suprised if there are no counter-bids on the certificates if there is still opportunity for so to happen. With many possible new start
40 UAL777 : Ahhh, the race to the bottom. Ol' chainsaw Steenland(?) is at it again. Personally, I think Newco is horrible for all of the employees involved.
41 Burnsie28 : I guess the name is now S-Jet
42 Lincoln : Depends on if you're thinking "airplane manufacturer quickly" or "normal human quickly"... My dad is in upper-middle management at an aerospace firm
43 Ajiggity3 : I am intrigued by Flyi promoting AirTran. Anyone know anything further on this?
44 FutureFO : S*****y-Jet is what Sjet stands for. You can probably figure out what the ** are. Sean from MCO and SDF
45 Krisair747 : Hey Sean, Wouldn't it be ironic if Chautauqua bid on the flying for Sjet or NW???? Would you complain then? Lay off NW and worry about your own region
46 FLyingRev : LUVRSW I am sorry if you feel that I was sucking up! I was just trying to be polite which I don't see a lot here on the these forums. Being new to A-n
47 DLPMMM : Amen Rev. . . . .
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