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Northwest Talks Up Spinoff  
User currently offlineCharlipr From Puerto Rico, joined Dec 2005, 340 posts, RR: 1
Posted (6 years 11 months 1 week 2 days 12 hours ago) and read 3323 times:

Northwest Talks Up Spinoff

By Ted Reed
TheStreet.com Staff Reporter
10/29/2007 2:29 PM EDT
Click here for more stories by Ted Reed


Northwest Airlines (NWA - Cramer's Take - Stockpickr), echoing similar comments from four other legacy carriers, said Monday it is exploring the possibility of spinning off its frequent-flier program.

Full Story: http://www.thestreet.com/_aol/s/nort...A?cm_ven=AOL&cm_cat=FREE&cm_ite=NA

12 replies: All unread, jump to last
 
User currently offlineD L X From United States of America, joined May 1999, 11385 posts, RR: 52
Reply 1, posted (6 years 11 months 1 week 2 days 12 hours ago) and read 3288 times:

You should change your thread title. It sounds like NW is spinning off part of its airline, but it's not.

Why are all the airlines mulling spinning off their frequent flier programs? How can it still work if it's not part of the company?



Send me a PM at http://www.airliners.net/aviation-forums/sendmessage.main?from_username=NULL
User currently offline7E72004 From United States of America, joined Mar 2004, 3587 posts, RR: 2
Reply 2, posted (6 years 11 months 1 week 2 days 8 hours ago) and read 2934 times:

I thought NW was spinning off a part of the airline *lol* I was wondering if they were going to call it "West." *lol*


The next generation of aircraft is just around the corner!
User currently offlineAtpcliff From United States of America, joined Jun 2001, 181 posts, RR: 0
Reply 3, posted (6 years 11 months 1 week 2 days 8 hours ago) and read 2844 times:

Hi!

Air Canada did this VERY successfully.

cliff
KYIP



TRY. It's all you have control over, and it's what God wants.
User currently offlineAzjubilee From United States of America, joined Apr 2000, 3942 posts, RR: 28
Reply 4, posted (6 years 11 months 1 week 2 days 8 hours ago) and read 2826 times:

Worldperks IS indeed apart of the airline, just like Compass, NWA Cargo and Mesaba. If it makes sense financially and if it adds value to the product and investors, it could be something that is done. They're exploring all options and by no means have comitted to anything.


AZJ


User currently offlineLASOctoberB6 From Japan, joined Nov 2006, 2380 posts, RR: 1
Reply 5, posted (6 years 11 months 1 week 2 days 7 hours ago) and read 2709 times:

And here I thought we were gonna have another TED....


[NOT IN SERVICE] {WEStJet}
User currently offlineCitrusCritter From Pitcairn Islands, joined May 2007, 1106 posts, RR: 3
Reply 6, posted (6 years 11 months 1 week 2 days 6 hours ago) and read 2583 times:

Quoting LASOctoberB6 (Reply 5):
And here I thought we were gonna have another TED....

Little Red? Or perhaps "Clifford" ??  Wink



TLH
User currently offline7E72004 From United States of America, joined Mar 2004, 3587 posts, RR: 2
Reply 7, posted (6 years 11 months 1 week 2 days 5 hours ago) and read 2497 times:

I like Clifford...what about "Red Neck?" It would go hand in hand with the "heartland" strategy  Big grin


The next generation of aircraft is just around the corner!
User currently offlineIsitsafenow From United States of America, joined Feb 2004, 4984 posts, RR: 23
Reply 8, posted (6 years 11 months 1 week 2 days 5 hours ago) and read 2440 times:

We all know this can go either way....one drops it, they all do. OR
one drops it and the others don't and the first one reinvents it again.. The old "brought back by popular
demand..."
safe



If two people agree on EVERYTHING, then one isn't necessary.
User currently offlineBurnsie28 From United States of America, joined Aug 2004, 7550 posts, RR: 8
Reply 9, posted (6 years 11 months 1 week 1 day 15 hours ago) and read 2083 times:

Quoting Atpcliff (Reply 3):
Hi!

Air Canada did this VERY successfully.

cliff
KYIP

I don't know if i would call it successfully for the passengers, their Aeroplan sucks now that its privatized, its almost impossible to earn miles without paying extra to do so, or buying a full fare ticket.



"Some People Just Know How To Fly"- Best slogan ever, RIP NW 1926-2009
User currently offlineTWFirst From Vatican City, joined Apr 2000, 6346 posts, RR: 52
Reply 10, posted (6 years 11 months 1 week 1 day 15 hours ago) and read 2077 times:

Quoting Isitsafenow (Reply 8):
We all know this can go either way....one drops it, they all do. OR
one drops it and the others don't and the first one reinvents it again.. The old "brought back by popular
demand..."

They're not talking about doing away with it... there are lots of loyalty programs out there that are not owned/managed by the client company. They're talking about essentially outsourcing it so the liability isn't on their books. They may spin it off to shareholders or they may sell it.



An unexamined life isn't worth living.
User currently offlineRJNUT From United States of America, joined Dec 1999, 1227 posts, RR: 0
Reply 11, posted (6 years 11 months 1 week 1 day 15 hours ago) and read 2068 times:

and if all the airlines spin off frequent flyer programs, what value would they have,,maybe the 1st few that are sold off , but after that I dont see where the money is, just a large marketing data base is all one seems to be acquiring!

User currently offlineEXAAUADL From , joined Dec 1969, posts, RR:
Reply 12, posted (6 years 11 months 1 week 1 day 15 hours ago) and read 1994 times:

Quoting D L X (Reply 1):
Why are all the airlines mulling spinning off their frequent flier programs? How can it still work if it's not part of the company?

Cuz greedy wall street is making them. a lot of debt was changed to equity and now that equity isnt performing as well thanks inpart to other greedy wall streeters who plow $$$$ into oil futures, thus hurting original greedy wall streeters NW investment.


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