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Breaking News: Fox/Lew Walk Out Of Ansett  
User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Posted (12 years 5 months 1 week 20 hours ago) and read 2178 times:

From NineMSN (quoting AAP as the source)

07:09 AEDST Wed 27 Feb 2002



Ansett deal reportedly facing collapse

The Ansett sale could be on the brink of collapse after Solomon Lew and Lindsay Fox reportedly walked away from talks with administrators on Tuesday night.

According to a report in the Herald Sun, final talks between the two parties failed to seal the $453 million sale of the airline to the Fox-Lew syndicate.

It came just hours after administrators secured the vital lease of the Sydney Airport terminal.

The newspaper said Mr Fox and Mr Lew were believed to have decided their business plan for a revived Ansett would not work.

A source confirmed administrators Anderson were in talks until the early hours of today.


But he said they believed they had met all the requirements for the sale to go through by Thursday's deadline.

The Sydney Airport lease was regarded as a major stumbling block to the sale of Ansett to Tesna.

The newspaper said the chances of the talks resuming between the two parties were now slim.



27 replies: All unread, showing first 25:
 
User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Reply 1, posted (12 years 5 months 1 week 20 hours ago) and read 2082 times:

ABC News Net
Wed, Feb 27 2002 8:43 AM AEDT



Fears Ansett deal could collapse

There is confusion this morning about the future of Ansett.

A crucial part of the deal has been agreed to, but there are reports that the airline's prospective owners are having second thoughts about the purchase.

The Sydney Airports Corporation says it has formally agreed to give Tesna the Ansett Domestic Terminal lease at Sydney Airport.

The corporation says it has written to Ansett's administrators advising them of the news.

It has released a statement saying the corporation has negotiated a deal in good faith and delivered in time for the administrators and Tesna to complete the sale process on February 28.

The Civil Aviation Safety Authority (CASA) says it is willing to issue Tesna with an air operators' certificate, provided crucial documents are handed over today.

CASA has given the consortium until midday AEDT to submit the documentation.

A spokesman for the authority says once that happens, CASA will be in a position to transfer the air operators' certificate from the administrators to Tesna by midnight Thursday, allowing the consortium to take to the skies on Friday.

However, newspaper reports this morning suggest Ansett's prospective new owners, Solomon Lew and Lindsay Fox, may be experiencing doubts about the deal, and that an overnight meeting between them and the administrators broke up without resolution.

Meanwhile, a spokesman for Federal Transport Minister John Anderson says the Federal Government has done everything within its power to make the deal a reality.



User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Reply 2, posted (12 years 5 months 1 week 20 hours ago) and read 2058 times:

"Melbourne Age" Breaking News

Deal off: Tesna
MORE|Published: Wednesday February 27, 9:12 AM

In a statement released at 9am (AEDT), the Fox/Lew syndicate of Tesna confirmed the deal could not be finalised by tomorrow's midnight deadline.

They blamed issues principally related to third parties.

"Discussions have taken place with the administrators concerning options for resolving the outstanding issues and finalising the sale," the statement said.
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"In the light of those discussions and in consideration of our advice, we have reluctantly reached the conclusion that the sale agreement is not capable of completion and that the process involving Tesna and the administrators cease



User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Reply 3, posted (12 years 5 months 1 week 20 hours ago) and read 2044 times:

Ansett deal off
AAP
27feb02

THE future of thousands of Ansett staff is in doubt following the collapse of talks between potential buyers Solomon Lew and Lindsay Fox with administrators last night.

In a statement released at 9am (AEDT), the Fox/Lew syndicate of Tesna confirmed the deal could not be finalised by tomorrow's midnight deadline.

They blamed issues principally related to third parties.

"Discussions have taken place with the administrators concerning options for resolving the outstanding issues and finalising the sale," the statement said.

"In the light of those discussions and in consideration of our advice, we have reluctantly reached the conclusion that the sale agreement is not capable of completion and that the process involving Tesna and the administrators cease."

The Tesna statement said contract requirements for the transfer of domestic terminal leases for Sydney, Brisbane, Melbourne, Adelaide and Perth to Tesna could not be finalised in time.

In addition, serious issues were yet to be resolved, including environmental risk and the use of Ansett's IATA designator code.

Mr Lew and Mr Fox said they had been completely committed to the purchase and, for a range of reasons, "this was now impossible to achieve".

"We have spent the past five months doing little else but working towards the finalisation of the Ansett purchase," they said in the statement.

"We have committed an enormous amount of resources; our professional advisers have worked tirelessly, but the obstacles and hurdles we have encountered from a range of parties have had the effect of consuming both resources and time."

"In all of the circumstances and to our great disappointment, time has run out."

Mr Lew and Mr Fox said their greatest disappointment was for the Ansett employees.

"Ansett's best asset has always been its people - the workers who built the brand and who embody the spirit of Ansett through service, efficiency and character," they said.

"Since September of last year, the people of Ansett and their families have experienced uncertainty but also hope.

"Whatever we feel about the outcome from a personal and business perspective is completely overshadowed by our regard and disappointment for Ansett's people."

ACTU secretary Greg Combet said the collapse means "that where we stand at the moment (there are) absolutely no jobs that can be saved in Ansett. It's a tragedy."

A spokesman for federal Transport Minister John Anderson said the minister's office had not been informed of any problems with the deal.

He said the government had put a great deal of effort into making it work, including support for Ansett Mark II, the Tesna consortium and agreeing to requests from the Ansett administrators.

ACTU president Sharan Burrow was unable to comment this morning.

Reporters at Melbourne airport said Ansett flights were still leaving and arriving, and there had been no changes to the schedule. Ansett staff were still issuing boarding passes.

Staff were still arriving at Ansett's Melbourne headquarters.

Meanwhile, Qantas was drawing up contingency plans to ferry stranded Ansett passengers if the airline's sale did not go through tomorrow and it collapsed.

A Qantas spokesman said the airline had only heard rumours that the sale of the airline was in jeopardy, but he said it should be prepared for the worst.

"We have assumed that Tesna will get up, but if they don't then it's only prudent that we should consider contingency plans," he said.

"It's an extremely busy weekend with the (Australian) Grand Prix anywa


User currently offlineETA Unknown From Comoros, joined Jun 2001, 2073 posts, RR: 0
Reply 4, posted (12 years 5 months 1 week 20 hours ago) and read 2026 times:

I hear a fat lady singing...

User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Reply 5, posted (12 years 5 months 1 week 18 hours ago) and read 1994 times:

Melbourne Age" Breaking News

Staff distressed as news filters through
February 27 2002

Union leaders rushed to the Ansett headquarters in Melbourne today after receiving calls from "very distressed" staff as news of the collapsed Tesna sale deal leaked out.

Australian Services Union state secretary Martin Foley said staff had been calling the union since yesterday as speculation over the deal heightened.

Calls continued overnight and this morning as the first reports confirming the collapse came out.

Mr Foley said staff were very distressed. Union leaders including ACTU secretary Greg Combet were meeting with administrators to see what could be salvaged from the collapse.

The administration has been losing over $6 million a week over the past month after agreeing to put off the sale deadline at Tesna's request.

Confused staff at the Ansett headquarters were waiting for information about the situation with meetings to be held with unions there and at the airport later today.

The Tesna syndicate, headed by millionaire businessmen Lindsay Fox and Solomon Lew, confirmed today they had pulled out of the deal.



User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Reply 6, posted (12 years 5 months 1 week 18 hours ago) and read 1957 times:

AAP

No buyers left for Ansett
AAP
27feb02

ANSETT staff have been told the Tesna sale was over and there was no-one waiting in the wings to pick up the airline.

Ben Hayes, a pricing distributor who has worked at his second stint at Ansett since June 2000, said it felt like the first time Ansett collapsed but worse. Mr Hayes was one of hundreds of staff addressed by unions this morning.

"It hurts more this time," Mr Hayes said.

"You think you do what you have to do to get the airline working and you get kicked in the gut," he said.

"There is anger there against (Tesna principals Lindsay Fox and Solomon Lew). What do you expect."

"I do feel led on."

Staff have been coming and going from Ansett headquarters in Melbourne, some in shock, some in tears, others rejoicing that they have been released from their uncertain Ansett contracts and are now free to accept jobs with other airlines without losing their entitlements.

Staff at nearby cafes said they would lose up to 70 per cent trade once Ansett went under.



User currently offlineMarara From Australia, joined Oct 2001, 678 posts, RR: 0
Reply 7, posted (12 years 5 months 1 week 18 hours ago) and read 1957 times:

Do fox lew still have the SYD terminals ?? if they do they have all that they wanted.

Some staff feared this would happen, Fox Lex get SYD terminals then drop ANII

:'(
VERY SAD



I like work: it fascinates me. I can sit and look at it for hours. Jerome K Jerome
User currently offlineTravel From Australia, joined May 2001, 355 posts, RR: 0
Reply 8, posted (12 years 5 months 1 week 17 hours ago) and read 1946 times:

Very Very sad indeed for the poor staff.

Although I would have liked to see Ansett up and runing ,Ansett's reputation has been tarnished serverly over the last 5 months and as the months went by the name Ansett Australia was getting worse. Let's hope Virgin do some serious buisness and inherit most of Ansett's destinations and staff.


User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Reply 9, posted (12 years 5 months 1 week 17 hours ago) and read 1910 times:

Wed "Sydney Morning Herald" Late News

We'll look at other bidders: administrators


Ansett administrators will now approach unsuccessful bidders for the collapsed airline after Lindsay Fox and Solomon Lew this morning pulled out of the deal to buy the company - with the loss of 3000 jobs.

The Tesna syndicate pulled out of negotiations with the administrators to buy Ansett, 48 hours before tomorrow's midnight deadline, effectively sounding the death knell for any long term revival of the airline.

Administrators Mark Korda and Mark Mentha, of Andersen, said today Mr Fox and Mr Lew had served a termination notice last night.

Mr Korda said Tesna had advised they could not meet tomorrow's deadline for the sale because of third-party issues.

"We are assessing the situation and, as foreshadowed at the creditors' meeting, will return to the unsuccessful bidders to pursue an alternative course," Mr Korda said in a statement.

He defended the administrators decision to go with Tesna only, and reject other options, including a bid by transport company Patrick, formerly Lang Corp.

"The Tesna option was the only option at the time to keep the Ansett business in existence," he said.

"It was in the best interests of all creditors and the only option that would have provided benefits for all unsecured creditors and jobs for employees."

Mr Korda said in the event of a no-sale of Ansett, air services would be wound down in an orderly fashion.

He confirmed Ansett's intercapital flights would continue until Monday night and refunds would be arranged for all passengers with bookings after Monday night.

Help will be provided for alternative flight arrangements with Qantas and Virgin Blue.

We're hoping for Santa: union

Ansett staff facing the sack are still hoping Santa will walk through the door, a union delegate said today.

Ansett team leader and Australian Services Union delegate Eric Dimos said 500 staff at Sydney airport faced the sack from Monday unless a white knight could be found.

Mr Dimos said the shock news of the deal's collapse came shortly after staff were reassured it would go ahead.

"We were told up until early this morning that the sale was going ahead," he said at Sydney airport today.

"We were prepared for Friday. Then there was a staff announcement just after that which said at this stage it is not going ahead.

"The staff are sad (but) maybe Santa Claus will walk through the door."

Mr Dimos, an Ansett employee of 23 years, said there was a possibility staff would choose not to show up for work.

"... and I don't blame them - we've been through a lot in the last six months," he said.

About 500 Sydney-based staff including 100 flight attendants, 150 technical crew, 150 baggage handlers and 80 customer service officers would lose their jobs if the deal did not proceed.

At the Sydney terminal today, dozens of nervous passengers crowded around television screens to watch the story unfold.

AAP


--------------------------------------------------------------------------------


User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Reply 10, posted (12 years 5 months 1 week 16 hours ago) and read 1900 times:

Mx5

Knowing how you loved Ansett, please accept my
regrets at seeing her go down, I expect in the next
few hours or days we will hear the real reason why
this debacle has come to pass, although my gut
feeling is a shortage of $$$, as its being rumoured
that F/L were turned down by 3 banks, also would
not be surprised if Bonderman and Franke pulled the
plug, there might be a chance that SIA will turn up
somewhere in the future, we can only hope, as it
will keep prices down for the average Aussie.

Cheers
Wirraway


User currently offlineAerokiwi From New Zealand, joined Jul 2000, 2684 posts, RR: 4
Reply 11, posted (12 years 5 months 1 week 16 hours ago) and read 1888 times:

Sad for the staff, but economically it was never really viable. If there is indeed room for a third carrier in Australia, we can now see one come in without all the baggage of Ansett.

Emotions aside, a fresh start is exactly what is needed. If Lew/Fox have Sydney terminal, then another airline could very well be a possibility. That or the launching of a premium product by Virgin.


User currently offlineWingswest From Australia, joined Oct 2001, 12 posts, RR: 0
Reply 12, posted (12 years 5 months 1 week 16 hours ago) and read 1883 times:

Thank god that sad sorry bird is gone for good. Time for some economic sense to invade this country methinks.

User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Reply 13, posted (12 years 5 months 1 week 15 hours ago) and read 1868 times:

A news report for Ansett employees
AN Update 040
27 February 2002

MESSAGE FROM JAMES HOGAN: It is with the deepest regret that I must advise you that the Administrators Andersens and Tesna Co-Chairmen, Solomon Lew and Lindsay Fox, will imminently announce that the finalisation of all arrangements necessary for the completion of the sale agreement between Tesna and the Ansett Administrators cannot be achieved by 28 February, and the sale process involving Tesna and the Administrators has ceased.

I am now meeting with Mark Mentha and Mark Korda regarding the next steps we must follow and together we will issue further information and
instructions later today including establishment of a staff help line.

Please remain in your workplaces, and maintain as you always have, your
professional care of our customers and your support for your colleagues.

Please raise any queries directly with your manager or via email to EGM

Attached is a statement which will be issued publicly shortly by Tesna principals Solomon Lew and Lindsay Fox who are deeply disappointed as are all parties, in this outcome.

James Hogan

Released by Ansett Corporate Affairs



User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Reply 14, posted (12 years 5 months 1 week 15 hours ago) and read 1853 times:

ABC News Online:

Wed, Feb 27 2002 1:53 PM AEDT


Administrators desperate after Tesna deal fails

Ansett's administrators will speak to other parties about the possibility of buying the airline or its assets following the Tesna consortium's decision to pull out of the deal.

The exit of the Lindsay Fox and Solomon Lew-backed Tesna consortium, leaves Ansett's administrators back at square one.

The administrators say they will let the dust settle over the next few days, then revisit the question of Ansett's future.

They have confirmed they will speak to Virgin Airlines, Singapore Airlines and Lang Corporation and any other interested parties, to determine if Ansett or its assets could still be sold.

But they concede the airline will not be back in the air on the same scale as Tesna had planned.



User currently offlineSixStarAnsett From , joined Dec 1969, posts, RR:
Reply 15, posted (12 years 5 months 1 week 15 hours ago) and read 1850 times:

It seems that not even Ansett, or HIH, or even the once mighty Pan American can be protected.

Perhaps not even the international banking an finance job of Wingswest!

Can't take anything for granted these days...

SixStarAnsett


User currently offlineMx5_boy From , joined Dec 1969, posts, RR:
Reply 16, posted (12 years 5 months 1 week 14 hours ago) and read 1834 times:

Guys,

Before everyone starts bagging out AN again, please take into consideration that the hopes and dreams of 3,000 odd employees have been shattered by the news today.

Many of whom, when they accepted positions with Tesna needed to rellocate to different Australian cities - these same people who have hung around desperate to fly with the airline they loved - now face a critical situation.

My heart goes out to all of AN's employees.

*sad*

mb


User currently offlineSccutler From United States of America, joined Jan 2000, 5491 posts, RR: 28
Reply 17, posted (12 years 5 months 1 week 13 hours ago) and read 1806 times:

I really do not understand why it is that the fate of a business- a big gathering of stuff, accounts, assets, realty, hardware- can so shockingly affect one. I grieve for the people of Ansett, who have striven valiantly to resurrect their Phoenix.

AN's people treated me and my family very well on our trip to OZ- likely the only in-flight cockpit visit my son will ever have.

I remember when Braniff went to sleep in 1982- around Dallas it was a time of mourning. Many frinds and acquaintances afffected.

Commiserations to all affected in Australia.



...three miles from BRONS, clear for the ILS one five approach...
User currently offlineWirraway From Australia, joined Mar 2001, 1321 posts, RR: 1
Reply 18, posted (12 years 5 months 1 week 12 hours ago) and read 1783 times:

"The Age" Breaking News

Fox and Lew express regret
February 27 2002

Businessmen Lindsay Fox and Solomon Lew today spoke of their deep regret at the failure of their bid to revive Ansett.

At a media conference in Melbourne they blamed the collapse of the deal, one day before its deadline, on third party issues.

The two men firmly denied speculation that their Tesna consortium did not have the finance to complete the deal. Mr Lew told reporters a letter of termination was delivered to administrators Andersen at 6pm yesterday.

A late night meeting was called at Mr Lew's office at 8pm where an extension was offered but not taken by Tesna. Mr Fox said he felt terrible that the deal had fallen through.

"I don't think I've felt as bad about any commercial transaction in my life," he said.

Mr Fox said the consortium now had no plans to purchase any of Ansett's assets.

"We're not in there to try to cherry-pick after walking away," he said.

Mr Lew said there were forces working against the Tesna proposal but it was too early to point the blame.

He said a lot of spin doctoring and leaking of information had damaged the bid.

He said administrators owed the owners of the airports tens of millions of dollars in back rent and there had been discrepancies about how and when it would be paid.

In the end, they only had one airport and six aircraft leases signed, Mr Lew said, and their lawyers would not let them complete the deal while there was nothing to purchase.

Mr Lew said some of the actions of the landlords of airports had hindered the negotiations.

He also stressed that Tesna was fully financed and ready to complete the bid and that key US investors were fully behind them until the very end.

Mr Fox said he would love to see someone come in and revive Ansett but Tesna had not been able to do it under the conditions.

AAP



User currently offlineMx5_boy From , joined Dec 1969, posts, RR:
Reply 19, posted (12 years 5 months 1 week 11 hours ago) and read 1765 times:

Guys,

Anyone who wishes to gloat or defile *the bid* on account of my fervent and constant defence of AN please keep it out of the forums and away from AN staff eyes.

You can revile me on the following email address:

mx5_boys@yahoo.com

mb


User currently offlineSingapore_Air From United Kingdom, joined Nov 2000, 13738 posts, RR: 19
Reply 20, posted (12 years 5 months 1 week 11 hours ago) and read 1762 times:

On CNBC ASIA, they interviews some person from the Centre for Asia Pacific Aviation.

In essence, three airlines is not going to be sustainable. The domestic market has "flatenned out" albeit, at a high, and there is still unstability in the international situation.

Andersen may come to Singapore Airlines Limited of Singapore, the Ansett Staff thingie or some other private corporation.

However, to be frank, and no offense to anyone (especially MX5), who would really want Ansett? It's finances are still dire. There is little chance of making big impact on the Aussie market because of the dominance of QF. Unless it was some kind of feeder airline for SIA, what future is there for it? Anyone who wants to invest in Ansett is very brave.



Anyone can fly, only the best Soar.
User currently offlineQANTASforever From , joined Dec 1969, posts, RR:
Reply 21, posted (12 years 5 months 1 week 10 hours ago) and read 1751 times:

And so there were two. Qantas stands quietly in the corner as its fellow airlines fall. Shame really. If all those months ago the ANZ-QF deal had been accepted, things would have been very different today. So what now? will another airline emerge from the dust still settling from the collapse of Ansett? Probably, but as we have seen, they will rise, fall and Qantas will continue to be there. No matter how we may feel about QF you have to admire their staying power.

I feel so sorry that AN had to die at the mercy of moronic management and certain governments. I do believe however that many Australian employees will have a little faith in former AN employees and will give them a very well deserved fair go.

Congratulations Ansett, what an innings.


User currently offlineAir Taiwan From Australia, joined Dec 1999, 1518 posts, RR: 4
Reply 22, posted (12 years 5 months 1 week 10 hours ago) and read 1742 times:

... and I just flew them this morning BNE-SYD...

sad...  Crying


User currently offlineMx5_boy From , joined Dec 1969, posts, RR:
Reply 23, posted (12 years 5 months 1 week 10 hours ago) and read 1742 times:

Guys,

And one more thing, who would be interested in flying the old girl one more time?

There are tickets still on sale for up until the end on Monday.

Other member have expressed interest and *Skystar* was asking if anyone would be interested on March 4 fly about - get together.

I am definitely going to do a flight over the weekend to say goodbye to the best airline in the world.

Anyone have any suggestions about meeting up or getting flights together on Sat / Sun / Mon please e-mail me at mx5_boys@yahoo.com .

mb


User currently offlineSkystar From Australia, joined Jan 2000, 1363 posts, RR: 3
Reply 24, posted (12 years 5 months 1 week 9 hours ago) and read 1738 times:

Indeed I was  Smile

Another VERY, very sad day in Australian Aviation.
If only Ansett would be like Swissair, and have its "Swiss".

Singapore_Air, Ansett would have been a partner of the Star Alliance, and it would have been a feeder carrier for UA, AC, NG/OS, SQ, NZ & TG at least.

Cheers,

Justin


25 Mx5_boy : Justin, Sorry mate, not trying to steal your idea, just wanting to spread the word. I am going to start a thread on the YSSY board, if you don't or ha
26 Air Taiwan : So what are the plans for the last flight? SYD-MEL? SYD-BNE? I'd have to see what's on the first day of uni (yes first day uni for me on 4MAR)... Jimm
27 Skystar : Hey, don't worry. The last ever revenue Ansett Australia flight will be: AN152 PER-SYD 2345-0645. Departs on Monday 04MAR02 and arrives on Tuesday 05M
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