The type of contract UA
was seeking with ACA
is the same "cookie-cutter" type arrangement that UA
has with Skywest, Mesa, and Air Wisconsin. Why ACA
balked at the same style of contract that the other three accepted is interesting, it is a large gamble on their part and CRJs don't have the low costs that 737s + A320s do.
I don't think that UA
was "behind" the Mesa bid, if they were it would be public info by now since the bankruptcy proceedings pretty much make every action subject to court approval, especially one of this size. It is convienient, sure, for them but I don't think UA
is swimming in resources to back a takeover bid. The non-binding MOU was in place to show that UA
would utilize them if Mesa were able to get ACA
. This would be the basis for private finance companies to underwrite financing to buy ACA
As a Mesa shareholder, I am glad to see the stock up about 4% today on the news!
Measure to the millimeter, mark with a crayon, cut with an axe.