kbuf737
Posts: 765
Joined: Thu Dec 04, 2003 2:22 pm

Midway II Why Did It Fail?

Wed Oct 05, 2005 2:08 pm

Out of curiosity:

Why did the second Midway airlines fail? I know they moved HQ from MDW to RDU as discussed in the airline home base thread. But this brought me to wonder why was it that this airline actually failed? They seemed to be doing well. They had a good structure with a simplified fleet of CRJs and 73Gs. Were overhead and operational expenses for the CRJ and for operations in RDU to high, or was it competition from other airlines on their heavily east coast route structure?
The tower? Rapunzel!!!!!!
 
flyboy7974
Posts: 1215
Joined: Sat Jan 18, 2003 4:35 pm

RE: Midway II Why Did It Fail?

Wed Oct 05, 2005 5:08 pm

i think if memory serves me right it was just about the time of 9/11 that midway was already in financial trouble. before the problems, they leased 5 A320 at what was rumored at very high lease rates. used them on all kinds of routes, i think cancun, lax, las, and i think they even announced sjc just before they folded. doesnt seem like they ever gave the west coast markets a chance. the o&d from rdu-lax is huge, but i think the timing of the night flights each way lessened the appeal of the nonstop. then, they operated a rdu-lax-las-rdu flight, that's not fun at all for las westbound and then lax eastbound pax. the a320 were also used for cancun and maybe one other caribbean destination. all in all, i think they simply ran out of money. they would jump into a market and flood it with great service and a new name, offered the locals low fares to get them to try their new airline out, and then boom, scale back ops or pull out of a city.
 
TWA902fly
Posts: 2874
Joined: Fri Dec 31, 1999 5:47 am

RE: Midway II Why Did It Fail?

Wed Oct 05, 2005 5:12 pm

yeah they had some major problems at some very wrong times... also RDU and midway was no match for US/CLT, UA/IAD, and other airline hubs... they operated routes such as RDU-HDN, and RDU-SJC, as well as some RJs from DCA to florida. overall, they were still in the organizing process when 'it hit'. i recall Fokker 100s in their livery as well... i thought they were pretty cool i remember seeing their tail at SJC.

'902
life wasn't worth the balance, or the crumpled paper it was written on
 
flyibaby
Posts: 718
Joined: Wed Aug 25, 2004 5:23 am

RE: Midway II Why Did It Fail?

Wed Oct 05, 2005 6:24 pm

The A320s left the fleet in 1999. They expanded too fast and did have high lease rates on the majority of the jets they aquired (CRJ, 73G.) It has been argued that the loss of codeshare with AA put the nail in the coffin after already losing a huge amount of business traffic due to the tech/internet bust of 2001. They realistically were done for before 9/11............
 
kbuf737
Posts: 765
Joined: Thu Dec 04, 2003 2:22 pm

RE: Midway II Why Did It Fail?

Wed Oct 05, 2005 9:49 pm

Its sort of sad to hear that hhappen. They were in BUF for some time and the O/D of BUF-RDU is quite high, one of our top 15 cities I believe. People who flew them said they were a nice airline, with ok fares but with better service and nicer cleaner aircraft. It is unfortunate how circumstances play out sometimes. Thanks for your inputs.

-KBuF

 bouncy 
The tower? Rapunzel!!!!!!

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