The "Vote of No Confidence," signed by the vast majority of Mesaba's unionized employees, is substantiated by the following facts:
* Mesaba Airlines generates more than 95 percent of MAIR Holdings'
revenue. Virtually all of Mesaba's profits have been transferred to MAIR
Holdings, which had $120 million in cash and equivalent assets when
Mesaba filed for bankruptcy.
* MAIR Holdings began to siphon off Mesaba's profits in late 2002 when it
used Mesaba's earnings to purchase Big Sky Airlines. MAIR announced that
Big Sky would become the holding company's "growth vehicle" because of
its low labor costs. MAIR executives actively pursued growth via Big
Sky, but were not successful in winning any new business. Big Sky has
been consistently unprofitable since its purchase, yet it is not in
* Despite the failed growth strategy, MAIR Holdings executives have
rewarded themselves with salaries, bonuses, and stock options at levels
that exceed their peers at both regional and mainline carriers.
"This management team has acted shamefully and it's about time the public knows what we know," said flight attendant Carla Rogat, vice president of the Association of Flight Attendants unit at Mesaba. "Mesaba and MAIR executives are bleeding this airline dry without regard for anyone or anything but their own financial gain."