airtran737
Posts: 3218
Joined: Mon Apr 05, 2004 3:47 am

World Airways Being Bought Out?

Sun Apr 01, 2007 10:06 pm

I have heard a lot of rumblings about World being bought out by either Omni, ATA, or the Polar/Atlas group. Has anyone else heard any rumors that may indicate that this is happening?
Nice Trip Report!!! Great Pics, thanks for posting!!!! B747Forever
 
srbmod
Posts: 15446
Joined: Tue Mar 20, 2001 1:32 pm

RE: World Airways Being Bought Out?

Sun Apr 01, 2007 10:58 pm

I doubt ATA or Polar/Atlas has the  dollarsign   dollarsign   dollarsign  to pick up World Air Holdings (Parent company of WO and NA.). As for OAI, who knows what their money situation is?

Browsing through the prelim Q3 2006 info on World's website, this little bit of info was discovered:

Quote:
Legacy Partners Group, which was retained to examine various strategic alternatives to enhance shareholder value, is approximately 80 days into the process and has recently incorporated World Air Holdings' 2007 business plan into its analysis. Alternatives that are being evaluated include, but are not limited to, repositioning the company, operating partnerships, potential strategic acquisition or merger opportunities, leveraged recapitalization, and potential sale of the company to a financial or strategic partner.


http://www.worldair.com/news/20061227.htm

So there is a chance WO and NA could be sold off, but at the same time, World Air Holdings could buy someone. Either way, I think OAI's name will figure into this. But at the same time, if OAI, World, and North American were all under the same corporate umbrella, that could potentially be detrimental to the Air Mobility Command contracts all three airline currently have. As for the "repositioning the company" angle, a return to scheduled service, at least by WO?
 
airtran737
Posts: 3218
Joined: Mon Apr 05, 2004 3:47 am

RE: World Airways Being Bought Out?

Tue Apr 03, 2007 4:54 am

I've been chatting with a fellow over at ATA and they are hearing the World will be buying them out. A supposed announcement will come this month.
Nice Trip Report!!! Great Pics, thanks for posting!!!! B747Forever
 
iairallie
Posts: 2326
Joined: Thu May 20, 2004 5:42 am

RE: World Airways Being Bought Out?

Tue Apr 03, 2007 5:06 am

This is the first time I've heard a rumor about WO being bought. Usually the rumor is that WO is doing the buying.
Enough about flying lets talk about me!
 
airtran737
Posts: 3218
Joined: Mon Apr 05, 2004 3:47 am

RE: World Airways Being Bought Out?

Tue Apr 03, 2007 6:09 am

Quoting IAirAllie (Reply 3):
This is the first time I've heard a rumor about WO being bought. Usually the rumor is that WO is doing the buying

It's seemed odd to us all as well, but like I said, a fellow at TZ is hearing that WO is going to be buying them.
Nice Trip Report!!! Great Pics, thanks for posting!!!! B747Forever
 
floridaflyboy
Posts: 1496
Joined: Sat Jun 03, 2006 3:26 pm

RE: World Airways Being Bought Out?

Tue Apr 03, 2007 6:16 am

Quoting AirTran737 (Reply 4):
It's seemed odd to us all as well, but like I said, a fellow at TZ is hearing that WO is going to be buying them.

A pilot I know works for TZ, and he was saying that there were "light rumors" circulating about a tieing up between WO and TZ in one way or another.
Good goes around!
 
skyguyj
Posts: 2
Joined: Wed Aug 09, 2006 11:12 pm

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 8:45 am

Just announced...."Global Aero Logistics" parent of ATA, just purchased WorldAirHoldings (World, North American and World Risk Solutions) for $315 Mil ALL Cash deal.......... who'd a thunk?
 
floridaflyboy
Posts: 1496
Joined: Sat Jun 03, 2006 3:26 pm

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 8:53 am

Quoting Skyguyj (Reply 6):
who'd a thunk?

Not me! This is a very interesting development, indeed. Wonder what changes we will see with the two coming together.
Good goes around!
 
skyguyj
Posts: 2
Joined: Wed Aug 09, 2006 11:12 pm

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 9:05 am

Memo from our CEO (World's) says we will be operating as 3 seperate airlines.....let's see how long this lasts!  bigthumbsup 
 
AirCop
Posts: 5553
Joined: Mon Nov 28, 2005 2:39 am

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 9:15 am

Why would WO want TZ to begin with? From what I can see TZ doesn't bring any real value to the table.
 
User avatar
LN-MOW
Posts: 1684
Joined: Tue Feb 01, 2000 12:24 am

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 9:23 am

Quoting AirCop (Reply 9):
Why would WO want TZ to begin with?

Emm ..... it's TZ that bought WO....

Surprising indeed. Matlin Patterson has amitions. Today World .. Tomorrow THE world..??
- I am LN-MOW, and I approve this message.
 
N908AW
Posts: 863
Joined: Thu Aug 11, 2005 1:05 pm

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 10:38 am

Quoting AirCop (Reply 9):
Why would WO want TZ to begin with? From what I can see TZ doesn't bring any real value to the table.

Largest charter operator in the world and increasingly profitable from its military operations? Yeah, what would you gain in that?
'Cause you're on ATA again, and on ATA, you're on vacation!
 
AirCop
Posts: 5553
Joined: Mon Nov 28, 2005 2:39 am

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 10:41 am

And what happens when the war winds down? Predict the military dollars will also drop dramatically.
 
A330323X
Posts: 2666
Joined: Thu Oct 09, 2003 4:06 pm

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 12:05 pm

Quoting LN-MOW (Reply 10):
Surprising indeed. Matlin Patterson has amitions. Today World .. Tomorrow THE world..??

MatlinPatterson has been *really* wanting into the airline business in a big way, since before they bought ATA.

Had US Airways not merged with America West, MatlinPatterson was to have been the primary equity investor in a stand-alone US upon emergence from bankruptcy.
I'm the expert on here on two things, neither of which I care about much anymore.
 
b52murph
Posts: 223
Joined: Sun Feb 05, 2006 7:02 pm

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 12:14 pm

I have to ask...could one of the factors in this deal be TZs recent DC-10 purchase from NW? IIRC, WO also has several DC-10s in addition to M11s. This gives TZ/WO fleet commonality (and potential swapping) for the AMC Patriot Express routes.

I think this may have just made TZs planned-L15 retirement virtually unreversable.  no 
 
User avatar
TZTriStar500
Posts: 856
Joined: Sat Jan 03, 2004 1:33 am

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 2:11 pm

Quoting LN-MOW (Reply 10):
Emm ..... it's TZ that bought WO....

Surprising indeed. Matlin Patterson has amitions. Today World .. Tomorrow THE world..??

The New ATA Holdings has been renamed Global Aero Logistics with ATA Airlines (TZ) as a subsidiary. At the same time, Global Aero Logistics argeed to acquire World Holdings which owns World Airways and North American. The acquisition is expected to close in the 3rd quarter and Matlin Patterson will remain the largest shareholder in the new holding company.

This indeed an endorsement of ATA Holdings mangement as they will run the new holding company and are the acquirers, not acquirees. In fact Subodh Karnik, current CEO of ATA Airlines is now CEO of Global Aero Logisitics.

Quoting A330323X (Reply 13):
And what happens when the war winds down? Predict the military dollars will also drop dramatically.

One of the main reasons for the acquisition is to have more diversification in scheduled, commercial charter, military charter, and cargo operations in order to weather downturns like lower miltary charter demand.

Quoting B52murph (Reply 14):
I have to ask...could one of the factors in this deal be TZs recent DC-10 purchase from NW? IIRC, WO also has several DC-10s in addition to M11s. This gives TZ/WO fleet commonality (and potential swapping) for the AMC Patriot Express routes.

I think this may have just made TZs planned-L15 retirement virtually unreversable.

I don't see this as being one of the main reasons, but there is or will be some fleet synergies with all 3 airlines. Yes, I do see the L10 retirement as a sure thing, but I also wonder if this will have any affect on how many DC10s we will actually operate. The plan was for 7, but I wonder if this will change and what the future brings for that matter....very inetresting times.
35 years of American Trans Air/ATA Airlines, 1973-2008. A great little airline that will not be soon forgotten.
 
LV
Posts: 1546
Joined: Mon Jun 04, 2001 6:02 am

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 2:17 pm

So I have to ask, does that mean TZ's HQ on West Washington will be closing down?
 
User avatar
TZTriStar500
Posts: 856
Joined: Sat Jan 03, 2004 1:33 am

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 2:50 pm

Quoting LV (Reply 16):
So I have to ask, does that mean TZ's HQ on West Washington will be closing down?

No plans for that since the three airlines will be operated independently, but you never know where TZ's HQ may end up or what may happen to all three airlines....not sure where Global Aero Logistics HQ will be though.
35 years of American Trans Air/ATA Airlines, 1973-2008. A great little airline that will not be soon forgotten.
 
TrijetsRMissed
Posts: 1978
Joined: Sun Oct 29, 2006 12:15 pm

RE: World Airways Being Bought Out?

Fri Apr 06, 2007 2:53 pm

What will be the future with the merged airline? Will any of the wide-bodies see scheduled service or all charter? Will the MD-11's be retained or sold to freight operators?
There's nothing quite like a trijet.