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vanguard737
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ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 7:32 am

Saddest day I've had in a while:-(

*MDW to go to AirTran for $87 mil.
* IIND to remain TZ hub
*Hawaii service unchanged
*C8 to maintain operations

We love you ATA

Here is Mickelson's letter to us:

Dear Colleagues:
>
> Today marks a milestone for ATA as we begin our transformation into a
> refocused, streamlined and profitable airline. The steps we are taking
> will help assure our future for our employees, customers and the cities we
> serve.
>
> Our parent company, ATA Holdings Corp. and certain subsidiaries, including
> ATA Airlines, Inc., have filed for relief under Chapter 11. This means we
> intend to restructure our debt and to continue business as usual. We will
> stand by our customer commitments, honoring tickets, upholding our full
> schedule, in-flight services and frequent flyer reward programs.
>
> Along with the filing, we have reached an agreement with AirTran Airways,
> Inc in which AirTran will assume our flight operations, gates lease, and
> routes in Chicago Midway Airport as well as arrival and departure slots at
> LaGuardia Airport and Ronald Reagan Washington National Airport. The
> agreement, which needs the City of Chicago's approval, will take effect
> later this year or early next year, and is to be finalized over the next
> several days.
>
> We are in continuing discussions with potential third-party lenders to
> procure Debtor-In-Possession (DIP) financing. Meanwhile, the ATSB has
> agreed to allow us continued use of our cash collateral, which, combined
> with the Company's projected cash flow from operations, should be
> sufficient to fund the needs of ATA and our operating subsidiaries until
> we reach an agreement for DIP financing.
>
> Our agreement with AirTran is key to our transformation
> By re-structuring and partnering with AirTran, we intend to re-create ATA
> as a formidable low-cost, albeit smaller competitor, capable of winning in
> today's airline industry for our customers, employees, creditors and other
> stakeholders. Together, ATA and AirTran will establish co-marketing
> programs and code share agreements across both carriers' flight networks.
>
>
> As part of the agreement, AirTran intends to outsource to us the servicing
> of Chicago flights and pay us service fees over a specified transitional
> period. These transition arrangements will allow us a gradual, measured
> exit from Chicago, as well as provide the time and flexibility we need to
> develop and execute our reorganization plan and to optimize our fleet and
> plane sizes.
>
> Reorganizing to emerge a stronger airline
> Reorganizing will strengthen our business and competitive position, and
> give us the resources to emerge a stronger airline. Our plan entails
> optimizing our fleet and plane sizes and focusing on the most profitable
> cornerstones of its business: commercial flights routed through our
> Indianapolis hub, flights to Hawaii, military and some commercial charter
> service. We also intend to retain our Chicago Express connection service
> through Chicago Midway, as well as its Ambassadair Travel Club.
>
> Business as Usual
> We will continue operating business as usual while we reorganize and
> execute our arrangement with AirTran. As we transform, we will maintain
> our focus on serving customers with one of the youngest, most
> fuel-efficient fleets and providing value-based everyday, low fares and
> service that makes the travel experience easier and more affordable for
> all our business and leisure travelers. We will also continue to improve
> our services, such as retrofitting planes for business class service,
> which we expect to complete by early 2005.
>
> Chicago Midway is an important and valuable hub for ATA. We employ
> hundreds of highly qualified and dedicated employees - ramp agents, flight
> and cockpit crews, customer service agents, aircraft mechanics - that
> provide a high level of passenger service, safety and security to
> thousands of passengers every day.
>
> After the agreement with AirTran, Chicago Midway will continue to need
> hundreds of qualified and dedicated employees - ramp agents, flight and
> cockpit crews, customer service agents, aircraft mechanics. Our Midway
> employees are critical to the success of this transition and our
> collective future.
>
> Just as importantly, we are committed to Indianapolis, which will continue
> to serve as ATA's headquarters location and primary hub. Indianapolis has
> been a key source of our growth, and we will remain in the city we have
> called home since 1973.
>
> I know that you are all worried about the implications of this filing for
> you personally and your ability to do your job. Let me assure you that we
> are committed to paying employee salaries, wages and benefits without
> interruption and through the normal processes.
>
> In order for us to stand by our customer commitment to business as usual,
> I ask you to continue providing the same high level of passenger service,
> safety and security as well as operational excellence. I am counting on
> everyone to continue providing that high level of service and value that
> our customers expect and appreciate.
>
> What's Next
> Over the next few days we intend to finalize the details of our agreement
> with AirTran. In addition, as part of the reorganization we will continue
> to pursue necessary cost reductions across the company and implement a
> compelling plan of reorganization. ATA's operating costs are among the
> lowest in the industry but must continue to be addressed to achieve
> profitability.
>
> As part of this process, we will look at every element of our operations.
> Once we have completed further work on a solid plan of reorganization, we
> will submit it to our creditors and the court for approval.
>
> Keeping You Informed
> We will continue to communicate openly and regularly, and to share
> information as it becomes available. We have created a special section on
> EWS to keep you posted of the progress we make over the next few months.
> You can find the link on the home page, as well as a link to the special
> section of ATA.com. In addition, we will continue to post a new issue of
> Info Line each week on EWS. And I am personally committed to communicating
> directly with you as we move through this process.
>
> Again, let me say how much your unfaltering dedication and loyalty
> continues to impress me. Thank you for this commitment to ATA. Keep your
> heads up.
>
> Sincerely,
>
> GEORGE MIKELSONS
> Chairman & CEO
319 320 321 330 346 359 717 722 732 733 735 73G 738 739 744 748 752 753 763 764 772 773 788 789 781 DC9 DC10 MD80 B1900 S340 E120 E145 E170 E175 CRJ CR7 TRIM
 
nosedive
Posts: 2176
Joined: Sun May 23, 2004 2:18 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 7:37 am

What will happen to TZ's ops? I don't think IND will be able to handle MDW's "baggage" as IND does not have the gate space for TZ...... Will cities be cut? And, if so, which ones?

$87,000,000..... seems FL just got a nice steal....
 
FriendlySkies
Posts: 3540
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 7:38 am

So the AirTran rumors were true...this could turn out to be very interesting. Not to put light on the situation, I feel for all the ATA employees, good luck and hang in there.
 
FriendlySkies
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Joined: Fri Aug 13, 2004 3:57 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 7:40 am

Just a follow-up. The City of Chicago and ATA are both claiming ownership of the 14 MDW gates. Could this put a dagger in the AirTran deal? Unless the three parties are able to work it out, I see this becoming a problem.
 
flyabr
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 7:44 am

sorry to hear about ATA's problems. but, i do have to wonder if this will mean more 717 sales to airtran with expanded ops at MDW??
 
nosedive
Posts: 2176
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 8:08 am

Just a follow-up. The City of Chicago and ATA are both claiming ownership of the 14 MDW gates. Could this put a dagger in the AirTran deal? Unless the three parties are able to work it out, I see this becoming a problem.

The way the message was written implies that talks between TZ and Fl have begun, but I'm assuming that the City of Chicago is already playing a role in this transition. If anything, I could see the city blocking this deal if they think they can find a higher bidder for these gates in the near future. WN perhaps?

but, i do have to wonder if this will mean more 717 sales to airtran with expanded ops at MDW??

I was wondering the same thing. With the 717 sales push by Boeing, and FL already operationg a large fleet of 717's, timing of a new FL 717 deal could not have been more perfect. I'm willing to bet if FL does want to acquire some more 717s that Boeing will be "putting their best foot foward."
 
DeltaMIA
Posts: 1622
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 8:15 am

The City of Chicago and ATA are both claiming ownership of the 14 MDW gates

It clearly says in the document "gate leases". No doubt meaning the city owns them and TZ leases them. Airtran will just take over the lease from TZ not ownership from the city.
It's a big building with patients, but that's not important right now.
 
NWAFA
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 8:16 am

Which comes back to my original question, where (from who) did ATA get those gates in the 1st place.

THANK YOU FOR FLYING NORTHWEST AIRLINES, WE TRULY APPRECIATE YOUR BUSINESS!
 
DC10GUY
Posts: 2590
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 8:17 am

I think ATA is a pretty well run company ... They ain't going away easy... Good Luck guys !!!
Next time try the old "dirty Sanchez" She'll love it !!!
 
717-200
Posts: 564
Joined: Mon Oct 09, 2000 1:29 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 8:17 am

Is FL getting some of TZ's winglet equipped 738's?
72S 733 734 735 73G 738 742 752 763 E190 M82 M83
 
FriendlySkies
Posts: 3540
Joined: Fri Aug 13, 2004 3:57 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 8:20 am

Which comes back to my original question, where (from who) did ATA get those gates in the 1st place.

Well, a long time back, quite a few airlines used to fly into MDW. Gradually, they started to move over to ORD or just stop serving Chicago. Add in the new gates that were just built at MDW, and there you go. I'm not 100% sure, but ATA has been there for a long time, before WN had a stronghold on the airport.
 
trickijedi
Posts: 3201
Joined: Sun May 13, 2001 4:35 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 8:20 am

Wow, it seems like it was just yesterday that I kept hearing news about ATA's new livery, new planes and new focus.

I hope its employees become more truly committed that ever.
Its better to be on the ground wishing you were in the air than be in the air wishing you were on the ground. Fly safe!
 
JBLUA320
Posts: 3088
Joined: Mon May 27, 2002 8:51 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 8:34 am

Tough times for ATA- but I'm sure they will recover in due time.

As far as MDW is concerned, this could prove to be a good thing for jetBlue's CHI ops. I know they want ORD, but if the city gives them a steal on one or two gates at MDW, they might just jump on it- especially now that one of the major players in the NYC-CHI market is temporarily gone.

JBLUA320
 
LV
Posts: 1546
Joined: Mon Jun 04, 2001 6:02 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 10:36 am

Back to the 717 issue....I know somewhere around here I read a quote from a Boeing official stating that they expected a sizable 717 order before the end of the year.....maybe Airtran is going to place one and Boeing saw this coming
 
isitsafenow
Posts: 3413
Joined: Sun Feb 01, 2004 9:22 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 10:51 am

I am not convinced airTran will order a slew of 717's with 737's coming now. Perhaps a dozen more but I really dont think much more then that. My Q is what becomes of Chicago Express, the feeder with the Saabs feeding MDW and seven or eight other cities?
safe
If two people agree on EVERYTHING, then one isn't necessary.
 
SESGDL
Posts: 2982
Joined: Sat Jan 13, 2001 6:25 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 10:55 am

Wow, I didn't expect this. It will be strange to see MDW as an FL hub, I loved TZ's hub there. I hope everything works out for TZ at IND, and for FL at MDW.

Jeremy
 
BIGBlack
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 11:04 am

I am confused are the forging a partnership with AirTran or is AirTran taking over? If so will they get the planes?

Good luck ATA, hang in there
Someone special in the air
 
iowaman
Posts: 3864
Joined: Thu May 20, 2004 2:29 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 11:07 am

What will happen with ATA Express (Chicago Express)?? I assume no more DSM-MDWSad
 
GroundStop
Posts: 612
Joined: Thu Jun 12, 2003 12:48 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 11:16 am

It will be a partnership whereby initially ATA will operate all of their MDW flights on behalf of AirTran (15 of 18 leased 737's to be exact). This will take place over a six month period during which AirTran will start to operate the flights with our own equipment as ATA pulls back. At the same time, the plan is to also create a marketing alliance and codeshare across the networks of both airlines that will continue beyond the turnover of MDW. Source: WSJ Online Article.

JP

AirTran SOC
 
ordflyer
Posts: 498
Joined: Tue Aug 03, 2004 2:08 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 11:17 am

Iowaman, the original message from the CEO said they intend to keep the Chicago Express service out of MDW. So for at least the time being that flight will continue to operate.
 
dsuairptman
Posts: 707
Joined: Mon Jul 14, 2003 9:45 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 11:26 am

Yes, but were will FL get the planes to operate the MDW routes from?

Will the use their own, TZ fleet, or lease planes?

LGA and DCA slots, will FL be free to transfer those slots to other markets?
GEAUX SAINTS!
 
jetboyflyhi
Posts: 173
Joined: Thu Oct 07, 2004 1:30 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 11:34 am

Wow! that's some major news. Could this be the start of a full merger?
Chicken or Beef?
 
Midway2AirTran
Posts: 847
Joined: Wed Jul 16, 2003 7:34 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 11:39 am

Very glad to see this happen, best bet for both airlines.
"Life is short, but your delay in ATL is not."
 
travatl
Posts: 1946
Joined: Sat Mar 03, 2001 4:57 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 11:41 am

This isn't going to happen overnight. As we continue to take delivery of aircraft, we'll SLOWLY take over flights from MDW - i.e., we'll add DFW-MDW, and ATA will drop it. However, one of the advantages of MDW is it's hub status, not purely O&D travel - so to ensure that traffic stays high, the two carriers must feed one another. With no current mention of aircraft, I think that AirTran may have decided the leases were simply too expensive, but it's tough to call.

By the statements of both carriers, this is clearly a deal that has several details yet to be worked out.

Travis
1 Interview. 24 years. 3 Airlines.
 
iowaman
Posts: 3864
Joined: Thu May 20, 2004 2:29 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 11:43 am

What will FL use to replace Chicago Express?
 
ltbewr
Posts: 15661
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 11:56 am

All I can say is WOW!!!! This is better than I think all of us expected and I hope this works out in the long run for all concerned. Some people did some excellent work and creative thinking with this deal. ATA continues in commerical scheduled service, albeit a slightly smaller airline. Seems like most of the ATA employees will have jobs for the foreseeable future. AirTran gets key market expansion into the Chicago market as well as more access to LGA, and other locations. AirTran and ATA will be able to feed each other pax with what has to be the first code share situation of 2 LCC's. ATA can keep it's L-1011's for now and some 757's for their substantial charter business. There are some questions though, like will ATA still sell off or transfer leases to some of their 757's to HP or other airlines? Will they transfer some of the 737's not part of the deal with FL to other airlines?
 
FLAIRPORT
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 12:04 pm

I sense that Chicago Express will feed FL...am I right.

I'll miss TZ MDW-FLL...maybe IND will go up to 2X daily, they're beautiful aircraft...


oh...so more FL 717s at FLL...I'm jumping 4 joy here!  Big grin
NEXT FLIGHT: FLL-ATL-HPN on FL
 
quickmover
Posts: 2201
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 12:12 pm

The real question will be who will put in a competing bid or try to throw a wrench in here. As long as the city is being paid for their gates, I don't know why they would care who assumes the leases. Giving WN the monopoly isn't a good alternative. The implication is that TZ employees will be offered jobs at FL so that takes care of them. The jets are the only question that could cause a problem with the judge, but as long as TZ keeps up on the payments in the near term, that should be ok too. At some point, however, the aircraft has to wind up somewhere and someone has to pay something for them. The way this reads, FL will fund this expansion using their own jets as new 700s are delivered. I think as of now they are taking 12 or 13 next year and 6 717s.
any comments?
 
swaluvfa
Posts: 259
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 12:15 pm

What we will do here at AirTran is accelerate our 737 deliveries for next year. We will take around 20 to 25, and during 2005 we will phase out the ATA aircraft and replace them with our own. I don't think that we will take any of their 737-800s because of the very high leases. I will say though that the LGA and DCA slots are a key part of this deal. Those slots are VERY good for us and we will use them very well!! I just wonder if we will aquire the gates in cities that we do not currently serve such as CLT, SEA, PHX, IND. Time will tell. MDW.....The Teal Tails are coming your way!!!
 
quickmover
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 12:22 pm

"What we will do here at AirTran is accelerate our 737 deliveries for next year. We will take around 20 to 25, and during 2005 we will phase out the ATA aircraft and replace them with our own."

Have you heard that for sure? I know they had the options, but I thought most of the production slots at Boeing were booked. Do you know if these options allow for a quick delivery or are they out a year or two? I know southwest had mentioned speeding up deliverys as well for PHL expansion. Could some type of deal be made with Boeing to give up some of FL's 737-700 slots to go to WN and in return, Boeing gives FL a deal too good to pass up on those TZ 800s. Everyone could come out better off.
 
MAH4546
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 12:40 pm

Whatever happens, I just hope airTran stays on MIA-MDW. Traveling between Miami and Chicago's South Side very often, I would hate to have to use the out of way airports (FLL/ORD) to get a non-stop.
a.
 
Cubsrule
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 12:41 pm

I just wonder if we will aquire the gates in cities that we do not currently serve such as CLT, SEA, PHX, IND

I'm 95% sure that TZ does not own A5 in CLT.

As long as the city is being paid for their gates, I don't know why they would care who assumes the leases.

Given the implication that FL will keep most or all of the routes at MDW and FL's relatively good financial situation, I can't see any reason why the city would have a problem with this arrangement. I imagine that WN will take the 3 gates on Concourse B that TZ has now as TZ really only needs them for 757s, but I don't think WN would need or want more, except perhaps as part of an effort to quell competition. There's a chance (or maybe I'm just hopeful) that A4A and A4B would go the way of Concourses F, G, and H.

(edited to correct my illiteracy)

[Edited 2004-10-27 05:42:36]
I can't decide whether I miss the tulip or the bowling shoe more
 
LV
Posts: 1546
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 12:58 pm

Next question, are we going to see FL landing in IND?
 
chicago757
Posts: 348
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 1:03 pm

I feel for ya Vanguard737....I was boarding a flight for us (ATA) today when I heard the news. I was making a gate announcement boarding rows 20 and higher when I looked at the TV in the gate area holding the intercom mic and the news headline read "ATA BANKRUPT." I stopped my announcement for a second as I almost forgot what I was saying. Passengers looked at the tv, then back at me, then back at the tv and me again, and could tell I was startled at that moment. That was a moment I won't forget. I'm going to miss this airline. Its a shame, I really love working there.


Kevin

Go Easy...Go.....airtran?
Go White Sox!!!!
 
WesternA318
Posts: 4603
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 1:14 pm

Again, my best to ALL of the ATA people, and also now to Airtran in MDW.

One question,

Would the Airtran stock price rise on news like this?
 
iowaman
Posts: 3864
Joined: Thu May 20, 2004 2:29 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 1:16 pm

I'm going to miss this airline. Its a shame, I really love working there.

I'm going to clear some things up.
1.They are not leaving anytime soon. Operations will remain normal.
2. Thet are not actually "Bankrupt", they are under Bankruptcy protection, still very serious.

Wow! I would love to see FL 717's in DSM! Yes I know it's just a dream. Smile  Big grin
 
swadispatcher
Posts: 420
Joined: Wed May 12, 2004 9:12 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 1:17 pm

I think everyone's forgetting that these MDW gates are now technically "up for grabs".. I'd be kind of surprised if we let them get away without a fight. Not that we purposely want to hose FL or TZ, but I know we still want to add service out of MDW and we have our gates maxed out right now.
Maintain 2300 until Boiler, cleared for the VOR-A approach, report BATLE inbound..
 
Kohflot
Posts: 941
Joined: Wed Sep 29, 1999 5:31 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 1:28 pm

WesternA318:

Tomorrow is going to be a very interesting day for AAI (AirTran stock). There are several factors that might swing things in either direction.

For the upside:

The ATA deal is probably a long-term positive for AirTran. It gives them exposure in another large market and precious LGA and DCA slots. It also helps solve the issue of where to put all the new planes coming in the next couple of years.

Right now, consensus estimates are for a 7 cent loss for the 3rd quarter 2004. They *could* come in better than that. A surprise would help the stock.

For the downside:

It's no secret that Southwest effectively rules the roost at MDW. This will be the second 'hub' for AirTran to go head-to-head with them. Some investors may not like that.

The ATA deal does cost money. No one likes to see a cash position deteriorate in the current environment.

The stock price of an acquiring company *generally* tends to dip after the acquisition is announced. That's just history, though.. and this certainly isn't a full-blown merger.

This is why I posted information about the conference call. Tomorrow will be a great example of how perception drives a stock's price.
Ask why..
 
flyibaby
Posts: 719
Joined: Wed Aug 25, 2004 5:23 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 1:43 pm

Techincally, since ATA will still be operating the flights for awhile, ATA is still in control of the gates. Also with regard to the landing slots, unless this was specifically mentioned in the 87M deal, FL can actually lease the slots into both of these airports until they qualify for their own. Finally, after working in Seattle, I don't think its possible for Boeing to speed up deliveries that quickly. They are backlogged two years already on the 737 line. Now if the 757 line is officially closed, then they could possibly open that up if it had been re-tooled for the 737. Otherwise, the Renton facility can't handle it all alone.
 
airstatdfw
Posts: 387
Joined: Tue Mar 30, 2004 12:04 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 1:51 pm

So does this mean AirTran's current expansion plan is on hold and this is the new plan. Are they still planning on adding service to DFW, BWI, LAX or has the new deal taken all the new planes to MDW? I know AirTran promised DFW to bring in a lot of new service over the next 1 year and half, and with Delta leaving there are a lot of open gates and underserved routes.

AirStatDFW
 
travatl
Posts: 1946
Joined: Sat Mar 03, 2001 4:57 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 2:16 pm

Airstat -

AirTran has a history of moving very slowly and very cautiously. I wouldn't be surprised to see ATA still running the majority of MDW over a year from now, with additional growth at DFW, BWI, and continued "point to point" expansion. AirTran got STUNG by the hurricanes. More diversification of the route map is definitely on the horizon.
1 Interview. 24 years. 3 Airlines.
 
Kohflot
Posts: 941
Joined: Wed Sep 29, 1999 5:31 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 2:17 pm

Although, I do believe that putting the focus on MDW puts the spotlight on Southwest and any plans they may have for DFW......
Ask why..
 
N1120A
Posts: 26660
Joined: Sun Dec 14, 2003 5:40 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 2:27 pm

There is no way FL can get Boeing to speed deliveries. If WN cannot, nobody can. I wonder why they don't send 737 production back down to LGB, like they did a few years ago. They have plenty of line space and workers, and the demand is there.
Mangeons les French fries, mais surtout pratiquons avec fierte le French kiss
 
SLUAviator
Posts: 292
Joined: Thu Aug 19, 2004 1:30 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 2:45 pm

I'd like to venture an answer to the question about Midway and where ATA's gates came from. What is the "New" Midway International Airport today is not the Midway of 5 years ago. The Midway terminal today is brand new. The gates are new, and I am sure ATA kicked money into the building of the new terminal to get their hands on new gates. The city however does own the gates. They are leased from the City of Chicago who has to approve any transfer of the lease. I imgaine that will be a formality since I think the city wants to see the gates used instead of sitting there empty.
What do I know? I just fly 'em.......
 
AFROTC
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Joined: Sun Mar 14, 2004 4:59 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 3:46 pm

Best of luck to ATA, I hope that you guys will be able to bounce back soon!
We've Been Looking For You, United States Airforce, Cross Into The Blue!
 
chicago757
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Joined: Tue May 13, 2003 7:02 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 5:23 pm

So does this mean that ATA may still have a chance at remaining in MDW?
Go White Sox!!!!
 
cragley
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Joined: Tue Jul 20, 2004 6:09 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 6:25 pm



So does that mean that the ATA MDW employees will now be working for Air Tran? Or does Air Tran employ new staff?

Its whats best for both airlines, as ATA needs the cash and FL are happy with expansion.

I see FL eventually buying out ATA. But its a positive step forward for FL and a safe step back for ATA.

Thoughts are with the Employees, but whether its with ATA or FL, your job should be safe.

Good Luck guys and chin up  Smile/happy/getting dizzy
 
PHLBOS
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RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 9:48 pm

There is no way FL can get Boeing to speed deliveries. If WN cannot, nobody can. I wonder why they don't send 737 production back down to LGB, like they did a few years ago. They have plenty of line space and workers, and the demand is there.

Which may be one reason why FL may seriously be looking into utilizing TZ's 738s in the short term. Also given the production backlog of the 737 line; I could see FL making additional firm orders of the 717; after all, not all of FL's routes necessarily need the longer range of the 737.

Depending on what ultimately happens w/C8, could we see FL return to TOL to replace C8 down the road?
"TransEastern! You'll feel like you've never left the ground because we treat you like dirt!" SNL Parady ad circa 1981
 
DAYflyer
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Joined: Wed Sep 08, 2004 9:35 pm

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 9:57 pm

Cool news for Airtran. Since they have so many 737 already on firm order I doubt they will take any of the ATA aircraft long term; ATA will need to re-deploy these aircraft eventually to support operations elsewhere, although it is unclear how and where they will evetually wind up.

Great expansion plan for Airtran, although it sets up an interesting battle with Southwest to a degree. It will be interesting to see the new route map after this happens.
One Nation Under God
 
WesternA318
Posts: 4603
Joined: Sun Oct 17, 2004 11:55 am

RE: ATA Bankrupt, To Sell MDW To AirTran

Wed Oct 27, 2004 10:24 pm

Well, let us hope Airtran's stock goes up with this news.

Anyone that can take on the big Six incl. Southwest and still keep flying in the black is definately an airline I invest in, hence why I strongly invested in Airtran, America West and Frontier (although Frontier mainly takes on UA).

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