Posted on 07/09/2009 3:58:31 PM PDT by Diana in Wisconsin
NOTE: For those that don't know, Wisconsin's own airline, Midwest Express, is going belly-up.
Midwest Airlines Inc.'s union flight attendants, represented by the Association of Flight Attendants-CWA, have filed for federal mediation after contract negotiations stalled, the union announced Wednesday.
The union said the talks have stalled because the company is demanding large cuts in pay and benefits. Company executives have declined to discuss the negotiations, although the company says its needs concessions to stay competitive.
Midwest last year ran into financial trouble because of soaring jet fuel prices and a decline in travel, and is now being sold to Republic Airways Holdings Inc.
Resisting concessions
The airline's union pilots, represented by the Air Line Pilots Association, had earlier requested mediation for their contract talks.
"Now, more than ever, Midwest flight attendants deserve an agreement that honors the tremendous work and dedication the flight attendants have devoted to our airline," said Toni Higgins, AFA-CWA Midwest president, in a statement. "Midwest flight attendants refuse to be forced into giving devastating concessions and deserve progress. We have devoted our lives to this airline and we do not intend to go away quietly."
Midwest spokesman Michael Brophy declined to comment on the union's announcement.
Go ahead. Post pictures of naughty flight attendants. You know you want to. ;)
Gotta love unions. /s
Too bad. I always enjoyed flying on Midwest. Big seats and Alterra coffee. Yum.
Union thugs would rather be unemployed than allow a company enough profit to stay in business.
Good for them, we still have a few positions open here at the local McDonalds. I welcome flight attendants, it will be a nice change of scenery.
Midwest was just sold to another company about two weeks ago who is going to get rid of the big jets and have a fleet of Regional Jet’s instead. I am sure this is one of the reasons behind the union’s anger.
http://online.wsj.com/article/BT-CO-20090623-712247.html
Republic Airways Holdings Inc. (RJET) agreed to acquire fellow regional carrier Midwest Airlines from TPG Capital for $31 million, just 17 months after the private-equity giant paid $452 million.
Since then, the airline industry has suffered from record-high fuel prices and now the ongoing slump in ticket demand.
The deal marks the second big transaction of the day for Republic, which said earlier Tuesday that it will pay $108.8 million to help connection partner Frontier Airlines Inc. (FRNTQ) emerge from bankruptcy protection.
Republic shares were recently up 47% at $6.
Private equity firm TPG took over Midwest in January 2008. The airline flirted with bankruptcy last year amid rising fuel prices, resulting in the company’s slashing its work force by 40%. TPG will get $6 million in cash, a $25 million note and the ability to appoint someone to Republic’s current 6-person board.
“This acquisition will enhance the strategic positioning of Republic Airways,” said Chairman and Chief Executive Bryan Bedford. “Midwest has built a strong brand, a loyal base of customers and dedicated team of employees.”
Republic, which will keep the Midwest brand separate, plans to expand the airline’s ability to offer nonstop service with new aircraft, scrapping its Boeing 717s with Embraer 190s.
The five-year note is convertible into Republic common stock at $10 a share, which would result in 2.5 million new shares. Republic currently has about 35 million shares outstanding.
Midwest Airlines grew out of Kimberly-Clark Corp.’s (KMB) internal transportation service for executives. The consumer-products company formed K-C Aviation in 1969, providing aviation services to other companies and specializing in the meticulous customization of corporate aircraft.
In 1984, K-C Aviation and Kimberly-Clark launched Midwest Express Airlines, which became publicly traded in 1995 and shortened its name to Midwest Airlines in 2003.
“we do not intend to go away quietly”
You’ll go away all the same...unemployment secondary to bankrupt employer
This is the best part!
Republic Airways Holdings Inc. (RJET) agreed to acquire fellow regional carrier Midwest Airlines from TPG Capital for $31 million, just 17 months after the private-equity giant paid $452 million
Republic will operate Midwest more efficiently in part by dropping Midwest’s nine Boeing 717 jets and replacing them with Republic’s Embraer 170 and Embraer 190 jets.
Bedford said the Embraer aircraft are more fuel-efficient than the 99-seat Boeing 717s. Also, operating with just one fleet type will reduce training and maintenance costs, Bertolini said.
Midwest already uses the 76-seat Embraer 170 jets on many of its flights and will be adding 99-seat Embraer 190s.
For shorter flights, Midwest will use Republic’s 37-seat and 50-seat Embraer regional jets, replacing 50-seat regional jets now flown for Midwest by SkyWest Inc.
The Embraer 170 and 190 aircraft have high ceilings, up to 6 feet 7 inches, along with passenger and baggage space “that rival that of narrow-body aircraft flown by mainline airlines,” Bertolini said.
Each Embraer 190 will include 20 seats that are the wide “signature” seats, Bertolini said. That compares to 40 signature seats available on each of Midwest’s current Boeing 717 jets.
Let's ask Littleman.
I’m a member of ALPA (begrudgingly), but the pilots really signed the airline’s death warrant when they staunchly opposed AirTran’s offer to purchase the struggling carrier. They would’ve kept their jobs at a lower pay rate/seniority, as would’ve the flight attendants. Now, the flying is being farmed out to RAH, and the jobs are pretty much gone. All of the lower-paid Republic pilots hate that they’re taking away these jobs, but hey, those guys are still employed at least.
Apparently you haven't been on a American air carrier in about 10 years.
I recall when it’s predecessor Midwest Express airline pilots made $13.00 per hour and most likely their pay now has not changed much.
Midwest Express
After the Airline Deregulation Act of 1978, Kimberly-Clark and K-C Aviation decided to form a regular scheduled passenger airline, and out of that initiative, Midwest Express started on June 11, 1984. At the time the airline had two DC-9’s and 83 employees.[3] Early plans for the airline called for it to serve Appleton, Chicago, and Atlanta. However, Kimberly-Clark opted against this plan after local resistance over the carrier’s desire to serve Atlanta’s Fulton County Airport, which is a general aviation airport on the city’s west side.
The airline slowly grew by adding Douglas DC-9 aircraft to its fleet. Eventually, Midwest Express served most major Midwestern and Eastern destinations. Their longtime slogan, The Best Care in the Air, represents their inflight product. For many years, all flights featured 2-by-2 leather seating, ample legroom, and inflight meals and cookies. This made the airline popular with business travelers. In addition, Midwest Express operated a sizable executive charter operation with a specially-configured DC-9.
In the 1990s, Midwest Express began adding McDonnell Douglas MD-80 aircraft to their fleet. The airline experienced steady growth along with continued profitability. Midwest Express also started their own regional subsidiary, Skyway Airlines, The Midwest Express Connection, to provide commuter airline service to small communities in Wisconsin and the surrounding region. Kimberly-Clark relinquished its ownership in two initial public offerings on September 22, 1995 and May 8, 1996.[4] Its parent company Midwest Air Group traded on the American Stock Exchange under the ticker symbol “MEH.”
Midwest Express also added Midwest Vacations in the 1990s, naming GOGO Worldwide Vacations as the original partner to provide hotel service[5] and later partnering with Mark Travel[6]. Midwest Airlines Vacations continues to operate as a vacation provider.
After fourteen years of profit-making, Midwest Express was affected with serious financial problems after the September 11 terrorist attacks. To return to profitability, the airline made major changes to its product. First, they reconfigured some MD-80 series aircraft into a new ‘Saver Service’, featuring cloth coach seats in a 2-by-3 arrangement. Saver Service, while decreasing the width of the seats, continues to feature ample legroom. This service was initially offered from their Milwaukee and Kansas City hubs to leisure destinations such as Florida, Los Angeles, Las Vegas, and Phoenix on McDonnell Douglas MD-80 aircraft. The airline’s Signature Service was also affected by the financial difficulties. The signature gourmet meal services, which had been served on china after being cooked on board, were discontinued in 2002.
But I still fly Midwest whenever I can, if I have to fly. And I've got tickets for a September flight! I hope they're still in business, and they honor the tickets (though I did purchase travelers insurance, just in case, since the dates were so far off).
Mark
True. Please tell me they aren't all butt ugly, liberal cows.....
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