Hooters chairman heads group interested in Vanguard Airlines

KC Star ^ | 8-14-02

[Oldeconomybuyer]

KANSAS CITY, Mo. - An investors group headed by the chairman of the Hooters restaurants is interested in Vanguard Airlines, the Kansas City-based discount carrier that shut down and filed for bankruptcy last month.

The airline filed for Chapter 11 protection from creditors on July 30, abruptly stopping all flights and laying off most of its 1,100 employees. It will be in U.S. Bankruptcy Court Wednesday seeking interim financing from the group while negotiations continue on a potential acquisition or investment, said Elizabeth Cattell, vice president of marketing and advertising.

The investors group is led by Robert H. Brooks, an Atlanta businessman and chairman of Hooters of America Inc. Vanguard said last week that in a last-ditch attempt to resume operations it was in negotiations with an investor it did not then identify.

"We are seriously considering an investment in Vanguard Airlines, and have committed to provide limited interim funding to support development of the plans and projections we need in order to develop an acquisition or investment evaluation," Brooks said in a statement Tuesday. "We are impressed with what Vanguard has accomplished in the last year ... and we hope to be able to participate in a proposal to continue Kansas City's hometown airline."

The Hooters chain, known for waitresses wearing tight shorts and low-cut T-shirts, operates restaurants in 315 locations around the world. Brooks is also the founder of Eastern Foods Inc., which makes the Naturally Fresh and Jackaroo brands of dressings, sauces and dips.

Cattell declined to say how much in interim financing Vanguard will seek from the Brooks group to maintain its skeletal staff while the negotiations continue.

Scott Dickson, Vanguard's chairman and chief executive officer, said given recent actions of the airline industry's biggest carriers, Kansas City, Mo., and Kansas City, Kan., need to recognize Vanguard's value and the role it plays in keeping local fares low.

"We believe it is in the best interest of the company, its creditors and Kansas City that we continue to maintain the airline in anticipation of a potential investment," Dickson said. "Vanguard has demonstrated a business plan that was working, and the serious consequences to Kansas City of a permanent shutdown of (Vanguard) are becoming more and more clear."

Cattell said Brooks' interest surfaced after the airline filed its bankruptcy petition.

"We're very pleased with our discussions, but I can't go into any further details," she said. "But we do think it's very important for the airline and our employees."

"I hope it pans out," said Mike Boyd, an aviation analyst who is president of the Boyd Group in Evergreen, Colo. "I'm sure he's got a lot of money, and Vanguard just needs more financial backing and not necessarily other airline people coming in. This is going to be the butt of jokes for a while, but I hope it works."

[Oldeconomybuyer]

[KSCITYBOY]

You know - Use Southwest Airlines style of operations and some hooters type women working there and you've got yourself a major winner.

[KC Burke]

Flight attendant uniform design contest is now underway.

[Oldeconomybuyer]

Agree. KC has been a hub for Eastern, Braniff, TWA, and Vanguard and all have folded. HootersAir with SWA-level service would be an absolute hit.

[maximus@Nashville]

Actually, I have thought for a while now that a return to attractive stewardesses might attract more business travellers. Add to that serving beer and hot wings....

[E. Pluribus Unum]

Another guy who thinks that, because he was successful in one type of business, he can succeed at a completely different type of business.

They have a place for people like that. It is called "Chapter 11."

[RoughDobermann]

Vanguard was the worst airline I ever had the misfortune of flying. Good riddance.

[MadIvan]

Apart from scantily clad stewardesses, I can't see what this fellow brings to the table.

Regards, Ivan

[Eric in the Ozarks]

I dunno. I flew Vanguard plenty of times from KC to Denver. Cheap and pretty close to being on time. Old airplanes, though.

[ken5050]

Addede bonus...The cabins will have extra room for carry-on luggage, making them popular with travellers, because the planes will NOT have to carry flotation devices...

[Oldeconomybuyer]

Not always. This idea could work unless the feminists raised a ruckus and demanded "Hooters Boys".

[galt-jw]

running a defacto titty bar with mediocre food and expensive beer is NOT difficult...guys show up for the hooters, not the food....running an airling is.

HUBRIS ALERT!

[RoughDobermann]

I understand that they actually improved with time. I "flew" with them a number of times in '99. Every flight was significantly late (more than 2 hours) or was cancelled due to mechanical trouble (little things like flaps wouldn't extend, engines wouldn't start, etc.). One flight to Denver was 8 hours late! I could have driven faster. People were getting rather irritated. One guy sees a pilot walking by and said, "Are we going to depart today?" (it was 9PM by this point) The pilot snapped back, "Look, no one wants to leave more than WE do!" The whole crowd just burst into laughter. When the plane eventually did leave, they served free booze. Nice, eh?

If you have to fly to Denver from KC, try Frontier.

[Crawdad]

Interest in buying an airline= God's way of telling you that you have too much money.

[RedWing9]

I can't see what this fellow brings to the table.

Well, he knows wings....

brrrrudummmppp dum!

[MadIvan]

Well, he knows wings....

Off of birds that never flew well in the first place. ;)

Regards, Ivan

[Hemingway's Ghost]

Apart from scantily clad stewardesses, I can't see what this fellow brings to the table.

Isn't that enough?

[Crawdad]

BTW, on eBay, you can purchase shirts like those the nice ladies above are wearing. Shorts too. You can't get them at the restaurants. I bought two for my wife. OH BOY!!!!

[ken5050]

EEOC regs have for years prohibited airlines from having an upper age limit for stews....that started the downhill trend...now, everytime they want to get rid of one...weight, or whatever..they can even fly now 6 months pregnant....they file a grievance...so the airlines just roll over.....in the late 60's I was stationed in Spain, and I dated a PanAm stew for over a year...god, all those girls were gorgeous.....remember the powder blue uniform, and that little bowler hat that they wore....and, of course, always wore, heels....