SWA's FAs Ponder CEO Gary Kelly's Next Move
Jul 28, 2015, 2:56 pm
#1
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SWA's FAs Ponder CEO Gary Kelly's Next Move
The Chicago Business Journal
July 28th, 2015 2:13pm
Southwest flight attendants ponder CEO Gary Kelly's next move after contract vote
"....Chief among them is the possibility Southwest Airlines and its CEO Gary Kelly could be contemplating another merger in the not too distant future.
According to sources, the three most likely merger targets are Alaska Airlines, Hawaiian Airlines and JetBlue. "Many of us are just sitting back waiting to see if it will be Hawaiian, Alaska or JetBlue," noted one source...."
July 28th, 2015 2:13pm
Southwest flight attendants ponder CEO Gary Kelly's next move after contract vote
"....Chief among them is the possibility Southwest Airlines and its CEO Gary Kelly could be contemplating another merger in the not too distant future.
According to sources, the three most likely merger targets are Alaska Airlines, Hawaiian Airlines and JetBlue. "Many of us are just sitting back waiting to see if it will be Hawaiian, Alaska or JetBlue," noted one source...."
Jul 28, 2015, 3:09 pm
#2
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Of course, because he did such a good job on the last merger.
Perhaps he thinks that practice will make perfect.
Edit: it just occurred to me the worst thing about this: we will have another 4 years of loyal flyers from another airline on this board complaining about how Southwest has wrecked their great situation.
Perhaps he thinks that practice will make perfect.
Edit: it just occurred to me the worst thing about this: we will have another 4 years of loyal flyers from another airline on this board complaining about how Southwest has wrecked their great situation.
Last edited by lougord99; Jul 28, 2015 at 7:40 pm
Jul 28, 2015, 9:56 pm
#5
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Jul 29, 2015, 7:37 am
#6
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I've flown WN almost exclusively since 1999 and AirTran only a few times a year to/from Atlanta and can really sympathize how Southwest has wrecked their great situation...
Jul 29, 2015, 7:46 am
#7
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I am in total agreement that Southwest ruined a good thing. Whether that good thing would have continued without the Southwest purchase is unknowable.
That doesn't mean that I want to see those complaints for 4 years.
That doesn't mean that I want to see those complaints for 4 years.
Jul 29, 2015, 8:58 am
#8
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Was Air Tran supposed to continue lurching from crisis to crisis? Was Air Tran a socialist enterprise existing soley to provide benefit to Atlanta/Consumers?
All the lagacy airlines used the bankruptcy code to shed costs and reduce capacity. It's a new world, and Southwest was forced to adapt - adapt or perish.
Jul 29, 2015, 9:20 am
#9
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Had Airtran remained independent it seem likely they would be posting record profits too. Gary Kelly time the purchase masterfully to get Airtran for a good price, far less than he likely could today.
Any new acquisition would likely be far more expensive and would not have a improving market to mask any problems.
Jul 29, 2015, 9:32 am
#10
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Just to point out that Artran management pulled off one of the most successful in the history of capitalism in teh wake of the Valujet crash. At the time of the sale they were profitable and the airline market was poised for a recovery, to the point that alsmot every airline is reporting record profits.
Had Airtran remained independent it seem likely they would be posting record profits too. Gary Kelly time the purchase masterfully to get Airtran for a good price, far less than he likely could today.
Any new acquisition would likely be far more expensive and would not have a improving market to mask any problems.
Had Airtran remained independent it seem likely they would be posting record profits too. Gary Kelly time the purchase masterfully to get Airtran for a good price, far less than he likely could today.
Any new acquisition would likely be far more expensive and would not have a improving market to mask any problems.
Jul 29, 2015, 10:23 am
#12
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Also, any SFO-HNL direct flights will move to OAK, and if you wish to go to HNL from SFO you will have to layover in DAL. :-)
Jul 29, 2015, 11:37 am
#13
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The fact that the offer was above market price and took away risk of future economic uncertainty was in their favor. I think the Airtran Board did the right thing for their shareholders. I'm not sure Gary Kelly did the right thing for his.
Without a doubt Airtran customers suffered.
Jul 29, 2015, 11:41 am
#14
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Back to the topic at hand, I wonder what GK will due now.
I understand when the Airtran pilots rejected his offer he basically threatened to let them all go if they didn't accept the last offer and many still think he was already planning to get rid of the 717s.
Admittedly that was a very different decision but I wonder if this will prompt a more hardline response form management.
I understand when the Airtran pilots rejected his offer he basically threatened to let them all go if they didn't accept the last offer and many still think he was already planning to get rid of the 717s.
Admittedly that was a very different decision but I wonder if this will prompt a more hardline response form management.
Jul 29, 2015, 12:56 pm
#15
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I was just thinking what would have ultimately happened if AirTran's deal in 2004 to acquire TZ's 14 MDW gates plus TZ's LGA/DCA slots actually went through? WN stepping in and acquiring TZ's assets was essentially just a play to block AirTran from MDW and gain those LGA/DCA slots. Thus, laying the path for AirTran to ultimately be acquired by WN down the road.