Whoa Whoa Whoa! There are so many rumor merger talks going on it's hard to keep track of lately. Rumors between a Northwest Delta hook up are growing, Continental and United are reported to be trying to work around some 'golden key' legal issues with NWA, and now AirTran shocked at least me and made a $210 million dollar bid for Midwest Air. WOW.
News that AirTran Holdings, Inc. (AAI) parent company of AirTran Airways is offering $11.25 a share in cash and stock, or about $210 million to purchance Midwest Airlines. AirTran has a Q & A website that lays out some of their plans but keeps everything pretty general.
At this time Midwest Airlines is rebuffing the proposal. However, AirTran had sent another letter to the Midwest board Wednesday advising them that it would continue to pursue a deal.
The combined company would allow AirTran to grow fast without investing a lot of money in new equipment, employees, and training costs. Midwest Airlines has hubs in Milwaukee and Kansas City. AirTran has a hub in Atlanta. Aquiring Midwest would allow AirTran some upper midwest markets.
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