On the heels of the 20 percent jump in take over price for Delta Air Lines, AirTran Holdings, Inc., (AAI) the parent company of AirTran Airways has upped their price for Midwest by nearly 20 percent too. The new deal announced today raises the bidding price to $345 million dollars for Midwest, that's up 19 percent.
Just yesterday Midwest Air released their strategy to remain as a stand alone carrier. "....remaining true to Midwest's commitment to customer service excellence, which earned Midwest its reputation as 'The best care in the air.'"
This new offer will put pressure on Midwest Air and their stock holders. This is something AirTran has been following since Oct 2006.
"You gave us no choice but to bring our offer directly to the owners of the company," AirTran Chief Executive Joseph Leonard said in a letter to Midwest's board.
AirTran is looking to expand and purchasing a company with established bases with a core customer market will allow them to do that quickly and without having to spend a lot of money up front.
CNN.com and Yahoo! News
(photo from boeing.com)
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