AirTran Airway's loss in the 4th quarter could have factored into Midwest's Board rejecting the offer by the airline.
A profitable performance in the last two months of 2006 failed to offset losses in October, said Bob Fornaro, company president and chief operating officer of the Orlando-based carrier. The company loss $3.3 million dollars for the 4th quarter of 2006.
"The year 2006 was very challenging with our average fuel prices again rising over 20 percent for the third year in a row," said Joe Leonard, AirTran's chairman and chief executive officer, in a statement.
The board of Midwest Air Group Inc. has recommended that shareholders reject a buyout offer worth $345 million by AirTran Holdings Inc., the parent company of AirTran Airways.
AirTran has filed a motion in court to release the names of the shareholders at Midwest Air, in an attempt to sway them to take the cash buyout of $345 million dollars.
AirTran Airways is agressively persuing this merger, and in a press release said that despite their loss in the 4th quarter it still does not change their stance on purchasing Midwest Air.
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