FlexJet / Flight Options / SkyJet

[Praetorian]

Let 'em pony up then. Talk is cheap. DAC doesn't have a chance at buying XO unless they very seriously overpay. It just simply isn't going to happen. I would say there is a much better chance of XOJET buying DAC. The owners of XO could buy Ricci ten times over with the change in their pockets. And, it's my understanding they currently have no interest in selling. But, money talks, so let's see if Ricci puts his money where his mouth is. I wouldn't hold your breath.

If XO is loosing money the relative size of their respective portfolios doesn't matter. XO's parrent may just be trying to rid themselves of a losing investment.

As far as the pilots go. Remember what he tried to do to the CA guys? McCaskill/Bond is a "grey area" and all that. The only difference is this time he doesn't have a union standing in his way to enforce the Act.

 

[X-rated]

If XO is loosing money the relative size of their respective portfolios doesn't matter. XO's parrent may just be trying to rid themselves of a losing investment.

You make more than one assumption not in evidence. You could say the same about DAC couldn't you?

 

[Praetorian]

You make more than one assumption not in evidence. You could say the same about DAC couldn't you?

KR has stated publically that he intends to build a critical mass to compete with NJ, so it's very difficult to believe that he's gonna sell half his operation to XO.

And yes I'm making an assumption about XO's profitability. But why else would they sell?

 

[squawk]

And yes I'm making an assumption about XO's profitability. But why else would they sell?

Your assumption is correct. They hemorrhage $$. There is no way they will ever be profitable with their pricing.

I am sorry to guys at XO who may be reading this, but the realities over there are grim. DAC will be only serious customer to pick up the 300 fleet.

 

[V1 Rotate]

No one here is rooting for the failure of anyone's employer. That being said, my "rumor" source also stated back in December that XO was bleeding cash and that their investors are pulling the plug in the coming months and more recently an announcement, one way or another, may come by the end of March. Anyone else hearing this?

 

[Frac Cap]

I understand the intention of McCaskill/Bond. But just like any rule or law that is tested or even broken, you need someone to step up and enforce it, or in this case pay someone to fight to enforce it. Sadly for the XO jet guys, I just don't see that happening. If KR wants to send the equipment over to the Flex side, I would think even the teamsters would not have anything to say at this time since presently Flex is a separate company....kind of.

Just my 2 cents on this issue.

 

[chief9404]

You make more than one assumption not in evidence. You could say the same about DAC couldn't you?

The only company in DAC's portfolio that loses money is Flops. It's set up that way for a reason.

I remember when rumors of KR taking over RTA everyone at RTA denied it was going to happen. Same thing at Flex. Lately there has been rumors XO is next. If I was a XO employee I would be worried.

 

[Dirty Squirrel]

I spoke to an XO crew recently. They said everyone is jumping ship.

 

[V1 Rotate]

KR has stated publically that he intends to build a critical mass to compete with NJ, so it's very difficult to believe that he's gonna sell half his operation to XO.

And yes I'm making an assumption about XO's profitability. But why else would they sell?

True. KR originally stated back in September, when he bought Flexjet, that he intends to take on Netjets. XOJet is just a bump in his road to achieving that goal and they just happen to have some 300's that he wants, which would actually go to FLOPs based on his latest vision fleet plan.

 

[t-bone]

I spoke to an XO crew recently. They said everyone is jumping ship.

True...to SWA, DAL, AA, UAL, and very good corporate jobs. Everyone that's left has gone to much better jobs. Something everyone would do given the opportunity. The ship is not sinking, however.