Pretty crappy news


New Member
Mesa Air Group Announces MOU With United Airlines for Up to an
Additional 60 Regional Jets
Tuesday July 1, 8:02 am ET

# PHOENIX, July 1 /PRNewswire-FirstCall/ -- Mesa Air Group, Inc.
(Nasdaq: MESA - News) today announced it has signed a memorandum of
understanding with United Airlines to operate as a United Express
carrier, significantly expanding its current code share agreement with
United. Under the expanded agreement, Mesa will operate 35 regional jets
on select portions of the company's United Express service in addition
to the 10 Dash-8 aircraft already under contract. The 35 regional jets
include 20 larger 70-seat and 15 50-seat aircraft. United will also have
an option for an additional 25 regional jets, the timing and mix to be
determined at a later date. The expanded agreement is expected to be
effective in August 2003 and, unless extended, has a final expiration of
December 2013.(Logo: )

The regional jet agreement is similar to Mesa's existing code share
agreements. The expanded agreement with United remains subject to final

"Prior to 1997 Mesa was United's largest regional partner and we are
delighted that United has decided to significantly expand our current
relationship. This contract validates the Company's strategy of offering
our partners the lowest cost regional feed while providing the highest
levels of reliability and service quality," said Jonathan Ornstein,
Mesa's Chairman and CEO. "This is a momentous event for our Company and
provides further foundation for Mesa's future growth. We'd like to thank
United for their confidence in our operation and all of our employees
who have worked hard to make this possible. This deal wouldn't have been
possible without our employees', as well as our local union leaders'
understanding of the competitive nature of the industry, ensuring
continued job security and Mesa's future success."

Mesa currently operates 141 aircraft with 1,042 daily system departures
to 162 cities, 43 states, Canada and Mexico and the Bahamas. It operates
in the West and Midwest as America West Express; the Midwest and East as
US Airways Express; in Denver as Frontier JetExpress and, commencing
July 6, United Express; in Kansas City with Midwest Express and in New
Mexico and Texas as Mesa Airlines. The Company, which was founded in New
Mexico in 1982, has approximately 3,300 employees. Mesa is a member of
the Regional Airline Association and Regional Aviation Partners.

This press release contains various forward-looking statements that are
based on management's beliefs, as well as assumptions made by and
information currently available to management. Although the Company
believes that the expectations reflected in such forward-looking
statements are reasonable, it can give no assurance that such
expectations will prove to have been correct. Such statements are
subject to certain risks, uncertainties and assumptions. Should one or
more of these risks or uncertainties materialize, or should underlying
assumptions prove incorrect, actual results may vary materially from
those anticipated, estimated, projected or expected.

Source: Mesa Air Group, Inc.

By my count, that leaves ACA, Air Whiskey, Chatuqua, and Trans States.

PLJenkins, is there any truth the rumor that ARW's TA is null and void because the FA TA failed?


Well-Known Member
As a shareholder of Mesa I would say this is GREAT news!

I guess one man's ceiling is another man's floor.


New Member
Yeah, but as far as for me keeping my job it isn't very positive. Here's an ACA press release.

Atlantic Coast Airlines Update on
Negotiations With United Airlines, Inc.

Dulles, VA, (July 2, 2003) - Atlantic Coast Airlines, the Dulles, VA-based United Express regional carrier (ACA) (NASDAQ/NM: ACAI) today announced the following with regard to its United Express program.

The Company has been engaged in discussions periodically with United Airlines, Inc. related to the terms of a new agreement to replace the existing United Express Agreements between the parties. Although the Company and United have recently exchanged proposals, the parties were unable to reach an agreement on terms the Company believes acceptable during their last discussions on June 30. The Company continues to develop contingency plans to allow it to establish an alternative to the United business in the event that satisfactory arrangements for future United Express service cannot be agreed with United. The Company would pursue such an alternative if it is considered by management to offer more favorable prospects than offered by United. The Company cannot predict the timing or outcome of any decision by United with respect to the Company's code share arrangements.


Well-Known Member
My arguments for OneALPA grow daily ...

They used to be at, but it has disappeared. Basically I'd like to see ONE seniority list for ALL ALPA Airlines.

That way if you get furloughed at one you could slide to another and bump the junior guys, since you have been working longer than them.

I know the junior guys hate it, but hey, they're junior!


New Member
Yea, I think it's great news also. Dave, you should listen in on the conference call that Mesa held yesterday. John Ornstein said that Mesas impact to other express carriers is being overblown, and that this flying most likely will not take any flying away from other regionals, but only the mainline, from his knowledge. He may be full of it, but he was responding directly to an analysts question regarding you guys.
He said the only flying that Mesa took on that would reduce others flying was Air Whiskey, because they were phasing out their turboprops, and that was AW's choice, not United's.
Good luck to you though....the current industry condition is nuts.


Staff member
Were Orenstein's lips moving?


Well-Known Member
You know JO doesn't impress me as a liar. He just never promises anything he can't deliver. Listen carefully to his promises and you will see he has pretty much delivered.

For example, when I was the "Rumor Guy" for Mesa I used to bug him a lot. I would ask him point blank what we needed to do to get a raise. He answered point blank in the next weekly recorded message exactly what percentage profit margins he wanted before he felt he could give the pilots a raise. He did things like this on many occasions.

Don't get me wrong, as airline CEOs go, so does JO, but I can't call him a liar.

As a shareholder in Mesa now, I'm pretty happy with the way he is running things.

If he says this will impact mainline more than other United Express carriers I am willing to bet he is right. That sounds more like UAL mgt's goal anyway.


New Member
Yea, I'm not sure I would call him a "liar" also, but I would definitely call him a "spin doctor". He is really good at not directly answering a question, but rather spinning several different scenarios.

Overall, though, he seems to be doing a good job w/ Mesa.


New Member
I know the junior guys hate it, but hey, they're junior!

[/ QUOTE ]
Sounds like socialism and job guarantees to me and they worked in the Soviet Union… wait that isn’t right.

So what you are saying is some 25year old who, with 1500tt hires on with Coex in 2001, a day before the retired Navy P-3 guy with 7,000tt who hires on with Continental, should be able to get the P-3 guys job if Coex furloughs. Just because he is senior.

Yeah I’d sign up for that plan.


New Member
Dont count on ACA not hooking up with someone. If I had to guess I would say they might expand with Delta. Seems Delta is getting into moving flights to RJ's. I am not thats not what Doug or the pilots under him would want to hear but that seems to be the way Leo is thinking.