ABX completes CHI acquisition and holding company formation

ABX Holdings, Inc., successor to ABX Air, Inc. has completed its previously announced (November 2, 2007) holding company reorganization and plan to acquire Cargo Holdings International (CHI), a privately held provider of outsourced air cargo services based in Orlando, Fla., for $332 million in cash and common shares of ABX Holdings, its newly formed parent company. The final equity purchase price of the transaction was $259 million, consisting of $233 million in cash and four million shares of ABX Holdings common stock. ABX Air also assumed or repaid $73 million in outstanding net debt of CHI. The transaction was funded Read more

Email Post to a Friend Email Post to a Friend

Panta Holdings to sell VLM Airlines to Air France-KLM

Panta Holdings B.V., owner of VLM Airlines, has reached an agreement on terms for the sale of VLM Airlines to Air France-KLM. VLM Airlines is one of Europe’s leading regional carriers catering principally for business travellers. The company operates a fleet of 18 Fokker 50 and one BAE 146. London City Airport is the hub for the majority of its flights and therefore VLM Airlines will actively cooperate with the regional carrier CityJet, a 100% subsidiary of Air France, which is already operating out of London City Airport.

Email Post to a Friend Email Post to a Friend

Transat A.T. Inc. announces final results of Substantial Issuer Bid

Transat A.T. Inc. announced the final results of its offer to purchase for cancellation up to $125 million of its Class A Variable Voting Shares and Class B Voting Shares. Based on final reports from CIBC Mellon Trust Company on the response to its offer to purchase, Transat takes up 1,780,797 Class A Variable Voting Shares and 4,662,502 Class B Voting Shares at a purchase price of $19.40 per share. The final pro-ration factor that has been applied to the Class A Variable Voting Shares and Class B Voting Shares properly deposited is approximately 99%. As a result, shareholders who Read more

Email Post to a Friend Email Post to a Friend

Delta pilots approve new agreement

Delta Air Lines pilots ratified an interim agreement that provides for a 14 percent hourly wage reduction and reductions in other pilot pay and cost items equivalent to approximately an additional 1 percent in pilot pay. The interim agreement will result in pilot cost reductions of approximately $143 million on an annualized basis. The agreement is effective as of Dec. 15, 2005, and will remain in effect while the parties seek to reach a comprehensive agreement. Under the terms of the interim agreement, the company and ALPA have pledged to commit their full resources to negotiate a tentative comprehensive agreement Read more

Email Post to a Friend Email Post to a Friend

MAS is seaking short-term cash injection

Malaysia Airlines will introduce a rigorous and disciplined cash management programme to stop and reduce the cash-burn rate of the company, both in terms of operating cost and also capital expenditure. It also seeks avenues to secure immediate short-term cash injection and financing, including sale of assets. MAS is currently in discussion with the Government on the modality of such financial support. Various cost reduction programs are being pursued as part of the Business Turnaround Map.

Email Post to a Friend Email Post to a Friend

U.S. domestic airline industry generated losses in third quarter

The BTS reported for the third quarter 2005, that the domestic U.S. passenger airline industry operating margin, represented by 21 selected carriers, declined from a 0.4% profit margin in the second quarter of 2005 to a 2.0% loss margin in the third quarter. The seven largest regional airlines and the seven largest low-cost carriers each reported a domestic operating profit margin while the network carriers reported a smaller loss during the third quarter of 2005 than a year earlier. The group of regional carriers reported a domestic operating profit margin of 7.4% for the third quarter and the low-cost group Read more

Email Post to a Friend Email Post to a Friend