AC and TRZ Agree to Terminate Arrangement

[whipline]

I don’t have any skin in the game but from the outside I’d say AT is much better positioned to get through Covid. Next question is do the AT pilots still want to join AC?

The big margins in the vacation business is hotels and peripherals. Do it yourselves and never look back.

[FL320]

I don’t have any skin in the game but from the outside I’d say AT is much better positioned to get through Covid. Next question is do the AT pilots still want to join AC?

The big margins in the vacation business is hotels and peripherals. Do it yourselves and never look back.

I too have the same feeling. Business travel is out of the game for now and travel will be for family and friends and millennials looking for the cheapest tickets. And the 321LR is the perfect aircraft for pre-covid transatlantic ops.
In the actual context I think a merger wouldn’t be beneficial to AT pilots.

[RRJetPilot]

I don’t have any skin in the game but from the outside I’d say AT is much better positioned to get through Covid. Next question is do the AT pilots still want to join AC?

The big margins in the vacation business is hotels and peripherals. Do it yourselves and never look back.

I too have the same feeling. Business travel is out of the game for now and travel will be for family and friends and millennials looking for the cheapest tickets. And the 321LR is the perfect aircraft for pre-covid transatlantic ops.
In the actual context I think a merger wouldn’t be beneficial to AT pilots.

Jesus you're delusional.

[FL-280]

Perfect. PLEASE, tell your managers that this isn’t a good idea. Maybe the word will get around and we can all get on with our lives.
Just for the record, funny how this turns out now eh. Transat was in a super vulnerable position and you guys were shitting on everyone that were nay sayers to the deal. It had “ to happen “ .... now you think you are better off without and it shouldnt happen?! Lol..

No deal is best for both sides at this point.

[727driver]

321LR will be less expensive to run across to Europe but if there are blocked seats for passenger distancing there will be limited opportunity to make up the difference in lost revenue with cargo. 330s and 777s will have a distinct economies of scale advantage as they can make up a bigger difference in lost passengers revenue with more time sensitive must fly cargo that draws much higher yield than the standby cargo (which barely covers gas money) the 321 will carry if they can even carry enough of it to make any real impact. Must fly cargo is very lucrative especially now with limited TATL capacity. You only bump must fly freight once and the freight forwarders will be gone for good. They have a reputation to protect also. If Transat is allowed to pack paxs in like pre Covid 19 how many people are willing to risk flying in that environment? I guess that remains to be seen.

As far as the deal goes JME comments sound less confident about a done deal than he did two months ago and if he is so confident that TRZ could make a go of it on its own prior to this industry meltdown why was he trying to sell it. He could see the writing on the wall is my belief. The operation barely turned a profit during a period when others were make record profits. What’s the outlook like in this new world on their own? Plan “B” What’s Mach’s phone number?

[palebird]

You do realize that "cargo" is not going to save the present air transportation system right? When things were booming there was enough cargo capacity. Now all the passenger carriers who have seen their loads disappear think cargo is going to save them?? Sounds like pie in the sky.You also need economic activity to generate cargo and we don't have much right now. Also there is discussion among IATA member airlines about changing the hub and spoke models that most major carriers use and downsizing aircraft. Who knows but this could be a major change in the wind. If they pursued this strategy say goodbye to major airports and hello regionals. Interesting times.

[Localizer]

Perfect. PLEASE, tell your managers that this isn’t a good idea. Maybe the word will get around and we can all get on with our lives.
Just for the record, funny how this turns out now eh. Transat was in a super vulnerable position and you guys were shitting on everyone that were nay sayers to the deal. It had “ to happen “ .... now you think you are better off without and it shouldnt happen?! Lol..

No deal is best for both sides at this point.

Once in awhile you put out a mature post and then other times you put out a mud slinging post like this .. take the high road.

As for the transaction, I don’t think the rumours are bullshit. At a minimum, the price must come down and AT’s book value is in freefall quarter after quarter. 179 million down in Q2. As is stands, 300-500 million is a range that makes sense.... will there be a full bloc? Partial bloc? Will AT’s share holders accept a new negociated price? Will AC just simply walk from the deal and leave it up to AT to fight it out in court....?

I have had a lot of time to reflect, calm down on this emotional topic. Reality is: who knows? Even the exact road this will take, I bet you CR doesnt even know.... he is probably waiting for variables to narrow down or get confirmed to play his hand...

We could go deep down the rabbit hole and break down our ideas of market value vs. book value vs. intrinsic value .. really at the end of all this, just like our opinions on AvCanada, they mean nothing. So its useless for you to get emotional about this deal .. regardless of how it works out .. we have ZERO control.

I will admit .. I'm enjoying my summer with pay! (so far)

[FL320]

As far as the deal goes JME comments sound less confident about a done deal than he did two months ago and if he is so confident that TRZ could make a go of it on its own prior to this industry meltdown why was he trying to sell it. He could see the writing on the wall is my belief. The operation barely turned a profit during a period when others were make record profits. What’s the outlook like in this new world on their own? Plan “B” What’s Mach’s phone number?

You seem to forget that Transat wasn’t for sale. Calin R. came to JME office and made an offer to buy Transat; and that what triggered the idea to JME who had already decided to retire. He wasn’t trying to sell Transat and he wasn’t looking for a savior; Transat didn’t need one. It looks like too hard to understand for some people...

[727driver]

[quote=727driver post_id=<a href="tel:1119917">1119917</a> time=<a href="tel:1592760513">1592760513</a> user_id=897]
As far as the deal goes JME comments sound less confident about a done deal than he did two months ago and if he is so confident that TRZ could make a go of it on its own prior to this industry meltdown why was he trying to sell it. He could see the writing on the wall is my belief. The operation barely turned a profit during a period when others were make record profits. What’s the outlook like in this new world on their own? Plan “B” What’s Mach’s phone number?

You seem to forget that Transat wasn’t for sale. Calin R. came to JME office and made an offer to buy Transat; and that what triggered the idea to JME who had already decided to retire. He wasn’t trying to sell Transat and he wasn’t looking for a savior; Transat didn’t need one. It looks like too hard to understand for some people...
[/quote]

Really? That’s a bit of revisionist history there 320. It was TRZ that publicity announced it’s interest to engage in talks for the purpose of a buyout. Or in layman’s terms “we are for sale so anyone interested please call our 800 number for details and to present your offer”

https://www.ch-aviation.com/portal/news ... ive-buyers

Facts matter. Air Canada only engaged in talks once TRZ announced its intent to be bought out.

In response to the cargo subject as being a saviour; I agree that cargo will not save the operation and lead to profitability however it will mitigate the losses and cash burn rate especially on flights that cannot be operated at higher capacity levels. Cargo revenue was gravy money in the past now its a cushion to soften the blow.

[Gilles Hudicourt]

321LR will be less expensive to run across to Europe but if there are blocked seats for passenger distancing .....

Blocked seats ? Passenger distancing ? Where did you get that idea ?

A friend of mine left for Paris on an Air France 787 last Thursday. There wasn’t an empty seat on board.

Edit : https://globalnews.ca/news/7113341/west ... istancing/

[FL320]

Really? That’s a bit of revisionist history there 320. It was TRZ that publicity announced it’s interest to engage in talks for the purpose of a buyout. Or in layman’s terms “we are for sale so anyone interested please call our 800 number for details and to present your offer”

https://www.ch-aviation.com/portal/news ... ive-buyers

Facts matter. Air Canada only engaged in talks once TRZ announced its intent to be bought out.

If you assume an article from a website as a fact now I understand why you clearly have no idea what really happened behind the doors. Again, Transat was not for sale and they had to publicly annonce the talks with AC; as per the procedures. Then other parties came up to show their interest.

[Sharklasers]

Really? That’s a bit of revisionist history there 320. It was TRZ that publicity announced it’s interest to engage in talks for the purpose of a buyout. Or in layman’s terms “we are for sale so anyone interested please call our 800 number for details and to present your offer”

https://www.ch-aviation.com/portal/news ... ive-buyers

Facts matter. Air Canada only engaged in talks once TRZ announced its intent to be bought out.

If you assume an article from a website as a fact now I understand why you clearly have no idea what really happened behind the doors. Again, Transat was not for sale and they had to publicly annonce the talks with AC; as per the procedures. Then other parties came up to show their interest.

I find it entertaining that you claim to have all this inside knowledge and yet you still manage to be consistently wrong when you post stuff.
Please keep it up.

[FL320]

I find it entertaining that you claim to have all this inside knowledge and yet you still manage to be consistently wrong when you post stuff.
Please keep it up.

I just read the facts at the source. So please have a read so you won’t look like an ignorant too

https://www.transat.com/getmedia/aa91f ... x?ext=.pdf

As you know, the discussions began at the end of 2018, when Air Canada approached us, before delivering to us a non-binding proposal on December 13th. The Board of Directors, following best practices of corporate governance, immediately formed a special committee that undertook, with the support of financial and legal advisers, to evaluate all options, including the status quo and the proposals received.

[DanWEC]

True.

AC approached TRZ unsolicited in Fall 2018. 6 months before the announcement, but it triggered the later public release and due process. That's when other interested parties such as Mach group jumped in.

[rudder]

TRZ invokes an additional 30 day delay on the transaction.

https://www.google.ca/amp/s/www.theglob ... ir-canada/

[FL320]

TRZ invokes an additional 30 day delay on the transaction.

https://www.google.ca/amp/s/www.theglob ... ir-canada/

And they will do the same next month, we’ve been advised weeks ago.

[rudder]

TRZ invokes an additional 30 day delay on the transaction.

https://www.google.ca/amp/s/www.theglob ... ir-canada/

And they will do the same next month, we’ve been advised weeks ago.

I believe that there are two(2) further additional 30 day extensions available?

[FL320]

TRZ invokes an additional 30 day delay on the transaction.

https://www.google.ca/amp/s/www.theglob ... ir-canada/

And they will do the same next month, we’ve been advised weeks ago.

I believe that there are two(2) further additional 30 day extensions available?

Only one left now. After the end of September other extensions will require a mutual agreement (under conditions) until the final limit of december 27th.

[altiplano]

Professor Roy said it best... "this is all history now.”

[The Raven]

If Air Canada really wanted Transat, instead of paying $18/share, why not go in there today and buy shares at $5? Hmmm, I think I answered my own question.