Canadian north to buy first air

[TAT]

Heard rumors that Canadian north bought first air any news?

[tbaylx]

Hope that is just a rumor..you have a source?

[ahramin]

Wrong rumour. It's actually Kenn Borek that is buying Canadian North.

[tbaylx]

Oh cool, can't wait to take the -200 to Antarctica...

[TAT]

Not reliable ones just heard this on the street... I know they were looking at 7f

[onspeed]

I don't think Canadian North had 250 mil to spare. We heard last week they asked their managers to take pay cuts, rumors though.

Maybe the parent company.

[rudder]

First Air is not worth $250M

[TAT]

It would be more nunasi group that would've doing the buying

[flynfiddle]

Heard Ursus is buying both Canadian and First Air, Blair needs more Hygards in Tulita, figures they can land a -200 in there loaded, dont have to worry about getting them out, they're a dime a dozen

[onspeed]

your right rudder probably closer to 175 but i've heard a few numbers floated... hard to say how much the value our assets...

Lets hear your number? If rumors are right we'll find out monday.

[Dh8Classic]

I believe First Air has been for sale for a while. It makes perfect sense for these two airlines to merge as they just kill each other on the same routes in so many places. Baffin, most jet routes, the west. But supossedly the native groups don't like each other. Perhaps merge with each holding a 49% share with a professional outside group running it and splitting the profit between them. Nunasi can't be too happy with a bottomless pit and Makivik isn't able to skim as much bonuses for their big swimming pool homes for BoD (supposed work) now that First Air is in tougher times.

But First Air does have two Hercs that can rake in the dollars(or lose them) with no competition(until those big airships come along), some good infrastructure and if they can cut the competition on a huge number of routes and do a moderate fare increase, the good times could return to the merged company.

If 7F was just sold off, there could be some cutbacks in the east as the Makivik would use their own 737 from Air Inuit on the YVP-YUL run and run the newly merged airline out of town. I suppose a 737-400 could replace the 200 out of Ottawa but still remain as 1 flight per day. Maybe a southern competitor would start up again to YFB. Isn't YUL a more natural gateway to the north anyways.

Several things would be interesting. Where would the head office be? Dash-8's or ATR(that might be an easy answer), date of hire for the seniority list? Isn't that the usual ALPA way? More CFM powered 737's? Canadian North or First Air name(that one may be interesting as well for more than one reason).

[Donald]

date of hire for the seniority list? Isn't that the usual ALPA way?

That would really suck for one companies pilots, and be great for the other.

[tbaylx]

date of hire for the seniority list? Isn't that the usual ALPA way?

That would really suck for one companies pilots, and be great for the other.

Yeah that would be an ugly fight. Hope it's just a rumour.

[onspeed]

How do the cultures differ?

[CanadianLimey]

With the increased competition from the bigger airlines, a merger might be a good thing. However, I've been through two mergers including the Air Canada and Canadian Airline, and one group of employees always win and the other group suffers (gets laid off, etc).

[Just Because]

Heard Ursus is buying both Canadian and First Air, Blair needs more Hygards in Tulita, figures they can land a -200 in there loaded, dont have to worry about getting them out, they're a dime a dozen

LOL

[Dh8Classic]

It makes perfect sense for these two airlines to merge as they just kill each other on the same routes in so many places

I disagree, it makes little sense for them to merge. They are easy competition for each other, an ideal symbiotic relationship. Upsetting this ballance would be risky. Besides, these two companies have very fundamentally different cultures.

FOD

No competition is better than easy competition. Besides, what is easy about Cdn North matching First Air on most of their ATR routes with Dash-8's over the last few years. That is huge competition. If they merge, no one will likely fill in the turboprop routes for quite a while with anything significant. And if it is an outside buyer, they probably don't care about different cultures. Its the bottom line that matters.

[onspeed]

Again I don't think the cultures of Canadian or First Air are vastly different. Both northern airlines flying to the same communities dealing with the same issues on a day to day basis.

[onspeed]

Also a merger would be hugely beneficial in stabilizing the market for both airlines. It seems both airlines are fairly busy I don't think the layoffs would be as drastic as some might think. I could see the dash staying on baffin and operating routes that are shorter while the ATR stays on the longer runs.

[Donald]

I don't think the layoffs would be as drastic as some might think.

How about the Boeing capt's that wouldn't be able to hold left seat on an ATR under a merged list?

[hamstandard]

[quote="Donald"][quote="onspeed"] I don't think the layoffs would be as drastic as some might think.[/quote]

How about the Boeing capt's that wouldn't be able to hold left seat on an ATR under a merged list?[/quote]

How junior are the Boeing captain's. How many years service?

[tbaylx]

I don't think the layoffs would be as drastic as some might think.

How about the Boeing capt's that wouldn't be able to hold left seat on an ATR under a merged list?

No bump no flush clauses are pretty standard in a merger of that sort. No one should lose the current seat, however you'd be junior forever.....

[URC]

Sources told Nunatsiaq News late last week that Norterra and Makivvik are close to an agreement that would see First Air, legally known as Bradley Air Services, sold to Norterra by Makivvik.

Over the past decade, Makivvik officials have made no secret of their desire to sell all or part of First Air to Nunavut interests.

In 2010 and 2011, First Air struck regional joint-venture deals with Sakku Corp. and Qikiqtaaaluk Corp. to create the Sakku First and Qikiqtani First airlines.

But when contacted April 13, officials with Inuit-owned Norterra and its subsidiaries had little to say about the idea that they, and not a consortium of regional Inuit birthright corporations, will buy First Air.

“To speculate on this flies in the face of whatever confidentiality people have. That’s all I can tell you,” said Tracy Medve, the president of the Canadian North airline, a subsidiary of Norterra.

Medve did not deny the potential purchase, saying “rumours circulate over time and some seem to be very reliable.”

http://www.nunatsiaqonline.ca/stories/a ... _purchase/

[godsrcrazy]

Probably the truth to this whole thing is since Canada post was made to open the books over the whole food mail fiasco First air no longer making the money they use to. First air has lost a pile of revenue (Profit) since people started looking into these contracts.

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hamstandard Wrote:

How junior are the Boeing captain's. How many years service?

First Air's most senior is 1978, Canadian's is 2001, there's definitely some big differences on some equipment.