ONEX plans

[Hangry]

Onex will be all about dat WJ until the economy slows, if it does. Does anyone really think Onex is going to sit on WJ and invest in massive expansion during a worldwide economic downturn? They are about making cash and nothing else. If things go bad like (pick your downturn) I can’t see the new business daddy sticking it out long term.

The WJ of today is nothing like the WJ of previous downturns.

[altiplano]

4-7 years.

That's 95% of what they do.

[seriousflyer]

If onex wants to play hardball with the pilots, we will just play hardball back. Just like before.

I belive onex will accelerate growth and sell company via IPO in 5-10 years.

Espp plan has been announced for all westjetters except pilots. Pilots are negotiating through alpa team.
The replacement plan is better than the old plan. Allows for 2 or 3 year lock in period for additional matching % above 20%.
I think redistruutrtion of assets is possible. I actually predict everything will grow, including swoop. 30 tails asap.

[Hangry]

If onex wants to play hardball with the pilots, we will just play hardball back. Just like before.

I belive onex will accelerate growth and sell company via IPO in 5-10 years.

Espp plan has been announced for all westjetters except pilots. Pilots are negotiating through alpa team.
The replacement plan is better than the old plan. Allows for 2 or 3 year lock in period for additional matching % above 20%.
I think redistruutrtion of assets is possible. I actually predict everything will grow, including swoop. 30 tails asap.

Swoop isn’t growth

[DropTanks]

.

[doiwannabeapilot]

I hear around 50 FO spots just opened up at Swoop. Fill your boots guys ! Shiny jet !

[Warden]

I hear around 50 FO spots just opened up at Swoop. Fill your boots guys ! Shiny jet !

Cause they're all leaving for AC.

Why anyone would want to work 20 days a month just to fly a 737 for $120k is beyond me.

[goldeneagle]

Why anyone would want to work 20 days a month just to fly a 737 for $120k is beyond me.

Tell that to the person on call 31 days a month to launch a navajo at a job that brings in around 40K over the year. Then there are the folks pounding out 20 days a month on a 1900 for under 40K.

A hundred grand to fly a 737 with 10 days off every month sounds pretty peachy in comparison.

[Warden]

No one is going from a Navajo or 1900 to the left seat of a 737......

[DirtyDashDriver]

No one is going from a Navajo or 1900 to the left seat of a 737......

10 years ago no one was going from a 172 onto a Q400, yet here we are.

[CaptainHaddock]

They are looking for a lot of FO’s because they couldn't get many the last 2 bids (I think they got 7 out of the 22 they were looking for). If Onex wants to expand WestJet WB rapidly they will require lots of pilots, currently Swoop/Encore are having a hard time attracting qualified pilots and WJ is losing pilots to AC. So the current system will have to change. Swoop is not growth for WJ, it is an extended penal sentence for Encore guys/gals that should have been flowing to WJ, it has also removed 60-70 upgrades at least from WJ. So unless they align the Swoop conditions to WJ they will continue exasperate any large recruitment plans.
But obviously Onex will make some changes, they didn’t pay a $12 premium to keep running it the same.

[sstaurus]

Maybe someone at onex will knock some sense into the higher ups. Encore also continues to bleed pilots at a steady rate, and pretty soon will need to start shrinking the schedule unless there are some incentives provided soon to get people to stick around. Or they could continue to ride all the current captains past the point of burnout. Either way..

[cjet]

Maybe someone at onex will knock some sense into the higher ups. Encore also continues to bleed pilots at a steady rate, and pretty soon will need to start shrinking the schedule unless there are some incentives provided soon to get people to stick around. Or they could continue to ride all the current captains past the point of burnout. Either way..

WJ has cancelled more than 40 flts over the last 2 weeks due to lack of crew.

Cjet

[fish4life]

Maybe someone at onex will knock some sense into the higher ups. Encore also continues to bleed pilots at a steady rate, and pretty soon will need to start shrinking the schedule unless there are some incentives provided soon to get people to stick around. Or they could continue to ride all the current captains past the point of burnout. Either way..

WJ has cancelled more than 40 flts over the last 2 weeks due to lack of crew.

Cjet

I heard they were offering LOA’s while the max was grounded, was it WJ flights cancelled or Encore flights?

[cjet]

Maybe someone at onex will knock some sense into the higher ups. Encore also continues to bleed pilots at a steady rate, and pretty soon will need to start shrinking the schedule unless there are some incentives provided soon to get people to stick around. Or they could continue to ride all the current captains past the point of burnout. Either way..

WJ has cancelled more than 40 flts over the last 2 weeks due to lack of crew.

Cjet

I heard they were offering LOA’s while the max was grounded, was it WJ flights cancelled or Encore flights?

Mainline Westjet.

[Hugh Jasshole]

What are the chances that the deal will not go through??? That peckerwood with nice hair in Ottawa might not allow it so he can screw the west even more?

[aerobod]

What are the chances that the deal will not go through??? That peckerwood with nice hair in Ottawa might not allow it so he can screw the west even more?

Garneau was the first to approve the deal on 24 June, so the Feds don’t seem to have an issue.

A $200 million backout payment is due from Onex if they don’t complete the deal and the shareholders and Alberta court of Queens Bench have also approved as of last week. Not many hurdles left to pass now.

[Hugh Jasshole]

Just debating if I should wait to sell at the $31.00 buy out, or sell it now for $30.70. I would lose about 3k.

[kiaszceski]

It's basically how much you thrust ONEX on their plan and ability to make Westjet a real competitor to AC...
Personally I would wait to have more info on ONEX plan and the MAX, and whether they would shift or not to the A320 Neo and use the more they invested into a 787 order.
Don't forget the newly Joint Venture with Delta.

[aerobod]

It's basically how much you thrust ONEX on their plan and ability to make Westjet a real competitor to AC...
Personally I would wait to have more info on ONEX plan and the MAX, and whether they would shift or not to the A320 Neo and use the more they invested into a 787 order.
Don't forget the newly Joint Venture with Delta.

What Onex does post takeover has no bearing on the share price. Assuming the deal goes through, on completion before Onex assumes control all shareholders will be paid out at $31 (or the difference between $31 and strike price for options), whether they like it or not. Selling now up to the deal completion will yield the current trading price per share which Onex has no influence over. The market seems to think the deal is low risk of not going through, with the trading price only $0.29 to $0.23 below the deal price over the past week.

[x-wind]

Hey Jasshole,

M. Porter eluded to the option in investing in the new OneX WestJet with only the funds you'd be paid out otherwise for the ESP.

If you're feeling bullish about OneX building this company it could be a quick route to a millionaire eh?

[Hugh Jasshole]

I heard that ONEX was going to pay $36/share before the MAX deal. So Boeing owes us shareholders $5/share!!!! One of the directors at WJ believes that ONEX didn't want to buy us to keep us the second largest airline in Canada, but wants to make it number one?? They defiantly have the funds to do it.

[aerobod]

I heard that ONEX was going to pay $36/share before the MAX deal. So Boeing owes us shareholders $5/share!!!! One of the directors at WJ believes that ONEX didn't want to buy us to keep us the second largest airline in Canada, but wants to make it number one?? They defiantly have the funds to do it.

In the SEDAR initial filing the proposed deal value early in March before due diligence was complete was $35.75. The MAX fiasco certainly impacted that value, but other factors may have, too. $31 is still a very good valuation, as 92.5% of voting shareholders attested.

[cloak]

I agree that Onex has big plans for WestJet. It has been after having a major airline for over two decades and at least an many continents. There is no money in selling WestJet group in pieces. More importantly WestJet group as a whole is worth much more than the sum of its parts. It's also not going to try to get out of its financial obligations from the staff, especially the pilots since there is a shortage. In fact, one could argue that there may finally be a way to improve the fortunes of pilots at all companies of the group serving different segments of the market in a meaningful and negotiated way- even after the significant boost in share prices- as Onex may be looking for some latitude and freedom in certain parts of the agreement too. The winning formula will be to negotiate in private and negotiate well!

[cloak]

Cloak,
You seem pretty optimistic regarding Onex ownership of WJ.
Have you given any thought to the issue of pilot compensation. WJ pilots have enjoyed and benefited from a share purchase plan. It has formed a percentage of overall compensation since the inception of WJ. Some have done extremely well. Onex will probably not be offering the continuation of this program, as it dilutes their ownership. So, how does the reduction in compensation levels moving forward square with your optimism? I would be sceptical that Onex offers any type of pay raise or adjustment to the pilots to make up for the loss of the share purchase plan. It seems to me that Onex will simply wind up the program, keep existing salary levels,and try and move forward. If this occurs, then each pilot has essentially taken a 20 percent (or so) hit to their income.
Your thoughts?
Cheers.

ALPA is engaged. There is good opportunity for improvement and nurturing relationships.