Air Transport World

Which way will Air Wis go? (takeover bids for Air Wis Service ) (Commuter/Regional Notebook)


Air Wis Services, parent of United Express carrier Air Wisconsin, may be acquired by United Airlines for approximately $8.04 per share but some of the stockholders have promised to fight for a better deal. The total value of the deal, $72 million, is roughly $2 million less than the estimated accumulated value of Air Wisconsin's slots at Chicago O'Hare Airport.

Analysts claim those slots will be worth more now that recent changes in slot rules at O'Hare have allowed carriers to substitute jets of up to I 10 seats in 25% of its commuter slots. Air Wis can use small jets in up to 29 of its commuter slots at O'Hare.

"You think you would see some premium for the slots at the very least," Alex, Brown & Sons analyst john Larkin said. …

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