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AirTran Pursues Midwest, Expands Service

January 12, 2007 By: Travel Agent Central Contributor Travel Agent

AirTran Airways on Thursday released several announcements regarding service and its bid for Midwest Air Group. AirTran Holdings, the carrier's parent company, announced an exchange offer for all outstanding shares of Midwest Air for $13.25 per share, based on the closing price of AirTran common stock on January 8. The total equity value of the offer is $345 million. AirTran in a statement said that both carriers' shareholders would benefit by accepting the offer. "Namely, a combined AirTran and Midwest will materially expand service to Milwaukee and the other communities that [Midwest] presently [serves] and the new company will provide an overall net increase in jobs and bring added job security and growth opportunities to [Midwest's] employees," Joseph B. Leonard, chairman and CEO of AirTran, said in a letter to Midwest's board of directors. Meanwhile, AirTran announced new services in Newburgh, NY and Daytona Beach, FL. Daily nonstop service from Daytona Beach International Airport began on Thursday, as did service to 52 destinations from Stewart International Airport in Newburgh to such places as Atlanta, Tampa, Orlando and Ft. Lauderdale, FL. Visit [].

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