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Midwest Rejects AirTran's Merger Offer

December 14, 2006 By: Jennifer Merritt Travel Agent

Midwest Air's board on Wednesday declined AirTran Holding's proposed merger, stating that the plan would not be in the best interests of the company, its stakeholders, employees or customers. "While it is the fiduciary obligation of the board of directors to review credible offers, the board unanimously concluded that Midwest's business plan as a stand-alone company would support a considerably better return to our shareholders than AirTran's offer," Timothy E. Hoeksema, chairman and CEO of Midwest Air, said in a statement. Hoeksema elaborated that the carrier expects growth of more than 10 percent and higher profitability over the next three years.

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