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05-11-2018, 19:12   #1
Jack1985
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WOW air discussion thread

Some interesting points being circulated;
  • Takeover projected cost of just €18m.
  • Wow air current shareholders will get just 5.4% of the value of Icelandair in return for the selling of shares.

To me it looks like we were talking about months if not weeks left in Wow air before this takeover was announced this morning. Lots and lots of route duplication and although it seems both brands will be maintained in the short-term, a lot of trimming needs to be made. Both company's in August just gone were announcing restructuring.

Will Icelandair Group be able to turn both fortunes around ? Interesting times ahead.

Last edited by Irish Steve; 24-03-2019 at 23:56. Reason: title updated to reflect current situation
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05-11-2018, 19:24   #2
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Originally Posted by Jack1985 View Post
Some interesting points being circulated;
  • Takeover projected cost of just €18m.
  • Wow air current shareholders will get just 5.4% of the value of Icelandair in return for the selling of shares.

To me it looks like we were talking about months if not weeks left in Wow air before this takeover was announced this morning. Lots and lots of route duplication and although it seems both brands will be maintained in the short-term, a lot of trimming needs to be made. Both company's in August just gone were announcing restructuring.

Will Icelandair Group be able to turn both fortunes around ? Interesting times ahead.
Icelandair will likely slash and burn large parts of WOW that aren’t working. It’s a small amount of money to potentially kill off a competitor that has been taking a huge amount of your passengers and income. It should go a long way to sorting out Icelandairs financial issues.
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05-11-2018, 19:28   #3
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I can also see only the NEO-320/321/330’s being kept and eventually all of WOW being rebranded into Iceland Air.
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06-11-2018, 04:40   #4
sandbelter
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Hmmm,
             Icelandair itself is not in great shape.... this crossed my screen last week.... 

"Icelandair said last week it had breached debt covenants and asked bondholders to grant a waiver."

Source: https://www.washingtonpost.com/busin...=.a9d3590ca029

Either way still struggling with: falling visitor growth, high oil prices and "the green machine" down south hollowing out its market.   Suspect it'll end up a much smaller airline

Last edited by Irish Steve; 06-11-2018 at 09:42. Reason: remove HTML formatting
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06-11-2018, 11:44   #5
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Hmmm,
             Icelandair itself is not in great shape.... this crossed my screen last week.....
.......
.......

Either way still struggling with: falling visitor growth, high oil prices and "the green machine" down south hollowing out its market.   Suspect it'll end up a much smaller airline
Thats funny as my mates in Aer Lingus say that Norwegian, WOW and Icelandair (and possibly Level) are being presented as the main threats to the green machine by their own mgmt.
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06-11-2018, 15:38   #6
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Thats funny as my mates in Aer Lingus say that Norwegian, WOW and Icelandair (and possibly Level) are being presented as the main threats to the green machine by their own mgmt.
All bar Level are floated as major threats. All three are financially unstable, the now combined Icelandair and Wow must be viewed as an ongoing concern without heavy restructuring.
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27-11-2018, 23:14   #7
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UPDATE

Reports from Keflavik that Icelandair are expected to pullout of the buyout. An emergency letter has been sent from CEO Skuli Mogensen to the airlines bondholders, https://s3-eu-west-1.amazonaws.com/w...ondholders.pdf. Shares in Icelandair Group have also been temporarily halted.

4 aircraft positioning for storage. 2 A330's heading for Lourdes now (TF-LUV, TF-WOW), 1 A320 already in Shannon (TF-BRO) with another due.
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28-11-2018, 15:05   #8
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UPDATE

Reports from Keflavik that Icelandair are expected to pullout of the buyout........
....................
4 aircraft positioning for storage. 2 A330's heading for Lourdes now (TF-LUV, TF-WOW), 1 A320 already in Shannon (TF-BRO) with another due.
That sounds very ominous for WOW
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28-11-2018, 15:10   #9
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That sounds very ominous for WOW
They have 20 aircraft in the fleet so it depends on whether others are to be parked also.
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28-11-2018, 15:18   #10
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Serious lack of WOW on FR24.

Did the KEF-DUB flight arrive/depart this morning?
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28-11-2018, 16:17   #11
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They have applied to run charter flights between Miami and Cuba, they have an a321 out in Aruba at the moment flying for aruba airlines.
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28-11-2018, 19:15   #12
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4 aircraft positioning for storage. 2 A330's heading for Lourdes now (TF-LUV, TF-WOW), 1 A320 already in Shannon (TF-BRO) with another due.
Was the one at SNN not just the earlier divert from DUB?
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28-11-2018, 19:19   #13
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Quote:
Originally Posted by Jack1985
4 aircraft positioning for storage. 2 A330's heading for Lourdes now (TF-LUV, TF-WOW), 1 A320 already in Shannon (TF-BRO) with another due.
Was the one at SNN not just the earlier divert from DUB?
Nope storage, SIS has joined too..positioned from Milan last night.
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28-11-2018, 19:45   #14
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I hope this is not a stupid question but the planes that get parked up who looks after them? I know there is not a lot to mind but they are worth a good few euros so surely someone has to through an eye on them now and again. Is there a company similar to be say quick park for cars that does the same for planes at airports that are parked up?
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28-11-2018, 19:57   #15
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WOW air suspending flights now to Los Angeles, Orlando and Pittsburgh from early January 19. The first route to Asia for the airline, New Delhi is being suspended from 30 Jan 19 according to filings in GDS which the article below wasn't able to confirm.

The airline looks headed for a cash funding crisis and seems to be making desperate initials attempts to avoid such. One would question what alarmed Icelandair Group to delay the takeover, which has also resulted in their own shares being temporarily halted from trading. Icelandair Group is to have a shareholder meeting this Friday 30th November.

https://onemileatatime.com/wow-air-cancels-us-flights/
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