Midwest Airlines In Reorganization in Oak Creek Puts the Cookie in Disarray

Midwest Airlines known for its cookies may be under a major reorganization effort to stay competitive.

Just yesterday The Milwaukee Journal Sentinel  reported that Midwest Airlines is in a major restructuring effort to keep the company profitable.  Just last year, people worried if the cookie was going to survive a hostile takeover by AirTran Airways, but mantained its image after an senisble buyout by TPG which owns Northwest Airlines.  Now, Midwest is in the same pinch like a lot of other airlines.  WIth fuel prices tight and how the economy is affecting people in terms of income, there is more proof right now that Midwest Airlines has first grounded the fuel inefficent MD-80 aircraft.  Part of the re-structuring could be speculated that on most of its flights to destinations like Reagan Airport in Washington that they use the Boeing 717 to save the company money, and it would be needed if Midwest wants to continue or improve on the levels of service that they have.  Second, the management is going to have to communicate to the unionized bargining units at Midwest that some considerable concessions may have to be made in times of a bad economy as pilots, flight stewards, and gate workers could lose their jobs or take major wage and benefit concessions.  Right now, we are seeing American charge money for checked bags just to re-coop fuel money.  If there are more airline mergers like what is being rumored in the media with other airlines, we will see less competition, and higher flight prices.  At a time when Mitchell International Airport in Milwaukee is constantly putting record amounts of passengers through the gates, this is something Midwest cannot afford is to merge to say with Continetial Airlines only to have the minimal return it could yield.  People are getting sick of dealing with Chicago O’Hare.  When I flew to Vegas this March out of O’Hare it is hectic and busy there even when my flight was at the business travelers time of 7:45a.  Milwaukee and Rockford, IL are considered to be two major options to loosen up the traffic, bustle, and stress that make up airports in Chicago.  The Chairman and CEO of Midwest Airlines must realize how General Mitchell International Airport is the heart of soul of Milwaukee, but his actions today will depend on what happens tomorrow at one of the busisest airports in the United States.  Milwaukee County benefits from its own General Mitchell Airport, it is time that consumers even contact their CEO and demand they reogranize but without compromising on the past.

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