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195 - Rick Schifter, Senior Advisor, TPG Capital

Airlines Confidential Podcast

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The Death of Midwest

In 2007, Northwest couldn't do an acquisition of Midwest without snapback clauses in the contracts they had negotiated during the chapter 11. They were not interested in providing any support to Midwest because they didn't want to do anything that would jeopardize antitrust review by the Justice Department. And so as a result, we ended up selling Midwest to Republican Alliance, which had acquired frontier and an urge frontier into Midwest. The death was money transaction, which we lost money, which doesn't apply to any of the other airline deals we did.

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