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Old 14th May 2009, 21:19
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NEDude
 
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Here is the deal gathered from news reports:

Eastern Airlines sole remaining employee, Ronald T Bevins Jr, who is the steward of the last remaining assets and trademarks of the original company, signed a deal with airline industry veteran Edward Wegel (Mesa, Chautauqua, Atlantic Coast, BWIA) to sell the Eastern name and logo to a group controlled by Wegel. There was a short lived lawsuit brought by a company in Pennsylvania which claimed to have the rights to the name, but Wegel's group won that. Now Wegel is trying to get Eastern flying again. That much is fact from several news reports - you can do a google search on "New Eastern Airlines" or "Edward Wegel" and get that info.

Now the rumor is that Wegel has been in talks with the Apple Vacations group about investing in USA 3000 Airlines, Apple's wholly owned subsidiary. From what I have heard, it would be a 51% investment. Wegel would then change the marketing name to Eastern Airlines and start operations out of Miami with 25-30 A320s. Apple, being a minority investor, would use Eastern as its primary airline for Apple Vacations packages.

Advantages for Apple - still the ability to have some control over its air travel product - the original reason for starting USA 3000 - without having to shoulder the entire risk of running an airline that it cannot support on a year round basis.

Advantages for Wegel - a turnkey airline complete with certificate, crews, dispatchers and aircraft. Also has guaranteed passengers from Apple providing approximately 30% of its passenger load right off the bat, before having to advertise, sell tickets, or competing with any other carrier.
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