MAIR buys back 5.66 million common shares from Northwest Airlines

By Caroline Salls

Pittsburgh, March 13 - MAIR Holdings, Inc. repurchased 5.66 million shares of its common stock from Northwest Airlines, Inc., representing all of MAIR's common stock owned by Northwest, according to a news release.

As previously reported, the terms of the stock purchase agreement between MAIR and Northwest require MAIR to make two payments totaling $35.4 million to Northwest.

The first payment of $24 million, or $4.25 per share, was paid at the initial closing on March 12.

The second payment of $11.3 million, or $2.00 per share, will be paid on the earlier of the date MAIR receives at least $25 million in cash distributions from Mesaba Aviation, Inc.'s bankruptcy estate on account of MAIR's equity ownership of Mesaba or Oct. 22, 2007.

The Northwest shares were cancelled on March 12, and MAIR said it now has roughly 15 million common shares outstanding.

Minneapolis-based MAIR, the parent of Mesaba Aviation, operates as a holding company that offers regional air carrier services.

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