Riley believes the interests of the independent shareholders should be represented in the negotiation and approval of any such transaction. The firm claims Northwest, MAIR’s largest shareholder with approximately 28% of outstanding shares, has a clear conflict of interest in the negotiation process.
To ensure shareholders are treated fairly, Riley argues that any deal between Northwest and the company or its subsidiary should be approved by a majority of the company’s disinterested shareholders.
Riley also notes that there are currently three vacancies on the board, and it wants to enter discussions with the company in order to fill the open spots with its representatives.
MAIR Holdings and Northwest Airlines 1-Yr Charts