Trans World Corporation
Encyclopedia
Trans World Corporation was the original name of the holding company set up to own Trans World Airlines
.
In 1967 http://hiltonworldwide1.hilton.com/en_US/ww/business/history/milestones.do;jsessionid=D8592A2981D889C8FD91D3600FB239B3.etc41, when the airline sought to diversify into other areas of business, a key investment was Hilton International Hotels, the non-American interests of the Hilton Hotels
chain. (Because of this split, the Hilton International chain had to call its hotels in America Vista, while future overseas locations of the American Hilton chain were called Conrad International. This operation was later sold by Trans World Corporation while under the leadership of Charles C. Tillinghast Jr.
the CEO of TWA and the first known to receive a golden parachute
employment contract
.
Trans World Corporation, the owners of the airline company, and TWA's successor Chief executive officer ( L. Edwin Smart), spun off Trans World Airlines and sold it to Carl C. Icahn in 1983, and the holding parent company
that owned TWA was then liquidated http://query.nytimes.com/gst/fullpage.html?res=9B0DEED7103EF935A15751C0A961948260.
As a result of both companies Trans World Airlines
and Trans World Corporation being publicly traded prior to the spinoff, public records permitted analysis which indicates "wealth transfer" of a sale of TWA was as much a reason for the sale of TWA as was a desirability to "restructure union contracts." http://links.jstor.org/sici?sici=0046-3892%28198622%2915%3A2%3C50%3AARTWCS%3E2.0.CO%3B2-C&size=SMALL&origin=JSTOR-reducePage. Conversely, it was circa 1982-1984 when UAL Corporation
and AMR Corporation, the parent companies of American Airlines
and United Airlines
first took shape. This period is also an era marked by extremely competitive airline industry forces fighting for deregulation
survival along with fighting for opportunities of vast individual creations of wealth characterized by those accumulated by leading industry figures but sullied names such as Frank Lorenzo
and Carl Icahn
during the 1980s.
L.Edwin Smart was to remain head of TW Services Inc., the successor of Trans World Corporation which remained headquartered in the same building and shared many directors as the Trans World Corporation holding company. The holding company
then changed its name, first altering it slightly to Transworld Corporation, then to TW Services, reflecting its continued use of the TW ticker symbol on the NYSE. - which was to become a business centered around food services and retirement care.
firm, Kohlberg Kravis Roberts acquired a 47% interest in TW Corporation, later known as The Flagstar Companies, and encouraged the company to sell non-core businesses. The food service unit which had moved in and out of bankruptcy would change its name to The Flagstar Companies in 1993 with a portfolio of businesses including Volume Services America, Hardee's
, Quincy's Family Steakhouse, El Pollo Loco
, Canteen Corporation and Denny's
. It would become Advantica http://www.answers.com/topic/advantica-restaurant-group-inc in 1998. Today the remnants of the corporation are Denny's.
Trans World Corporation was the predecessor of the way and manner in which, many of the airlines with holdings and holding parent companies
conduct and create their business structural organization.
Trans World Airlines
Trans World Airlines was an American airline that existed from 1925 until it was bought out by and merged with American Airlines in 2001. It was a major domestic airline in the United States and the main U.S.-based competitor of Pan American World Airways on intercontinental routes from 1946...
.
In 1967 http://hiltonworldwide1.hilton.com/en_US/ww/business/history/milestones.do;jsessionid=D8592A2981D889C8FD91D3600FB239B3.etc41, when the airline sought to diversify into other areas of business, a key investment was Hilton International Hotels, the non-American interests of the Hilton Hotels
Hilton Hotels
Hilton Hotels & Resorts is an international chain of full-service hotels and resorts founded by Conrad Hilton and now owned by Hilton Worldwide. Hilton hotels are either owned by, managed by, or franchised to independent operators by Hilton Worldwide. Hilton Hotels became the first coast-to-coast...
chain. (Because of this split, the Hilton International chain had to call its hotels in America Vista, while future overseas locations of the American Hilton chain were called Conrad International. This operation was later sold by Trans World Corporation while under the leadership of Charles C. Tillinghast Jr.
Charles C. Tillinghast Jr.
Charles Carpenter Tillinghast, Jr. was a chairman of Trans World Airlines and chancellor of Brown University.-Biography:...
the CEO of TWA and the first known to receive a golden parachute
Golden parachute
A golden parachute is an agreement between a company and an employee specifying that the employee will receive certain significant benefits if employment is terminated. Sometimes, certain conditions, typically a change in company ownership, must be met, but often the cause of termination is...
employment contract
Employment contract
A contract of employment is a category of contract used in labour law to attribute right and responsibilities between parties to a bargain.On the one end stands an "employee" who is "employed" by an "employer". It has arisen out of the old master-servant law, used before the 20th century...
.
Trans World Corporation, the owners of the airline company, and TWA's successor Chief executive officer ( L. Edwin Smart), spun off Trans World Airlines and sold it to Carl C. Icahn in 1983, and the holding parent company
Parent company
A parent company is a company that owns enough voting stock in another firm to control management and operations by influencing or electing its board of directors; the second company being deemed as a subsidiary of the parent company...
that owned TWA was then liquidated http://query.nytimes.com/gst/fullpage.html?res=9B0DEED7103EF935A15751C0A961948260.
As a result of both companies Trans World Airlines
Trans World Airlines
Trans World Airlines was an American airline that existed from 1925 until it was bought out by and merged with American Airlines in 2001. It was a major domestic airline in the United States and the main U.S.-based competitor of Pan American World Airways on intercontinental routes from 1946...
and Trans World Corporation being publicly traded prior to the spinoff, public records permitted analysis which indicates "wealth transfer" of a sale of TWA was as much a reason for the sale of TWA as was a desirability to "restructure union contracts." http://links.jstor.org/sici?sici=0046-3892%28198622%2915%3A2%3C50%3AARTWCS%3E2.0.CO%3B2-C&size=SMALL&origin=JSTOR-reducePage. Conversely, it was circa 1982-1984 when UAL Corporation
UAL Corporation
UAL Corporation is the former name of United Continental Holdings an airline holding company, incorporated in Delaware with headquarters in Chicago, Illinois. UAL held a 100 percent controlling interest in United Air Lines, Inc., one of the world's largest air carriers, and is a founding member of...
and AMR Corporation, the parent companies of American Airlines
American Airlines
American Airlines, Inc. is the world's fourth-largest airline in passenger miles transported and operating revenues. American Airlines is a subsidiary of the AMR Corporation and is headquartered in Fort Worth, Texas adjacent to its largest hub at Dallas/Fort Worth International Airport...
and United Airlines
United Airlines
United Air Lines, Inc., is the world's largest airline with 86,852 employees United Air Lines, Inc., is the world's largest airline with 86,852 employees United Air Lines, Inc., is the world's largest airline with 86,852 employees (which includes the entire holding company United Continental...
first took shape. This period is also an era marked by extremely competitive airline industry forces fighting for deregulation
Airline deregulation
Airline deregulation is the process of removing entry and price restrictions on airlines affecting, in particular, the carriers permitted to serve specific routes. In the United States, the term usually applies to the Airline Deregulation Act of 1978...
survival along with fighting for opportunities of vast individual creations of wealth characterized by those accumulated by leading industry figures but sullied names such as Frank Lorenzo
Frank Lorenzo
Francisco Anthony "Frank" Lorenzo is an American businessman and philanthropist. He is most famous for his leadership of Texas International Airlines and its successor holding company Texas Air Corporation between 1972 and 1990, through which he formed or acquired a number of major U.S...
and Carl Icahn
Carl Icahn
Carl Celian Icahn is an American business magnate and investor.-Biography:Icahn was raised in Far Rockaway, Queens, New York City, where he attended Far Rockaway High School. His father was a cantor, his mother was a schoolteacher...
during the 1980s.
L.Edwin Smart was to remain head of TW Services Inc., the successor of Trans World Corporation which remained headquartered in the same building and shared many directors as the Trans World Corporation holding company. The holding company
Holding company
A holding company is a company or firm that owns other companies' outstanding stock. It usually refers to a company which does not produce goods or services itself; rather, its purpose is to own shares of other companies. Holding companies allow the reduction of risk for the owners and can allow...
then changed its name, first altering it slightly to Transworld Corporation, then to TW Services, reflecting its continued use of the TW ticker symbol on the NYSE. - which was to become a business centered around food services and retirement care.
Flagstar Companies
In 1992, private equityPrivate equity
Private equity, in finance, is an asset class consisting of equity securities in operating companies that are not publicly traded on a stock exchange....
firm, Kohlberg Kravis Roberts acquired a 47% interest in TW Corporation, later known as The Flagstar Companies, and encouraged the company to sell non-core businesses. The food service unit which had moved in and out of bankruptcy would change its name to The Flagstar Companies in 1993 with a portfolio of businesses including Volume Services America, Hardee's
Hardee's
Hardee's is a restaurant chain, located mostly in the Southeast and Midwestern regions of the United States. It has evolved through several corporate ownerships since its establishment in 1960. It is currently owned and operated by CKE Restaurants. Along with its sibling restaurant chain, Carl's...
, Quincy's Family Steakhouse, El Pollo Loco
El Pollo Loco
El Pollo Loco is a fast-food restaurant chain specializing in Mexican grilled chicken, headquartered in Costa Mesa, California. "El Pollo Loco" is Spanish for "The Crazy Chicken".Their main dish is pollo asado, a grilled marinated chicken...
, Canteen Corporation and Denny's
Denny's
Denny's is a full-service coffee shop/family restaurant chain. It operates over 1,500 restaurants in the United States , Canada, Curaçao, Costa Rica, Honduras, Jamaica, Japan , Mexico, New Zealand, Qatar, and the United Arab Emirates.Denny's is known for always being...
. It would become Advantica http://www.answers.com/topic/advantica-restaurant-group-inc in 1998. Today the remnants of the corporation are Denny's.
Trans World Corporation was the predecessor of the way and manner in which, many of the airlines with holdings and holding parent companies
Parent company
A parent company is a company that owns enough voting stock in another firm to control management and operations by influencing or electing its board of directors; the second company being deemed as a subsidiary of the parent company...
conduct and create their business structural organization.
See also
- Transamerica CorporationTransamerica CorporationTransamerica Corporation is a holding company for various life insurance companies and investment firms doing business primarily in the United States. It was acquired by the Dutch financial services conglomerate AEGON in 1999.-History:...
- One of the first conglomerateConglomerate (company)A conglomerate is a combination of two or more corporations engaged in entirely different businesses that fall under one corporate structure , usually involving a parent company and several subsidiaries. Often, a conglomerate is a multi-industry company...
airline holding companies, in the U.S. prior to Trans World Corporation founding.