Us Airways Searches For Cash

[whlinder]

I'm not saying US would buy HP, I am saying 'if US Airways is the surviving entity' (which is quite obviously a borrowed phrase).

 

[BoeingBoy]

I would expect that a third party would have to get involved (probably TPG given their interest in HP and their previous interest in US) in order to make this happen. But even so, it still seems unlikely.

[post="261946"][/post]​

Keep in mind that TPG passed up an opportunity to control US in BK1 - apparently they didn't think it was worth more than $200 million then.

To do the same now would require something over $200 million and possibly as much as $350 million. Both the AirWis and Republic agreements prohibit a 3rd investor from having more board seats than either of them unless the third party invests over $200 million. To have more board seats than both combined would probably mean buying out their interest - repaying AirWis' $125 million loan and replacing Republic's $125 million exit financing.

The only other alternative is to provide the next $100 million and convince both AirWis and Republic that a combination with HP is in their interests.

The same would apply to any other potential investor.

Jim

 

[funguy2]

Excellent post Boeing Boy. I did not consider that.

 

[FlyUs]

I can't imagine AW being the surviving airline. That is like US being the surviving airline with a transaction with UA... "Ladies and Gentlemen, Welcome aboard the America West Shuttle". Or better yet, "AmericaWest welcomes you to Rome". It just doesn't seem right , IMO. It could be worse I guess. Frontier may be looking for a partner. LOL.

 

[CaptBud330]

I suppose they could name the combined company AMWAYS

 

[etops1]

the name will remain "usairways" no offense to "cactus" but like the other poster said. americawest to rome just doesen't sound right. usairways has a more intl ring to it than america west does. to tell you the truth i think the name should be changed all together. since the name usair-usairways has been associated with negativity ever since god knows when. accidents,bankruptcies,poor service.you get the picture. even though i disagree. i think airways is a great company. we have very very loyal dedicated and hard working employees. if that weren't true we would not still be around. the only reason this company is still up and running is because the employees wan't it around. that's it , plain and simple . unfortunately managment does not quite see that.

 

[etops1]

we need to get over the peidmont,psa, and allegheny era. its over. the speed bird has died . unfortunately thanks to usair.

 

[TechBoy]

I can't imagine AW being the surviving airline. That is like US being the surviving airline with a transaction with UA... "Ladies and Gentlemen, Welcome aboard the America West Shuttle". Or better yet, "AmericaWest welcomes you to Rome". It just doesn't seem right , IMO. It could be worse I guess. Frontier may be looking for a partner. LOL.

[post="261956"][/post]​

Who is the surviving legal entity and what is the name of the merged company are two different questions. HP will definitely be the legal entity as they are not in BK. Certainly outside equity would be needed and whoever provides it will get a big chunk of the carrier. The new management can name it whatever they want. US sounds better, but don't underestimate the negative equity in that brand right now.

 

[dfw79]

Hmm...could go back and use Jetstream International...just without the junkstreams.

I have to agree...HP will be the surviving legal entity...hopefully with most of HP's management left in tact (since they are probably liked a tad more than US's right now)...and a new name picked.

 

[cubfan02us]

I think I have a handle on this now...

The deal will bring United,USAirways,Am West,and Independence
into one corporate entity.United will remain UAL, the others will
become Ted.

End of story...

 

[OldGuyinPA]

I do like Amway.....excuse me Amways....


Hey Al ....Maybe you can be the big cheese, only if you buy a rug.

 

[WestCoastGuy]

Al is working at a feverish rate to bring PHL back to its "Crown Jewel" position of our WorldWide network. Somehow over the holidays, it slipped a bit. This was news to Al, so since then, he is cutting his vacation time somewhat, and extending his work week to 5 days...Mon thru Fri. The man is a highly talented Exec and deserves every penny he gets...... Al-ways Airways.....

 

[LGA / 037]

It could be worse I guess. Frontier may be looking for a partner. LOL.

[post="261956"][/post]​

\\

Actually if UAIR were not to merge with UAL, and HP was in their cards, you still would need a strong mid-west hub which would make F9 a good third partner with their presence in DEN. But I am sticking with my guess it will be a UAL/UAIR marriage with the possibility of HP to make it a love triangle !

 

[Us/boston]

What is more likely, in my opinion, is that if a deal were to happen that HP would get airplanes, gates and slots. U employees would be required to apply to HP and be given preferential status as applicants.

[post="261929"][/post]​

Not gonna happen for F/A group. We are the same union. Date of hire. Because HP F/A have alot less seniority than U F/A they could put a fence around some bases thats about it. The only way to get around this is if HP bought up parts of U and If U goes up for sale in parts HP will not get much. American Southwest and Northwest will outbid anyone to get the shuttle and east coast slots. The best chance for HP to take a shot at the east coast is to merge with U. A merger with HP may work but as a U employee I think it would be better for everyone if U and UAL merge and get it over with and HP looks at some of there low cost rival to beef up there east coast operation. Just my opinion.

 

[Light Years]

The name is irrelevant. AirTran was bought for it's name, and Continental was technically acquired by Texas International. HP could be the buyer and retain the US Airways name. Negative Nancy as everyone on here, US Airways has a great image in Europe and the Carribbean, and obviously with alot of people domesticaly too.

The public has a pretty short memory with airlines. Infrequent travelers rarely remember what airline they flew on vacation last month. For frequent fliers it depends. Continental used to be a dirty word... USAir conjured up bad connotations... all of the majors have had thier bad PR, snafus, and horrible incidents. But a name with a history tends to be the one retained. US Airways was very clever- keeping some name recognition and one of the few remaining flag carrier sounding names, while making it alot more global sounding. America West is generic like US Airways, but regionalized.

A new name for the merged entity (if It ever even came to fruition) would be kind of silly. There's not alot of good names left!

Wandering off track completely here, in thier current forms aren't alot of airlines misnamed? US Airways should be Eastern, America West should be Southwest, Northwest should be Midwest, and Alaska should be Northwest.