Delta creditor group supports U.S. Airways offer

[delta777]

SAN FRANCISCO-- The Unofficial Committee of Unsecured Claimholders of Delta Air Lines Inc.
late Monday said it has urged the Official Creditors' Committee to "carefully consider the meaningfully improved proposal" by US Airways Group Inc. "to merge with Delta and commit an open process that would allow a full exploration of strategic alternatives."

Earlier Monday, the Wall Street Journal reported that US Airways was prepared to add a $1 billion cash sweetener to its offer for Delta. "The Unofficial Committee believes it is essential that creditors be given a chance to decide whether to pursue a standalone reorganization plan or a viable alternative means of maximizing value," the group said in a statement. "The US Airways bid is a viable alternative that should be explored." The Unofficial Committee is the largest organized group of unsecured claimholders of Delta.

 

[nostradamus]

SAN FRANCISCO-- The Unofficial Committee of Unsecured Claimholders of Delta Air Lines Inc.
late Monday said it has urged the Official Creditors' Committee to "carefully consider the meaningfully improved proposal" by US Airways Group Inc. "to merge with Delta and commit an open process that would allow a full exploration of strategic alternatives."

Earlier Monday, the Wall Street Journal reported that US Airways was prepared to add a $1 billion cash sweetener to its offer for Delta. "The Unofficial Committee believes it is essential that creditors be given a chance to decide whether to pursue a standalone reorganization plan or a viable alternative means of maximizing value," the group said in a statement. "The US Airways bid is a viable alternative that should be explored." The Unofficial Committee is the largest organized group of unsecured claimholders of Delta.

Is it just me or has your view on this subject mellowed slightly over the past week?

 

[brokenwrench]

http://biz.yahoo.com/ap/070129/delta_us_airways.html?.v=5

US Airways Denies Report That It Will Up Offer for Delta

 

[delta777]

Is it just me or has your view on this subject mellowed slightly over the past week?

Not at all, i'm still adamantly opposed to this merger. I liked Grinstein's quote,

"I'm not opposed to airline mergers, just not this one."

 

[nostradamus]

http://biz.yahoo.com/ap/070129/delta_us_airways.html?.v=5

US Airways Denies Report That It Will Up Offer for Delta

Creditors group supports offer

 

[delta777]

http://biz.yahoo.com/ap/070129/delta_us_airways.html?.v=5

US Airways Denies Report That It Will Up Offer for Delta

Perhaps not officially, but i think we all know there is some major wheeling and dealing behind closed doors right about now.

 

[brokenwrench]

Not at all, i'm still adamantly opposed to this merger. I liked Grinstein's quote,

"I'm not opposed to airline mergers, just not this one."

I like this one better.
"If you believe this merger won't lead to reduced service, you believe in Tinker Bell,"

Perhaps not officially, but i think we all know there is some major wheeling and dealing behind closed doors right about now.

I agree. I am trying to figure out if this story was a trial balloon to see if the committe bites. My own opinion is this thing is dead. DP can float these balloon's out there but DALPA is sitting with the creditors not DP.

 

[deltawatch]

UPDATE 1-Delta creditor group supports U.S. Airways offer
Mon Jan 29, 2007 9:21pm ET

NEW YORK, Jan 29 (Reuters) - An unofficial committee of unsecured creditors of bankrupt Delta Air Lines Inc. (DALRQ.PK: Quote, Profile , Research) on Monday urged the official creditors committee to consider the improved proposal by US Airways Group Inc. (LCC.N: Quote, Profile , Research) to merge with Delta.

In a statement, the committee, which described itself as the largest group of unsecured creditors of Delta, said creditors should have a chance to decide whether to pursue a stand-alone reorganization or a viable alternative.

"The US Airways bid is a viable alternative that should be explored," the committee said."

 

[deltawatch]

Delta vote on US Airways likely
Financial Times

Delta Air Lines' official creditors are expected to vote on Wednesday whether to force management to examine a sweetened offer from US Airways.

The vote comes amid signs that creditors are not enthusiastic about either the hostile bid or the Atlanta-based carrier's stand-alone plan.

The ad hoc creditors group on Monday urged the official creditors to force the airline's management to evaluate the enhanced US Airways bid.

US Airways' shares gained more than 7 per cent on Monday on hopes the enhanced terms would sway creditors, although analysts cautioned there was also a bounce ahead of the airline's earnings' announcement on Tuesday.

An enhanced bid is now valued at $11bn, some $3bn above the initial hostile offer last November, and close to the top end of the valuation made in Delta's plan.

 

[Fixed Wing]

The vote comes amid signs that creditors are not enthusiastic about either the hostile bid or the Atlanta-based carrier's stand-alone plan.

Now there's a news flash for ya.....who would be enthusiastic about losing money? Either way, the stand alone plan or US Airway's, the creditor's lose.

 

[deltawatch]

Other offers reportedly may fly at Delta

Carrier promises creditors it will be open to other deals if they back management's effort to fight off US Air's hostile bid, newspaper says.

January 30 2007: 9:34 AM EST

NEW YORK (CNNMoney.com) -- Delta Air Lines management could agree to open the door to future deals in an effort to win crucial support in its effort to fight off a hostile takeover bid by US Airways Group, according to a published report.

 

[Redbone]

An unofficial committee of unsecured creditors "

That says it all, quite different from your topic title. In BK an unofficial committee of unsecured creditors really have no say whatsoever. They are entitled to the leftovers. Of course they are going to be in favor of a deal. It would ensure they get something vs. nothing.

 

[luv2fly]

UPDATE 1-Delta creditor group supports U.S. Airways offer
Mon Jan 29, 2007 9:21pm ET

NEW YORK, Jan 29 (Reuters) - An unofficial committee of unsecured creditors of bankrupt Delta Air Lines Inc. (DALRQ.PK: Quote, Profile , Research) on Monday urged the official creditors committee to consider the improved proposal by US Airways Group Inc. (LCC.N: Quote, Profile , Research) to merge with Delta.

In a statement, the committee, which described itself as the largest group of unsecured creditors of Delta, said creditors should have a chance to decide whether to pursue a stand-alone reorganization or a viable alternative.

"The US Airways bid is a viable alternative that should be explored," the committee said."

Since you like to emphasize with the bold print, why not do so for the following? An unofficial committee.
Tell me, what vote does the unofficial committee get?