The COEX IPO backfired on them. Investers soon found out the fate of COEX is tied directly to CO. Thus, the stock when down. It would be better to sell Eagle to XYZ airline, get a new lower FPD and let the new company "purge" anything they dont need. Like managment, office space. Use what they already have for there company. It keeps the cost down. Either way Eagle is gone. AMR is to deep in debt. It will take them to long to get the house in order. (10+years) Selling Eagle and setting them up to bring money IN, with out the debt they are gettin on there own for the RJ's is a good idea.
Eagle Ipo?
- Thread starter AAviator
- Start date
Question for all the "Sell Eagle Now" Cheerleaders:
If it makes so much sense for AMR to sell the feeder (Eagle), then what is the justification for owning the mainline? Why not sell it, too? Then AA can just sell tickets and contract out all the flying to someone else?
Or perhaps AA could sell all domestic ops and just keep the international?
If you are indeed an airline, then why be in such a hurry to sell an increasingly large part of that airline?
Selling Eagle looks to me like a misguided attempt to "shrink to profitability" and I don't think that works.
If it makes so much sense for AMR to sell the feeder (Eagle), then what is the justification for owning the mainline? Why not sell it, too? Then AA can just sell tickets and contract out all the flying to someone else?
Or perhaps AA could sell all domestic ops and just keep the international?
If you are indeed an airline, then why be in such a hurry to sell an increasingly large part of that airline?
Selling Eagle looks to me like a misguided attempt to "shrink to profitability" and I don't think that works.
FWAAA said:
To raise cash, they should sell executive in SJU like they were going to do. Eventually, I think PR will be an independent country. Then they should spin off 49% of Eagle in the U.S. and retain 51%. The two moves would bring in much needed cash and they could still control eagle. Executive in SJU could become an American Connection carrier (like STL).
Senor Pelon
Member
- Aug 21, 2002
- 73
- 12
aafsc said:
PR is not going to be an independent country. At least not in my lifetime nor your lifetime. FYI, the independistas, those seeking independence for the island, received just 2% of the popular vote in last week election. The rest of the populationm is almost equically divided between statehood and the status quo.
Royal Ambassador
Advanced
- Nov 24, 2003
- 142
- 20
DALLAS (AP) -- Pilots for American Eagle, a commuter carrier owned by the parent of American Airlines, have ratified a tentative contract agreement calling for wage hikes and improved retirement benefits, according to the pilots union.
The Air Line Pilots Association said Monday that the September agreement was ratified during a special meeting on Sunday. Vote totals were not released. ALPA represents more than 2,700 Eagle
pilots.
Union officials said in September that the deal called for a wage increase of 4 percent on Jan. 1, 2005, and another 1 percent on Jan. 1, 2006. They said Monday that the agreement also included improvements to the 401(k) retirement plan and quality-of-life provisions.
Eagle and American Airlines are both owned by Fort Worth-based AMR Corp., which has lost more than $6.7 billion since the beginning of 2001.
Eagle is barely one-eighth the size of American Airlines by revenue and operates about 280 planes, mostly small regional jets. However, AMR has been trying to expand Eagle, which costs less to operate than American. AMR has cut thousands of jobs at American and slashed wages and benefits last year while mostly leaving Eagle alone.
Eagle pilots approved a 16-year contract in 1997. The deal allowed for the contract to be amended every four years to keep pace with Eagle's financial situation and pilot contracts at other airlines. The latest agreement was reached in September after five months of negotiations.
"These changes represent a positive step for our pilots," said Capt. Herb Mark, chairman of a union council representing Eagle pilots. "Our carrier has been a profitable and essential component of the AMR Corp.'s ability to compete and adjust to a changing industry. We are pleased to see that Eagle management recognizes
our contributions to our airline's success."
ALPA said it represents 64,000 pilots at 43 airlines in the United States in Canada. Pilots at American Airlines are
represented by another union, the Allied Pilots Association.
The Air Line Pilots Association said Monday that the September agreement was ratified during a special meeting on Sunday. Vote totals were not released. ALPA represents more than 2,700 Eagle
pilots.
Union officials said in September that the deal called for a wage increase of 4 percent on Jan. 1, 2005, and another 1 percent on Jan. 1, 2006. They said Monday that the agreement also included improvements to the 401(k) retirement plan and quality-of-life provisions.
Eagle and American Airlines are both owned by Fort Worth-based AMR Corp., which has lost more than $6.7 billion since the beginning of 2001.
Eagle is barely one-eighth the size of American Airlines by revenue and operates about 280 planes, mostly small regional jets. However, AMR has been trying to expand Eagle, which costs less to operate than American. AMR has cut thousands of jobs at American and slashed wages and benefits last year while mostly leaving Eagle alone.
Eagle pilots approved a 16-year contract in 1997. The deal allowed for the contract to be amended every four years to keep pace with Eagle's financial situation and pilot contracts at other airlines. The latest agreement was reached in September after five months of negotiations.
"These changes represent a positive step for our pilots," said Capt. Herb Mark, chairman of a union council representing Eagle pilots. "Our carrier has been a profitable and essential component of the AMR Corp.'s ability to compete and adjust to a changing industry. We are pleased to see that Eagle management recognizes
our contributions to our airline's success."
ALPA said it represents 64,000 pilots at 43 airlines in the United States in Canada. Pilots at American Airlines are
represented by another union, the Allied Pilots Association.
will fix for food
Veteran
- Aug 20, 2002
- 664
- 50
The TA that was ratified was not a boon for employees, although it was a nice change in reserve, reassignment and other work rules for the company. ALPA did AE no favors in 1997 and still flounders on how to get out of the mess they created.
IF you are on reserve at AE after January 1st you are in a bad position, plus now line holders are placed basically on a form of reserve if they have any cancelations or reassignments.
IF you are on reserve at AE after January 1st you are in a bad position, plus now line holders are placed basically on a form of reserve if they have any cancelations or reassignments.
