How Us Airways Defied The Odds

[700UW]

How US Airways defied the odds

Visiting family in New Jersey, Bruce Lakefield spent much of his Christmas weekend on the phone.

His fragile airline, US Airways, was confronting a public relations nightmare. It was canceling flights by the hundreds, stranding thousands of passengers. Workers were calling in sick. The airline lacked the staff to replace them.

Lakefield was worried.

"Everybody was of course scared about what the next shoe to drop would be," he recalls.

Charlotte Observer Free Subscription

 

[USA320Pilot]

Today's Charlotte Observer article said: "Executives had also met with counterparts at United to discuss a merger -- rekindling flames from the failed merger of the two in 2001-- but those talks failed to bear fruit."

USA320Pilot comments: The reason those talks "failed to bear fruit" is that Bruce Lakefield rejected United's attempt to merge and intead selected America West as as its marriage partner.

Regards,

USA320Pilot

 

[Fly]

Nope, I believe that the official response was that United wasn't interested in dealing with US. But leave it to you to keep bashing this thing over and over. I'd think you'd be happy that you got another chance to continue flying but instead you keep rehashing what you wish would have happened instead of what did. Why is that?

 

[Dog Wonder]

I hope the Observer issues a clarification with A320's comment.

 

[USA320Pilot]

Fly:

United never issued an official response or disclosed that discussions were happening, instead it was Jake Brace was flying on a US Airways Shuttle flight and guess what... but how would you know?

Regardless, as I indicated, US Airways and United were in merger talks last year, again, according to the Charlotte Observer, and as I indicated before US Airways rejected United's overture. Why? According to one US Airways official I talked to he believed United may not survive and the America West merger would make for a better company.

By the way, there are still on-going discussions between the new US Airways and United, just like with the 1996 merger, 2000 merger, the UCT, Project Minnow (ICT), or 2005 merger overture, but now there is reason to believe current talks have turned to a fragmentation. Will they occur? I do not know. Are they being discussed? Yesiree.

Regards,

USA320Pilot

 

[700UW]

First of all it is Jack Brace, not Jake.

And I seriously doubt Jack would risk an SEC charge or release internal UAL matters to just a regular line pilot at US.

UAL told US it was not interested, can you not get over it all ready?

No one cares and your repeated attempts to make yourself look important is failing miserably.

And if you read the article Luth was the one pitching US to merge with AWA.

And for two weeks you have been spewing your UAL TED sale and have not provided not one iota of proof, you are nothing but a rumor monger who likes to stir the pot.

The board sees right through you.

 

[USA320Pilot]

700UW:

Thank you for correcting my typing mistake on Jake Braces's name, United's CFO.

Don't you just hate it when the news media speaks with US Airways or Union officials, or outside company sources, and then confirms what I said all along.

By the way, don't let the facts get in your way. Oh well, at least your tactics lead the effort to help the IAM and its members give the company the greatest percentage give over the ask including your pension. Everybody on the board saw this too.

In regard to John Luth, of the Seabury Group, he handled lease and investment discussions, not merger discussions. Most of the merger "due diligence" was handled by Bruce Ashby, but how would you know, since you were not in CCY. Instead you were handling utility work in CLT.

Regards,

USA320Pilot

 

[700UW]

The IAM did not give up the pension, it took a judge to terminate it, unlike your ALPA MEC who voted to give up your million dollar pensions without a membership vote and ALPA led the way during the during concession number two giving up more then the the company's ask.

Just like I said, stick to the topic at hand and stop trying to divert attention.

Once again you do not know where I was or what I was doing and see and since US laidoff all utility two months before the merger was announced and I was still working, you have no idea of what I do or where I was.

Typical, when you are proven wrong you try to cloud the issue by bring up things that have no relevance.

No one confirmed anything you said, you are nothing more then a rumor monger who tries to make himself important, when are you going to understand you are just a regular line pilot, not an ALPA rep nor a member of management?

 

[robbedagain]

was there something like a bad blood between UAL and US and that led to the merger with AWA?

 

[Fly]

If the UAL/US merger talks had started now instead of years ago, I highly doubt the government would have denied the merger between the two. But, at this time there will be no fragmentation of United. It may bother you USA320 that United is coming out of bk a strong airline (heck, so is US). What I find interesting is that last year all our friends at the remaining legacy carriers were actively talking about who was going to pick the carcasses of UAL and US. Now it looks as though US and UAL will be the ones picking through what remains of the others. I find it seriously amazing that if UAL/US/AWA were to merge at this point, we'd be the powerhouse. I'm not even remotely suggesting that this could happen but we do have very similar payscales, complementary route structure and beaten down morales, it could happen. What I don't think will happen is fragmentation of Ted though. Just my thoughts.

 

[calibrator]

The IAM did not give up the pension, it took a judge to terminate it

--------------------------------------------------------------------------------------
Boy 700....think my man think...the results were exactly the same, NO PENSIONS and "honor" doesn't make up the difference....I love this.


Mine is bigger than yours---

 

[dc3fanatic]

Today's Charlotte Observer article said: "Executives had also met with counterparts at United to discuss a merger -- rekindling flames from the failed merger of the two in 2001-- but those talks failed to bear fruit."

USA320Pilot comments: The reason those talks "failed to bear fruit" is that Bruce Lakefield rejected United's attempt to merge and intead selected America West as as its marriage partner.

Regards,

USA320Pilot

[post="305104"][/post]​

Right, I seriously doubt United wanted US Airways after all the changes since the first consideration.

 

[dc3fanatic]

. . . Why? According to one US Airways official I talked to he believed United may not survive and the America West merger would make for a better company.

[post="305110"][/post]​

United wouldn't survive? You are dilusional. No pensions, last month better operating margin than Southwest (sans hedge), Founding member of the alliance, 5th freedom rights in Japan, . . . the advantages go on and on.

You must be in the 'ps2' world.

 

[USA320Pilot]

Dc3fanatic:

The comments were made to me earlier this year before United made the cuts you listed. United still has a problem it's called a POR that has jet fuel prices equal to crude oil prices of $50 per barrel. At today's prices, United needs to come up with about $750 in additional cost cuts or revenue gains to make the balance sheet work.

US Airways has a problem with this too, with its POR forecasting jet fuel prices corresponding to crude oil prices of about $58 per barrel.

Regards,

USA320Pilot

 

[700UW]

$750 is not much, Tilton can write a check.

UAL did not have to beg, borrow and plead for money, they have $3 billion in Exit Financing, and they had DIP financing, something US never got in the second round of bankruptcy. US had to sell itself and then find investors will who get back more then they invested by selling goods and services ie, ACTS ( maintenance) and Airbus (A350), those are bribe investments, UAL did not have to do that in order to get money.

Don't let the facts get in your way.

And US and HP are not out of the woods yet, fuel hurts US just as much as it hurts UAL.