BoeingBoy
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I'm not even sure what the issue was, but my point was that both ATSB loans were paid off in conjunction with the merger process, not before. I don't know what money went where, but AWA did not pay off their loan with their cash on hand, or just their refinancing before the merger right? Wasn't that one of the points of the "cash crunch" that was pending, mentioned in the Nic award?
As I said before, the only reason it even came up was that an eastie used AWA's status as the first to apply for and get an ATSB-backed loan as an attack on the westies. It's certainly not very important today other than the money is still owed - in fact, each time the original loan was refinanced more was borrowed than was due on the previous loan.
But the part of the article you quoted is a quick broad-brush description, possibly by someone who didn't know the nitty-gritty details. Look at the first words - after the merger, not during the process of the merger. A merger is like a switch - there are two positions. One day there are two companies and the next there is only one. There is a series of events/actions that happen both before and after a merger, but I think you probably mean during "integration" rather than "merger". Integrating two companies, aside from employees, is a somewhat lengthy process when there are as many alphabet agencies involved as there are with airlines. As I recall, it was sometime in 2006 that the ATSB-backed loan was paid off with the proceeds of a new loan - after the merger but definitely during integration.
On the "cash crunch" that Parker talked about, I never heard him go into details. If the AWA ATSB-backed loan was similar to that of US, it shouldn't by itself have caused a cash crunch in the winter of 2005/2006 since it was almost completely an interest payment only with principal mostly due to be repaid at the end of the term of the loan.
Jim