Merger talks could resune in 2009

[ChockJockey]

Thanks all, glad you like it. I must apologize though for the poorly photoshopped F-16. B)

 

[USwestGUY]

Passengers are noticing Parker flying between PHX and ORD. I just had a FF ask me why DP was flying between PHX and ORD so much lately, and commented that he hopes we do not become United. He said he has been flying back and forth a lot in the last few months and has seen DP in FC "a few" times.

 

[luvthe9]

Just great, now the west will claim the saved NASA and the Air Force

 

[cubfan]

ChockJockey ...... that has to be the top post of all time!! Bravo!!


Happy Holidays!!

2B

Who's FH-227 is that in the picture? Flew many hrs on that baby.......

 

[2BorNot2B]

Who's FH-227 is that in the picture? Flew many hrs on that baby.......

Yeah! ... the 'ole " 22 ton dog whistle"!! That is a Mohawk Airlines FH-227 boarding at Utica, New York ..... circa 1967.

Glad 'ya liked it!

2B

 

[robbedagain]

thats funny! Thats the best story of 2008, if not ever! Imagine just how scared them terrorists be!!!!!!!! Wonder how the C-17 and C-130 would look in the US colors and what kind of layout the interior would be!!!

 

[NewHampshire Black Bears]

Passengers are noticing Parker flying between PHX and ORD. I just had a FF ask me why DP was flying between PHX and ORD so much lately, and commented that he hopes we do not become United. He said he has been flying back and forth a lot in the last few months and has seen DP in FC "a few" times.

Well "if" it were AA in talks w/Parker,....It would be TOO obvious if he were seen going back and forth to DFW.

Ahhhh,

But as a diversionary tactic,.....they (AA) could be holding "fire-side chats" w/DP in Hub #2 🙄

 

[Be Careful What You Wish For.]

Well "if" it were AA in talks w/Parker,....It would be TOO obvious if he were seen going back and forth to DFW.

Ahhhh,

But as a diversionary tactic,.....they (AA) could be holding "fire-side chats" w/DP in Hub #2 🙄

Could "AA/you" be thinking too hard...

Thank goodness it is Christmas.

Merry Christmas to all...

 

[ChockJockey]

I also don't see what AA has to gain from merging with or acquiring US except for some additional destinations in the Northeast and maybe some of the European routes. They'll be all Boeing by the middle of next year and we've the largest Airbus fleet in the world...

United seems more likely, I mean look at the route map off their website for the East Coast, they're clearly pining for our destinations over there what with our cities and name on their map:

But who knows... maybe Doug has a surprise up his sleeve.

 

[gaucho99]

Will they or won’t they? The curiously close alliance of United and Continental Airlines is likely to keep tongues wagging throughout 2009 as analysts, employees and competitors try to figure out whether the carriers are reinventing the way airlines partner with each other or are laying the groundwork for a merger. Most airlines of any size have code-share agreements that let them sell seats on competitors’ flights, a strategy that boosts their revenue while giving passengers a greater range of flights and destinations. But Chicago-based United and Houston-based Continental are seeking greater breadth and depth than that, taking their code-share arrangement global while working together to cut costs and share ground operations in ways that don’t run afoul of antitrust restrictions.



“What we’re doing with Continental is new and going to a place we haven’t gone before with any of our partners,†said Michael Whitaker, United’s senior vice president for alliances, international and regulatory affairs, who heads the team of United employees involved in the massive project. The end result, linking operations so passengers move easily from one carrier to the next, won’t be evident until the fourth quarter of 2009. That’s when Continental will formally drop out of SkyTeam, its current marketing alliance, to join United and its Star Alliance partners. But much of the work under way, from linking frequent-flier programs and computer systems to sharing airport lounges, would be tackled at the outset of any merger, analysts note. Sources close to the carriers caution that a trip to the altar is unlikely any time soon.

Source: Chicago Tribune, December 26

 

[wings396]

I also don't see what AA has to gain from merging with or acquiring US except for some additional destinations in the Northeast and maybe some of the European routes. They'll be all Boeing by the middle of next year and we've the largest Airbus fleet in the world...

United seems more likely, I mean look at the route map off their website for the East Coast, they're clearly pining for our destinations over there what with our cities and name on their map:

But who knows... maybe Doug has a surprise up his sleeve.

You left out a few other "Key" items such as the CLT Hub and the Shuttle. As I have said before, AA lacks a Southeastern Hub, and has been eyeing up the Shuttle for years. Granted the Shuttle market isn't what it once was, but the slots alone are worth having.

 

[jimntx]

I also don't see what AA has to gain from merging with or acquiring US except for some additional destinations in the Northeast and maybe some of the European routes. They'll be all Boeing by the middle of next year and we've the largest Airbus fleet in the world...

As they say in Jerusalem, "From your lips to God's ears." Unfortunately, we will be a mixed fleet with predominantly MD-80s in the domestic fleet for some time to come. We have something like 30 737s/year scheduled for delivery over the next 3 years. However, we have almost 300 MD-80s in the domestic fleet; so, while the new 73s will enable us to retire quite a few of the MD-80s, we won't be rid of all of them for several years yet.

I think the company has decided to stall now until they see whether or not Boeing is going to produce a 787-like version of the 737.

 

[FWAAA]

I'm pretty sure that ChockJockey was referring to the fact that all AA AB6s are expected to be retired by sometime next year and was including the MD-80s in the Boeing category (reasonable, since Boeing bought MD). 🙂

Perhaps the post should have read: "They'll have no Airbus airplanes by the middle of next year and we've the largest Airbus fleet in the world..." 🙂

 

[gaucho99]

Chock Jockey said:

I also don't see what AA has to gain from merging with or acquiring US.

The reason airlines are looking at merging is to reduce competition so airfares can increase to a level that will support a profitable industry. It's not about becoming bigger than the next guy or trying to serve every corner of the world. If you can reduce the competition to 3 or 4 legacy carriers, airfares can increase accordingly.

If CO and UA merge, AA may want to hook up with US which will leave us with 3 legacy airlines instead of 6 or 7. That way, when you need to raise fares to meet your costs, you don't have other airlines scrambling around with lower fares to try and fill their seats.

 

[aafsc]

Chock Jockey said:

I also don't see what AA has to gain from merging with or acquiring US.

The reason airlines are looking at merging is to reduce competition so airfares can increase to a level that will support a profitable industry. It's not about becoming bigger than the next guy or trying to serve every corner of the world. If you can reduce the competition to 3 or 4 legacy carriers, airfares can increase accordingly.

If CO and UA merge, AA may want to hook up with US which will leave us with 3 legacy airlines instead of 6 or 7. That way, when you need to raise fares to meet your costs, you don't have other airlines scrambling around with lower fares to try and fill their seats.

I can't see AA hooking up with US because US, like TWA, brings very little to the table. The only valuable parts of US, as far as AA would be concerned, would be the shuttle and maybe the DCA and LGA slots. AA doesn't need a hub in PHL because they have JFK; and the trouble in the banking sector makes CLT look less attractive which would remind AA of RDU. Add to that the totally different fleet types and employee integration issues and one could see why it would be a totally foolish decision on AA's part to enter into such a transaction. AA would only want the shuttle slots and LGA and DCA slots; no planes, no people.