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New Merger Rumor

(pssssst. somebody posted a link on the LCC board. its an audio file from Holly Hegeman, implying that a merger may happen this year...)

http://kjzz.org/content/1203/us-airways-american-airlines-could-merge

I had dinner with Holly on Saturday night, and we spent a lot of time talking about this.

She's a firm believer there will be more consolidation, but was quite clear then and in the interview that there will be "a deal" but it may not involve US or AA as so many people here seem to be convinced.
 
http://kjzz.org/content/1203/us-airways-american-airlines-could-merge

I had dinner with Holly on Saturday night, and we spent a lot of time talking about this.

She's a firm believer there will be more consolidation, but was quite clear then and in the interview that there will be "a deal" but it may not involve US or AA as so many people here seem to be convinced.


Perhaps JetBlue, Spirit or Alaska.
In what way will USAir benefit in a merger with AA?
 
Perhaps JetBlue, Spirit or Alaska.
In what way will USAir benefit in a merger with AA?
That's the million dollar question!!! Just can't find the answer. ......... The answer is no benefit at all so I don't think it will happen.
 
Here is some very interesting info:

I have a relative that has AA points, and they have been wanting to go to Albany, NY to see their daughter. AA doesn't fly to Albany anymore, and this relative has tried in the past to put the xxx-ALB information in, but it hasn't let them.....
Until last night..... they can fly to ALB now on USAir with their AA points....... hmmmmm....??? Now THAT is interesting! Plot thickens!!
 
hmmmmmm...... interesting...... I just went to AA.com, and put in both LAX-ALB and MIA-ALB. Certainly, cornerstone cities would offer something, right?

There are currently no awards available on AA.com for your requested Origin and Destination. Please modify your request or contact AAdvantage Reservations for award opportunities on all AAdvantage participating airlines.
 
Summer schedule get loaded yet? ORD-ALB and JFK ALB may be in there...
 
http://kjzz.org/content/1203/us-airways-american-airlines-could-merge

I had dinner with Holly on Saturday night, and we spent a lot of time talking about this.

She's a firm believer there will be more consolidation, but was quite clear then and in the interview that there will be "a deal" but it may not involve US or AA as so many people here seem to be convinced.
I think there will be too. A broken up LCC should not be ruled out. I think we may all be surprised.

Like when WN and AA merge!

😀 😀

E: What did Holly have to say about DAL getting AirTrans 717?

I'm surprised WT hasn't posted.. There were at least 3 replies in this thread without his comment. Should we send a search party?
 
Here is some very interesting info:

I have a relative that has AA points, and they have been wanting to go to Albany, NY to see their daughter. AA doesn't fly to Albany anymore, and this relative has tried in the past to put the xxx-ALB information in, but it hasn't let them.....
Until last night..... they can fly to ALB now on USAir with their AA points....... hmmmmm....??? Now THAT is interesting! Plot thickens!!
if you check the "all carriers" box on aa.com, it will build schedules with all carriers, and it so happens that connections with US via DCA are the fastest interline connections avaialble - but that hardly points to any secret marketing agreement that someone has stumbled on and that hasn't been released to stockholders and the SEC. Unless of course flights on UA, DL, and their partners are also part of the secret agreement since those appear as well.
All of the network airline res systems can build connections w/ other carriers but it doesn't say you can earn or burn miles on those flights.

.
and you are right, Maark, everyone keeps wanting to look for mergers based on what THEY think will work when the reality is that the people who control AA's future - its creditors - are looking for what solutions will provide the best return for them, assuming AA cannot successfully restructure on its own, which is the default choice. Only if AA cannot demonstrate that it cannot successfully restructure do the creditors start looking for alternatives - and then at some point AA/AMR's creditors start looking at alternatives ALONGSIDE AMR's plan because AMR does not have exclusivity any more.
The notion that much smaller airlines with very different business plans will save AA is wishful at best.
Either way, it will be the best return for AMR's creditors that will govern AA's future, not anyone's personal opinions of what they think will create the best network... and the US government has a pretty long record of supporting consolidation in the US, addressing competitive concerns at specific cities/markets - not by blocking entire transactions.
.
In other news, Embraer took a large (about $360M charge to earnings to write down AA/AE's assets). It is far less likely they would have taken a charge if there were going to be an order for the larger E jets that would have offset the writedown.
 
In other news, Embraer took a large (about $360M charge to earnings to write down AA/AE's assets). It is far less likely they would have taken a charge if there were going to be an order for the larger E jets that would have offset the writedown.
No, that's not accurate. Embraer is forced by accounting rules to account for bad debts or assets that become worth less (or worthless) when those events happen, and it's obvious that those events occurred in the fourth quarter of 2011. Those accounting rules do not permit companies to hold off on such writedowns on the basis that they might get large orders of more economically viable airplanes from the same debtor in the future. If the 135s and 140s have become worthless (or the paper, if Embraer is carrying the paper), then the writeoffs must occur.

You're smart enough that you don't have to make stuff up, and the bolded portion above is just nonsense that you made up. Don't post made-up nonsense as if it were fact.
 
Not an option when redeeming miles.

perhaps you can show us a screen shot with an AA-US connection on the route noted.... and explain why AA would allow Advantage redemption on a carrier that so far as I know (perhaps I missed something) is not an Advantage partner.
US is not listed as an Advantage participant....

http://www.aa.com/i18n/AAdvantage/earnMiles/travel/airlines/main.jsp
 
No, that's not accurate. Embraer is forced by accounting rules to account for bad debts or assets that become worth less (or worthless) when those events happen, and it's obvious that those events occurred in the first quarter of 2012 (which will end in 10 days). Those accounting rules do not permit companies to hold off on such writedowns on the basis that they might get large orders of more economically viable airplanes from the same debtor in the future. If the 135s and 140s have become worthless (or the paper, if Embraer is carrying the paper), then the writeoffs must occur.

You're smart enough that you don't have to make stuff up, and the bolded portion above is just nonsense that you made up. Don't post made-up nonsense as if it were fact.
A Brazilian company is "forced" to follow U.S. accounting rules? When did that start?
 
A Brazilian company is "forced" to follow U.S. accounting rules? When did that start?
Nice strawman. Nowhere in my post did I mention "U.S. accounting rules." The US is not alone when it comes to accounting rules. As you may know, other countries (even Brazil) have accounting rules applicable to publicly traded companies. In the case of Embraer, its 2011 earnings press release says this:

Embraer's operating and financial information is presented, except where otherwise stated, on a consolidated basis in United States dollars (US$) in accordance with IFRS.
http://www.marketwatch.com/story/embraer-releases-4th-quarter-and-fiscal-year-2011-results-2012-03-20

IFRS refers to the International Financial Reporting Standards.

http://www.ifrs.org/The+organisation/IASCF+and+IASB.htm
 

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