UAL ramps up merger talks

[ThirdSeatHero]

http://www.thestreet.com/pf/newsanalysis/b...e/10363174.html


Just when you thought this couldn't get any more interesting...... 🙄

 

[wings396]

Interesting....I don't think that Jetblue and/or Spirit would give UA what they are looking for. I would hardly consider Spirit's FLL operation a Southern Hub compared to ATL or CLT.

 

[etops1]

ya never know.

 

[Harry Callahan]

I ask a UA ramp person last night "what have they been hearing" his response was all about DL nothing about US.

 

[az_wild727]

If this were to be happening, would it be UA buying US or US acquiring UA? I'm sure DP doesn't want his position gone!

 

[US1YFARE]

I'm sure DP doesn't want his position gone!

Well I thought Tilton already said he would step down. I hope it is DL if DP and his crew are in charge. I really don't want to see what the world's largest ghetto airline would look like.

 

[usair_begins_with_u]

Laughable.... IMO, these rumors are started strategically to bouy the stock price so the big guys can cash out before the crap hits the fan.

There is no super normal growth in passenger airline travel. Airlines will never be large dividend paying stocks. Why would a rational investor pay more than 5/6 times earning for a company with a 50/50 shot of of winding up in bankrupcy court in 5 years?

 

[700UW]

:blink: People People People,

We know this cant be true our legend in his own mind poster has not started this thread.

And you know unless he tells the board the info get gets while being under the desk it is not true! :blink:

 

[Harry Callahan]

Paging USA320pilot where are you ?

 

[LCC_#1]

I would hardly consider Spirit's FLL operation a Southern Hub compared to ATL or CLT.

That FLL airport is a big mess!! It isn't adequate as an international gateway. Ask the customers standing in lines that wiggle out onto the hot humid pavement.

 

[Tim Nelson]

I ask a UA ramp person last night "what have they been hearing" his response was all about DL nothing about US.

Coach,
My understanding is that UA is interested in US AIRWAYS.

My 'specific' post regarding this matter preceded UA's very own CEO by 3 days and beat all media outlets by at least a week. That should lend some credibility to my post. However, other than believing the chatter is real, I claim no inside info and know nobody on either BOD.
To that end, my source was just hot chatter among the uninformed and I'm tickled that such crumbs may have dropped to me. My understanding is that UA wants to merge with US AIRWAYS. Take my opinion FWIW to ya.

I am not a psychic either so perhaps it's just coincidence that my post preceded UA's own CEO.
At any rate, IMO, all non-pilot groups will get outstanding labor issues resolved and then a possible merger bid may come down the pipe early fall, possibly as early as September. For the ramp or mechanics this means you can forget about arbitration. The ramp will most likely be the first to settle and I'd be surprised if transition talks go past August. IMO, July there should be a deal, if not sooner. FWIW: I have heard IAM union members say that their union rep said your company didn't move its position in negotiations. My understanding is that it did.

IMO, once any merger related announcement is made, there will be no question that it will be conditioned that the Pilots resolve to satisfaction all outstanding issues. I have no idea what this may look like but I would think seniority issues would resemble whatever UA pilots may have or lend themselves to. Strictly a guess but I would think the divisive nic award would have to be of significant less value for a merger to proceed.

regards,

 

[hscottm]

what I dont get is IF UA were interested in DL, why they wouldnt have made a move while DL was in bankruptcy (like US was doing).

DL's response wasnt so much "we dont want to merge" as "we dont want to merge with US". The door was open.

That makes me think NOT DL. But still could be CO.

 

[yvrusfa]

I ask a UA ramp person last night "what have they been hearing" his response was all about DL nothing about US.

Uhhh... I hate to be that skunk at the garden party here and I could be wrong as rain.
But I am pretty sure that UA and DL will NOT merge soon or in the future for that matter for two BIG reasons.
1. DL's "motis operendi" it to keep unions out. A merge with an airline UA's size would guarantee that nearly all combined groups would be unionized!

and...

2. I highly doubt that the feds would approve a merger of that magnitude, without serious giveaways by the combined carrier! They did'nt approve UA/US the first time.
The combined UA/DL would be 30% again as large as AA!! Not gonna happen!!!!!
CO on the other hand might be possible if it isn't US.

It certainly does appear that UA is "shopping" the place and guess time will tell.
Hold on people!

 

[CynicalResAgent]

I ask a UA ramp person last night "what have they been hearing" his response was all about DL nothing about US.

Sorry, I couldn't help but see the humor in the thread titled "UAL ramps up merger talks" and you asked a ramp person what they were hearing.

 

[EMBFA]

Delta sure didnt want us, maybe they'd feel differently about UA. But again, why wouldnt they have gone after them in bankrupcy then? Doubtful such a large merger would be approved.

Continental swears they are not interested but you never know. A UACO run by CO would mean crappo US should just shut its doors.

That leaves US, the only other major (kind of) that is actively interested, plus its a combination both wanted very badly in the past. They already extensively codeshare and are the two American Star carriers, unions and fleet match up. US is the smallest of the majors so theoretically the easiest to get approved and integrate.

They sure seem to be acting very US Airways lately!
United passengers air their bitter grievances

I ask a UA ramp person last night "what have they been hearing"

Jet engines, undoubtedly.