US Airways Confident It Will Stay Independent

[Diamondbacks2004]

WASHINGTON (Reuters) - The president of US Airways Group Inc (LCC.N: Quote, Profile, Research) is confident about the carrier's stand-alone prospects and does not foresee a merger in the near term.

Scott Kirby also told CNBC in an interview that major carriers are all but done with big cost cutting initiatives as they struggle to offset skyrocketing fuel prices.

US Airways failed in May to strike a merger deal with UAL Corp (UAUA.O: Quote, Profile, Research) unit United Airlines, raising concern among some experts about US Airways' future. The company has shed nearly 80 percent of its share value this year and traded down 7.6 percent on Wednesday at $3.01. Its market capitalization has slumped to roughly $275 million.

Despite its deteriorating situation on Wall Street, Kirby said: "I feel great about US Airways' stand-alone prospects."

(Reporting by Richard Cowan and John Crawley; editing by Carol Bishopric)

http://www.cnbc.com/id/25249078

 

[prechilill]

Despite its deteriorating situation on Wall Street, Kirby said: "I feel great about US Airways' stand-alone prospects."

(Reporting by Richard Cowan and John Crawley; editing by Carol Bishopric)

http://www.cnbc.com/id/25249078

Uh huh. Right Scottie. Boy that sure is a 180 for the Parker boys in Tempe. Here is a new flash: USAir is the first in line for bankruptcy. The stock is priced for it, Wall Street knows it and the analysts are unanimous about it. The east coast operation never made any money, just chewed up bankers and walked away from loans while racking up billions in losses spanning decades. Given the present economic climate, though, this time around should be a pretty quick death. Look for a sale of the few remaining assets after credit lines get withdrawn and the piggy bank gets pretty light.

 

[Mrs Doubtfire]

WASHINGTON (Reuters) - The president of US Airways Group Inc (LCC.N: Quote, Profile, Research) is confident about the carrier's stand-alone prospects and does not foresee a merger in the near term.

Scott Kirby also told CNBC in an interview that major carriers are all but done with big cost cutting initiatives as they struggle to offset skyrocketing fuel prices.

The company has shed nearly 80 percent of its share value this year and traded down 7.6 percent on Wednesday at $3.01. Its market capitalization has slumped to roughly $275 million.

Despite its deteriorating situation on Wall Street, Kirby said: "I feel great about US Airways' stand-alone prospects."

Keep telling yourself that over and over while clicking your heels together 3 times Scooter ole boy.

 

[YVINTERN]

Uh huh. Right Scottie. Boy that sure is a 180 for the Parker boys in Tempe. Here is a new flash: USAir is the first in line for bankruptcy. The stock is priced for it, Wall Street knows it and the analysts are unanimous about it. The east coast operation never made any money, just chewed up bankers and walked away from loans while racking up billions in losses spanning decades. Given the present economic climate, though, this time around should be a pretty quick death. Look for a sale of the few remaining assets after credit lines get withdrawn and the piggy bank gets pretty light.

and are you saying the West has been breaking even?

 

[necigrad]

Actually, West was profiting until the merger.

 

[YVINTERN]

Actually, West was profiting until the merger.

BOLLOCKS... DOUBLE BOLLOCKS we know this for a fact...WEST was not making BANK prior to the damn merger.

Neither was the East...thats why we merged and career expectations became star cross*d clusterf*cks

 

[delta777]

Is Scott Kirby a distant relative of this man?

 

[BobbyBuckInAtlanta]

Actually, West was profiting until the merger.

And what planet are you from. AWA was on the verge of BK themselves when the power's that be put the US/awa deal together.
Check your fact's man before making idiotic statement's like that. :down: :down:

 

[GolfNovember]

And what planet are you from. AWA was on the verge of BK themselves when the power's that be put the US/awa deal together.
Check your fact's man before making idiotic statement's like that. :down: :down:

Where did you read that HP was making money before the merger?

 

[PhxMama]

Im not saying that HP would not have gone down without the merger due to the fuel increases but let me tell that I was receiving profit sharing prior to the merger so yes, HP was making money.(Unless they think Im cute and just thew money at me-NOT!) HP could never have survived with increasing fuel prices and US would have gone away too. Who cares? The merger happened years ago. Can it be that some cannot let it go? Thank God, I work with those from both sides who agree that working together is far more productive. Mama

 

[ClueByFour]

BOLLOCKS... DOUBLE BOLLOCKS we know this for a fact...WEST was not making BANK prior to the damn merger.

Neither was the East...thats why we merged and career expectations became star cross*d clusterf*cks

I really wish I could have gotten you to put some coin on that:

This is from the Q-2 2005 quarterly report for AWA, which was the last one prior to the merger:

Net income of $13.9 million.

So yeah, it was meager, but they made money.

 

[FLYLOW22]

Translation.... "We are confident that the industry and we both suck so badly that any combination of corporate coolness would result in more suckiness".

 

[BobbyBuckInAtlanta]

Where did you read that HP was making money before the merger?

Thats my point..they were'nt making money prior to the merger. DP has publicly acknowledged that AWA would have been in B/K court had the investors not put the US/AWA deal together. Further more, the west side continued to loose money post merger and to my knowledge has yet to carry their own weight throught this merger. Check the company finacials. They reported seperately until this year i believe.

 

[ableoneable]

Thats my point..they were'nt making money prior to the merger. DP has publicly acknowledged that AWA would have been in B/K court had the investors not put the US/AWA deal together. Further more, the west side continued to loose money post merger and to my knowledge has yet to carry their own weight throught this merger. Check the company finacials. They reported seperately until this year i believe.

This has been re hashed nearly to death but it won't ever quite die.

AWA was profitable prior to the merger.

After the merger the financials were reported separately, except that charges were billed to the west side. (east payroll etc.) Though it looked like the east was operating profitably and the west was losing money this is largely due to the fact that most of the charges were taken against the west balance sheet. If you were to read the financials carefully you would find that the west continued to be profitable.

 

[safety stud]

This has been re hashed nearly to death but it won't ever quite die.

AWA was profitable prior to the merger.

After the merger the financials were reported separately, except that charges were billed to the west side. (east payroll etc.) Though it looked like the east was operating profitably and the west was losing money this is largely due to the fact that most of the charges were taken against the west balance sheet. If you were to read the financials carefully you would find that the west continued to be profitable.

Lets just nip this in the bud...
Who cares who made money... when they did it... and why...
The fact is the west is the bleeder in all of this...
Look at LAS... they should have cut back service when oil was at 100 not 130+
Look at PHX... they are in direct competition with LUV when they are paying around 70 bucks for their fuel...
This airline is making decisions like they are on qualudes... a day late and a dollar short...
The only side making money is the east, and that is dwindling with the international side with the poor planning in PHL...

If this company goes in BK it wouldn't be from the actions of the east, but the mis-management from the west.
Further... SK said yesterday that the only thing keeping the company from downsizing the company further are the labor agreements...
Funny thing those things... They protect the unionized labor groups for the poor decisions of management...
Oh and by the way, it's the east side of the labor triangle that protects them, not the west...
You see, at least the east had fore-sight in protection from incompatance...

Just my opinion...