USAirways/America West Merger Talks -WSJ

[WorldTraveler]

GE (and the ATSB) likes that HP is a low cost airline and has a pretty good chance of making it. There will always be money to throw behind airlines if they have an advantage over other carriers.

 

[ClueByFour]

Clue:

I'm curious, have you ever made a positive post regarding US Airways? Why are you so bitter towards the company with an obvious "ax to grind"? What's behind your bitterness since you're a passenger?

Regards,

USA320Pilot

[post="263203"][/post]​

Once again (three times this year, and the year is young) you have run out of ways to address a reasonable viewpoint, and come with something like this.

I don't dislike US. I dislike CCY, feel they have run a franchise that could have seen saved past the point of no return. I also think it's not really kosher to put blathering self-serving spin on everything. Ahem.

So, let's try again: why exactly would Bonderman put his relatively healthy investment in HP at risk to lash it to a franchise he would not up a bid on before? (here is a hint: it only happens if GECAS wants to play airline on an even bigger scale or Bronner wants to keep playing airline).

 

[ClueByFour]

ETOPS1:

I tend to believe US Airways' chairman of the board

Uhh, how is the pension treating you?

 

[USA320Pilot]

WorldTraveler:

I agree. I personally would like to see the companies create a Midwest hub/focus city and maybe STL or DEN could be an option, with a focus on EMB-170s & EMB-190s for low cost operations. That would fill in the combined business entities domestic route network.

Here's a prediction:

The US-HP deal will proceed, GE, RSA, and another party will provide the financing, US Airways' paint scheme, word mark, and headquarters would survive, and the new CEO will be Doug Parker.

Why? These are the key players and merger integration costs need to be controlled as much as possible. There would be less planes to paint, less signage to change, less people to move, less IT changes and the United and Star alliances could remain in-place.

Regards,

USA320Pilot

 

[longing4piedmont]

I'll buy the first bucket of balls and the green fees for a month. Any one want to chip in.

Bronner said the leadership at America West was another important factor propelling negotiations.

US Airways executives “are more than happy to go back to playing golf as opposed to running an airline that is extremely difficult,â€￾ Bronner said, calling America West managers “extremely capable people ... that are well-respected in the industry.â€￾

MSNBC Story

All I can say is don't let the door hit you on the way out and take ALL the lipstick with you.

 

[jB-Rocks]

See Story

 

[Twicebaked]

Man oh man.....this is interesting......scary, but interesting.

A while back it was everyones prize pick of a merger, but everyone poo-poo'd it because of the difference in labor costs.  Well CCY has succeeded in bringing those costs in line. 

Could this be part of the reason we got the two week extension in filing our POR?

And US has such a great public image we would keep the US Airways name!  What next......Mirror image part 2?

And good grief....Doc Bronner is opening his mouth again......that can't be good. 

Hang on to the bar......it is going to be an interesting ride!

[post="263170"][/post]​

This is an interesting statement from Dr. Bronner...



US Airways, America West in Merger Talks
Wednesday, April 20, 2005 7:50 AM EDT
The Associated Press
By SHEILA FLYNN



...............US Airways executives "are more than happy to go back to playing golf as opposed to running an airline that is extremely difficult," Bronner said, calling America West managers "extremely capable people ... that are well-respected in the industry.".....................

 

[jimcfs]

Bronner said the leadership at America West was another important factor propelling negotiations.

US Airways executives “are more than happy to go back to playing golf as opposed to running an airline that is extremely difficult,â€￾ Bronner said, calling America West managers “extremely capable people ... that are well-respected in the industry.â€￾

[post="263308"][/post]​

I had to read the story, as I didn't believe that quote when I first read it.

I read into this that there are no golden boys in CCY... which is a premise many of us on here have had all along. I wonder if BBB and BB are glad they left when they did (or if they had read the lipstick on the wall)?

 

[longing4piedmont]

I had to read the story, as I didn't believe that quote when I first read it.

I read into this that there are no golden boys in CCY... which is a premise many of us on here have had all along. I wonder if BBB and BB are glad they left when they did (or if they had read the lipstick on the wall)?

[post="263312"][/post]​

Hey, I'll even throw in a free place to stay and they can play the course in my backyard. If they wait until after the first of May, the can fly DL into HKY (on my free tickets of course). I'm sure they will need the freebies when they longer have a job

 

[usair_begins_with_u]

What a dick thing to say... Im sure that made old doc bronner popular with all the VP's and directors...

 

[Rico]

A couple of things that need to be highlighted.

One of the reasons this could work is that Mr Parker is a great CEO, and has the ability to not just pull this off, but make it successful. That means more than route structures, fleets, slots and so on when considering the company joining together.

Second, There is no real contender for a competiing bid, much liuke when AAL snapped up TWA, no one really was in a position to step forward and financially challenge the move.

Third, It will be interesting to see how the unions work this out, In terms of ALPA, it is not as bad as people have made it out to seem, being as the average U pilot right now is only a few years from retirement. Factor in the amount of time to actually combine the lists, and the time it would take a U person to get a open spot to bid into PHX, and you get to see the picture ALPA wise... In terms of the IAM, I would not be surprised with all the left over resentment towards the IAM from DEC/JAN, that they have a real tough time winning a vote against the Teamsters to represent M+R.

Fourth, it will be real interesting to see how U is molded in the near term to best fit together with AWA. Remembet the idea wil be to make the best combo of the two, so do not assume thatjust because AWA has 737's and 757's right now that theywill continue to do so into the future.

Lastly, it will be time for a new paint job. There is no way that any operation that hubs int PHX can get away with dark blue paint jobs.

But seriously, IF it happens, it will also be just another example of US Aiways leading the industry changes (prompted and supported by the ATSB and GE). Cost cuts and pension changes were the first step leading up to industry consolidation. IMO this will be the trigger point for other mergers to soon follow....

 

[Furloughedagain]

I'll bet Mesa has a few bucks invested in this little transaction...

 

[jimcfs]

I'll bet Mesa has a few bucks invested in this little transaction...

[post="263317"][/post]​

... and how about GE and Air Whiskey, too???

 

[RowUnderDCA]

A merger between UA/US/HP won't happen - even under failing firm review, the DOJ and DOT would gleefully place "DENIED" stamps all over such a proposal.

[post="263261"][/post]​

Boy, I disagree with that. Surrender some gates maybe, but no gleeful denial.

 

[Bear96]

Bear,

Get it right, a Section 1113 c, is for a total contract abrogation, which means the nine steps for a abrogation would need to happen before that can occur.

Meaning formal negoiations between both parties.

[post="263294"][/post]​

You weren't paying attention during the AA/TW deal were you.

That is the negotiation. Abandon your seniority protections, or the deal's off and you're on the street. Your choice. No need for 1113© or the court involvement in that -- push too hard when you're employer is on its last legs, and they'll just shut the doors.

No problems for the execs. They'll walk away with their millions either way you slice it.