Will Oneworld lose JAL?

[Bob Owens]

By doing this Delta is taking unfair advantage of the fact that AMR has honored its obligations instead of shedding them through the courts.

"Honored their obligations", thats a good one! They just shed them outside of court.

 

[JFK Fleet Service]

By doing this Delta is taking unfair advantage of the fact that AMR has honored its obligations instead of shedding them through the courts.

Only in the airline industry is paying ones bills and not stiffing creditors considered a bad thing.

Dumping pension obligations on the government,savaging employees and creditors alike is laudable and apparently the 'new' normal.

The Northwest management running Delta are living every airline managers dream of a basically non represented workforce to do as they please with.

 

[Thomas Paine]

The Northwest management running Delta are living every airline managers dream of a basically non represented workforce to do as they please with.

No thats not it, its having a "represented" workforce that they can do as they please with and its called "the American (airlines) Dream"

 

[MERV]

I don't often agree with you Bob, but I certainly agree with your sentiments here. I think it's ridiculous that Delta is trying to take a bit of JAL while it's still digesting Northwest and getting back on its feet after bankruptcy. Why are Delta's new mangaing shareholders allowing this? The company doesn't have enough cash lying around to throw a billion dollars at another airline, especially after its creditors went unpaid. By doing this Delta is taking unfair advantage of the fact that AMR has honored its obligations instead of shedding them through the courts.

The original shareholders are gone. Once they go into bankruptcy the original shareholders get shed. The new shareholders are the creditors and bond holders that DL owe's moneys to. Meaning the payments that were missed by DL and the rest are renegotiate in bankruptcy court. Example Boeing is(was) part of DL Board of Directors, their's many others. They want what they lost so if shares value goes up by taking markets over than so be even if DL don't gain anything out of this deals. The only obligation that was shed was the pension every else was renegotiate or received share ownership. The true losers are the employees and investors.

 

[eolesen]

PBGC got shares, too, and will use the proceeds from that to help pay out the guaranteed portion of their pensions. So, really, the only ones really screwed were the individual shareholders...

 

[Hopeful]

So, really, the only ones really screwed were the individual shareholders...

To a certain extent, yes. But shareholders are quite aware of the risks when they invest.

 

[BoeingBoy]

So, really, the only ones really screwed were the individual shareholders...

Well, them and the unsecured creditors. How much the unsecured creditors were screwed depends on which company you're talking about - is BK2, US paid the unsecured creditors something like 3 cents on the dollar. IIRC, DL was talking about unsecured creditors getting something like 70 cents on the dollar.

Jim

 

[1AA]

Well, well. well. how about that. American just found more money to raise the ante.
300 more million.

American Air Raises Japan Air Offer to $1.4 Billion, WSJ Says

 

[Hopeful]

Well, well. well. how about that. American just found more money to raise the ante.
300 more million.

American Air Raises Japan Air Offer to $1.4 Billion, WSJ Says

Way to go AA!!!!!

Don't worry about those pesky union contracts......

 

[1AA]

Just read that AA will still invest in JAL even if it files for bankruptcy.

Meanwhile back in the home front the three unions on the property are in Mediation and no end in sight.

If this don't beat all!!

 

[Hopeful]

The saga continues....No deal for AA and DAL...

http://finance.yahoo.com/news/Report-JAL-t...set=&ccode=

 

[BoeingBoy]

You beat me to it...

Of course, the problem with the media and their "un-named sources" is that one never knows if it comes from one of the people making the decisions or one of the aides of the assistant to the secretary of one of the people making the decisions. So this may not be the last of the twists and turns...

Jim

 

[Bob Owens]

Well now that we know AMR could come up with $1.4 billion for JAL we know they can come up with a couple of hundred million for us.

 

[jimntx]

I doubt seriously that AMR is actually coming up with the money. It is TPG that is funding this little venture. Getting in bed with TPG is sure to have unintended consequences down the road.

 

[FWAAA]

I doubt seriously that AMR is actually coming up with the money. It is TPG that is funding this little venture. Getting in bed with TPG is sure to have unintended consequences down the road.

You know better than to try to introduce facts to the factually resistant, don't you? B)

Bob doesn't seem to understand the difference between capital investment (one-time) and recurring expenses (employee raises).

I doubt that AA is committed to more than a couple hundred million dollars of the total proposed investment, with TPG providing the rest. I agree with you about TPG; getting cozy with TPG may not be the best thing for Arpey and Co.