90 replies to this topic

[jersey777]

eolesen, on 25 February 2012 - 08:03 PM, said:

Probably not a discussion for this thread, but anyone who thinks AA is going to stick with the status quo on the network is an idiot. And I'm not exactly impressed with Keay's research, or that of anyone else who gets quoted on a regular basis by USA Today or Bloomberg... Real analysts (e.g. Gary Chase, Jamie Baker, Kevin Crissey) don't need to give away their analysis in McPaper, mainly because they have people willing to pay for their opinions...

If AA haven't planned to expand beyond the present footprint, why go thru all the trouble of eliminating the commuter restrictions in the TWU contract, re-writing the cap on 88 seaters & below to be 50% of mainline aircraft, allowing for more domestic codesharing, etc.

DL and UA haven't made gains simply because they operate a lot of capacity in the top 20 markets. They've made gains because they also can offer a reasonable two-cabin product in markets which AA couldn't afford to serve with an MD80 and were beyond what Eagle could serve with a single cabin 50 seater.

Ironically, it appears that UA may be undoing some of those gains as the battle with their pilots over scope continues.

Again, it's off the topic, and been beaten to death elsewhere...

It is not a bit off topic. If American Airlines is asking the flight attendants for massive cuts in their term sheet then they had better have a business plan to back up their claim that severity of the cuts are needed. Clearly, their business plan has not changed from the same lousy one they had the last 8 years as far as revenue goes. This whole "right sizing" of the airline, which I don't think is a bad thing, looks to me as a cost cutting measure and not a revenue producer. Of coarse YOU of all people would discount this analyst....I was expecting this. I don't see how any clear thinking individual cannot see this bankruptcy for what it is......American Airlines is attempting to get its lifetime dream of gutting ALL their labor contracts.

As far as the "negotiations process goes, I am going to quote a friend regarding AA's latest press release about the need to speed up the negotiations process......I don't think I could have said it better.


"Really AMR Corporation? You are so damn full of sh+*. Actually, there is more than ample time for something fair to be hammered out. You're just not interested. This is exactly what Laura warned me about. The company has demonstrated that they are utterly uninterested in negotiating with any of their unions. They aren't even at the table -- their consultants -- pawns -- are. AA want to go straight to the judge and abrogate the contracts under section 1113. They have wanted this all along -- since way before the bankruptcy filing. They are simply letting the required number of days pass until that becomes legally possible and half-heartedly going through the motions. It will end up backfiring on them."

[eolesen]

jersey777, on 26 February 2012 - 07:15 AM, said:

Of coarse YOU of all people would discount this analyst....I was expecting this. I don't see how any clear thinking individual cannot see this bankruptcy for what it is......American Airlines is attempting to get its lifetime dream of gutting ALL their labor contracts.

Part of my day job is reading what the various analysts say about our potential clients.... There are a handful of analysts who get quoted for no other purpose to drum up business for their firms. Hunter and Ray Neidl top that list, along with Bob McAdoo. The difference with McAdoo is that he's been around and worked in the airline industry before becoming an analyst. He's earned his credibility (even if I don't agree with him). Keay & Neidl on the other hand have never worked on the inside, nor have they been around long enough to have credibility.

Then there are boutique consultants like Mike Boyd, George Hamlin, Henry Harteveldt, and Darryl Jenkins. They get quoted, and yes, that markets their services, but they aren't selling investment advice. Their clients are either the airlines, airports, or labor unions, most of whom know a load of BS when they hear it. And all four of these guys have been on the inside, which clearly separates them from the cookie cutter/parasitic consultants like Accenture, BCG, and McKinsey. I put more faith in one quote from Henry than I do in a page of Hunter's "advice".

I'm fairly certain that AA knows what they want to do as far as network changes. And until they have a full confidence in what the new labor terms will be, there's no point signaling those changes to UA & DL. Why let them launch competing service before AA has approval to implement the contract changes, let alone start the new service?...

[ord78]

I don't think anyone with a straight face and half a brain could possibly think for a moment this company has any credible business plan much less a track record over the last 10-15 years that would prove that assumption to begin with. I agree that their one purpose is to go straight to court, the negation process, the unions and the employees be damed.

I have no doubt their was great joy and relief in centerport when this c-11 was announced, high fives all around. And perhaps as well a great number of posters here, not to point fingers, who are rather happy with the prospect of the contracts being thrown out. Sure they, the cheerleaders, realize there is blood in the water now and it's painful ...but many are under the delusion that somehow a service company can beat up it's frontline employees time and time again, pay them the lowest possible wage under rock bottom conditions and yet still expect a SUPERIOR product to be delivered by those very employees...

um...how does that work?

There are about a hundred competitors out there doing everything possible to steal away our business and have the ability to do that. I, at 34 years, fully expect this entire process to end badly for not only me as in no job, but for everyone else at this company. If things don't change quickly with the way the company is handling this entire process AA will not exist as we know it in 10-15 months. Their management team is exhibiting behavior that can only be seen as foolhardy, shortsighted and deadly.