AA and US merger?

[signals]

US doesn't have to do wonders for AA, but did you stop and think that a with merger a company can take away another competitor (us) to help raise fares? Even if they don't merge I laugh at the fact that you think US will just go away..it never has and never will, it will just keep morphing into somthing else. Sure without a merger US may not thrive but it will always survive as it has profitable hubs in PHL, CLT with phx being marginally profitable. Like a cockroach it won't go away and be a thorn in deltas side. ha

Just to use this as a sample statement.

If US and DL want each other to go away...oh sorry, US is the victim...why did you have a slot swap, er, ah, I mean auction. Why is there a monkey-see monkey-do attitude among your airlines. Why is there a cut-throat agreement when a competitor enters the market?

Yeah I know many will say this never happens...Pay no attention to the man behind the curtain.

A LUVers quarell perhaps???

 

[signals]

And if you are wrong will you leave forever?

If you get your retirement back, will you?

 

[usa1]

If you get your retirement back, will you?

H E L L yes ...... forever!

 

[signals]

Although US may be the lowest paid employees, it isn't by much.. at least not for the flight attendants. I've seen the Delta f/a contract and it isn't anything to write home about.

But it is the AA f/as that have to become AN US-get it?

So a westie makes what an eastie makes?

 

[signals]

An AA/US merger would be Deltas biggest nightmare

Explain?

 

[signals]

CLT hub along with MIA gives AA a major stronghold to stick it to Delta in ATL.

CLT hasn't got ATL appeal, apparently. Let me explain my position. Delta flies to ATL and CLT from my airport. They are the ONLY carrier to ATL from my airport. We want WN for the ATL competition because USeless doesn't fill the bill.

To me CLT is a glorified ATL wannabe, like the airports that have less traffic in the NYC area.

Just an observation from the dinky side of the world.

 

[etops1]

AA has repeatedly stated their focus is on JFK, MIA, LAX, DFW and ORD. The five cornerstone strategy. So who fits better, JB or U?

That was before BK. Things have changed . Where you been?

 

[FA Mikey]

Really, Please enlighten us.

 

[FWAAA]

AA could not effectively fly B6s p2p routes out of Boston and be profitable. Not sure about JFK. The slots B6 attained to become a carrier in 2000 were slots any airline could've flown. The most valuable being the late afternoon, early evening.

With AA's pre-bankruptcy cost structure, it could not compete against B6. Once AA cuts wages and benefits, its costs will be somewhere near B6 costs. Acquiring B6 would bring back a large number of customers in JFK and BOS and eliminate a pesky competitor.

 

[Maark767]

With AA's pre-bankruptcy cost structure, it could not compete against B6. Once AA cuts wages and benefits, its costs will be somewhere near B6 costs. Acquiring B6 would bring back a large number of customers in JFK and BOS and eliminate a pesky competitor.

And right out of the blue, AA will announce a full on merger with B6. Shock the hell out of all of us.

 

[FA Mikey]

Down the line is far more likely than a merger with usairways

 

[xUT]

An AA/US merger would be Deltas biggest nightmare

An AA/US merger would be AA's biggest nightmare.

 

[care2purchasefood?]

I'm calling it now:

AA-US-B6 three way merger!! LOL!! That would be hell in a hand basket!

 

[1AA]

Excerpt from the Boyd report about the USAir and AA merger.


Q: Will this bankruptcy accelerate a merger with US Airways?


A: There is the misconception that AA must merge with somebody, simply because other airlines have done so. In many corners of Wall Street, that is the only reason and the total depth of the analysis regarding an AA merger. The fact is that US Airways would not bring much to the table – in fact, it has very little synergies with American.

Some have suggested that US Airways could be the domestic operation for AA, while the international would be operated by AA mainline. By all means, do not take anything seriously from such analysts. They obviously have no understanding whatsoever of the issues of fleets, unions, hub operations, maintenance programs, etc.

Sheer size is not a true metric for airline health. But it seems that the AMR bankruptcy has created a whole garden industry of self-anointed airline industry experts. One quote from a Bloomberg article was particularly telling. Lamenting the fact that American is no longer the largest airline in the US, the writer confidently told readers: “
This factoid, which the “analyst” dug up, is meaningless. It is also incredibly ignorant of the airline industry. What is missed is that American today faces essentially the same competitive levels from Delta as it did when it faced a separate Delta and a separate Northwest. What this veneer expert doesn’t recognize is that NW and DL before the merger were code-sharing and had interchangeable frequent flyer programs.

US Airways, a fine operator, does not offer much to the AA system. The Phoenix hub is not particularly additive to AA, the PHL hub is competitive with the AA JFK operation, and CLT would mainly offer access to more small markets – which are difficult to serve economically. AA already as access to traffic at most mid-size and larger markets in the Deep South. As for feed – much of the international markets at CLT would compete with AA service at ORD, JFK, and MIA. The argument that CLT “would give AA access to the South” sounds appealing, but is largely bogus.

There are no guarantees, however, that a shotgun marriage could not be arranged for the two carriers. Enormous amounts of money can be made in such deals, whether they make sense or not for the airline entities involved. If such a transaction were arranged, it would entail enormous amounts of additional “moving parts” and challenges for the
combined entity to resolve issues such as labor contracts, re-structuring of entire
revenue flows, and rationalizing fleets. There would be no near-term benefits.

 

[jimntx]

I've seen the Delta f/a contract and it isn't anything to write home about.

Really? Since Delta flight attendants are not unionized, what contract would that be?