AA and US merger?

[AAviator]

Well given your Boeing hypothesis, if credible, then you'd have to factor in Airbus too. If there is any credence to your Boeing hypothesis, what do you think Airbus might have to say about this? I won't disagree that AA mgmt has an idea of what it may or may not do. It's all of the other omniscient prognosticators who think they know but don't really know a damned thing that really amuses. And folks hang on to their every word like these hacks really know what they're talking about.

If nobody knows a damn thing, then why do US employees start threads on a daily basis about how LCC and AA are -without question- going to merge?

 

[ebwgs]

If nobody knows a damn thing, then why do US employees start threads on a daily basis about how LCC and AA are -without question- going to merge?

They're just as uninformed.

 

[FWAAA]

I didin't mention Airbus because its a given that Airbus would be in US corner. US is an important carrier to Airbus and if they could help facilitate an AA purchase they will.

While I'm sure that US is an important Airbus customer, I think that the recent AA narrowbody Airbus order (260 + numerous options) exceeds the total Airbus orders of US plus HP thus far. Airbus might prefer Parker or might prefer Horton and Co. Hard to predict.

 

[ebwgs]

I didin't mention Airbus because its a given that Airbus would be in US corner. US is an important carrier to Airbus and if they could help facilitate an AA purchase they will.

You should've mentioned it texflyer because AA has an order for 260 Airbus jets. I wouldn't call that small potatoes.

 

[ebwgs]

Actually, he's giving his point of view with some valid points. He wasn't glorifying Delta at all other than to give his experience with what Delta went through. Although long winded as always, if you read carefully you might learn that he believes that AA can restructure on its own without a merger...and I tend to agree.

As far as Parker and the boys salivating, the AA/US merger has been cried Merger Wolf at USboards for sometime now.

I must admit signal my concentration wavered 1/4 of the way through his rambling post because he is so long winded. Anyway, he is not the only one who has opined a good point on this matter. Folks on both side have. They are just talking points. And yes US has been shouting merger from the M&A mountaintop for years. US is a product of mergers and throughout it's history it's been more successful in creating mergers than not. Only time will tell whether Parker gets this merger or not. In the meantime folks at US and AA need to go about the everyday business of handling their business. You guys--assuming you for work for AA--are getting ready to go through hell. Take care of yourselves and your families and each other. And the outside faux empathizers like WT, despite his "valid points" are thinking more about themselves and their company just as has been alleged about US. Everyone in this cut throat business has pulled for the demise of the competition. Even AMR. So ya'll need to chill. If something does or doesn't happen, none of us here will get a briefing from Dallas or Tempe.

 

[RevThruster]

They're just as uninformed.

And you ARE informed? laughable. You know about as much as anyone else - what you hear on the news.

 

[FWAAA]

Boeing may be one of the largest creditors but it is far from clear whether AA's CURRENT creditors will agree to allow AA to assume as much risk as all of the new orders entail... remember only part of the order book has been financed.

The first 230 deliveries have been fully financed - that's all deliveries thru 2017. The other 230 (neos and Max) are not yet financed, but there are almost six years to arrange that financing.

There is a very good chance that a big chunk of the future orders will not happen on the timetable AA originally set out - including because AA still has about 200 older owned aircraft that it wants to dispose of - but the creditors might not be excited about seeing those useable assets written off only to take on more debt, even if the newer aircraft can save money in operation.
Just because you or I could save money if we upgraded to a newer car, most of us do not because there are financial limitations that all of us must live under. Companies are no different.

I disagree. If fuel savings and maintenance holidays can pay for these new planes, there will be no meaningful opposition to their acquisition, especially if fuel stays high throughout the AA bankruptcy. It's not quite the same as a new fuel efficient car, as most of us don't drive our cars as much as most airplanes fly. Almost nobody drives their car enough so that fuel savings makes most of the payments.

Further, a big part of the cost savings AA was seeking in a new fleet can now be obtained from or offset by labor cost savings that AA could not have received outside of BK.

Creditors probably like the idea of getting both: labor cost reductions (including pay rates, productivity improvements and pension changes) plus fuel savings thru new fuel efficient planes. If I were UA or DL, I'd be a little concerned that AA might be successful in slashing labor costs plus lowering fuel costs by accepting 460+ new narrowbodies plus 42 789s (plus the 58 options). If everything falls into place for AA (admitedly, not a certainty by any stretch), AA might be a formidable competitor in the future.

 

[icehead]

If nobody knows a damn thing, then why do US employees start threads on a daily basis about how LCC and AA are -without question- going to merge?

AAviator, The Boyd Group Home page link has an analysis on the AMR C-11 filing. I don't care to insert myself on other Airline boards because it's none of my business and frankly it doesn't affect me. But with all the speculative nonsense going on I thought the following link might provide some footing regarding AMR's exit from bankruptcy.
http://www.aviationplanning.com/

 

[ebwgs]

And you ARE informed? laughable. You know about as much as anyone else - what you hear on the news.

If you actually read and understood what I wrote you wouldn't have felt compelled to ask such a dumb question.

 

[AAviator]

AAviator, The Boyd Group Home page link has an analysis on the AMR C-11 filing. I don't care to insert myself on other Airline boards because it's none of my business and frankly it doesn't affect me. But with all the speculative nonsense going on I thought the following link might provide some footing regarding AMR's exit from bankruptcy.
http://www.aviationplanning.com/

Thanks. I posted that yesterday in post #62.
ebgsw, We know the axeman cometh.. Now will you please go away? Don't go away mad, just go away! 😀 😀 😀 😀

 

[etops1]

I just can't wait till they announce this transaction so we can shut people like WT and AAviator the F up .

 

[ebwgs]

Thanks. I posted that yesterday in post #62.
ebgsw, We know the axeman cometh.. Now will you please go away? Don't go away mad, just go away! 😀 😀 😀 😀

LOL...Sorry man but I'll come and go as I please. Public forum buddy.

 

[signals]

I must admit signal my concentration wavered 1/4 of the way through his rambling post because he is so long winded. Anyway, he is not the only one who has opined a good point on this matter. Folks on both side have. They are just talking points. And yes US has been shouting merger from the M&A mountaintop for years. US is a product of mergers and throughout it's history it's been more successful in creating mergers than not. Only time will tell whether Parker gets this merger or not. In the meantime folks at US and AA need to go about the everyday business of handling their business. You guys--assuming you for work for AA--are getting ready to go through hell. Take care of yourselves and your families and each other. And the outside faux empathizers like WT, despite his "valid points" are thinking more about themselves and their company just as has been alleged about US. Everyone in this cut throat business has pulled for the demise of the competition. Even AMR. So ya'll need to chill. If something does or doesn't happen, none of us here will get a briefing from Dallas or Tempe.

Agreed. And believe me I know all about the Delta cheerleader.

 

[FWAAA]

I just can't wait till they announce this transaction so we can shut people like WT and AAviator the F up .

I just can't wait until Parker's bid to acquire AA is rejected by the AA creditors the way the DL bid was rejected. That will be worth the price of admission.

I do hope that the drunken fool is smart enough (or that someone in Tempe is smart enough) to hire a designated driver for the idiot so that he doesn't kill someone in a drunken driving crash after the post-rejection bender.

 

[FA Mikey]

I didin't mention Airbus because its a given that Airbus would be in US corner. US is an important carrier to Airbus and if they could help facilitate an AA purchase they will.

Dont be too sure. They would more likely be of assistance to a customer buying 260 planes with options on as many more, over someone buying a dozen or so with no near term interest in up dating their fleet. BK would be a time they could AX the airbus order.