Four Airlines Bid For Uair Assests

[gogogadget]

Really guys, you sound like chickens running around with their heads cut off! The sky is falling...........the sky is falling.................! Breathe.................Woooosssaaaaa!

go back and read this entire second page and you will see what I mean! I am not trying to preach here just expressing my opinion.

I think AA is in it because of JBLU and Dal is in it because of Airtran. We all know this is a very vicious business. Ual is sitting this out because it would fare better with a gap or void in the industry needing to be filled! Why do you think JBLU is trying to move into EWR? That now becomes CAL territory. If JbLU doesnt try to get in on some of this, they stand the chance to be ousted simply because although they have the money, they really dont have the physical assets to just take the slots of the shuttle and run with it at current capacity. Studies hav shown that even a 5$ increase in the price of tickets by one carrier is enough to generate significan passenger migration to the carriers with the lowest ticket price. Jblu can not afford to let the Shuttle be stagnant that long due to the Current LFs on the shuttle and the shuttle competition by AA and DAL.

Just my opinion. If the AC go with the transaction, you have a whole different ball game. Will JBLU take the people and absorb them into their network possibly diluting the hand picked pool of people the currently have? JBLU is non union so would Alagneney mohawk apply? If so does that mean ALL crews from UAIR go ahead of all JBLU employees?

AMR cant possibly take a merger of people nor will the employees stand for it. AMR might be there just to drive up the costs so much that even if JBLU does aquire it, the headachaes and the financing might put JBLU in over their heads when it all shakes out! This applys for JBLU's reasoning also against AMR or DAL.

Things that make you go HMMMMM.

 

[BoeingBoy]

Haven't seen anything that says JBLU wants in on EWR - and if they did they could do it anytime since it's not slot restricted (just need gates).

JBLU has applied for slots at LGA - and doesn't the Shuttle have slots there? Could they be thinking of buying the Shuttle for the LGA slots and selling DCA slots to recoup some of their investment? If memory serves, JBLU applied for 10 LGA slots - any shuttle folks know how many the Shuttle uses?

Jim

 

[a320av8r]

I tried selling my stock on Etrade- said shares of this stock have been halted, you may try again later... :blink:

Worked that time.

 

[USA320Pilot]

According to Reuters, "Bids were submitted last Thursday, according to bankers, and the US Airways board is to meet in early February to review the proposals."

USA320Pilot comments: Then why did it take 5 days for this news to become public knowledge, except the release coincides almost to the hour with management's presentation to ALPA and its Advisors?

Are asset sales a very real possibility? Absolutely. Will it occur? Some, but I have reason to believe it will be non-core assets like PSA if new agreements are obtained with labor. When PSA is sold, US Airways will likely simultaneously reach an agreement with the acquirer to code share the operation as an affiliate carrier.

Separately, I do not believe ratified agreements must be obtained with all of the unions by Feb. 4, but we need to be further along the process then we are now.

Respectfully,

USA320Pilot

 

[mwereplanes]

You are truly amazing pal. The pilots and labor cannot save this company. Regardless of what we give. We gave and he has failed. Now he is playing his "out of time" game again and you buy it. Why hasn't he started point to point service yet? Why is he now just figuring out what needs to be done. He sees an opportunity to shrink the airline and destroy labor. And that is exactly what he intends to do. And you are espousing to allow him to do it.

Let them sell the assets. The employees are not in control. Never have been and never will be. The robber baron is in control. He is going to shrink this company to a shell of what it was. And the employees are complicit by being scared to death. It's a job, not a life.

mr

 

[funguy2]

Hello,
Is the East Coast Shuttle as valuable as it once was? With high speed trains and the general hassles involved with air travel these days, I get the impression the Shuttle is not the plum it once was. So, maybe selling it is a good way to generate revenue without a huge sacrafice. I don't have any experience with the Shuttle, but I'd be curious what U employees think about this asset. Or perhaps all this talk about selling things is a ploy to get more givebacks as some have suggested. Thanks.

Well... IIRC... Trump acquired the Shuttle from Eastern Airlines for about $400mil, which included enough B727-200's to operate it... I have heard the number $150mil floated around for the Shuttle now, but I am not sure what you get for $150mil, so it may not be an apples to apples comparison.

 

[767jetz]

Are asset sales a very real possibility? Absolutely. Will it occur? Some, but I have reason to believe it will be non-core assets like PSA if new agreements are obtained with labor.

You are really something else, USA320Pilot!

When UA sold a couple of unused LHR slots, you sounded the death toll and claimed 'AH HA! UA is doomed! DOOMED I say! The end is near now that they are selling assets!'

Mean while we actually have expanded our service in other markets and strengthened our network.

Now USAir is putting some major assets up for sale, and you respond very casually by saying they are "non-core assets" and it's no big deal.

What a hypocrit! :down: You really have become quite transparent and quite pathetic.

Better dust off that resume my friend...

 

[skyflyr69]

Everybody needs to chill. Companies put assets and divisions up for sale all the time, often with no intention of actually selling, but to establish a market value and explore alternatives. It is just good business to do so. None of this means anything is getting sold.

want to bet?

 

[jimntx]

I think AA is in it because of JBLU and Dal is in it because of Airtran.

I think AA and DAL are in it for the same reason everyone else is in the bidding...
Slots at DCA and LGA are like a license to print money. Neither wants a/c or additional employees. Just the slots, ma'am, just the slots.

AA has plenty of a/c parked in the desert that could be brought back into service in a short period of time. Beside that, who says that if someone buys the shuttle slots that they would be used for shuttle business? Once you have the LGA landing slot, you don't have to use it to fly only LGA-BOS or LGA-DCA. Maybe additional LGA-ATL, LGA-DFW, LGA-ORD, LGA-PHX, LGA-SEA, or LGA-MIA flights. The combos are almost endless.

Same thing would be true of DCA. There is a lot of service already on the Shuttle corridor--granted some of it is American Eagle rather than mainline, but the service is there.

 

[funguy2]

I think AA and DAL are in it for the same reason everyone else is in the bidding...
Slots at DCA and LGA are like a license to print money. Neither wants a/c or additional employees. Just the slots, ma'am, just the slots.

AA has plenty of a/c parked in the desert that could be brought back into service in a short period of time. Beside that, who says that if someone buys the shuttle slots that they would be used for shuttle business? Once you have the LGA landing slot, you don't have to use it to fly only LGA-BOS or LGA-DCA. Maybe additional LGA-ATL, LGA-DFW, LGA-ORD, LGA-PHX, LGA-SEA, or LGA-MIA flights. The combos are almost endless.

Same thing would be true of DCA. There is a lot of service already on the Shuttle corridor--granted some of it is American Eagle rather than mainline, but the service is there.

As long as they stay within the perimeter... LGA-beyond perimeter are unlikely and DCA-beyond perimeter are highly regulated and restricted.

And I agree... The slots are more valuable than the shuttle as itself. Can you imagine the point-to-point network AA or DL could put together with their relative market strengths and US Airways LGA/DCA slots... It would be quite an operation for either carrier.

 

[RowUnderDCA]

Couldn't U benefit from flying into some legacy carrier hubs from LGA/BOS/DCA?

 

[tadjr]

Couldn't U benefit from flying into some legacy carrier hubs from LGA/BOS/DCA?

We tried against TWA from DC into STL and couldnt make it work when they were weak, no way we can do it now against the big guys. We cant even seem to fly FROM our HUBS into other carriers hubs with big jets. Check out the routings into ATL and DTW for just a snapshot.

 

[ClueByFour]

We tried against TWA from DC into STL and couldnt make it work when they were weak, no way we can do it now against the big guys. We cant even seem to fly FROM our HUBS into other carriers hubs with big jets. Check out the routings into ATL and DTW for just a snapshot.

Amen to that. ATL, in particular.

 

[javaboy]

http://www.nytimes.com/2004/01/28/business/28air.html


Offers Are Said to Flow In for Assets of US Airways

.........."American Airlines, Delta Air Lines, JetBlue Airways and AirTran made preliminary bids last week in a process led by Morgan Stanley, these people said. Mesa Air Lines, a regional carrier serving the West Coast, has also said it is interested in bidding on US Airways' assets........."




........."US Airways operations in Philadelphia are among the operations the airline put up for sale, as well as its other hubs in Charlotte, N.C., and Pittsburgh; gates at La Guardia Airport and Logan Airport in Boston; its US Airways Express regional carrier; and its East Coast shuttle............."

 

[767jetz]

The first sentence says it all:

"Several airlines, large and small, have made offers for the major assets of US Airways, including its East Coast shuttle and gates at several airports, people briefed on the negotiations said last night."

Sounds like more than just "non-core assets" to me. Wouldn't you agree USA320pilot???