fresh UAL-Continental deal rumors

[a320av8r]

'Inside Wall Street' notes fresh UAL-Continental deal rumors

Last Update: 6:11 AM ET Aug 11, 2006


WASHINGTON (MarketWatch) -- Business Week says there's renewed market buzz going around that UAL Corp. (UAUA : ual corp com new
News , chart, profile, more
Last: 22.53-0.99-4.21%

11:54am 08/11/2006

UAUA22.53, -0.99, -4.2%) and Continental Airlines Inc. (CAL : Continental Airlines Inc
News , chart, profile, more
Last: 22.41-1.45-6.08%

11:49am 08/11/2006

CAL22.41, -1.45, -6.1%) might make for a good merger, particularly from the strategic standpoint of international travel. UAL, having gone public after emerging from Chapter 11 last winter, is the parent of No. 2 U.S. carrier United Airlines. United's strong on overseas routes serving Asia, while Continental's international service is geared toward Europe destinations. A combined UAL-Continental would have revenue of about $30 billion, or some 50% higher than AMR Corp. (AMR : AMR Corporation
News , chart, profile, more
Last: 19.18-1.11-5.47%

11:49am 08/11/2006

Delayed quote dataAdd to portfolio
Analyst
Create alertInsider
Discuss
Financials
Sponsored by:
AMR19.18, -1.11, -5.5%) , parent of market leader American Airlines, according to the report in Business Week's "Inside Wall Street" column. Business Week said neither UAL nor Continental would comment on merger rumors.

 

[coolflyingfool]

The losing city would be CLE, again with CO probably shutting down the hub with ORD staying. IAD might get smaller with EWR remaining. The fleet mix would be interesting as CO is all B and UA has a big chunk of A and the 757 don't match engines. It could be done, but I think CO would be wise to go it alone. just my thoughts......

 

[Bulscu]

The losing city would be CLE, again with CO probably shutting down the hub with ORD staying. IAD might get smaller with EWR remaining. The fleet mix would be interesting as CO is all B and UA has a big chunk of A and the 757 don't match engines. It could be done, but I think CO would be wise to go it alone. just my thoughts......

...sure and just forgo a once in 100 years or ever oppourtunity to bring together the best asset base in the history of commerical aviation, that synced up with, arguably the best management team ever...which would then compel dominoing out all excess capacity thereby giving the remnant players geographic/pricing power for just as long.

Hmmm, I wonder what's going to happen.............?

IMHO.....large on the O.

 

[coolflyingfool]

Who are you saying is the best management team ever? What is the best asset base? just wondering.....

 

[cessna057]

As much as I would love to see a UA-CO merge, I do not believe it would happen. Despite being very strategic, it just does not seem likely.