Hot Rumor: DENTK to be sold

[The Gopher]

Rumor #1:

I heard a rumor from someone at Boeing that they are almost ready to buy DENTK, and all UA flight training will be done by Alteon (http://www.alteontraining.com/).

This follows the 'retirement' of Steve Forte (anyone have any background on this one?). Also, the previous director or VP of training (forgot his name) is now working for Alteon.

Gopher prediction: 75% probable.

Rumor #2:
UA/Continental merger within 90 days. If this happens, CO will be the purchaser, and UA will be one of their brands. UA/CO are waiting on NW/DL to see where their BKs are headed. I can tell you that working at WHQ, during the USAir merger talk we had scores of teams working on integration issues. Now, it is eerily silent.

The top 400 execs, the ones that got 7% of UAUA upon exit, are looking for a new home. And, 1000 SAM employees are facing the axe this year (the next big round is supposedly in August). Sounds like a two-pronged plan to push out a large number of WHQ staff, while operational staff are not targeted (I know the field is way short staffed, esp for this summer, so maybe no attrition needed). Plus, that would explain the reluctance to recall more pilots, if they would be "surplussed" again soon. Too soon to make training costs worth it.

Finally, we have 4.5 Billion in the bank, making UA an attractive merger/takeover target. The only thing standing in the way as far as the DOJ is concerned is USAir. No way would they allow UA/US/CO codeshare authority, and I can tell you that UA is not happy with US, esp. their 'trade practices' regarding UA flights. UA/Star Alliance dumps US as a bargaining chip to win DOJ approval of a CO/UA merger? Could happen.

Gopher prediction: 35% probable.

 

[FA Mikey]

Sounds like a two-pronged plan to push out a large number of WHQ staff, while operational staff are not targeted (I know the field is way short staffed, esp for this summer, so maybe no attrition needed). Plus, that would explain the reluctance to recall more pilots, if they would be "surplussed" again soon. Too soon to make training costs worth it.

United Airlines said Friday it is accelerating its recall of pilots after canceling flights last weekend when not enough pilots were available.

The nation's No. 2 carrier is recalling another 125 pilots, bringing this year' planned total to 400, spokeswoman Jean Medina said.

The airline, a parent of UAL Corp., was forced to cancel 186 flights last weekend because of a lack of available pilots.

story here

 

[UAL_TECH]

Rumor #1:

I heard a rumor from someone at Boeing that they are almost ready to buy DENTK, and all UA flight training will be done by Alteon (http://www.alteontraining.com/).

This follows the 'retirement' of Steve Forte (anyone have any background on this one?). Also, the previous director or VP of training (forgot his name) is now working for Alteon.

Gopher prediction: 75% probable.

Rumor #2:
UA/Continental merger within 90 days. If this happens, CO will be the purchaser, and UA will be one of their brands. UA/CO are waiting on NW/DL to see where their BKs are headed. I can tell you that working at WHQ, during the USAir merger talk we had scores of teams working on integration issues. Now, it is eerily silent.

The top 400 execs, the ones that got 7% of UAUA upon exit, are looking for a new home. And, 1000 SAM employees are facing the axe this year (the next big round is supposedly in August). Sounds like a two-pronged plan to push out a large number of WHQ staff, while operational staff are not targeted (I know the field is way short staffed, esp for this summer, so maybe no attrition needed). Plus, that would explain the reluctance to recall more pilots, if they would be "surplussed" again soon. Too soon to make training costs worth it.

Finally, we have 4.5 Billion in the bank, making UA an attractive merger/takeover target. The only thing standing in the way as far as the DOJ is concerned is USAir. No way would they allow UA/US/CO codeshare authority, and I can tell you that UA is not happy with US, esp. their 'trade practices' regarding UA flights. UA/Star Alliance dumps US as a bargaining chip to win DOJ approval of a CO/UA merger? Could happen.

Gopher prediction: 35% probable.

JMHO,

TK will not be sold unless the UAL ALPA buyes it.
Just too much butter.......

B) UT

 

[Kev3188]

Fact#1: This thread should get interesting.

Kevin's prediction: 100% probable.

 

[767jetz]

UAL training department is staffed by ALPA line pilots. If it is sold, UA would shut down due to lack of training events.

The company has wanted to outsource TK for many, many years. Ain't gonna happen.

As for Steve Forte, my guess is that the unacceptable level of cancellations due to manpower is his fault, and he was asked to "retire."

ALPA has been saying for months that this is exactly what would happen this summer since there are not enough pilots to cover the schedule if there is ANY weather event at a hub. Steve Forte turned a deaf ear, and the results were disastrous. If this is the reason for his departure, I for one applaud the decision.

 

[Bulscu]

UAL training department is staffed by ALPA line pilots. If it is sold, UA would shut down due to lack of training events.

The company has wanted to outsource TK for many, many years. Ain't gonna happen.

As for Steve Forte, my guess is that the unacceptable level of cancellations due to manpower is his fault, and he was asked to "retire."

ALPA has been saying for months that this is exactly what would happen this summer since there are not enough pilots to cover the schedule if there is ANY weather event at a hub. Steve Forte turned a deaf ear, and the results were disastrous. If this is the reason for his departure, I for one applaud the decision.

aahhhhhh,



never mind....



ha ha ha

 

[Eric777]

I think the rumor might be true about the merger with CO. United is looking to move their headquarters. What better way to do it than to merge with CO and be based out of Houston

 

[Busdrvr]

Rumor #1:

Also, the previous director or VP of training (forgot his name) is now working for Alteon.

"Brad Thomann has been named senior v-p of training for Jeppesen/Alteon and is also serving as executive v-p at Alteon. He was previously a line pilot, instructor and flight manager for United Airlines."

 

[SmoothRide]

UAL training department is staffed by ALPA line pilots. If it is sold, UA would shut down due to lack of training events.

The company has wanted to outsource TK for many, many years. Ain't gonna happen.

As for Steve Forte, my guess is that the unacceptable level of cancellations due to manpower is his fault, and he was asked to "retire."

ALPA has been saying for months that this is exactly what would happen this summer since there are not enough pilots to cover the schedule if there is ANY weather event at a hub. Steve Forte turned a deaf ear, and the results were disastrous. If this is the reason for his departure, I for one applaud the decision.

Now *THAT* is a novel and refreshing concept at UAL...accountability! I know MY head would be on a pike in front of WHQ if I ever mismanaged my flight or brought disgrace to my company. Extremely poor pilot staffing seemingly has always been chronic at this airline and management has always blown off suggestions by the pilot group.

It's about time!!

 

[JungleClone]

Wait, wait, wait. Let me see if I've got this straight. Steve Forte was forced to depart for his poor handling of the pilot staffing shortage that has led to numerous cancelations? So in other words, his poor performance got him the boot? That's awfully interesting. If poor performance is a true justification for getting rid of UA executives than I'm curious how Glenn Tilton can justify the continued tenure of Jake Brace. The man has presided over the complete freefall of United's balance sheet since the summer of 2000 (when he headed Finance). He was also in charge of both embarassing ATSB applications, as well as ridiculously planning on $50 per barrel oil in the POR. I cannot understand how this incompetent elitist has managed to not only hang on to his job, but get promoted along the way. He must truly know where all the bodies are buried.

 

[casual rat]

I'm telling you, Mr. Brace has 'compromising' pictures of "The BOD X-Mas" party....It's the only logical explaination for keeping someone on board who took an arguably profitable billion dollar Corporation into one of the most famous BK's in Corporate History. How does one fail and continue to succeed? Dodo birds went extinct after all...

 

[LCC_#1]

I think the rumor might be true about the merger with CO. United is looking to move their headquarters. What better way to do it than to merge with CO and be based out of Houston

I find it laughable how it seems that so many of you guys want a merger of some kind. Why would you guys want to merge with anyone? Besides the southeast, you have a great route sytem and could add northeast to southeast TED flights if you wanted.

Anyone that thinks a United merger with any airline is good needs to remember that you guys have never done a merger and pitched a big biitch fit the last time one was attempted. Do you guys really think a UAUA/anybody but US would be any easier? I think not.

Airlines are proud and don't want to rid their identity. US people saw the handwriting, pretty much had to put pride on the back burner and are thankful to be around...and just so happen to retain the namesake..but are you guys ready to say goodbye to the UAL name AND heritage? DAL is proud. CAL is proud NWA is...well..not sure on that one.

Mergers are tough. I have been through four and I DO think the AWA/US has FAR been the easiest (with it's share of glitches), but just as our friends at the old AWA have panicked at times, I wonder how a "no history of merger" airline like UAUA would adapt to any of the potential airlines to merge with...alll that have BEEN through mergers.

I just don't think all these mergers are going to improve ANYTHING but stock prices. While no means an expert, I applaud UAUA for staying focused on the high end travelor. While UAUA stays the course with offering the perks that the high end fliers want and feel entitled to, how much money bleeds before something has to give. Will management come back for more?

I hope that UAUA, DAL, NWA, and AMR take pause and evaluate whether they actually need to merge or if this is the airline flavor of the year..kind of like the "rj's will save the industry" FAILURE.

While US Airways is making money, it HAS been done so on the backs of the employees and is only making money because we are sooo bareboned that you would have to be an idiot NOT to make money. So it seems that the question for the airline industry in the USA is Can you BE a full service airline, offering all things to all people and make money? Besides Alaska, I've yet to see that happen and while US made money, customer service has paid a huge price.

Do you guys REALLY want to merge with anyone? And PLEASE.. I don't say these things to "flamebait". Some of you get very defensive, especially when someone from US responds. These are but obsevations and intelligent dialogue is always appreciated.

BTW, I am NOT you know who with a different screen name.

 

[Dave]

Do you guys REALLY want to merge with anyone? And PLEASE.. I don't say these things to "flamebait". Some of you get very defensive, especially when someone from US responds. These are but obsevations and intelligent dialogue is always appreciated.

BTW, I am NOT you know who with a different screen name.

Well, I agree with your post. I don't want to merge with anyone. I'd like to see us get our act together, and make use of the great route structure we have.

Mergers are all about a handful of people making a lot of money, and the employees being left to fight it out.

No thanks.

 

[Bulscu]

I find it laughable how it seems that so many of you

BTW, I am NOT you know who with a different screen name.

The thinking goes like this, even though past mergers and attempts at mergers have been very difficult, what is more difficult than $100 oil or higher? And, the oil could be at that level and higher in a ......BLINK! The MONEY, and others 'probably', think consolidate now while things are somewhat stable, so that the industry can continue on an ongoing basis to adjust capacity to meet demand, and at the same time keep prices high enough to pay for expenses. If two or more of thses companies merged, it would cause the rest to merge, rapidly. This as opposed to just let the weakest or the worst run airline just bankrupt and then at some point the banks are going to say enough, and start the selling of assets and carving up the airline. I'm not sure what's the best, but it sure don't seem like they're going to let any one airline sink. If they didn't leave USAir tank after two bankruptcies, with the most rapacious of airlines in history in ALL their markets, I'm thinking they don't want the airlines to fail, and want them to do the same thing, merge.

I think this industry will look TOTALLY differont with some names GONE, realitively soon, maybe, 12-18 months. They can't just keep printing money and asking for more and more cuts until everyone that works for the company is living in a company owned dorm, buying company food, and using their labor to stay there. That's what your looking at with $125 oil, or not, I sure don't know. Change seems likely..

 

[casual rat]

[/quote]I think this industry will look TOTALLY differont with some names GONE, realitively soon, maybe, 12-18 months. They can't just keep printing money and asking for more and more cuts until everyone that works for the company is living in a company owned dorm, buying company food, and using their labor to stay there. That's what your looking at with $125 oil, or not, I sure don't know. Change seems likely..

Bulscu, don't give them any more ideas--I'm sure some $100k crackpot/WHQ 'Mushroom' is looking into the feasability of 'company living arrangements' as we type--even though it's illegal. I don't want a merger either--I just want an Executive team that looks at the company as a team--not 'Us' vs. 'Them'. I want a Management team that solves problems instead of writing a bunch of crap down on a sheet of paper proceeding to point fingers at anyone besides themselves. Wholesale changes have been begging for quite some time. The Administrators in charge perpetuate the status quo for the sake of their own necks--they simply can't Manage/make decisions. A merger may be the only device to accomplish rational change for this outfit--unfortunately.