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USA320Pilot said:It's not a rumor -- it's an active possibility.
Regards,
USA320Pilot
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ClueByFour said:The TED thing is as likely as seeing the Tooth Fairy and Mrs. Claus as your FAs on your next Midatlantic flight.
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USA320Pilot:USA320Pilot said:It's not a rumor -- it's an active possibility.
Any comment now?Second, on top of everything else, the "sale" of TED (ignoring for the moment that there is nothing to "sell" other than individual A320 aircraft or the rights to the name "TED") by United to the "new" US Airways doesn't make any business sense. If US Airways were going to use TED to continue serving its current routes feeding United's hubs, which can be the only basis for your claim that United would continue to receive incremental revenue, there would be no added benefit to the US Airways system to justify draining some portion of the carrier's precious cash holdings with this purchase. On the other hand, if US Airways were to move the TED flights away from feeding United's hubs, there would then be no incremental revenues for United to receive. Thus, as I said above, this deal makes no business sense and is exceedingly unlikely to happen.
USA320Pilot:USA320Pilot said:It is my understanding that both the US Airways and United ALPA contracts have fragmentation clauses that are set at 15%. If less than 15% of the assets are transferred then the company does not have to transfer pilots, which eliminates the “thorny†pilot labor M&A problem for a transaction involving United’s A320s or TED assets.
For those at United who doubt my comments on this potential asset sale, I suggest you ask United ALPA officials what they have heard about this report.