merger could come in 2 weeks

[FlyUs]

They already ran away screaming from you.



See above!!



Keep dreaming. All the others ran screaming, thats why you are so in to AA right now.



Happily!

A great unemotional response. Looking for a more intelligent discussion regarding the question.

 

[FlyUs]

Several things:

1. Despite Parker's insistence that the merger has to happen yesterday, there's no fire. If it's a good idea today, it will be a good idea 12 months or 24 months from now. Neither of the other mergers (UA-CO or DL-NW) happened while they were in Ch 11 - even DL-NW was about a year after they emerged from bankruptcy and UA waited even longer before marrying CO.

2. Even if DL is a logical purchaser of US, there would be huge divestments of assets, like the CLT hub - there's no way one airline controls both ATL and CLT. That would permit AA to get the CLT hub everyone insists is the big hole in AA's system that US can fill (SE connecting hub). DL-US would be forced to divest a lot of DCA and a fair portion of the LGA slots, including the shuttle. So what would DL gain from buying US? PHX and PHL? Maybe. I don't see DL chomping at the bit to spend that kind of money to gain those two hubs.

3. UA is a logical purchaser of US, but UA has its hands full for a while trying to integrate its last merger and thus there's no way that US would be hitched to UA within a year or two (see #1 above).

AA has survived for 15 years without a SE connecting hub (since the pull-downs of RDU and BNA) and can easily survive another year or two before tying the knot with US.

I agree, there is no fire and US has more to lose without this merger than AA. But if a combination can make both carriers stronger(which I do believe it will), why put it off? We'll see if the creditors agree. Time to put aside egos and make this industry stronger with consolidation. This really is the last piece of the puzzle, imo. If Delta and US did merge, I'm not so sure they would have to divest the CLT hub. I'm sure they would still be able to control most of it but that has yet to be determined.

 

[1AA]

Good luck with those scenarios. No decision yet. AA blowing through the cash reserves. How much will Parker have to come up with from the banks? Bank loans are not guaranteed in those large proportions. His last offer was 8 billion. That was a low ball from what the experts said. Does he have that kind of collater to get billions? Nobody wants stocks anymore as payment. Market to risky. Money talks and Parker does not have it. As far as a stand alone plan for AA? It may work until AA gets its capital up and then start looking for a merging partner out of BK. Bottom line is it has not happened yet. Becareful what you wish for.

 

[700UW]

No cash, havent you read the news about the proposal?

Under the all-stock proposal US Airways made in mid-November at a meeting with AMR's unsecured creditors committee, the bankrupt airline's creditors would own 70 percent of the merged company and US Airways shareholders 30 percent, the person said.

http://www.reuters.c...E8N7C6Y20121207

Bruce Lakefield along with John Lutz raised all the money for the US/HP merger. Lakefield is still an officer of US and Parker is and has been a money man in the airlines for a long time, not defending him, but they will get what they need to merger if AA accepts it.

 

[Real tired]

Can you please send me a pm in regard of how to get the paperwork....
Thx

Not really sure of your job classification, but if you are due a pension from the PBGC, you really must go over to their site and sign up for "myPBA". From there you can view your pension and print out any forms you need. You also might want to change your beneficiary.As for Maintenance, we can collect at age 50, but at a 40% reduced rate. 55 is more a workable age because at that time, you're able to collect a Health Care Tax Credit until the age of 65. That is until the Affordable Health Care Act takes effect, then it's anybody guess what will happen.But with merger talk on the horizon.... AGAIN, evryone needs to be online with "myPBA" in case there in a Change of Control.

 

[wopr21]

Couldn't help myself
http://youtu.be/V17duGlHEYY

 

[777 / 767 / 757 Love]

I'm a USAviator, just like you are a AAviator. I am a hard working citizen in the US aviation industry, just like you are. I have been through the same hard times you are going through. I could be your neighbor, friend or distant family member. Why would you not want me to get a break, after all this industry has put us through? I wish you and your family the best .... why are you so bitter?

He is not bitter, he just knows there is no way for any US employee NOT TO WIN in a merger because of retirees getting retirement who lost it or employees from numerous work groups getting HUGE pay and benefit increases.

AA pilots get a small increase according to the MOU, but there is plenty that can go wrong and will go wrong with this for them. Again, no chance US employees are not better off after the merger, AA employees, time will tell.

That is why he is upset, that is why on the US forums almost 99% of the people are "Yay Merger" while on the AA side there is more silence or skepticism or a resignation to the fact of the merger, not a championing of it. Don't confuse the leaders of the APFA & APA as speaking for the masses, as many question many parts of this proposed merger. Don't confuse the hatred by AA employees for their management team for a love of the idea of merging with US.

The roses will die, the "fences" established by the MOU will begin to piss people off and the attitude of "this is my turf / this is my house" will prevail as it always does with people. The APA signed an MOU that left them in charge if a merger occurs, and pretty much ensures their people will have to give up NOTHING, a petulant move to try and push along the removal of AA's management team, without realizing what may be on the other side. But once that agreement expires, and the intergration must start, war between pilot groups will begin. Because even in the fairest of outcomes on the intergration of seniority, many AA pilots will ultimately wind up more junior and get nothing in return for that, while no matter where the US pilot winds up, he / she will see much more money and benefits in their pocket than they did with US.


Cheers,
777 / 767 / 757

 

[johnny kat]

7XLove,

Great post and pretty much spot on. You have nailed the spirit of exactly what a merger will bring.

Perceived winners and losers, and us versus them. It highlights just what a messy industry the airline biz is. The crux of all of this is set to the backdrop of deregulation. That's not to say it was so great before, it is just that when the airlines were regulated they were more like sports teams.

If the merge happens we will have just 4 airlines of any significance. The homongenation process will be complete. This scenario will have played out just like it did before with the American rail industry.

Here is the rub with all of this. Every employee is going to be called upon to display their true colors of professionalism. There will be a few along the way who will let emotions overwhelm them and then do something stupid. The US employees have seen merger mania play out soooo many times that it is just a way of doing business. The AA employees will now understand just what the consequences of failure truly mean. "What doesn't kill us, makes us stronger" will be understood just a little more by all involved.

Cheers

 

[robbedagain]

i dont have a link but from what i heard from a pilot was that hawaiian air would be next.

 

[johnny kat]

Homogenize: To blend into a smooth mixture. Homogenization

Sorry for the typo.

 

[wings396]

They already ran away screaming from you.



See above!!



Keep dreaming. All the others ran screaming, thats why you are so in to AA right now.



Happily!

You still concerned about this Merger Mikey, even though you took the $$$$ from AA and ran?

 

[wings396]

Several things:

1. Despite Parker's insistence that the merger has to happen yesterday, there's no fire. If it's a good idea today, it will be a good idea 12 months or 24 months from now. Neither of the other mergers (UA-CO or DL-NW) happened while they were in Ch 11 - even DL-NW was about a year after they emerged from bankruptcy and UA waited even longer before marrying CO.

2. Even if DL is a logical purchaser of US, there would be huge divestments of assets, like the CLT hub - there's no way one airline controls both ATL and CLT. That would permit AA to get the CLT hub everyone insists is the big hole in AA's system that US can fill (SE connecting hub). DL-US would be forced to divest a lot of DCA and a fair portion of the LGA slots, including the shuttle. So what would DL gain from buying US? PHX and PHL? Maybe. I don't see DL chomping at the bit to spend that kind of money to gain those two hubs.

3. UA is a logical purchaser of US, but UA has its hands full for a while trying to integrate its last merger and thus there's no way that US would be hitched to UA within a year or two (see #1 above).

AA has survived for 15 years without a SE connecting hub (since the pull-downs of RDU and BNA) and can easily survive another year or two before tying the knot with US.

Yes they have "survived" the last 15 years, but look where they have ended up. How much ground have they lost to DL & UA during that time? If AA never wanted/needed a Southeastern hub, they would have never made an attempt with RDU & BNA, but they did and they failed. AA developed those hubs when US was at it's weakest following the PI merger, and they still couldn't make a go of it.

 

[wings396]

And this merger is your avenue to happiness.....

Mad rush to the promised land.....

Are we the key or the obstacle to your happiness?

Take a long look in the mirror.

You Betcha. I'm here to make every last dollar that I can of this industry, and if this brings me more $$$, bring it on!!!
I'm sure that you won't refuse a raise will ya? As I said, depending on how long this all takes, I may be retired anyway, but perhaps a buyout will surface for some other workgroups before that time.
Are you still eluding to your comment about preferring to leave instead of go thru a merger? When I have some time to kill, I will have to search for it, but you said it regardless. I believe that I know the "root" of you issue with this merger, and it all has to do with AA just being too high and mighty to be involved with a merger with poor little ole' US......
Don't be bitter just because AA squandered every other merger opportunity that they have had, as this one can be different if handled properly.

 

[FWAAA]

Yes they have "survived" the last 15 years, but look where they have ended up. How much ground have they lost to DL & UA during that time? If AA never wanted/needed a Southeastern hub, they would have never made an attempt with RDU & BNA, but they did and they failed. AA developed those hubs when US was at it's weakest following the PI merger, and they still couldn't make a go of it.

I'm not arguing the "need" for a SE hub - I'm merely arguing that AA won't end up in Ch 7 within 12 months if it does not immediately merge with US. UA had a very small NYC presence for many years until it finally merged with CO. DL had one daily flight to Asia (ATL-NRT) until it merged with NW. Over the long term, I concede that a SE connecting hub is necessary for AA. I just don't think the place will burn down if the merger is put off for a year or two. And AA's survival for those 15 years is some evidence that I'm correct. AA's 2012 unit revenue gains (far outpacing US' unit revenue gains) is some more evidence that the merger doesn't have to occur this week or even this year.

 

[wings396]

Agreed, just basing my views when it comes to the long term outlook. The previous mergers that you mentioned made each respective airline stronger in certain areas.