Recently read (sorry, I don't have the source) where B6 is expected to announce a new internationmal partner very soon. Don't know if this will be in addition to LH or a complete change. If it is to be BA, and a change to OneWorld, I would see this as the stars aligning for a possible AA aliance or merge.
Mirror, Mirror On the Wall: What About US Airways After All?
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Recently read (sorry, I don't have the source) where B6 is expected to announce a new internationmal partner very soon. Don't know if this will be in addition to LH or a complete change. If it is to be BA, and a change to OneWorld, I would see this as the stars aligning for a possible AA aliance or merge.
B6 entered into an interline agreement with South African Airways:
http://finance.yahoo.com/news/JetBlue-Airways-and-South-prnews-679891.html?x=0&.v=1
SparrowHawk
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You know you can make a strong case for US & B6 based strictly on the alliances. LH is 25% invested, South African Airlines is already a Star Partner. Heck may be LH would even help underwrite the deal. In fact I think you'd need not only LH's blessing but their wallet as well.
When you look at it strictly from a LH/Star perspective, look at the feed potential and it's increases for LH. Two to three potential international hubs in PHL, CLT and JFK plus domestic trans con and then onto LH for Europe and elsewhere with other Star partners. CO/US has EWR & IAD for international which means no overlap amongst Star partners. PLUS If you want to get business travelers back a B6/US combo would pretty much blanket the east like the old US did which should create additional revenue premium. The sie benefit being an increased difficulty for new players to gain a significant foothold. A B6/US hoop up would make it far more difficult for WN and the like to aggressively grow in the east. In fact one could make the argument that a B6/US marriage would actually help ALL of the network carriers by incressing the level of consolidation and eliminating an LCC.
All of this is great, however there is a persistent rumor in Frequent Flyer circles that LH CEO Mayrhuber despises Doug Parker. This rumor has been lingering for a few years now and most CEO's can put aside personal issues when it comes to turning a buck.
Another stumbling block posted here is culture difference. Ponder a B6/US where the CEO aggressively works at developing good morale and by some near miracle succeeds in creating a hybrid culture that is totally Customer Focused. The old US workforce is chomping at the bit bit to be led and not "Managed". B6 is very flexible and young at heart. That mix with the right person at the helm and you can build a juggernaut.
I think it safe to say that it would not be Parker. I'm actually warming to the B6/US deal as one somebody should try to make happen.
When you look at it strictly from a LH/Star perspective, look at the feed potential and it's increases for LH. Two to three potential international hubs in PHL, CLT and JFK plus domestic trans con and then onto LH for Europe and elsewhere with other Star partners. CO/US has EWR & IAD for international which means no overlap amongst Star partners. PLUS If you want to get business travelers back a B6/US combo would pretty much blanket the east like the old US did which should create additional revenue premium. The sie benefit being an increased difficulty for new players to gain a significant foothold. A B6/US hoop up would make it far more difficult for WN and the like to aggressively grow in the east. In fact one could make the argument that a B6/US marriage would actually help ALL of the network carriers by incressing the level of consolidation and eliminating an LCC.
All of this is great, however there is a persistent rumor in Frequent Flyer circles that LH CEO Mayrhuber despises Doug Parker. This rumor has been lingering for a few years now and most CEO's can put aside personal issues when it comes to turning a buck.
Another stumbling block posted here is culture difference. Ponder a B6/US where the CEO aggressively works at developing good morale and by some near miracle succeeds in creating a hybrid culture that is totally Customer Focused. The old US workforce is chomping at the bit bit to be led and not "Managed". B6 is very flexible and young at heart. That mix with the right person at the helm and you can build a juggernaut.
I think it safe to say that it would not be Parker. I'm actually warming to the B6/US deal as one somebody should try to make happen.
Travelpro72
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Can someone else do the math as my calculator may be screwed up but based on the percentages given on market share in the NYC area a combined US/B6 still would be below current DL, AA and UA. Why would the DOT crush such a deal?
Travelpro72
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Based on the numbers you posted it shows US/B6 having 34% of the market with DL at 38% and AA at close to 36.5%. Am I adding the numbers incorrectly?
Art at ISP
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I have news for you. B6 is not merging with anyone, let alone US. They are fine on their own. They have a growing list of agreements with foreign carriers, for whom they will provide domestic feed to JFK, plus they have an excellent reputation for employee and customer relations--UNLIKE US.
It would be a nightmare trying to merge these two cultures--B6 will never agree to become unionized, nor should they, and US will never agree to give up unions, although it might be the best thing for them at this point in time (assuming such an imaginary merger would be run by B6 management).
Dream on. Unfortunately I see a break up, with pieces going to AA, RP and anyone else who cares to pay.
It would be a nightmare trying to merge these two cultures--B6 will never agree to become unionized, nor should they, and US will never agree to give up unions, although it might be the best thing for them at this point in time (assuming such an imaginary merger would be run by B6 management).
Dream on. Unfortunately I see a break up, with pieces going to AA, RP and anyone else who cares to pay.
Totally agree with this post. No one and I mean no wants or should merge wiht US.
I can not think of one remote reason why.
I wish the US Airways employee luck but as far as merging with anyone else. Forget about
it.
wings396
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As I have said all along, merging US with B6 does nothing for US. A hub in JFK to feed other airlines International flights is completely useless to US given they have nothing of their own to feed at JFK. US could add service back into every Upstate NY city that B6 serves without buying anything from anyone. I'm not sure if there are even any cities that US doesn't already serve that B6 does, although I'm willing to be most are done with Express. Toss some A-319/320's along with 190's into those markets running them into PHL, and you have what B6 does without a merger. Not saying that B6 isn't a great company, but they are not a good fit for US.
Dont call me Shirley
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- Aug 20, 2002
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Not to mention "apples and oranges" in business model and culture.
US needs to merge with someone but not B6.
