When combined with US Airways, the operations of the two carriers would create a nationwide low-cost carrier with a route structure as follows:
The combination would result in a “best in class†cost structure, with a nationwide route structure, an international presence, a strong balance sheet, and a strong management team. It will be a formidable competitor in a challenging competitive market.
The combined entity will compete effectively with (i) low-cost carriers, on price and convenience, (ii) network carriers, on scope, services, and amenities, and (iii) international carriers, for international service. The combination will result in more than $600 million in provable synergies annually, and cash on the balance sheet at closing in excess of $2.1 billion.
The cost per available seat mile (“CASMâ€) of the combined business (when adjusted for stage length) is projected to be 7.3 cents in 2007, a 22% improvement over the Debtors’ 9.3 cent CASM in 2004.
The combination would result in a “best in class†cost structure, with a nationwide route structure, an international presence, a strong balance sheet, and a strong management team. It will be a formidable competitor in a challenging competitive market.
The combined entity will compete effectively with (i) low-cost carriers, on price and convenience, (ii) network carriers, on scope, services, and amenities, and (iii) international carriers, for international service. The combination will result in more than $600 million in provable synergies annually, and cash on the balance sheet at closing in excess of $2.1 billion.
The cost per available seat mile (“CASMâ€) of the combined business (when adjusted for stage length) is projected to be 7.3 cents in 2007, a 22% improvement over the Debtors’ 9.3 cent CASM in 2004.