Talks get serious between UAL/CO- Where is US in all this?

PITbull

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Dec 29, 2002
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Well, just heard this on CNBC 6:00 p.m. Serious talks between UAL/CO for a merger, and DL and NW will be making their announcement of their merger next week. I couldn't believe my ears. I thought, when did all this occur?

Is this final?

Where's U in any of the consolidation equation? American??? No way U could purchase AA...so where does that leave U???
My thoughts...they (the industry) must be squeezing U out.

Your thoughts?

MOD NOTE: Topic Title Edited to provide relevance to US Airways--We'll leave this here for now and see where it goes.
 
US/AA would likely follow ....... route wise, good fit. AA could focus more on CLT instead of RDU. A lot of overlap to the Caribbean could be squeezed, increasing yield adding pricing power.
 
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US/AA would likely follow ....... route wise, good fit. AA could focus more on CLT instead of RDU. A lot of overlap to the Caribbean could be squeezed, increasing yield adding pricing power.

I don't think LCC could go it alone...management is to substandard, and they have lousy reputations. They can't even get the merger with AWA completed...and that was a regional carrier for geezus sake!

LCC's only saving grace would be acquisition from AA. AA has never been in BK, contracts are bettter than LCC's, however, the pilots union and f/a union is competely different.
Again, that would be a major, major hurdle.

What a business...
 
Pitbull, question. I know you're very knowledgable about our contract and very factual with your information and thoughts. How do you think AFA's constitution and bylaws concerning DOH would hold up against AA's constitution and bylaws. My guess would be ours would be crushed by their stapler....very scary. Any thoughts?
 
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Pitbull, question. I know you're very knowledgable about our contract and very factual with your information and thoughts. How do you think AFA's constitution and bylaws concerning DOH would hold up against AA's constitution and bylaws. My guess would be ours would be crushed by their stapler....very scary. Any thoughts?

If its considered an "acquisition" by AA, you're in trouble. AFA could very likely be squeezed out for that very eason. The AA f/as are double USAirways f/as, the vote alone on that issue would be a "wipe-out".

AA has a history of stapling. As big as TWA was, AA couldn't have cared less. God, I hope AA just keeps on their own side of the runway and leaves LCC alone.

American is the largest airline in the Industry. IF the other 4 align, they could litterally squeeze U off the planet.

LCC Execs and BOD should be in Congress lobbying against this crap...unfortunately, they have no friends in Congress.

Hell, all those BKs and sacrificing for what???
 
Oh crush would not even be the word. I mean NIGHTMARE! All but erased from the history books. Be very scared if that comes true and pass the barf bag. The sound of a stapler to this day makes me cringe. :unsure:
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If AA/US mergers, god help the US employees! Any merger that has happened with AA the other carriers employees have been thrown into the lions den.
 
If its considered an "acquisition" by AA, you're in trouble. AFA could very likely be squeezed out for that very eason. The AA f/as are double USAirways f/as, the vote alone on that issue would be a "wipe-out".

AA has a history of stapling. As big as TWA was, AA couldn't have cared less. God, I hope AA just keeps on their own side of the runway and leaves LCC alone.

American is the largest airline in the Industry. IF the other 4 align, they could litterally squeeze U off the planet.

LCC Execs and BOD should be in Congress lobbying against this crap...unfortunately, they have no friends in Congress.

Hell, all those BKs and sacrificing for what???

PitBull....

Hey everyone. Just a clarification re: a US/AA merger or acquisition and seniority integration.

Since December when Congress passed and the pres. signed a "Merger Protection" law ( authored by Sen. McCaskill- MO) it requires that in any future airline mergers if no equitable agreement on seniority can be reached an arbritrated integration must be used.
Translation....No STAPLING anymore!!!

Hope this info helps.
 
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Thanks for posting that link.

I heard it with my own ears tonight when I came home from work. They will make their announcement next week. The same commentator also added that UAL and CO are in serious talks for a merger, but no annoucement has been forcasted.

I just had no idea that UAL or CO was looking to merge. I just can't see the DOT approving 4 biggest carriers into two. Yes, it will take out capacity, help with air traffic, BUT it will raise prices for the consumer, with less competition. Then you have perspective of the unions. DL's only union are the pilot group. NW is all union. There is the issue of seniority merging, and of course, that unspoken truth of layoffs. This kind of merger could likly take a century to complete.

All these obsticles are never good for DOT approval. DL would have to have a damn good argument.

The other carriers should be organizing themselves, mounting a major Lobby to prevent this squeeze by the big 4.
 
PitBull....

Hey everyone. Just a clarification re: a US/AA merger or acquisition and seniority integration.

Since December when Congress passed and the pres. signed a "Merger Protection" law ( authored by Sen. McCaskill- MO) it requires that in any future airline mergers if no equitable agreement on seniority can be reached an arbritrated integration must be used.
Translation....No STAPLING anymore!!!

Hope this info helps.

Let's hope this is true and holds up. Me thinks US West is about to learn just how important DOH really is and why AFA and others fight so hard for it.
 
Click onto the link below to read information regarding the McCaskill-Bond amendment to the recent Omnibus Appropriations Bill and how it would affect a seniority integration with US and AA employee groups:

See Story

The new law states "provisions shall be made for the integration of seniority lists in a fair and equitable manner" and that disputes over seniority be submitted to binding arbitration.

According to the ALPA Communications Department, "ALPA, along with the Association of Flight Attendants and the AFL-CIO’s Transportation Trades Department, worked closely with labor’s allies on Capitol Hill to enact seniority integration legislation that protects U.S. ALPA pilots’ career interests, the Association’s merger policies, and ALPA labor agreements in future merger integrations."

"Signed by the president into law in late December 2007, this legislation ensures that if two ALPA pilot groups merge, the Association’s internal Merger Policy and the pilots’ collectively bargained merger-integration protections will continue to govern as before. If an ALPA pilot group merges with a non-ALPA pilot group, the ALPA pilots involved will also retain the hard-won labor protective merger provisions of their collective bargaining agreements."

"However, the legislation goes further and also guarantees ALPA pilots involved in a non-ALPA merger, and all unionized employees under the Railway Labor Act, at least a minimum standard of protection in future transactions with merging employee groups outside of their union by ensuring a “fair and equitable†seniority integration process under the Allegheny-Mohawk merger provisions, which are incorporated in this law."

Regards,

USA320Pilot
 
If AA/US mergers, god help the US employees! Any merger that has happened with AA the other carriers employees have been thrown into the lions den.
I know alot will disagree with me on this but it's time to either put up or shut up for this airline (US). We've been dangling and waiting for the next big thing for way too long and it's so tiresome. In the 90's before Wolf and now since 9-11-01 it's been BK's, the threat of liquidation, shrinking to almost nothing, layoffs, huge paycuts, and now this management has just about every single employee fit to be tied with the constant blunders due to stupidity, arrogance, and being too short sited and unfit to run a major carrier. I would certainly like to stay here, retire and look back and say it was tough for awhile but it got better, unforunately at some point you either need to carry on with some sense of normalcy or just put it to rest and let the people get on with life. We all know that this place has gotten so toxic that most can barely stomach coming to work.
 

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