Uct/ict
- Thread starter bigman60
- Start date
eolesen
Veteran
- Jul 23, 2003
- 15,959
- 9,374
bigman60 said:
It's something a often discredited pilot came up with based on a alleged jumpseat conversation which has now reached epic proportion. In his own mind, of course...
Unique Corporate Transaction or Interesting Corporate Transaction
Bizarre conspiracy theory involving some combination of US merging with UA, modified in later months(years) to include combinations of mergers with various Star Alliance partners.... none of which actually materialized.
:blink: :huh:USA320Pilot
Veteran
- May 18, 2003
- 8,175
- 1,539
Bigman60:
Following the collapse of the US Airways - United merger a few years ago the parties began discussing a new agreement, where US Airways would acquire all or parts of United with RSA financing the deal. In fact, US Airways' chairman of the board David Bronner told the news media in four spearate interviews he was interested in the potential deal.
For excample, on February 7, 2003 Ted Reed who then worked for the Charlotte Observer reported Bronner speculated that United has a 50-50 chance of surviving a war. He said that if United were to sell assets, he would consider backing the purchase of some "if it would be beneficial to US Airways."
Then our flight crew was told by former US Airways chief executive officer Dave Siegel (who flew from DCA to LGA on the Shuttle) if the Iraqi War or SARS had lasted longer the Unique Corporate Transaction (UCT) or the second attempt that I called the Interesting Corporate Transaction (ICT) would have proceeded.
Last Sunday the Pittsburgh Post-Gazette wrote a column regarding US Airways' attempt at M&A activity. The newspaper said there were several twists along the way, according to people familiar with the events. America West was not the only carrier to express interest in US Airways, nor was America West the only partner US Airways pursued.
The search for a deal began in the fall of 2003, when David Siegel was still US Airways' chief executive officer. Siegel had led US Airways through its first bankruptcy and wrested more than $1 billion in concessions from the company's labor unions. But even as the carrier completed a painful round of cost cuts and emerged from bankruptcy, Siegel knew US Airways was still too small and too inefficient to compete against discounters such as Southwest, which had already announced plans to start service in Philadelphia, a US Airways' hub.
Siegel was convinced that for US Airways to avoid the fate of failed carriers such as Eastern Airlines and Pan Am, both of which liquidated in the 1980s, he would have to bring US Airways' costs down further and position the airline for consolidation with another carrier. He explored several options.
Acquire United Airlines, the nation's No. 2 carrier. That option was code-named "Project Minnow," with US Airways as the small fish gobbling the bigger one.
Complete Story
Bigman60, although I did not know the companies code word for the proposed agreement where RSA was going to fund the transaction of United assets into US Airways, I was first told of the discussions by investment bankers and airline analysts familiar with the potential deal and used the acronyms of UCT and ICT to describe the talks.
Regards,
USA320Pilot
Following the collapse of the US Airways - United merger a few years ago the parties began discussing a new agreement, where US Airways would acquire all or parts of United with RSA financing the deal. In fact, US Airways' chairman of the board David Bronner told the news media in four spearate interviews he was interested in the potential deal.
For excample, on February 7, 2003 Ted Reed who then worked for the Charlotte Observer reported Bronner speculated that United has a 50-50 chance of surviving a war. He said that if United were to sell assets, he would consider backing the purchase of some "if it would be beneficial to US Airways."
Then our flight crew was told by former US Airways chief executive officer Dave Siegel (who flew from DCA to LGA on the Shuttle) if the Iraqi War or SARS had lasted longer the Unique Corporate Transaction (UCT) or the second attempt that I called the Interesting Corporate Transaction (ICT) would have proceeded.
Last Sunday the Pittsburgh Post-Gazette wrote a column regarding US Airways' attempt at M&A activity. The newspaper said there were several twists along the way, according to people familiar with the events. America West was not the only carrier to express interest in US Airways, nor was America West the only partner US Airways pursued.
The search for a deal began in the fall of 2003, when David Siegel was still US Airways' chief executive officer. Siegel had led US Airways through its first bankruptcy and wrested more than $1 billion in concessions from the company's labor unions. But even as the carrier completed a painful round of cost cuts and emerged from bankruptcy, Siegel knew US Airways was still too small and too inefficient to compete against discounters such as Southwest, which had already announced plans to start service in Philadelphia, a US Airways' hub.
Siegel was convinced that for US Airways to avoid the fate of failed carriers such as Eastern Airlines and Pan Am, both of which liquidated in the 1980s, he would have to bring US Airways' costs down further and position the airline for consolidation with another carrier. He explored several options.
Acquire United Airlines, the nation's No. 2 carrier. That option was code-named "Project Minnow," with US Airways as the small fish gobbling the bigger one.
Complete Story
Bigman60, although I did not know the companies code word for the proposed agreement where RSA was going to fund the transaction of United assets into US Airways, I was first told of the discussions by investment bankers and airline analysts familiar with the potential deal and used the acronyms of UCT and ICT to describe the talks.
Regards,
USA320Pilot
