US Airways CEO hints more airline consolidation may be ahead

[whlinder]

Can we please merge this redundant thread into this thread:

http://www.usaviation.com/forums/index.php...29400&st=45

 

[autofixer]

Time for management to glean more millions from some stock speculation scheme?

 

[whlinder]

I know US Airways is approaching $3 billion in cash, it's stock price is attractive for M&A activity, and the company has access to loans.

It is amazing how many jobs you have. Pilot, revenue management analyst, financial analyst, strategic planner, and now CFO!

Clue by Four questioned the $3 billion in cash in another thread. I would like to know where US Airways has publically stated this cash balance.

AA has $5.5bil of cash on hand. If there is any M&A activity, you can bet they will take the prized assets.

Before US Airways pursues another merger, they really need to decide what they want to be. LCC? Quasi-LCC with small airport ops and some international? Full on global carrier? Until they know what they want to be, we're just guessing at mergers possibilities.

 

[USA320Pilot]

Whlinder:

Whlinder said: "Clue by Four questioned the $3 billion in cash in another thread. I would like to know where US Airways has publically stated this cash balance."

USA320Pilot comments: Doug Parker has made the comment on the cash position in an employee webcast on theHub. Too bad ClueByFour is wrong...again.

Regards,

USA320Pilot

 

[SoftLanding]

US Airways CEO hints more airline consolidation may be ahead

United, Mr. Boyd said, is the only carrier actively looking for a partner, now that it is out of bankruptcy. Senior management "is trying to shop the company," he said.

Click here for the story

Best regards,

USA320Pilot

That article was fluff...

The talking Parker is doing is most likely meant for the pilots, as he knows we would be drooling thinking about B747 etc. etc. He's just negoatiating...

I believe when it's all said and done, all this merger talk is just that...talk!

AirTran, Alaska, and jetBlue might be exceptions...(Though, except future orders for NG B737, am not sure what AirTran has to offer).

This could change somewhat if foreign companies were allowed to invest in US carriers.

A matter of fact, AMR and CAL are the strongest carriers financially, and have the strongest management structure.


SoftLanding

 

[whlinder]

USA320Pilot comments: Doug Parker has made the comment on the cash position in an employee webcast on theHub.

Ok, I'll take you at your word and wait for this to become public knowledge.

Do you have any other comments to add? I'd love to know what type of airline you think US Airways is or wants to be.

AA has $5.5bil of cash on hand. If there is any M&A activity, you can bet they will take the prized assets.

Before US Airways pursues another merger, they really need to decide what they want to be. LCC? Quasi-LCC with small airport ops and some international? Full on global carrier? Until they know what they want to be, we're just guessing at mergers possibilities.

 

[700UW]

Yes the article is about Parker and US, yet the only line he chooses to post is about UAL.

Guess you newbies from HP don't know his M.O. all he tried to do is flamebait the UAL Posters.

And who cares about what Bronner said, he failed and lost millions, who cares about Siegel, he failed also.

What is the next episode of the Cockpit Chronicles about?

A certain LGA based pilot transfering to PHX so he can wash Dougie's car?

 

[BoeingBoy]

USA320Pilot comments: Doug Parker has made the comment on the cash position in an employee webcast on theHub. Too bad ClueByFour is wrong...again.

While Parker may have well said that, it is disingenious to say the least. At the end of the 1st quarter, we had $2.6 billion in "cash, cash equivalents, short-term investments and restricted cash", of which "$1.6 billion was unrestricted". [source - 1st quarter report]

So we really had only $1 billion of spendable "cash" ($987 million to be more precise - also from the 1st quarter report). Doesn't sound as impressive, but it's more honest if one is talking about bankrolling M&A activity.

As a sidenote, we have an awful high percentage of "cash" tied up in various restricted catagories - $1.6 billion of $2.6 billion, or over 60%. For comparison, AMR anticipates less than $600 million of their anticipated $5.5 billion "cash" at the end of the 2nd quarter will be restricted, or about 11%.

Sidenote #2 - we are also in the hole to the tune $186 million as far as current assets vs current liabilities are concerned - again from the 1st quarter report.

Jim

 

[oldiebutgoody]

I'm glad that USA320Pilot is back. I was getting bored since the trailer park disconnected my cable TV.

 

[USA320Pilot]

Parker simply indicated that US Airways had about $3 billion in cash, no more no less.

Parker also commented that US Airways's stock price and its access to capital could be used for M&A activity, according to the webcast.

Maybe certain posters should listen to the CEO's comments to become more informed on the topic, but what's new...

Best regards,

USA320Pilot

 

[700UW]

Yep real smart, can't even get this merger right nor is it completed and you think they want to be involved in more?

Keep dreaming.

 

[USA320Pilot]

700UW:

700UW said: "Yep real smart, can't even get this merger right nor is it completed and you think they want to be involved in more? Keep dreaming."

USA320Pilot comments: Who is dreaming. Doug Parker is the person who keeps talking about M&A activity and then somebody else or myself posts his comments. Furthermore, when many septics said the merger between US Airways and America West would not be a success the company now has revenue gains twice the industry average, the company was one of 3 major U.S. airline's profitable in Q1, and the management has publicly stated both Q2 and Q3 will be strong. Considering how complex airline mergers are to complete I believe US Airways had done a lot right.

You seem to post negative comments about US Airways all of the time, which makes you appear miserable. If you're so miserable why do you not resign from the company, unless you cannot obtain another job with better conditions, which I believe probably likely.

In my opinion, most employers do not want disgruntled people in their employ.

Best regards,

USA320Pilot

 

[700UW]

Ah here we go again, your typical M.O.

Cause Doogie talks about it does it make it gonna happen?

You really need to call the EAS.

Your typical canned response, just quit, blah, blah blah.

Why don't you and the rest of the GAG grow a backbone and actually stand up to the company instead of letting them have their way with you every single time.

How does it feel do be responsible for lowering the bar for every pilot at every legacy carrier?

The great thing about this country is I am free to post my opinions and you can't handle anyone who actually has a backbone and will fight for themselves and their coworkers.

You really need an education on what Trade Unionism is all about, instead of being all about yourself and throw everyone else under the bus.

Shall I post your Charlotte Observer OP-ED piece to show the HP employees all about you?

 

[USA320Pilot]

Backbone...I call it stupidity to support people who are leaders in charge who provide union employees pay and benefit cuts more than management's "ask".

Separately, while think about a Northwest US Airways combination, some Northwest's assets that would fit nicely with US Airways are:

- Airbus CFM aircraft
- B-757 RR aircraft
- A-330's
- Elimination of the DC-10s and DC-9s
- Authorization to fly EMB-190s on the mainline
- Pacific Rim operations
- Minimum route overlap
- Midwest hub operations @ MSP, DTW, & MEM

It should be interesting watching this unfold...

Regards,

USA320Pilot

 

[AP Tech]

Lets not forget all the "happy" employee's mashed together!!!! So much for customer satisfaction :down:

NorthWorst's employee relations are second to none!!! I'm sure U will welcome Cohen back with open arms!!! :down: