Picture this:
1. Iraq war and a prolonged brawl over the pilot pension issue deliver a lethal blow to U. Its limited cash reserves are further depleted and Bronner decides to throw in the towel. What does this add up to? CH7 liquidation.
2. Ual already has plenty of aircraft to increase capacity, so they wouldn''t need any U equipment. But, how is this for a kicker: Airbus suddenly finds itself holding several A-320s that nobody will want. Airbus offers UAL a sweetheart deal on the planes for it''s new LCC. Since the aircraft were reposessed, no U employees have to be transferred over, and UAL recalls it''s furloughed employees.
3. With strong hubs at ORD and IAD, UAL won''t consider using PIT or PHL as major bases. It will probably add flights at these airports though. CLT is a possibility for a minor UAL hub, but once again there will be no need for U equipment or employees.
4. UAL signs contracts with U express carriers. These feeders, combined with Atlantic Coast, will make the IAD hub a force to be reckoned with. U express will also feed UAL at CLT where I would expect UAL to add European destinations, thus drawing traffic away from Delta in ATL.
5. U shuttle will disappear. With so much competition from Eagle and Delta Connection, UAL will use U express regional jets for feed to LGA, BOS, and DCA. U''s slots at these airports will be sold at a discount to AMR, UAL, and DAL. I forsee AirTran and other low-cost operations getting a number of slots also.
6. With U liquidated excess capacity is reduced. Airlines are able to make a limited fare increase stick. Combined with a short war in Iraq this will enable the majors to show a smaller loss for 2003 and a small profit for 2004.
Now for the lesson. If this seems insensitve to all of you USAirways folks it was designed to be. Truth be told, this scenario is far more likely to be played out than you guys picking up any pieces of UAL.
But you know what? I hope it doesn''t happen. As a matter of fact I hope that you make a full recovery, and that our companies are both able to drag their butts out of CH11.
I personally don''t care what you post on your board, but just realize that these are difficult times and that some furloughed UAL employee, or his (her) family, is reading that crap. Think about it.
1. Iraq war and a prolonged brawl over the pilot pension issue deliver a lethal blow to U. Its limited cash reserves are further depleted and Bronner decides to throw in the towel. What does this add up to? CH7 liquidation.
2. Ual already has plenty of aircraft to increase capacity, so they wouldn''t need any U equipment. But, how is this for a kicker: Airbus suddenly finds itself holding several A-320s that nobody will want. Airbus offers UAL a sweetheart deal on the planes for it''s new LCC. Since the aircraft were reposessed, no U employees have to be transferred over, and UAL recalls it''s furloughed employees.
3. With strong hubs at ORD and IAD, UAL won''t consider using PIT or PHL as major bases. It will probably add flights at these airports though. CLT is a possibility for a minor UAL hub, but once again there will be no need for U equipment or employees.
4. UAL signs contracts with U express carriers. These feeders, combined with Atlantic Coast, will make the IAD hub a force to be reckoned with. U express will also feed UAL at CLT where I would expect UAL to add European destinations, thus drawing traffic away from Delta in ATL.
5. U shuttle will disappear. With so much competition from Eagle and Delta Connection, UAL will use U express regional jets for feed to LGA, BOS, and DCA. U''s slots at these airports will be sold at a discount to AMR, UAL, and DAL. I forsee AirTran and other low-cost operations getting a number of slots also.
6. With U liquidated excess capacity is reduced. Airlines are able to make a limited fare increase stick. Combined with a short war in Iraq this will enable the majors to show a smaller loss for 2003 and a small profit for 2004.
Now for the lesson. If this seems insensitve to all of you USAirways folks it was designed to be. Truth be told, this scenario is far more likely to be played out than you guys picking up any pieces of UAL.
But you know what? I hope it doesn''t happen. As a matter of fact I hope that you make a full recovery, and that our companies are both able to drag their butts out of CH11.
I personally don''t care what you post on your board, but just realize that these are difficult times and that some furloughed UAL employee, or his (her) family, is reading that crap. Think about it.