Which investment bank has Parker visited lately?

[deltawatch]

A source familiar with the potential consolidation wave did not rule out the possibility of a tie-up between Delta and another carrier, or United and another carrier. “Who’s to say it’s Delta and United?†he said.

According to the source familiar, it is believed that Northwest is working with Morgan Stanley, United with Goldman Sachs, Delta with Merrill Lynch and Greenhill, and American Airlines with Rothschild.

The major carriers are linked with bankers to react to any consolidation, said the source familiar and an industry source. “They’re trying to figure out the different scenarios about who they prefer and who others prefer,†the industry source said, adding that this has happened before in the airline world. “I don’t see anything this time around that’s different from last time around,†he said.

LINK

 

[deltawatch]

My post was a question for those on the US Airways board ..... the link explained why I was asking. Moving it is unjustified. Please give more thought as you moderate. There is so much BS on the US Airways board, do you have a problem with us discussing real topic.

 

[Edward]

deltawatch:
IMHO this article has little IF ANYTHING to do with USAIRWAYS.

 

[deltawatch]

deltawatch:
IMHO this article has little IF ANYTHING to do with USAIRWAYS.

The link substantiated the question. The question was about Parker, for those on the US Airways board.

Oh never mind. <_< You are doing a great job .....

 

[bigbusboy]

deltawatch:
IMHO this article has little IF ANYTHING to do with USAIRWAYS.

I wholeheartedly disagree. The fact that US was never mentioned in the article speaks volumes about the part we will play in any consolidation activity. Not to sound negative here, but let's be realistic. We have nothing beneficial to offer other carriers in a merger, other than maybe PHL, CLT and the shuttle. Everything we need as an airline sans the benefits of consolidation, all the others have already. For now airline CEOs want mergers to consolidate the industry. This, in theory, creates a better revenue environment to combat oil prices. They don't want mergers in order to build their networks. That was the driving force for past mergers.

Consolidation is the driving force right now necessitated by high oil prices. And I really don't want to open up this hornets nest, but let's be perfectly honest here. The best case scenario for real consolidation would be a US/DL merger. This would eliminate most of US in favor of DL. CLT would be dropped in favor of ATL. PHL would be dropped in favor of JFK. Not sure though about PHX, LAS, SLC and CVG. I'm sure they would be somehow consolidated. No other scenario involving US and another carrier or any other two carriers combining would create so much consolidation all at once. This is why Parker was saying it made so much sense at the time. What he underestimated though was labor's reaction to all of the obstacles. He also jumped into the merger proposal too quickly, caught too many important/necessary players off guard, and had no formal plan. Labor at DL called it right by vehemently opposing the merger. It would have been an industry disaster.

 

[Be Careful What You Wish For.]

We tried to get them before they might get us.

We could be on the redundant end of things.

Whomever wants to spend the money in the name of reducing capacity plays a dangerous game.

As employees we probably would not like the out come.

It is a never ending drop to obscurity for us and US.

We better get someone before they get us or else there will be a lot less of us around.

Where does it end...and will it end well?

 

[deltawatch]

For all the reasons you mentioned I look for Delta and US to do something. The elimination of US Airways would be a huge windfall for Delta. They would benefit most by it. They have been trying to put US out of business for 10 years. Parker's move last year stunned them. Parker's move compares to move that the old US Air made when acquiring the old Piedmont in the 80's, get them (Delta) before they get you (US). Believe me the Delta goal has not changed, they want most of the US Airways system eliminated and don't be surprised if they make a run at US on their terms this year. I would guess that 50% of US Airways capacity would be eliminated in a merger with Delta, along with many employees.

And back to why I posted this on the US Airways forum ..... Has anyone heard which investment bank Parker has been in contact with latey. Could signal what next for US Airways.

 

[bigbusboy]

I would guess that 50% of US Airways capacity would be eliminated in a merger with Delta, along with many employees.

As a still loyal US employee of 25 years, this is what sickens me the most. But I believe you are correct. Let's be realistic folks.

 

[deltawatch]

In a merger of DL & US you would see hundreds of RJ's gone over night. This could mean more mainline flights as routes are combined. Would help greatly with ATC woos.

 

[bigbusboy]

And back to why I posted this on the US Airways forum ..... Has anyone heard which investment bank Parker has been in contact with latey. Could signal what next for US Airways.

No. But wasn't CitiGroup the big financier for the US/DL attempt?