Who would be the big loser if no merger?

[Phoenix]

This is something that concerns me more than almost anything else. I think it is not outside the realm of possibility that there will be downsizing at both airlines, merger or no. If it doesn't happen...oh well, have to cut costs. If the merger does happen, the combined AA/LCC operation will be slightly larger than DL or UA. However, the combined employee total for the merged airline will be something like 30,000 employees more than DL or UA. Something has to give.

This "the sky is falling" stuff is beyond me. Load factors are crazy full and we just made a record profit last quarter... Not just profitable, it was the highest freaking 2nd quarter profit in the airline's freaking history.

Why is everyone panicking and lining up to give more contract concession?

 

[nycbusdriver]

This "the sky is falling" stuff is beyond me. Load factors are crazy full and we just made a record profit last quarter... Not just profitable, it was the highest freaking 2nd quarter profit in the airline's freaking history.

Why is everyone panicking and lining up to give more contract concession?

We need to give concessions in case there is a big war with Syria (we have all those troops from Iraq with nothing to do now) and the airline industry tanks. Again.

 

[bigbusboy]

Ditto to everything Zethya said. Friday is gonna be very telling. Tomorrow is gonna be kinda interesting too.

 

[john john]

Force majeure

 

[flybynite]

The AA f/a's. They will be hung with the LBFO for six years.

 

[psa8979]

The way to look at who will be the biggest LOOSER's if Merger fails is who will be the biggest WINNERS. The LAWYERS , WALL STREET, DLA, LUV, and UAL. Contracts NOW ! Merger LATER !

 

[dash8roa]

In the end everyone loses. Share holders, employees, even the consumer. The reduction in compitetion might have only been temproary and opened the door for the next wave of start ups in an industry that is very difficult to get new entries. That is what is so strange about the DOJ ruiling there really is no one harmed much by this merger. It seems just to be more politcal cover to claim we are fighting for the litlle guy the consumer. And since airlines are not very popular anyway they figured large public support for the governments posiiton.

No one harmed?. How about the workers in MEM and soon the workers in CLE. Both hubs we were told would stay intact after the merger. Less airlines means less competition, a process that has been proved true in all other businesses.

 

[dash8roa]

AA would watch its status of one of the "big" carriers dwindle to status of "also ran."

US, being the "also ran" of the industry for the last two decades, would not see that mark of distinction change.

Welcome to the Minor League, AA. We've been waiting for you. It's been lonely here.

I don't see where AA would become an also ran like US. AA has a much larger fleet, many more widebodies and 757's and hubs in the top tier cities. Add to that service to the far east and the largest carrier into South and Central America.

 

[700UW]

DCA, PHL and CLT are top notch cities.

CLT is the #2 banking center in the US. DCA is the Capitol of the US and PHL is a major metro area.

 

[jimntx]

This "the sky is falling" stuff is beyond me. Load factors are crazy full and we just made a record profit last quarter... Not just profitable, it was the highest freaking 2nd quarter profit in the airline's freaking history.

Why is everyone panicking and lining up to give more contract concession?

Uh, I didn't say the sky is falling. What I said was having approximately the same size operation, but doing it with 30,000 more employees than your competitor is a distinct cost disadvantage. There is no way around that fact. If the combined operation is to compete, something has to be done about having thousands more employees than our competitors. Can you say furloughs/layoffs/"right-sizing"?

 

[john john]

I don't see where AA would become an also ran like US. AA has a much larger fleet, many more widebodies and 757's and hubs in the top tier cities. Add to that service to the far east and the largest carrier into South and Central America.

AA is express carrier shopping to grow/help POR and feed. US Airways significance can be replace with hunger cheep express carriers

 

[nycbusdriver]

I don't see where AA would become an also ran like US. AA has a much larger fleet, many more widebodies and 757's and hubs in the top tier cities. Add to that service to the far east and the largest carrier into South and Central America.

You are correct. Can never happen. Look how well Eastern has done with their huge fleet and hubs.

I stand corrected.

 

[nycbusdriver]

AA is express carrier shopping to grow/help POR and feed. US Airways significance can be replace with hunger cheep express carriers

Where will those express carriers get ATP licensed pilots?

 

[ograc]

Uh, I didn't say the sky is falling. What I said was having approximately the same size operation, but doing it with 30,000 more employees than your competitor is a distinct cost disadvantage. There is no way around that fact. If the combined operation is to compete, something has to be done about having thousands more employees than our competitors. Can you say furloughs/layoffs/"right-sizing"?

The company refers to furloughs/layoffs/ right sizing to "synergies" now. "Synergies" that can be realized with a merger. Translation = job elimination. You can count on it. The question is... how many and where. One thing is certain; there will be job elimination as a result of the merger. Those who believe the elimination of jobs and careers will not happen, as a result of the merger, are being somewhat naive IMO.

 

[john john]

Where will those express carriers get ATP licensed pilots?

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