1337Delta764 From United States of America, joined Oct 2005, 6792 posts, RR: 2 Posted (4 years 9 months 3 weeks 3 days 3 hours ago) and read 6512 times:
While both UA and CO currently have contracts with Coke, most likely both such contracts will become null and void if CO and UA merge.
Currently, out of the major US airlines, only AA serves Pepsi products, although not exclusively. Pepsi of course lost NW after the merged DL/NW decided to go with Coke (no surprise there). I am pretty sure that Pepsi will try to fight hard to win the new UA's contract. UA actually served Pepsi products from 2002-2007, and perhaps Pepsi would like them back after they merge with CO.
As for current contracts, I know the UA contract will come up for renewal in 2012. However, I am not sure when CO's contract comes up for renewal. Still, both contracts would probably become null and void in such a merger.
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In general contracts are not vacated or in your mind "null and void" due mergers, only due to things like one party filing bankruptcy.
A new or merged company assumes contracts and commitments of the previous company and matter of fact most major contracts even spell this out via an assumption clause.
Sure a combined company can work to renegotiate its contracts, but to do so takes the agreement of both sides.
From the desert to the sea, to all of Southern California
DeltAirlines From United States of America, joined May 1999, 8939 posts, RR: 11
Reply 12, posted (4 years 9 months 3 weeks 2 days 19 hours ago) and read 6040 times:
I'm sure the contract won't be up for a while. With the merger when you've got the same supplier going to both pre-merger companies, they'll renegotiate the rates, but the contract will not go poof and vanish.
NASBWI From Bahamas, joined Feb 2005, 1329 posts, RR: 0
Reply 16, posted (4 years 9 months 2 weeks 6 days 4 hours ago) and read 5877 times:
Quoting oa260 (Reply 14): There is no difference between Coke and Pepsi....
I beg to differ; while the flavor of both is virtually the same, Pepsi is sweeter than Coke (I looked at the nutrition facts on both cans: Pepsi has more sugar and less sodium than Coke). Now, when it comes to their diet counterparts, the difference in taste is vast.
FlyDeltaJets87 From , joined Dec 1969, posts, RR:
Reply 18, posted (4 years 9 months 2 weeks 6 days 3 hours ago) and read 5875 times:
Quoting oa260 (Reply 14): There is no difference between Coke and Pepsi...
I notice the difference and much prefer Coke myself.
Quoting stylo777 (Reply 6): for me it doesn't really matter what the airline serves....
I can't say I've ever decided on one airline over the other because of "Coke" or "Pepsi". If I was on an airline that I knew only served Pepsi and I really wanted I a Coke, I would buy a Coke in the terminal and bring it on the plane.