Sponsor Message:
Civil Aviation Forum
My Starred Topics | Profile | New Topic | Forum Index | Help | Search 
Possibly 3 Majors In Chp. 11 - 1st Time Since '92  
User currently offlinePlanemaker From Tuvalu, joined Aug 2003, 7210 posts, RR: 37
Posted (11 years 9 months 2 days 7 hours ago) and read 2687 times:

A triple bankruptcy hasn't hit the industry since 1992, when Continental Airlines, Trans World Airlines and America West Airlines were all in Chapter 11.

But three of the nation's largest airlines could be operating under bankruptcy protection in coming weeks, analysts say, the latest sign of the industry's upheaval as it lurches through a historic transformation.

"Today, you have an entire industry that has been subjected to a paradigm shift by the virtue of new [low-cost] carriers," said Robert L. Crandall, former chief executive of American Airlines. "The outcome in the end will be that every carrier, in one way or another, is going to have to get their costs down to the point where they are essentially the same as low-cost carriers. That means [get] rid of fixed-benefit pension plans, completely and profoundly change their labor contracts, eliminate restrictive work rules, and reduce wage rates."


Nationalism is an infantile disease. It is the measles of mankind. - A. Einstein
2 replies: All unread, jump to last
User currently offlinePicarus From United States of America, joined Dec 2000, 316 posts, RR: 1
Reply 1, posted (11 years 9 months 2 days 4 hours ago) and read 2483 times:

Ah....just gotta love "Uncle Bob." He sure knows how to state the obvious. I wonder how much sleep he's lost watching his beloved AA during this "transformation." I also wonder if he's willing to give up his presumably large pension from AA.


User currently offlineFriendlySkies From United States of America, joined Aug 2004, 4139 posts, RR: 5
Reply 2, posted (11 years 9 months 2 days 4 hours ago) and read 2457 times:

Perhaps this will be a wake up call to all the majors to get those costs down, simplify their fleets (much to the dismay of all of us, but hey, it's better than no planes at all), and start running the airline profitably, instead of into the ground? Wait, what am I saying? That couldn't happen, it would make too much sense in an industry that makes no sense. :P

Top Of Page
Forum Index

This topic is archived and can not be replied to any more.

Printer friendly format

Similar topics:More similar topics...
Buying Stock In Chp. 11 Airlines? posted Mon Oct 3 2005 18:42:39 by UAL747
E170 Arrives In RDU For 1st Time Today.. posted Sat Feb 5 2005 15:30:37 by ERJ170
King's Predictions. USAir Fails, Delta In CHP.11 posted Wed Feb 2 2005 15:39:20 by Juventus
In Chp. 11, What Happens To............... posted Sun Feb 1 2004 04:05:19 by Tu154m
Delta To Stay Solvent In 2005, No Need For Chp 11. posted Tue May 10 2005 13:43:55 by Juventus
1st Time BA Fly To Algiers In December posted Wed Oct 29 2003 08:34:09 by Lamyl_hhlco
UA To Exit Chp 11 In 1H04? posted Mon Sep 1 2003 03:37:31 by Businessflyer
Nwaafa In Court: 11/28/06 posted Thu Nov 23 2006 20:39:13 by SHUPirate1
Aerocalifornia Update: It Restarts In August 11 posted Fri Aug 4 2006 23:25:18 by SFOMEX
PHL Last In Nation For On-time Flights posted Mon May 8 2006 17:48:32 by Steeler83