WorldTraveler From , joined Dec 1969, posts, RR: Reply 2, posted (5 years 6 months 1 week 3 days 16 hours ago) and read 7826 times:
I'm listening. It's a snow job and so out of touch w/ reality.
Doug Parker of US has said for months he wanted a deal like this.
DL has no interest in a merger w/ anyone and even they did it would never be w/ US. US and DL combined are so large on the East Coast that regulators would never approve it. Further, US has still not completed its merger w/ HP from a year ago.
The fact that the proposal has been on the table for 2 months should indicate that Grinstein has the backing of the creditors in not pursuing a merger.
This proposal will die as fast as the Ryanair proposal to buy Aer Lingus.
Foxecho From United States of America, joined Dec 2000, 702 posts, RR: 23 Reply 3, posted (5 years 6 months 1 week 3 days 16 hours ago) and read 7796 times:
Amen world Traveler
thanks for the heads up on SMS Mikey- just woke up.
KL808 From United States of America, joined May 1999, 1571 posts, RR: 3 Reply 4, posted (5 years 6 months 1 week 3 days 16 hours ago) and read 7771 times:
Well what I heard so far is the following:
US wants to acquire DL for $8 - $9 Billion after DL gets out of Bankruptcy.
The new airline will retain the DELTA name.
This will need approval from all sides.
US says this would be best for all.
In my opinion consolidation in the market is very good.
Callsigncitrus From United States of America, joined Sep 2006, 22 posts, RR: 0 Reply 5, posted (5 years 6 months 1 week 3 days 16 hours ago) and read 7758 times:
listening to the call right now. US is talking about not waiting till the bankruptcy merges. they want to move right away. I dont really think Delta will take this seriously.
Litz From United States of America, joined Dec 2003, 1714 posts, RR: 0 Reply 7, posted (5 years 6 months 1 week 3 days 15 hours ago) and read 7570 times:
Quoting Callsigncitrus (Reply 5): I dont really think Delta will take this seriously.
Delta had darned well better take this seriously ... if they just laugh the guy off, he's gonna turn around and purchase the company behind their backs.
Remember, DL is in bankruptcy ... US doesn't have to talk to anyone actually AT delta if they present a case directly to the BK court and the creditors that they accept ...
What DL needs is to circle its wagons and make damned sure that their reorganization plan is FAR more palatable to the creditors than the hostile takeover bid ... otherwise the rug may very well get pulled right out from under them.
Gokmengs From United States of America, joined Mar 2005, 1052 posts, RR: 1 Reply 8, posted (5 years 6 months 1 week 3 days 15 hours ago) and read 7571 times:
my question is has DL had any kind of announcements. I am hoping for a HELL NO, but anything at all??
Foxecho From United States of America, joined Dec 2000, 702 posts, RR: 23 Reply 9, posted (5 years 6 months 1 week 3 days 15 hours ago) and read 7513 times:
DL has not had any press releases at this point today....
I dont think anythign will come of it...Look Elsewhere Mr Parker....
Litz From United States of America, joined Dec 2003, 1714 posts, RR: 0 Reply 10, posted (5 years 6 months 1 week 3 days 15 hours ago) and read 7513 times:
Quoting Gokmengs (Reply 8): my question is has DL had any kind of announcements. I am hoping for a HELL NO, but anything at all??
Other than a few comments about DL always expecting their plan was to emerge from BK an independant company, I don't think there's been an official, outright refusal ...
I would imagine the lawyers are drafting one as we speak, however ...
What would be icing on the cake is if it was cosigned by GE, AMEX, and Boeing ...
Dartland From United States of America, joined Apr 2005, 614 posts, RR: 2 Reply 11, posted (5 years 6 months 1 week 3 days 15 hours ago) and read 7409 times:
Quoting Litz (Reply 10): What would be icing on the cake is if it was cosigned by GE, AMEX, and Boeing ...
Good call. Amex has helped bail out DL before and I'm sure they want to keep them independent (or at least their management in power) so they wouldn't hestitate to speak up here again. GE and Boeing also have obvious interests.
LawnDart From United States of America, joined May 2005, 968 posts, RR: 4 Reply 12, posted (5 years 6 months 1 week 3 days 15 hours ago) and read 7395 times:
Quoting Litz (Reply 7): Delta had darned well better take this seriously ... if they just laugh the guy off, he's gonna turn around and purchase the company behind their backs.
Unfortunatley, he can't...
Quoting Litz (Reply 7): Remember, DL is in bankruptcy ... US doesn't have to talk to anyone actually AT delta if they present a case directly to the BK court and the creditors that they accept ...
In fact, US does have to talk to someone at DL...thus the letter to Grinstein. They can not present their case directly to the court because they are not on the docket. DL was granted exclusive rights to file a reorganization plan.
Luisca From , joined Dec 1969, posts, RR: Reply 13, posted (5 years 6 months 1 week 3 days 14 hours ago) and read 7260 times:
Quoting Gokmengs (Reply 8): my question is has DL had any kind of announcements. I am hoping for a HELL NO, but anything at all??
Here Here, I am hoping that DL management do something right for a change and show US the door and tell them not to let it hit them in the ass as it closes.
US is crazy and this offer is ridiculous. They would probably end up bankrupting both airlines in the process, and DL seems poised to become a real player internationally, they have an enviable network and they can go it alone, they dont need a cheap lcc ruining their name.
FXramper From United States of America, joined Dec 2005, 6847 posts, RR: 98 Reply 14, posted (5 years 6 months 1 week 3 days 14 hours ago) and read 7240 times:
There isn't a chance in hell this is gonna happen. Surprised US didn't do more homework on this one...
SPREE34 From United States of America, joined Jun 2004, 1991 posts, RR: 10 Reply 15, posted (5 years 6 months 1 week 3 days 14 hours ago) and read 7143 times:
Quoting Litz (Reply 7): Delta had darned well better take this seriously ... if they just laugh the guy off, he's gonna turn around and purchase the company behind their backs.
Possible, though I think unlikely due to resistance from several groups whose cooperation would be needed. Another concern for Delta might be who else US might try to buy or merge with that creates formidable competition for Delta.
A well thought out post sir!
Quoting Luisca (Reply 13): Could it be possible for CO to counter bid?
Oh yeah, and it would be an interesting battle to watch.
The CO and DL example would have a better chance with the regulatory groups, creates a better international route structure, and already has equipment commonality.
I don't understand everything I don't know about this.
LAXdude1023 From United States of America, joined Sep 2006, 6081 posts, RR: 28 Reply 16, posted (5 years 6 months 1 week 3 days 14 hours ago) and read 7128 times:
Does US really think DL is going to go for this? If DL agrees to a merger with US, they are F-ing STUPID!!! It would cancel so many of the plans they have in the future.
Next flights: DFW-GRU-SDU-EZE-DFW on AA/JJ/EK in J!
Bobnwa From United States of America, joined Dec 2000, 5677 posts, RR: 9 Reply 17, posted (5 years 6 months 1 week 3 days 14 hours ago) and read 7075 times:
Quoting LAXdude1023 (Reply 16): Does US really think DL is going to go for this? If DL agrees to a merger with US, they are F-ing STUPID!!! It would cancel so many of the plans they have in the future.
It's not what Delta management wants, but what the creditors and shareholers want. That is who will decide this. Why do you think Delta management can stop the deal?
Supa7E7 From , joined Dec 1969, posts, RR: Reply 18, posted (5 years 6 months 1 week 3 days 14 hours ago) and read 7044 times:
THe next press release will have Doug Parker, Scott Kirby stepping down to go to 1 year of rehab for PCP, crack addictions.
UAL has a market cap of 4.35 billion. Why would you choose DL instead of UAL? They might well be open to this.
And why not NW? They have a good fleet of A330/A320 that would merge right in. 787 already ordered. Tons of Asia rights. NW would be much better than DL. DL has JFK, which is unproven, and ATL, which is redundant with CLT.
In terms of real estate, DL will own JFK and that's great. With US' help they could own LAX as well. Then and only then do you have a market leader.
Gokmengs From United States of America, joined Mar 2005, 1052 posts, RR: 1 Reply 20, posted (5 years 6 months 1 week 3 days 14 hours ago) and read 7031 times:
Quoting Bobnwa (Reply 17): It's not what Delta management wants, but what the creditors and shareholers want. That is who will decide this. Why do you think Delta management can stop the deal?
Well I heard this couple times and now that you said it I have to clarify it.Because it is false. The way M&A's work even in a takeover of a bankrupt company, you need the company's approval, granted in the case of a Bankrupt company the creditors will have much more say than a company that is not, but they-the creditors- DO NOT make the decision all by themselves.
Dallasnewark From Estonia, joined Nov 2005, 473 posts, RR: 1 Reply 21, posted (5 years 6 months 1 week 3 days 13 hours ago) and read 6953 times:
Quoting LAXdude1023 (Reply 16): Does US really think DL is going to go for this? If DL agrees to a merger with US, they are F-ing STUPID!!! It would cancel so many of the plans they have in the future
Delta doesn't have a say in this. You are forgetting this is a business, airliners are not there to please the A.Netters but to do business. Bigger fish has been reeled in at mergers, BOA acquiring Fleet, BOA acquiring MBNA, HP acquiring Compaq, and even the hostile takeover by a smaller company, as is the case of BONY vs Irving Trust.
This is the beginning of an end for Delta, or actually THE END
Dallasnewark From Estonia, joined Nov 2005, 473 posts, RR: 1 Reply 22, posted (5 years 6 months 1 week 3 days 13 hours ago) and read 6934 times:
Quoting Supa7E7 (Reply 18): In terms of real estate, DL will own JFK and that's great. With US' help they could own LAX as well. Then and only then do you have a market leader
EWR is better option for business travelers, JFK is too far away, that's why CO will always kick Delta's behind in the NYC area.
Gigneil From United States of America, joined Nov 2002, 15609 posts, RR: 90 Reply 23, posted (5 years 6 months 1 week 3 days 13 hours ago) and read 6906 times:
Quoting LawnDart (Reply 12): DL was granted exclusive rights to file a reorganization plan.
Quoting Luisca (Reply 13): US is crazy and this offer is ridiculous.
Quoting FXramper (Reply 14): There isn't a chance in hell this is gonna happen. Surprised US didn't do more homework on this one... no
NONE of you have any idea what you're talking about, and I don't mean that to be rude.
1) They have until Feb 15th to file a reorg plan. They can't. They've said repeatedly it would be late next year.
2) This offer is GREAT for DL shareholders and that's what bankruptcy is about
3) That's a ridiculous statement for a ramper, albeit an intelligent one, to make about the CEO and merger team of one of the most successful airline mergers in history. Clearly, they've done their homework and it makes business sense.
I still believe it to be a longshot. However, Delta has nothing to do with this. They can either accept it and get approval and make it easy, or Parker will take it to the judge Feb 16th and it will be difficult.
It has a $4 billion cash component. That will be impossible for the creditors to ignore.
MasseyBrown From United States of America, joined Dec 2002, 4503 posts, RR: 8 Reply 24, posted (5 years 6 months 1 week 3 days 13 hours ago) and read 6908 times:
Quoting Callsigncitrus (Reply 5): I dont really think Delta will take this seriously.
As others have said, Delta HAS to take this seriously. Delta management can recommend, but the creditors and the court will decide. Delta has until February to present a plan of reorg. to the judge. At that point other plans, including this one, will be entertained by the court.
Delta has proposed to offer the unsecured creditors about 40 cents on the dollar; US's offer is 50 cents. Delta has to match or beat that offer and it's doubtful they can do it - although another bidder might.
It is now unlikely that Delta will continue as a stand-alone company. Somebody will buy them. The best thing Delta management can probably do is check the rigging on their golden parachutes.
Consilivm: Cave ne nothi te vexant
25 Gokmengs: I hate to differ, plus on a side note Fleet wasn't larger than BOA by any means during the takeover. If it means anything at that point Fleet was #7
26 MasseyBrown: Um ... good for the creditors. The shareholders will get nothing.
27 Gigneil: At this point, those things aren't much different, but it isn't exactly true. Shareholders frequently get their shares devalued, but this proposal iss
28 CO/ba: I would love to see it. Maybe together they will get their act together or drag each other down.
29 AirFrnt: Except This isn't technically a re-organization. It's a purchase. That means that the Creditors, the United States (who is a party to this bankruptcy
30 Dallasnewark: It's up to the Delta's shareholders and the executive team with the larger golden parachutes as a result of this merger to decide Delta's fate. I'll
31 Luisca: The HP/US merger is not one of the most successful, it is actually far from it, starting with the fact that they haven't even merged, You basically s
32 MasseyBrown: I'm not sure I understand what you're saying. Current Delta shareholders will get nothing. Future Delta shareholders (who would be current US Airways
33 Gokmengs: My point was to clarify the statements from others here about DL having NO SAY at all, but yes judge will have a lot of influence of course. I unders
34 ChiGB1973: Amex would be paid off, at least their d-i-p financing. The court does, the company has a say, the creditors have a say, but the judge makes a decisi
35 ChiGB1973: DL and the creditors have influence, the judge has DL and/or the creditors by the short hairs. Saying the judge has "influence" is an understatement.
36 Gigneil: What are you even talking about? From a business perspective, the company is nearly fully merged, and certainly well ahead of their timetable. They h
37 MasseyBrown: I figured you had a hangover. As far as I have noticed, you rarely make a mistake.
38 Fokkerf28: I agree, its up to the shareholders. When DL stock is trading for $1.68 and you recieve a good offer, the shareholders are most certainly going to lo
39 Okie73: you are right, but it won't be up to the Delta shareholders. The Delta shareholders don't control the company anymore, the creditors do. It's the USA
40 Steeler83: Yeah, they win, we the flying public and a handful of employees all lose... Who or what invented this game anyway???
42 Supa7E7: Bankers. Companies are just moons orbiting Wall Street. When the mood hits them, Wall Street takes a lead role and makes mergers HAPPEN. Wall St has
43 JetBlueAUS: 1 bad airline + 1 bad airlines = ONE HORRIBLE AIRLINE.
44 Steeler83: I don't think US is a bad airline... for the time being anyway... If this deal happens... I'll have to find someone else to fly...
45 Cubastar: Do any of you believe that Grinstein and his people have not considered that this possibility might come up while in bankruptcy? Why don't we all take
46 AndrewUber: I don't even think the Judge would think that an $8 billion offer is a difficult decision. Like you said - it is ALL ABOUT THE SHAREHOLDERS. The a.ne
47 MCOflyer: Agreed. I change my mind on this one. I hope US merges with NW. Please excuse my prayer for a DL/US merger. MCOflyer
48 WorldTraveler: The fundamental flaw in this and any network carrier mergers is in believing that what helps airlines is going to be palatable to communities and regu
49 SATX: As already stated, it is not really up to the shareholders. It's up to the judge, based on input from a variety of sources. Shareholders can vote (in
50 Gigneil: The thing is that these are businesses. If those small communities can't sustain service then they can't sustain service. Mike Boyd uses Montgomery, A
51 Annoyedfa: [quote=ChiGB1973,reply=35]USER PROFILESEND INSTANT MSGADD TO RESP USERSSUGGEST DELETIONQUOTE SELECTED TEXT_ JetBlueAUS From United States, joined Apr
52 Tsaord: I walked into work today at T3 and right in front of the Delat ticket counters were MSNBC or some new station with a live TV about US wanting Delta, t
53 ANNOYEDFA: Doesn't matter what they feel. the price is right and there is no reason why it shoulden't go through!!!!
54 Gigneil: I didn't say that... but I agree with it. NS
55 Lightsaber: It amazes me how many people are not looking at this as a business deal. US has made an offer. For DL's creditors to ignore it would be tough. This is
56 HPRamper: I tend to think US did their homework, and this offer is nothing more than a very public ploy. Why US would want anything to do with the mess that is
57 MasseyBrown: For the same reason HP wanted anything to do with the mess that was US. Parker says they have identified $250 million in savings that will result fro
58 Steeler83: I guess the next time I feel the ground move, that would be TR turning in his grave... I thought the new yar was 2007, not 1897... Anti-trust, pro-co
59 LAXdude1023: Of course its a business deal, but this is a deal that is going to benefit a select few and hurt the vast majority of the people involved (the employ
60 WesternA318: I though DL was already F***ing stupid... Creditors and shareholders being the greedy freaks they are (including my own company with over 40,000 US s
61 MasseyBrown: Non-Marxist textbooks call it acting in one's own interest, a basic economic premise. If you want a villian, how about Leo Mullen? His head-in-the-sa
62 Diamond: Please continue all DL/US merger conversations in one of these 5 official threads: Official DL/US Merger Thread: Fleet Speculation http://www1.air
Sponsor Message: 
From United States of America, joined May 2006, 202 posts, 
From Canada, joined Oct 2003, 1586 posts, 
From , joined Dec 1969, posts, 
From Estonia, joined Nov 2005, 473 posts, 
Printer friendly format 
