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United, US Airways Announce Alliance  
User currently offlineDeltaSFO From United States of America, joined Nov 2000, 2488 posts, RR: 23
Posted (11 years 9 months 1 day 11 hours ago) and read 2645 times:

http://cbs.marketwatch.com/tools/quotes/newsarticle.asp?siteid=mktw&sid=12888&guid=%7B2349AC9A%2D321F%2D4E7C%2D96B3%2D2835E4FF5978%7D

CHICAGO, Jul 24, 2002 (BUSINESS WIRE) -- United Airlines (UAL) today announced an agreement with US Airways that will allow both carriers to market service on each other's networks, providing significant consumer benefits and bringing new revenue and customers to their route networks.




It's a new day. Every moment matters. Now, more than ever.
58 replies: All unread, showing first 25:
 
User currently offlineDeltaSFO From United States of America, joined Nov 2000, 2488 posts, RR: 23
Reply 1, posted (11 years 9 months 1 day 11 hours ago) and read 2615 times:

Also see:

http://biz.yahoo.com/prnews/020724/dcw071_1.html



It's a new day. Every moment matters. Now, more than ever.
User currently offlineBA From United States of America, joined May 2000, 11151 posts, RR: 59
Reply 2, posted (11 years 9 months 1 day 11 hours ago) and read 2583 times:

Wowser, never thought it would be so sudden.

Well hopefully it'll bring good to the 2 airlines.

I wish them both luck.

Both airlines I highly respect greatly.

Regards



"Generosity is giving more than you can, and pride is taking less than you need." - Khalil Gibran
User currently offlineParra From , joined Dec 1969, posts, RR:
Reply 3, posted (11 years 9 months 1 day 11 hours ago) and read 2569 times:

This is great news. More oppurtunities for earning mileage. Does anyone know if miles earned on US flights will go towards status?

User currently offlineAeroGlobeAir7 From United States of America, joined Jan 2001, 586 posts, RR: 2
Reply 4, posted (11 years 9 months 1 day 11 hours ago) and read 2551 times:

Will this just be a codeshare, or is US actually joining Star? I really doubt the latter, but I'm just curious. Thanks!

User currently offlineDeltaSFO From United States of America, joined Nov 2000, 2488 posts, RR: 23
Reply 5, posted (11 years 9 months 1 day 11 hours ago) and read 2549 times:

This, I think, has been a given for some time now. I think the real question is what Delta, American, and Northwest are going to do to punish UAL and U for linking up.

Stay tuned... this is about to get exciting.



It's a new day. Every moment matters. Now, more than ever.
User currently offlineEA CO AS From United States of America, joined Nov 2001, 13255 posts, RR: 62
Reply 6, posted (11 years 9 months 1 day 11 hours ago) and read 2534 times:
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This reminds me of a great point and counterpoint I'd once heard:


"Two heads are better than one."

"Yes, but not when both are stupid."  Big grin




Let's hope they can make things work.



"In this present crisis, government is not the solution to our problem - government IS the problem." - Ronald Reagan
User currently offlineJrlander From United States of America, joined Aug 1999, 1104 posts, RR: 0
Reply 7, posted (11 years 9 months 1 day 10 hours ago) and read 2488 times:

Just remember, Leo Mullin stated that if this alliance were to happen, Delta would have to answer it.

User currently offlineDeltaflyertoo From United States of America, joined Nov 2000, 1637 posts, RR: 1
Reply 8, posted (11 years 9 months 1 day 10 hours ago) and read 2476 times:

Punish them for linking up? How? Is this linkup really going to hurt the others that bad? NW and CO already are linked up. I can't see how DL would loose pax to either from this deal seeing their route system doesn't exactly overlap w/ UAL or US.

User currently offlineSrbmod From , joined Dec 1969, posts, RR:
Reply 9, posted (11 years 9 months 1 day 10 hours ago) and read 2472 times:

Now who could Delta link up with in an alliance? Considering that they are weaker in the West than in the East, someone like Alaska or America West. Or maybe they'll do something off the wall, like an alliance with American, or National or Frontier. We will see Mr. Mullin's response within 90 days.

User currently offlineFutureSQPilot From United States of America, joined Jul 2002, 147 posts, RR: 0
Reply 10, posted (11 years 9 months 1 day 10 hours ago) and read 2467 times:

Any chance that DL will try to link up with America West in retaliation?

User currently offlineWestjet_8 From Canada, joined Jan 2001, 451 posts, RR: 0
Reply 11, posted (11 years 9 months 1 day 10 hours ago) and read 2450 times:

I wonder now if say DL and AA will link up. Then all of the US majors will have parners. DL needs to find a parner though and it might link up with say two smaller carriers such as froniter and America West.


Canadian. RIP 1999
User currently offlineDeltaflyertoo From United States of America, joined Nov 2000, 1637 posts, RR: 1
Reply 12, posted (11 years 9 months 1 day 10 hours ago) and read 2442 times:

I doubt HP. HP doesn't conform to the service levels that are consistent to the image DL wants to portray.

User currently offlineDesertJets From United States of America, joined Feb 2000, 7737 posts, RR: 16
Reply 13, posted (11 years 9 months 1 day 10 hours ago) and read 2431 times:

This could be the beginning of a beautiful relationship, or just the start of USAirways becoming a feeder operation for United.


Stop drop and roll will not save you in hell. --- seen on a church marque in rural Virginia
User currently offlineMSY-MSP From United States of America, joined Jun 2002, 151 posts, RR: 0
Reply 14, posted (11 years 9 months 1 day 10 hours ago) and read 2423 times:

I don't think a link-up of DL and AA is likely. If I remeber a few years ago when these link-ups were going on. AA-US, NW-CO were able to get there link ups but UA-DL tried to get one going and it got quashed by DOT. At that time UA was the #1 carrier and DL was #3. Now after the TWA merger AA is #1 and we have the same situtation all over again #1 with #3. If it got quashed once, then it is likely to get quashed again. The most likely senario I can think of for DL is to go with AS. Alaska offers DL a lot of western routes, and is a full service carrier with a good reputation. I don't think DL wants the potential bad PR of linking with HP right now. But then again the way the airline industry is going right now anything is possible. BTW what do you all think about the potential stanglehold by US-UA on flights into and out of WAS (UA dominant carrier at IAD, US dominant carrier at DCA and strong at BWI)

MSY-MSP


User currently offlineDeltaflyertoo From United States of America, joined Nov 2000, 1637 posts, RR: 1
Reply 15, posted (11 years 9 months 1 day 10 hours ago) and read 2411 times:

DL and UAL actually got some link up going back then. It is still in effect. Don't know if it will after this. But you can accrue SkyMIles when flying UAL.

User currently offlineMSY-MSP From United States of America, joined Jun 2002, 151 posts, RR: 0
Reply 16, posted (11 years 9 months 1 day 10 hours ago) and read 2392 times:

There is limited FF earning potential on the UA-DL linkup. Only in the US and nowhere else. There is limited club reciprocity also. What I was talking about was that DOT quashed the code share and most of the rest of the agreement that UA and DL had wanted originally. UA-DL got nothing like what NW-CO got or even AA-US.

User currently offlineDeltaSFO From United States of America, joined Nov 2000, 2488 posts, RR: 23
Reply 17, posted (11 years 9 months 1 day 9 hours ago) and read 2377 times:

What I was talking about was that DOT quashed the code share and most of the rest of the agreement that UA and DL had wanted originally. UA-DL got nothing like what NW-CO got or even AA-US.

Not quite. Delta ALPA and United ALPA both were against it and both had veto power over domestic codeshares and exercised it. It's a different story, now that UAL is talking not about expanding east coast presence but rather about staying alive.

There is a price Leo has to pay DALPA to make domestic codeshare happen, and I think this might just convince him that the price is worth it.



It's a new day. Every moment matters. Now, more than ever.
User currently offlineB764 From United States of America, joined Nov 2001, 752 posts, RR: 1
Reply 18, posted (11 years 9 months 1 day 9 hours ago) and read 2341 times:

I don't see why U can't join the Star Alliance. Especially when you best friend (UAL) help start Star. Isn't CO directly involved in the alliance with NW, KLM, & Alitalia?

User currently offlineOzarkD9S From United States of America, joined Oct 2001, 4878 posts, RR: 22
Reply 19, posted (11 years 9 months 1 day 9 hours ago) and read 2314 times:

Look for an AA/DL link soon. They might have to isolate DFW from the agreement but it would make the most sense from a competiton standpoint.
AA and AS also have a code-share relationship and DL could benefit from that also. Where does that leave NW and CO? More than likely back with HP...



Next Up: STL-TPA-BWI-PWM-BWI-STL
User currently offlineDCA-ROCguy From United States of America, joined Apr 2000, 4467 posts, RR: 34
Reply 20, posted (11 years 9 months 1 day 8 hours ago) and read 2283 times:

There is a price Leo has to pay DALPA to make domestic codeshare happen, and I think this might just convince him that the price is worth it.

What price is that? Considering the extremely generous contract Delta's pilots won on the backs of UA pax grounded by the UA pilots' Summer of Hell, it's not clear to me what else the DL pilots would want. Is it just something like no codeshare on shared routes, etc?

The UA-US codeshare is extremely complementary from a route map perspective, but a DL-AA codeshare would offer more sheer mass. But as noted above, the latter might not fly from an antitrust perspective. For once UA seems to have pulled off a move that gives them a competitive advantage over AA--strong East Coast coverage.

Too bad US will only exist for another year or so, maybe less, for UA to enjoy it. Once US goes under, though, UA will probably buy planes and gates for the CLT hub, so they'll keep some of what they lose.

Jim


User currently offlinePlanelover From United States of America, joined Dec 2001, 321 posts, RR: 0
Reply 21, posted (11 years 9 months 1 day 8 hours ago) and read 2275 times:

So, would that make Midway and United codesharers too?

Have fun.  Smile/happy/getting dizzy
PL


User currently offlineDeltaSFO From United States of America, joined Nov 2000, 2488 posts, RR: 23
Reply 22, posted (11 years 9 months 1 day 8 hours ago) and read 2275 times:

What price is that? Considering the extremely generous contract Delta's pilots won on the backs of UA pax grounded by the UA pilots' Summer of Hell, it's not clear to me what else the DL pilots would want. Is it just something like no codeshare on shared routes, etc?

The UA-US codeshare is extremely complementary from a route map perspective, but a DL-AA codeshare would offer more sheer mass. But as noted above, the latter might not fly from an antitrust perspective. For once UA seems to have pulled off a move that gives them a competitive advantage over AA--strong East Coast coverage.

Too bad US will only exist for another year or so, maybe less, for UA to enjoy it. Once US goes under, though, UA will probably buy planes and gates for the CLT hub, so they'll keep some of what they lose.


Jim... Last time the DL-UA linkup was tried, the pilots' union demanded a voting seat on Delta's Board of Directors. Leo decided that wasn't worth it and ditched the codeshare plan.

I definitely think you're overestimating United's capability to acquire anything at any point in the near future. They've got a $900m debt note coming due next quarter and they've got to figure out how to refinance it.



It's a new day. Every moment matters. Now, more than ever.
User currently offlineEA CO AS From United States of America, joined Nov 2001, 13255 posts, RR: 62
Reply 23, posted (11 years 9 months 1 day 8 hours ago) and read 2232 times:
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AS isn't interested in being purchased by anyone. They're perfectly content with the codesharing and marketing agreements they've put together over the years.

US may have blown a major opportunity by linking with UA. Now that they're making inroads on cutting their costs, a merger with HP would have made perfect sense. The only thing making such a deal unworkable in the past was the fact that HP's cost advantage would be submarined when coupled with US's high cost structure. Now that they're getting their costs under control, it may have been feasible to pursue HP.

Granted, now that HP has a market cap of just over $75M, they're an attractive target for just about anybody.



"In this present crisis, government is not the solution to our problem - government IS the problem." - Ronald Reagan
User currently offlineContinentalEWR From United States of America, joined May 2000, 3762 posts, RR: 13
Reply 24, posted (11 years 9 months 1 day 8 hours ago) and read 2224 times:

I don't see US merging with HP. Yes, the fleets are common and there is no overlap, but remember what US did with PSA.......It bought them, established a bigger presence out west, operated an LAX-SFO shuttle called the US Air California Shuttle and in 1992, moved most of the planes East to beef up PIT,
CLT, BWI, and PHL.



25 Tbird : Greetings: What a marraige one on the brink of Chap 11 and the other not far behind. I don't see any benefit in this partnership. Personally I agree w
26 EA CO AS : ContinentalEWR- You're right, but that was then, and this is now. The current management at US isn't the myopic "Let's shoot ourselves in the foot...n
27 Usairways85 : it says on usairways' website that usairways would not join the star alliance until after the first year of their partnership with united. so although
28 STT757 : If anyone goes after HP it will be DL, I've heard rumor about a DL buyout before. DL would set up a Delta Express (West), out of PHX and LAS.
29 Post contains images N839MH : OK Before any bashing....just a wild off the wall idea....what if ??? like I said...Any possibilities? Leo always mentions LUV in his press releases.
30 N839MH : remark for the above post.... Suggestion: Would a codeshare of some sort between Delta & Southwest be a good idea? Would a deal like this benefit eith
31 BH346 : MH: That's very unlikely, I think I remember hearing Southwest say they want to remain independent from other carriers, no surprise because they're do
32 Lowfareair : DL and WN would never happen. The only thing that could remotely happen with that is WN buying out DL, but there's a next to nothing chance of that ha
33 BA : I don't even see WN buying out DL. WN is a simple airline, and they don't want to increase any complications by buying DL. I just don't see WN enterin
34 DCA-ROCguy : I definitely think you're overestimating United's capability to acquire anything at any point in the near future. They've got a $900m debt note coming
35 DL Widget Head : A code share service between WN and DL sounds interesting but improbable since the airline's delivery of their product is quite different from one ano
36 Ladevale : Frankly, I think AA is sitting pretty. And, so is Delta if it plays its political cards right. AA, in particular, has done enough over the last two ye
37 DeltaSFO : Ladevale, For once, I agree with you wholeheartedly.
38 Keesje : Please read the complete press release : US Airways and United will remain separate competing companies with separate schedules, pricing, and sales fu
39 FlyPNS1 : Hmmm....Ladevale's ideas are interesting. ACA definitely might be very unappreciative of being forced to compete with all the USExpress carriers. Ther
40 Post contains images UA744Flagship : It is always easy to find the faults of any deal. Frankly, I have no confidence in their ability to see at this moment that the codeshare deal with US
41 Ual777contrail : one clause in the contract states that anytime a UNITED airlines plane operates 12 months out of the year or yearly service it "HAS" to be worked by a
42 DeltaSFO : I know some say that HP's service isn't up to DL's standards but I think they are wrong. In terms of on-time performance and reliability...HP is easil
43 TonyBurr : Anyonw know if FF miles obtained on one airline can be applied to premier level on the other airline? Or just accure miles, but not toward premier lev
44 SEVEN_FIFTY7 : Actually, I've been overhearing more and more complaints about the service & delays on Delta, at least in the New York area. And more so by businessme
45 Lowfareair : >>And a word about Delta's onboard service. I challenge you to name one area, just one, where Delta lags behind the rest of the industry.
46 MSYtristar : But DL has 767's flying from JAX to ATL! Better than a DC-9 or 717 any day...I don't care how long the flight is! I agree that Delta's in flight servi
47 OA412 : Delta has one other option. And, this one seems like something Mullin might do out of pure vengeance. Buy Skywest. The havoc that would wreck on Unite
48 ORD Boy 2 : if the alliance works and US Airways joins star, how long do you give it before these 2 companies try to merge
49 Post contains images UA744Flagship : As a SkyWest employee, it's nonsense to my ears to hear some of you guys postulating that we could be bought out by Delta. While that would be a bold
50 Ual777contrail : isnt skywest non-union? i think i remember they were called scabs a couple years ago when they were going to come into cities and take business from a
51 UA744Flagship : Yes, we are non-union. And we also have the best performance of the UAX carriers, besting ZW and BR in every department. What does that have to do wit
52 DeltaSFO : Well, for what it's worth, I understand Delta eyed buying SkyWest and yanking the rug out from under United about 3 years ago. For whatever reason, it
53 Post contains images UA744Flagship : DeltaSFO, Thanks for the clarification on the scope clause. True, a lot of our flights are monopolies, but they would be next to empty were it not for
54 Flydeltasjets : DeltaSFO Your interpretation of our scope clause is incorrect. Delta does in fact have limits on the amount of code-share flying they can do, regardle
55 DeltaSFO : DeltaSFO Your interpretation of our scope clause is incorrect. Delta does in fact have limits on the amount of code-share flying they can do, regardle
56 Flydeltasjets : That is correct. I guess a more accurate statement would be to say that there is no limit on the amount of aircraft that Delta can operate as DCI, but
57 N628AU : OA412 wrote: The one obvious stumbling block I see in this whole thing is DC. With UAs hub in IAD, and US' significant operations out of DCA and BWI,
58 DouglasDC8 : DCA-ROCguy, In your post way up there you stated "Considering the extremely generous contract Delta's pilots won on the backs of UA pax grounded by th
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