Byrdluvs747
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Would A US-HP Merger/partner Be More Feasible Now?

Fri Dec 17, 2004 7:59 am

Now that a FA labor deal is in the works, I'm wondering if US's costs(labor, etc) are coming in line with HP's?

Last I looked, US' costs would have been a tremendous barrier to any merger/buyout/partnership between the two.
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PHLBOS
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Fri Dec 17, 2004 8:04 am

HP just recently walked away aquiring TZ mainly due to financial reasons on their (HP) end; so I don't think they're even going to touch anything of US until after its possible liquidation (US).
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Byrdluvs747
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Fri Dec 17, 2004 8:09 am


HP just recently walked away aquiring TZ mainly due to financial reasons on their (HP) end


It wasn't HP's financial conditions as much as it was the high asking price of TZ's leased 738's.
The 747: The hands who designed it were guided by god.
 
cactushp
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Fri Dec 17, 2004 8:26 am

"It wasn't HP's financial conditions as much as it was the high asking price of TZ's leased 738's."

Well, acquiring those 737's would hurt the financial point of view, considering HP still has to pay off those government loans. And also US and HP are very different airlines so I don't think they would work well together. But US has a very strong presence in the east, where HP has a very strong presence in the west. So that would be good. Maybe a partner deal could be worked out, but not a merger.


CactusHP
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upsmd11
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Fri Dec 17, 2004 11:59 am

I think that the selling factor would be route structures here. I have always thought that the two route structures could be combined together to form a great airline. What do other people think of this?

John
 
ANNOYEDFA
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Fri Dec 17, 2004 12:39 pm

I think they would make a great airline also. It's unfortunate but I think US is just in too much debt for HP to even bother. If US goes under they can just pick up the pieces. Both of their 75's have RR engines and the 8 door config. I believe their Airbuses have the same engines. I think the 321 could be returned and the older 73's also. A 319/20 and 757 operation would be nice along with all those CRJ's that I love!
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Azul320
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Fri Dec 17, 2004 3:25 pm

Dumb merger...
US is too comitted to the East Coast and HP is too comitted to the West Coast, what will bridge the divide? I think US already made that mistake when they acquired PSA in the 80s by dropping ALL the PSA routes soon after and not implementing PSAs simplized fare structure.
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ANCFlyer
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Fri Dec 17, 2004 3:36 pm

US is too comitted to the East Coast and HP is too comitted to the West Coast, what will bridge the divide?

New HP/US hub at STL?  Nuts
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yokohama1970
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RE: Would A US-HP Merger/partner Be More Feasible

Fri Dec 17, 2004 6:15 pm

As an AWA ramper in PHX, please no merger or bids for anything US Airways has to offer! We have our own issues to take care of first!

The AWA-ATA deal was more substantial than I would have ever imagined! But, I found out about the details from Wall Street. It took AWA Corporate Communications a few days to inform the employees of the same details.


Annoyedfa,

True, both AWA & US 757-200's use the Rolls Royce RB-211 high bypass turbofan engines.

However, AWA uses the IAE V2500 series engines on the A319/320.
US uses the CFM 56-5 series engines on their A319,320 & 321 aircraft.

Tom

http://www.cfm56.com/news/press/cfm97-21.htm

[Edited 2004-12-17 10:25:45]
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Byrdluvs747
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Sat Dec 18, 2004 2:30 am


US is too comitted to the East Coast and HP is too comitted to the West Coast, what will bridge the divide?


The divided is already bridged. HP already has flights to RDU from LAS/PHX. Shouldn't be too hard to add CLT. HP and US already share gates at LAX-T1 .

The 747: The hands who designed it were guided by god.
 
ANNOYEDFA
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Sat Dec 18, 2004 2:35 am

ANCflyer- LOL as soon as I read that post I said STL. It would be a perfect airline. Just like if CO and Eastern were merger properly. It would be close to the same. At the time CO was a west coast carrier with hubs in DEN,LAX,HNL and what IAH? Eastern had the east coast all they would of needed was a mid-west hub.
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Azul320
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Sat Dec 18, 2004 2:43 am

Yea cool...but it aint going to happen.
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F9Animal
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RE: Would A US-HP Merger/partner Be More Feasible

Sat Dec 18, 2004 3:01 am

I think HP and US would be a disaster at this point. The costs alone would be mind boggling. Employee relations would become worse, as seniority, and benefits would be a source of problems. Then comes the conversion of aircraft. Painting, and cabin upgrades to the airlines choice. Then the costs of converting the computers to one CRS. Then comes route fixin', and determining where the HQ would be. Then you got all the res centers, who would get cut where? Then comes the union battles. Who would represent who? Oh man.... What a mess!!!

Either airline has the money available for this type of transaction. I think it would be a great idea, but only if both airlines were in better health.



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Tango-Bravo
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Sat Dec 18, 2004 7:57 am

A US-HP merger would go down as the greatest disaster in the history of airline mergers/partnerships. Thankfully, for the sake of HP, it will not happen unless Doug Parker (HP CEO), his associates and the HP BOD were to do an about face and totally take leave of their senses.
 
kim777fan
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Sat Dec 18, 2004 8:40 am

Why would HP want to do it anyway??? Their brand is on the rise in this country and they are somewhat healthy in relation to the US industry in general. Why would they tie themselves to a sinking ship like US??

A stupid merger like this would in all likelyhood signal the end of BOTH carriers.
 
flyibaby
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RE: Would A US-HP Merger/partner Be More Feasible Now?

Sat Dec 18, 2004 9:10 am

AnnoyedFA, the merger of Eastern and CO would have been wierd especially since both were owned at the same time by Texas Air Group who then was ran by Frank Lorenzo and Bob Ferguson (<--who finally killed Midway.)

HP should bid to take over the CLT operations if US goes Chapter 7 because the market is so Lucrative, especially for a lost cost carrier. HP still offers a FC which is rare for LCC's so I am sure they would be a big hit in CLT. The difference in engines shouldn't be a huge problem for HP if they wanted to go after the A319-A320 fleet too. Midway did this with their 737-737G out of RDU. All that is needed upfront is the differences training for the pilots and mechanics, and if nothing else, keep a percentage of the US mechanics on as contract workers until the HP mx team is fully trained in that engine type.

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