MountainFlyer
Topic Author
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AA & US Begin Merger Talks

Fri Aug 31, 2012 1:59 pm

http://travel.usatoday.com/flights/p...losure-pact-with-american/836329/1

Quote:
US Airways announced this morning that it has signed a non-disclosure agreement with American Airlines. The agreement will allow the companies to confidentially disclose sensitive financial information to each other as they evaluate the merits of a potential merger.

I guess we all knew it was coming. Looks like AA finally decided to own up to its fate.
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KDAYflyer
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:05 pm

As long as AA emerges as the surviving entity....personally I can't stand US. I wont fly them, period. Planes are dirty and the service just plain sucks. I have flown them more than a few times and had a terrible experience on every flight. To me they are the bottom of the barrell; actually they are the black sticky stuff on the bottom.
 
bobnwa
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:06 pm

Quoting MountainFlyer (Thread starter):
guess we all knew it was coming. Looks like AA finally decided to own up to its fate.

According to A net posters there are unlimited possibilities for AA. Which one do you see AA owning up to its fate to be?
 
UAL777UK
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:07 pm

Quoting KDAYflyer (Reply 1):
Planes are dirty and the service just plain sucks. I have flown them more than a few times and had a terrible experience on every flight. To me they are the bottom of the barrell; actually they are the black sticky stuff on the bottom.

Tell us what you really think why dont you  

Whatever happens, AA will be the surviving name, what we all would like to know is whether the AA livery will change as has been suggested.

Fun and games ahead, good luck all at AA and US
 
KDAYflyer
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:10 pm

Quoting ual777uk (Reply 3):
Whatever happens, AA will be the surviving name, what we all would like to know is whether the AA livery will change as has been suggested.

I certainly hope AA's service survives the merger.

Quoting ual777uk (Reply 3):
Tell us what you really think why dont you

Sorry. I didnt mean to mince my words LOL
 
MountainFlyer
Topic Author
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:13 pm

Quoting bobnwa (Reply 2):
According to A net posters there are unlimited possibilities for AA. Which one do you see AA owning up to its fate to be?

True, there are any number of possibilities, but I gathered the general consensus was that AA and US would merge unless AA managed to stand alone. I was mostly referring to the news fodder a while back about AA potentially merging with a number of different suitors (AS, B6, F9, etc.). I think most people knew those were unlikely to happen.
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jcwr56
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:25 pm

How are you 100% certain it's AA name that remains?

Hmmm....lets see between the two who has...

* Better union/management relations?
* Better fleet?
* Better FF program?
* Better Brand Identity?
* Better Route and Hub structure?
* Better financials?

One issue, which Alliance? Does AA force US out of Star or does US force AA out of OW. This could an issue with the DoJ.

It's all speculation as of now.
 
flymia
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:32 pm

With NW/DL and CO/UA it just has to happen. I am confident the things that are actually good about AA with stay like their premium service and FF program. Also I am very confident that a US/AA airline will be called American Airlines.

Quoting jcwr56 (Reply 6):
One issue, which Alliance? Does AA force US out of Star or does US force AA out of OW. This could an issue with the DoJ.

99.9% sure its US/AA to OW. DL has Sky, UA has Star and AA will have OW. It only makes the most sense. Going to Star would make no sense for any of the airlines.
"It was just four of us on the flight deck, trying to do our job" (Captain Al Haynes)
 
iFlyLOTs
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:44 pm

Quoting jcwr56 (Reply 6):
How are you 100% certain it's AA name that remains?

Hmmm....lets see between the two who has...

* Better union/management relations?
* Better fleet?
* Better FF program?
* Better Brand Identity?
* Better Route and Hub structure?
* Better financials?

1. Probably US
2. Could go either way
3. Well, not really sure, not a member of either, but I've heard AA does
4. AA, world recognized, and has been the name of the airline for decades, plus they have an Asian presence.
5. I would say AA except for the lack of a good hub for the South East.
6. AA has more money. Bankruptcy doesn't mean that you're out of cash.

Quoting jcwr56 (Reply 6):
One issue, which Alliance? Does AA force US out of Star or does US force AA out of OW. This could an issue with the DoJ.

Oneworld. Parker has said it will be oneworld, and that way they don't lose the JV with IB and BA. US isn't a part of the LH, UA, etc. JV
"...stay hungry, stay foolish" -Steve Jobs
 
LAXdude1023
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:46 pm

Quoting jcwr56 (Reply 6):
How are you 100% certain it's AA name that remains?

Doug Parker came out and said the combined airline will be called American and the HQ will be in Fort Worth, so yes were 100% certain.

Quoting jcwr56 (Reply 6):
* Better union/management relations?
* Better fleet?
* Better FF program?
* Better Brand Identity?
* Better Route and Hub structure?
* Better financials?

To answer your questions:

Better Union/Management relations: US, but both are p**s poor.
Better Fleet: Soon to be AA, but US has some good parts to its fleet.
Better FF program: AA by a long shot.
Better brand identity: AA by a long shot
Better route and hub structure: AA by a long shot
Better financials: US
It is what it is...
 
dcaviation
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:48 pm

Quoting KDAYflyer (Reply 1):
As long as AA emerges as the surviving entity....personally I can't stand US.

In this case its going to be lots of people jumping the ship to DL or UA.

I hate AA with the passion and I love US. However, if these two merge I will not fly with US anymore (no matter if they will be called US or AA).
 
seatback
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:50 pm

Quoting jcwr56 (Reply 6):
How are you 100% certain it's AA name that remains?

Hmmm....lets see between the two who has...

* Better union/management relations? TOSS UP
* Better fleet? WITH AA'S PLANES ON ORDER....AA
* Better FF program? NO DOUBT...AA
* Better Brand Identity? AA BY FAR
* Better Route and Hub structure? AA
* Better financials? TOSS UP. AA HAS A BOAT LOAD OF CASH, EVEN IN BK.

One issue, which Alliance? Does AA force US out of Star or does US force AA out of OW. This could an issue with the DoJ. AMERICAN WOULD REMAIN IN OW. THEY'RE A FOUNDING MEMEBER WITH A HUGE AMOUNT OF INFLUENCE. MEMBERSHIP INTO STAR WOULD BE TOO MUCH COMPETITION WITH UA

It's all speculation as of now.

Although it may be a US management team, there's no doubt that the "American" name will survive along with current hubs and DFW as its world HQ.

As far as a HQ in Dallas, the facilities on Amon Carter are huge and more than adequate to be the home. Also, DFW is a metro area that is more suitable for an HQ.
 
phxa340
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:50 pm

Quoting jcwr56 (Reply 6):
How are you 100% certain it's AA name that remains?

Hmmm....lets see between the two who has...

* Better union/management relations?
* Better fleet?
* Better FF program?
* Better Brand Identity?
* Better Route and Hub structure?
* Better financials?

Considering Parker has said it will be the AA name that remains , I would put my money on that.

1. US hasn't even merged its two pilot groups and yet they still have the better relationship - sad isn't it
2. Fleet goes to AA , after their 737 and A32X deliveriesd begin it will be vastly newer and more efficient than US' - not to mention they have way more widebodies for international
3. AAdvantage is consistently voted the best FF , as a user of US' - it royally sucks (Admin Fees galore)
4. AA is better known than US , if fact in Asia , some might have never seen a US widebody in the last 10 years
5. AA also has the better hub and route structure overall but debatable
6. Financials - Are we talking future potential ?

Why would they want to keep the US name ....
 
seatback
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:52 pm

In a merger scenario, why would the new entity take on US' lower cost structure? Won't AA's cost structure, once it emerges from BK be even better (lower) than US'?
 
jetdudetim
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:57 pm

"1. US hasn't even merged its two pilot groups and yet they still have the better relationship - sad isn't it "

First of all, I am very, very pro union. But it surprises me that in 2012 anyone would still believe that management could change this.

Management cannot force the unions to come to an agreement. The unions have to do this. At this point a merger would be the best way to handle this, as it brings in a 3rd party, to whom, hopefully the other union (s) will agree to work with.
 
phxa340
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 2:59 pm

Quoting dcaviation (Reply 10):
In this case its going to be lots of people jumping the ship to DL or UA.

Either way , DL and UA are both going to be benefactor to gain some elites that don't like how this potential merger settles out.

Quoting MountainFlyer (Thread starter):
Looks like AA finally decided to own up to its fate.

Merger talks my friend , not merger announcement, AA can always walk if they have their creditors backing. Merging these labor groups is going to be a nightmare, good luck with that Parker - your going to need it.
 
brilondon
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 3:02 pm

Quoting jcwr56 (Reply 6):
How are you 100% certain it's AA name that remains?

Hmmm....lets see between the two who has...

* Better union/management relations?
* Better fleet?
* Better FF program?
* Better Brand Identity?
* Better Route and Hub structure?
* Better financials?

One issue, which Alliance? Does AA force US out of Star or does US force AA out of OW. This could an issue with the DoJ.

It's all speculation as of now.

Those questions are all going to be speculation and answered with only people's opinions without any real facts to back up what is said, as usual on A-Net.

Quoting iFlyLOTs (Reply 8):
I would say AA except for the lack of a good hub for the South East.

They could revive RDU I suppose but they have MIA.
Rush for ever; Yankees all the way!!
 
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OzarkD9S
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 3:09 pm

Quoting phxa340 (Reply 15):


Merger talks my friend , not merger announcement, AA can always walk if they have their creditors backing. Merging these labor groups is going to be a nightmare, good luck with that Parker - your going to need it.

The simple, logical and fair thing to do is simply Date Of Hire. No nightmare if done correctly.
Next up: STL-OAK-RNO-LAS-ICT-STL
 
ckfred
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 3:12 pm

Quoting jcwr56 (Reply 6):
* Better union/management relations?
* Better fleet?
* Better FF program?
* Better Brand Identity?
* Better Route and Hub structure?
* Better financials?

One issue, which Alliance? Does AA force US out of Star or does US force AA out of OW. This could an issue with the DoJ.

The AA name and brand has been around since the days of the DC-3, while Allegheny changed its name to US Air after deregulation. Further, AA is the dominant carrier in Latin America and has an Asian presence. It would be just plain stupid to make the surviving carrier US.

If US and AA merge, I get the feeling that UA would push to have AA/US dropped from Star, if it tried to stay. AA/US would be almost the same size as UA, and that means a lot more people trying to get seats to Europe and Asia.

Quoting dcaviation (Reply 10):
In this case its going to be lots of people jumping the ship to DL or UA.

I hate AA with the passion and I love US. However, if these two merge I will not fly with US anymore (no matter if they will be called US or AA).

Really? You like US. I know people who hated US, when it was Allegheny. I know people who were loyal to Piedmont, then swore off US, after the merger, because US management ditched every good think about Piedmont.

My father-in-law used to fly US, when it had a DAY hub. When he moved to Atlanta and starting flying DL, he couldn't believe how much better DL was.

I know people who lived in Phoenix and were loyal to HP. After the merger, they noticed that HP was slipping into the US mindset. They now fly AA, UA, and WN.

I have been loyal to AA going back to the days of regulation.
 
lhcvg
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 3:14 pm

Quoting brilondon (Reply 16):
Those questions are all going to be speculation and answered with only people's opinions without any real facts to back up what is said, as usual on A-Net.

It's probably safe to say AA's FF and brand identity are both superior to US. Union/mgmt relations is just poor on both ends, so that's a push - the only exception being Parker's "deal" with the AA unions, whatever that's worth. That leaves fleet, routes/hubs, and financials as debatable and subjective.
 
seatback
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 3:15 pm

Quoting brilondon (Reply 16):
Those questions are all going to be speculation and answered with only people's opinions without any real facts to back up what is said, as usual on A-Net.

I don't know that the topics as noted above (better hubs, FF programs etc...) are that debatable. The facts are the facts and aren't really subject to opinion.

Quoting brilondon (Reply 16):
They could revive RDU I suppose but they have MIA.

Why in the world would they do that with CLT??

BTW, a CLT hub and a Miami hub serve two different purposes and needs.
 
phxa340
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 3:17 pm

Quoting OzarkD9S (Reply 17):
The simple, logical and fair thing to do is simply Date Of Hire. No nightmare if done correctly.

Considering the US East Pilots wouldn't even succumb to BINDING arbitration .... way easier said than done. Like I said , this is going to be a labor bloated company with a hostile workforce (Towards management)
 
tommy767
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 3:47 pm

As they say, LET'S GET IT ONNNNN!!!!

Quoting KDAYflyer (Reply 1):
Planes are dirty and the service just plain sucks. I have flown them more than a few times and had a terrible experience on every flight.

Had the same experiences with AA -- dirty old planes, pissed off crews, constantly feeling like crap whenever I got off their planes. As an AA gold they had me match status to Delta on my hands and knees in 2008. Then they merged with NW and were still good, but harder to upgrade and things got a bit hokey at times. Now I fly UA the most as I can fly PMUA and more widebody metal from EWR (despite UA being a giant mess themselves.)

Quoting KDAYflyer (Reply 4):
I certainly hope AA's service survives the merger.

At least up front. Back in Y they both suck with AA having a slight advantage because they offer comp IFE on domestic flights.

Network wise, it's not a bad pair up:
DFW: US's wet dream, ultimate optimized hub with Airbus metal coming in from both sides. S80s will be finally gone.
ORD: Small RJ's replaced by airbus metal to compete with UA, S80s finally gone here too.
CLT: Another mega hub, major financial center. Can't see it being trimmed in favor of MIA.
MIA: Will focus on their strengths -- building up MIA further to be king in Latin and South America.
PHL: AA can finally scale back their non profitable JFK domestic activity and focus on the high O&D PHL hub.
JFK: I can see T-8 being sold off with AA keeping a small hub presence with reliance on their OW partners.
LAX: Same function as now. Hopefully the CR7s can be replaced by Airbuses.
PHX: Mixed bag. I'd say it has a high chance of being trimmed as it's wedged between profitable LAX and DFW. PHX is a junk yields mecca.


I think they will hand Asia off to JAL. This merged airline doesn't stand a chance to compete with Delta or United in NRT.
"KEEP CLIMBING" -- DELTA
 
deltaffindfw
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 3:47 pm

Quoting phxa340 (Reply 21):
Considering the US East Pilots wouldn't even succumb to BINDING arbitration .... way easier said than done. Like I said , this is going to be a labor bloated company with a hostile workforce (Towards management)

I thought that laws were changed after the US-HP merger that now force binding arbitration on new mergers. That was something I thought Doug Parker said months ago as a benefit to a merger. It would solve the pilot issue.
 
HPRamper
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 3:53 pm

Quoting seatback (Reply 11):
Also, DFW is a metro area that is more suitable for an HQ.

Metro size really has very little to do with it. For a hub, yes...for HQ no.

Quoting LHCVG (Reply 19):
Union/mgmt relations is just poor on both ends, so that's a push - the only exception being Parker's "deal" with the AA unions, whatever that's worth.

The unions at US don't really have much of a beef with management, the problem is infighting between the unions. Make that only two of the unions. The problem is much overblown and overstated...the pilots of the two unions don't even have issues with one another. It's a dispute on the overall union level. The environment at AA is *FAR* worse.
 
LAXdude1023
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:01 pm

Quoting HPRamper (Reply 24):
For a hub, yes...for HQ no.

I dont necesarily disagree, but the facilities at DFW are worlds ahead of what US has in Tempe.
It is what it is...
 
PRAirbus
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:02 pm

Let's hope AA initiates merger and not US...AA really has some aggressive and innovative fleet plans (IFE/PTV, etc). USAirways fleet SUCKS!!!! IFE on just very few planes!!!   AA fleet plans are right on track! I was hoping for AA/B6 merger instead of US. Well...we still do not know, let's see... :O
 
questions
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:10 pm

Are there any potential/likely assets to be divested in a AA/US merger to pay down debt?
 
tommy767
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:16 pm

Quoting questions (Reply 27):

T-8 at JFK is my first assumption.
"KEEP CLIMBING" -- DELTA
 
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rotating14
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:18 pm

I heard a while back that if the merger did go through, the aircraft AA has on order would be fulfilled plus the options. It sounded far-fetched to me but I thought I'd ask. Anybody know something??
 
Italianflyer
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:28 pm

CNBC had a talking head/analyst on this morning and he actually had an interesting point. Doug and pals have every intention of running the combined Company...but Horton & friends have no intention of stepping aside. His take: whos team is in control will be the elephant in the living room when it comes to making this deal happen.
 
flyby519
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:32 pm

Quoting tommy767 (Reply 28):
T-8 at JFK is my first assumption.

Thats surprising. Why would AA get rid of T-8??
These postings or comments are not a company-sponsored source of communication.
 
traindoc
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:36 pm

If US is the acquirer, will they not impose their way on AA? If their management keeps with the US philosophy, then all the good things of AA will disappear. To the victor go the spoils. And then there is the pilot issue. If they haven't merged the HP and US pilot groups after SEVEN years, will bringing a third pilot group work?

Ultimately the merger (or not) will be decided by Wall Street. And Wall Street does not care about the end result, that is the merged airline! Their only concern is how much money they can make off the deal.
 
C010T3
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:46 pm

Quoting traindoc (Reply 32):
If US is the acquirer, will they not impose their way on AA? If their management keeps with the US philosophy, then all the good things of AA will disappear. To the victor go the spoils. And then there is the pilot issue. If they haven't merged the HP and US pilot groups after SEVEN years, will bringing a third pilot group work?

Ultimately the merger (or not) will be decided by Wall Street. And Wall Street does not care about the end result, that is the merged airline! Their only concern is how much money they can make off the deal.

I don't think they will. Parker doesn't have the Smisek-syndrome. We have the culture on the corporate side and on the customer service side. Of course they influence each other, but I think that what will tried to done is work on the purely corporate side, trying to change little of the customer experience.
 
bobnwa
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:47 pm

Quoting rotating14 (Reply 29):
I heard a while back that if the merger did go through, the aircraft AA has on order would be fulfilled plus the options. It sounded far-fetched to me but I thought I'd ask.

Where did you hear that a while back? Another Anet rumor?I don't think either AA or US has made any statement regarding future fleet plans if they combine.
 
jcwr56
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 4:52 pm

Quoting traindoc (Reply 32):
Ultimately the merger (or not) will be decided by Wall Street. And Wall Street does not care about the end result, that is the merged airline! Their only concern is how much money they can make off the deal

I totally agree, but WS will look at everything I stated above and place its bets on who they believe will run the organization to produce profits for shareholders.

Does Doug have it or does Horton? One key piece that is seldom discussed in mergers are Ego's.
 
ldvaviation
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 5:10 pm

Quoting MountainFlyer (Thread starter):
I guess we all knew it was coming. Looks like AA finally decided to own up to its fate.

So Parker finally signed the NDA. Big deal! Especially in light of the news that AA is talking to some hedge funds with the intent of securing $2 B in exit financing.

Where's Parker's $2 B?

Edited to add: If this is a straightforward purchase of AA, Parker would actually need about $6 B, plus a 10% premium. Issuing stock in the old US Airways probably won't cut it.

[Edited 2012-08-31 10:23:20]
 
MAV88
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 5:30 pm

Quoting tommy767 (Reply 22):
At least up front. Back in Y they both suck with AA having a slight advantage because they offer comp IFE on domestic flights.

Network wise, it's not a bad pair up:
DFW: US's wet dream, ultimate optimized hub with Airbus metal coming in from both sides. S80s will be finally gone.
ORD: Small RJ's replaced by airbus metal to compete with UA, S80s finally gone here too.
CLT: Another mega hub, major financial center. Can't see it being trimmed in favor of MIA.
MIA: Will focus on their strengths -- building up MIA further to be king in Latin and South America.
PHL: AA can finally scale back their non profitable JFK domestic activity and focus on the high O&D PHL hub.
JFK: I can see T-8 being sold off with AA keeping a small hub presence with reliance on their OW partners.
LAX: Same function as now. Hopefully the CR7s can be replaced by Airbuses.
PHX: Mixed bag. I'd say it has a high chance of being trimmed as it's wedged between profitable LAX and DFW. PHX is a junk yields mecca.


I think they will hand Asia off to JAL. This merged airline doesn't stand a chance to compete with Delta or United in NRT.

In terms of just the cities, Charlotte and Phoenix are easily the 2 least important ones as just cities go. Charlotte holds its value due to its location. It will be an important factor in the combined airline's network due to that fact.

[Edited 2012-08-31 10:41:47]
 
spiritair97
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 5:31 pm

Quoting KDAYflyer (Reply 1):
personally I can't stand US. I wont fly them, period. Planes are dirty and the service just plain sucks. I have flown them more than a few times and had a terrible experience on every flight. To me they are the bottom of the barrell; actually they are the black sticky stuff on the bottom.

I'm the complete opposite. I don't trust AA at ALL. They don't screen all their cargo, and it doesn't sit right with me. They fly old, beat up planes with bad interiors (aside from the 738s). I love US and fly them whenever I can.

I really hope they don't merge, as AA will emerge and the world wil lose a very good airline. US shouldn't let AA drag them down with them.
 
brooklynchris13
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 6:03 pm

http://travel.usatoday.com/flights/s...e-step-closer-to-merger/57477908/1


"Nothing in the non-disclosure agreement prevents American from discussing a merger with another airline. It just can't disclose details of its US Airways merger talks with a third party. In fact, at least one other airline has signed a confidentiality agreement with American, the company said in a note to American Airlines managers Friday."

I find it very interesting that no one has started trying to figure out who the other player might be. Everyone just jumped down the US rabbit hole and started the same old arguments again. Any thoughts on who the other non-disclosure might be with?
"Be the change you want to see in the world" (mg)
 
miaami
Posts: 613
Joined: Thu Jul 12, 2007 2:27 am

RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 6:13 pm

Quoting brooklynchris13 (Reply 39):

"Nothing in the non-disclosure agreement prevents American from discussing a merger with another airline. It just can't disclose details of its US Airways merger talks with a third party. In fact, at least one other airline has signed a confidentiality agreement with American, the company said in a note to American Airlines managers Friday."

I find it very interesting that no one has started trying to figure out who the other player might be. Everyone just jumped down the US rabbit hole and started the same old arguments again. Any thoughts on who the other non-disclosure might be with?

Here is another party that signed a ND with AA


http://finance.yahoo.com/news/britis...s-american-airlines-164448468.html
 
mattya9
Posts: 140
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 6:31 pm

Hypothetically speaking, let's say everything works out and AA and US get married, how long would it be before we actually start seeing any changes take place? The second article mentioned it could be months or even years. I know this process is anything BUT fast, however, (again) I'm thinking best case scenario here.

OPS 5
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southwest737500
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 6:35 pm

I hope the merger doesn't happen. Never flown them, my parents flown AA all they told me was how bad the plane were and how bad the service was horrible

I fly US all the time. I'm actually almost silver and I've never had a bad flight with them
Next flight: TUL-ATL-CLT CRJ900 and MD88
 
N766UA
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 6:40 pm

I remember the days back when we used to have good choices, now it's going to be American (decent service, bad reliability, tumultuous merger ahead), United (garbage everything), and Delta (good.) Only problem is Delta can't fly everywhere, so you have a 50%+ chance of having a lousy experience and you'll have no recourse because there's nobody else to fly…

Well, I guess Southwest.
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olddominion727
Posts: 420
Joined: Mon Jan 02, 2012 8:16 pm

RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 6:53 pm

one of the few things I hate to see is AA sending their res over seas to the PIL-I-PEENS (Philippines)... I cannot understand them, they always call me "Mr. Matthews" with my first name being Matt not my last name... they are a cluster-f*ck nightmare in most situations. Though I do LOVE airlines.

My only concerned is, would a lot of routes be axed out of PHX due to LAX redundancy like HNL, LIH, KOA, OGG...

HP (US) has a much stronger calling to the west coast than AA does too. every major city from SEA-SAN has service to PHX. AA has all but pulled that...
 
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treebeard787
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 6:55 pm

Quoting southwest737500 (Reply 42):
I hope the merger doesn't happen. Never flown them, my parents flown AA all they told me was how bad the plane were and how bad the service was horrible

I fly US all the time. I'm actually almost silver and I've never had a bad flight with them

I have yet to have a bad experience on a US Airways flight, my most recent trip with them was MSP-GLA with a stop in PHL and the crew's were very good on all the flights. I can't say the same thing about AA, granted it has been several years since I last flew with AA, but US is still usually a first choice for me.
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Clipper136
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 6:57 pm

Quoting MAV88 (Reply 37):
In terms of just the cities, Charlotte and Phoenix are easily the 2 least important ones as just cities go. Charlotte holds its value due to its location.



Actually! CLT and PHX are connecting hubs. Their value to any airline is not in their O&D numbers, but in two other very important factors, one that always gets overlooked by the resident ANET armchair CEO.

1) Location......both are central to their respective geographic region in lower 48 and are able to connect many smaller points in those regions.

2) COST......both airports have the lowest CPE of any major hub airports in the US, and not just low. They are lower by a significant amount. US often reports CLT and PHX as "money makers" not due to the demand of O&D, but due to the incredible inexpensive cost to transfer a connecting passenger verses PHL, MIA, LAX, DFW, ORD or any other large hub.

CLT and PHX may never develop into the international traffic hubs of PHL, LAX or MIA that depend largely on O&D, but the roll they fulfill in an airline network cannot be easily matched many other airport. The Bottom Line $$$.
You can't beat the Experience.
 
kl911
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 7:04 pm

US livery, US name and AA service would be my choice. Cant stand the boring livery ( its not even a livery, it's nothing) AA has now, and the name is just a magnet for terrorists around the world. ( US in the name as well, but pronouncing US Airways sounds different then American Airlines in full)

[Edited 2012-08-31 12:06:39]
 
seatback
Posts: 534
Joined: Thu Mar 28, 2002 3:00 am

RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 7:13 pm

Quoting LDVAviation (Reply 36):
Edited to add: If this is a straightforward purchase of AA, Parker would actually need about $6 B, plus a 10% premium. Issuing stock in the old US Airways probably won't cut it.

This is why Doug & co. may not be in charge if a merger comes of this. I think in the end we'll see AA as the acquirer.
 
ckfred
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RE: AA & US Begin Merger Talks

Fri Aug 31, 2012 7:22 pm

Quoting HPRamper (Reply 24):
The unions at US don't really have much of a beef with management, the problem is infighting between the unions. Make that only two of the unions. The problem is much overblown and overstated...the pilots of the two unions don't even have issues with one another. It's a dispute on the overall union level. The environment at AA is *FAR* worse.

Which is why I don't understand the APA wanting a merger with US. There have been some hard feelings over the TWA/AA merger. The HP and US pilots can't agree to a combined seniority list. So, how would you combine US, HP, and AA into one list?


Quoting ItalianFlyer (Reply 30):
CNBC had a talking head/analyst on this morning and he actually had an interesting point. Doug and pals have every intention of running the combined Company...but Horton & friends have no intention of stepping aside. His take: whos team is in control will be the elephant in the living room when it comes to making this deal happen.

What will AA's unions do if AA merges with US, and Horton's management team remains in charge? The unions want a merger with US, because they think (rightly or wrongly) that they will get better treatment from Parker than from Horton, and that Parker and his team will run a combined AA/US better than Horton will run AA as a stand-alone carrier.

So, if Horton can pull off a merger with US on AA terms, you will have the headaches of a merger, with the team that is perceived as getting stand-alone AA into bankruptcy.