Topic Author
Posts: 171
Joined: Thu Jul 12, 2001 10:24 am

United + US Air

Mon Jul 16, 2001 7:38 pm

r these two airlines (united and us air) going to merge?
if so when
QF743INTL  Smile
United Airline
Posts: 8836
Joined: Wed Jan 10, 2001 5:24 pm

RE: United + US Air

Mon Jul 16, 2001 9:34 pm

Actually, I been thinking of this again and again. And I seeked advise from both Managing Directors of Morgan Stanley Dean Witter (Hong Kong), as well as Standard and Poor. And they both believe that the merger will probably go through. At least 60% chance.

Anyway, let's see.

Hope this helps.
Posts: 3967
Joined: Fri Apr 21, 2000 5:03 am

RE: United + US Air

Mon Jul 16, 2001 10:40 pm

THe merger will almost certainly not go through. United Airline has an internship that gives him a financial interest in the matter, something he ought to disclose when making these kinds of statements.

United Airlines can no longer afford the merger due to the drastic 2001 drop-off in high-fare business travel, and the weakening of US Airways' share value. United wants out. UA agreed last week to go through the motions of seeking regulatory approval, because US Airways threatened to sue them for walking away before the agreed-upon walk-away date (August 1). Even then UA has to pay a $50 million breakup fee, unless the Justice Dept rules that the merger has antitrust problems, which is very likely.

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