Quoting mesaflyguy (Reply 23): All I have to say is that I sincerely hope CLT and PHL better stay intact. Otherwise we on the east coast are screwed. |
I doubt either would stay "intact," as in "no change," but both would definitely still be hubs. The key with all of US' hubs - but in particular
CLT and
PHX - is that their economics are to a certain extent built upon US' low costs, particularly labor. Once that goes away, which would happen overnight once the
AA-US union MOUs kicked in, it would instantly render some portion of the flying at all of those hubs unprofitable.
Some
AA hubs (in particular
ORD) are in the same boat, but in the opposite direction - they have been struggling for years because the costs were too high, not artificially inflated because the costs were so low.
Nonetheless,
CLT and
PHL are both exceptional hubs, and hubs that
AA could not ever replicate on its own anywhere else. Both have immense value, and would no doubt remain very large and vibrant hubs if a merger occurs.
I don't see it as debatable.
PHX is going to get cut. Big. I just don't see any way around it. The economic realities are simply inescapable.
Quoting CIDFlyer (Reply 24): But with AA in CLT and PHL it will provide good competition to DL and UA. AA will finally be a major force along the east coast when you toss DCA in there as well. |
Absolutely. A combined "new AA" would be a huge force along the east coast, with hubs well placed from NYC to MIA, with PHL, DCA and CLT in between. AA would be either #1 or #2 in 3 of the 4 major northeast business markets, and an entirely sufficient #3 in NYC (AA with a hub in PHL need not carry as many people through NYC as DL and UA, both of whom rely on it as their primary northeast and Atlantic hub).
Quoting mah4546 (Reply 26): As long as US doesn't mess with AAdvantage and doesn't bring it's customer-is-always last customer service mantra, I'm all for it. |
That has been my position from the day Parker cut the deals with the
AA unions. I have no particular problem per se with him taking the helm at a merged
AA, along as he doesn't try and turn
AA into US.
Well too late then.
The thing that has largely been responsible for making money at US has been bankruptcy-era labor contracts that have allowed them to maintain lower fares, and capacity, that would never be sustainable at the costs of their post-bankruptcy and post-merger peers.
Quoting mah4546 (Reply 39): It's around 160 flights, but even then, that capacity doesn't need to move to LAX, and I doubt it ever will. It's simply largely capacity that will likely go away. DFW is the real threat to PHX. It handles most of the connection flows that PHX currently needs to handle for US, except better. Intra-West is a lost cause against AS and WN. LAX won't grow at the expense of PHX, it will simply grow as AA puts more emphasis on growing it organically, continuing what AA started in spring 2011. |
Absolutely. So many seem to focus on the inevitable reductions that are in store for
PHX if
AA and US merger, and the comparison/relationship to
LAX - perhaps because of the geographic proximity. But the reality is that the overlap between
PHX and other hubs in a combined network is far more pronounced with
DFW than with
LAX.
I still contend that if a merger takes place,
PHX will be in for substantial reductions in flights and capacity, and that most of that capacity will in fact not be backfilled or shifted to another hub, but simply eliminated altogether to account for the higher combined costs of a merged airline. However, of the flights and capacity that would be shifted to other hubs, I think it's clear that
DFW stands to gain the most from that. It handles most of the same traffic flows, has plenty of room to grow, and is a market
AA just about dominates. Beyond that,
LAX may stand to gain a little bit - not much - of incremental growth, probably from maybe 1-2 extra flights to Hawaii and/or some minor additional domestic flying (like
PIT). And
ORD might actually pick up some of the displaced
PHX capacity as well - connections to/from the Pacific Northwest that US now forces over
PHX could in many cases be better handled - at least geographically - over
ORD.
Quoting rwy04lga (Reply 43): What will happen to AA/US at LGA? Will US migrate to Terminal B and leave Terminal C all to Delta? Who currently at Terminal B could switch places with US at Terminal C? There's not enough room at Terminal C for a combined AA/US operation. |
LGA is one of only two airports in the entire combined system (the other being
LAX) where combining gate space would pose a bit of a challenge.

A shell that is still one of the largest hubs in the U.S.
Quoting jfklganyc (Reply 47): Quoting rwy04lga (Reply 43):
What will happen to AA/US at LGA? Will US migrate to Terminal B and leave Terminal C all to Delta? Who currently at Terminal B could switch places with US at Terminal C? There's not enough room at Terminal C for a combined AA/US operation.
I can see B6 taking US gates at Terminal C.
UA, US, and AA will come to an agreement at the CTB. |
I think that's probably right. I suspect that if
AA and US merge, with regard to the
LGA gates they would probably try and strike a "grand bargain" with
UA and the PA to consolidate ops in the CTB. If
UA was out of C,
AA+US could probably fit in C-D.
[Edited 2013-02-06 19:59:37]