Last edit by: JDiver
MODERATOR GUIDEPOST
The AA - US merger was approved by AMR creditors and the boards of directors of both airlines on 13 Feb 2013, and announced the 14th.
There is no further speculation about whether the merger will occur; all that is pending is approval from the bankruptcy court and the regulatory authorities.
American Airlines and US Airways approve merger: just the facts, please outlines the facts we know;
AA - US Merger Agreement / Announcement Discussion (consolidated) is the thread for discussion of the announced merger.
The AA - US merger was approved by AMR creditors and the boards of directors of both airlines on 13 Feb 2013, and announced the 14th.
There is no further speculation about whether the merger will occur; all that is pending is approval from the bankruptcy court and the regulatory authorities.
American Airlines and US Airways approve merger: just the facts, please outlines the facts we know;
AA - US Merger Agreement / Announcement Discussion (consolidated) is the thread for discussion of the announced merger.
ARCHIVE: US LCC & AMR / AA Takeover / merger Rumors and Discussion (consolidated)
#3706
Suspended
Join Date: Nov 2004
Location: London
Programs: BA GGL, AA 1MM LT GLD, SPG PLAT, National Exec Selc, Hilton Diamond, Hyatt Plat, Marriott Silver
Posts: 8,278
Exactly. The kind of heavy flyers that are not on FT value routes, times, reliability. Essentially they want to get wherever they are going as quick as possible. They don't place this uber importance on a smiling FA, or a certain type of liquor available or whether the sundaes are pre made. Yes, they have interests including the inflight experience, the IFE system, lounges, etc. but for them its more a function of get me there ASAP with as many options as possible.
#3709
Suspended
Join Date: Sep 2006
Programs: AAdvantage PP
Posts: 13,913
I'm not so sure certain road warriors are even aware of some of the soft stuff. Heck, most of them have no idea what kind of a/c they are even on. They generally stick with on airline, usually the one that has the most robust service, and would have no idea what the other guys offer.
#3710
Join Date: Apr 2004
Location: BOS
Programs: Marriott LTG, HHonors Diamond, Nat'l Exec
Posts: 3,580
Star has been taking a beating over the past couple of years. With a BK exit and the soon-to-be announced departures of US/JJ(/and likely TP) for OW. Despite having more airlines in their alliance, I cannot think of a single reason why Star would still be better than OW. I guess, maybe if you are going to China or Mongolia. That aside, there are some major holes in the Star route map. IMHO, OW acquisitions now represent quality over quantity. This seems to be lacking at the other two alliances, which will take just about anyone.
OW is the only alliance without a Korean carrier. It's the only alliance whose US carrier doesn't maintain an Asian hub. Those are all competitive disadvantages. That's not to say there aren't advantages -- South America, obviously, being one -- but if given a choice between an alliance strong in Europe and Asia, and another strong in South America and Oceania, more people are going to choose the former.
As for the "quality over quantity" argument: AirBerlin.
#3711
Join Date: Dec 2006
Location: ORD
Programs: AA EXP,2MM, DL Gold,Starwood PLT
Posts: 3,876
In fact, the publicly available data show that Delta does not get any additional significant revenue per mile above AA's levels despite DL's perceived stinginess with frequent flyer benefits.
In the aggregate, DL's mainline yield last year was all of $.0005/mi higher than AA's mainline yield. In the aggregrate, that yield differential was worth just $85 million to Delta. DL's 2012 pre-tax, pre-profit-sharing profits of well over $2 billion were driven by lower costs and DL's superior regional jet revenues (where AA should begin to catch up with the expansion in 2-class large RJs).
In the aggregate, DL's mainline yield last year was all of $.0005/mi higher than AA's mainline yield. In the aggregrate, that yield differential was worth just $85 million to Delta. DL's 2012 pre-tax, pre-profit-sharing profits of well over $2 billion were driven by lower costs and DL's superior regional jet revenues (where AA should begin to catch up with the expansion in 2-class large RJs).
Last edited by grahampros; Feb 13, 2013 at 1:02 pm
#3712
Join Date: Dec 2006
Location: ORD
Programs: AA EXP,2MM, DL Gold,Starwood PLT
Posts: 3,876
I'm not so sure certain road warriors are even aware of some of the soft stuff. Heck, most of them have no idea what kind of a/c they are even on. They generally stick with on airline, usually the one that has the most robust service, and would have no idea what the other guys offer.
#3713
Join Date: Jan 2013
Posts: 4
The US Y product is actually not that bad. I flew SFO-PHL and a few times and they did a beverage service 3 times and the seats are more comfortable than AA Y. The most I get on AA twice on a transcon. Yes, US used to suck in the past, but they suck less now.
The real fear is the change in the AAdvantage program. Sadly, I strongly feel that status and upgrades based on miles flown is going to go away very soon. It was great while it lasted.
The bright side is that US flies to TLV. Who knows whether US will keep the route our not, though, assuming they buy AA.
The real fear is the change in the AAdvantage program. Sadly, I strongly feel that status and upgrades based on miles flown is going to go away very soon. It was great while it lasted.
The bright side is that US flies to TLV. Who knows whether US will keep the route our not, though, assuming they buy AA.
#3714
Suspended
Join Date: Nov 2004
Location: London
Programs: BA GGL, AA 1MM LT GLD, SPG PLAT, National Exec Selc, Hilton Diamond, Hyatt Plat, Marriott Silver
Posts: 8,278
I'm not so sure certain road warriors are even aware of some of the soft stuff. Heck, most of them have no idea what kind of a/c they are even on. They generally stick with on airline, usually the one that has the most robust service, and would have no idea what the other guys offer.
#3715
Moderator: American AAdvantage
Join Date: May 2000
Location: NorCal - SMF area
Programs: AA LT Plat; HH LT Diamond, Matre-plongeur des Muccis
Posts: 62,948
I thin there are many variables - for example, US Dividend Miles has four status tiers - and if the "new AA" will as well, I'd not be amazed the AA "Lifetime Platinum" becomes the new Gold, with EXP (USDM Chairman's) and whatever they'd call the 75k status flyers (USDM Platinum) devaluing the AA LTP.
It's my hope if they do this they will retain three levels, to keep status levels comparable to oneworld's three (Ruby, Sapphire and Emerald) levels. USDM members may hope not.
But, we still have no announcement, and all this will take significant time if it happens - so we are speculating and hoping.
It's my hope if they do this they will retain three levels, to keep status levels comparable to oneworld's three (Ruby, Sapphire and Emerald) levels. USDM members may hope not.
But, we still have no announcement, and all this will take significant time if it happens - so we are speculating and hoping.
Oh i think most of us most definitely notice those things. However the underline assumption here is that these things will decline for current AA flyers. I'm just not so sure about that. Despite what many seem to fear around here, i dont see Parker trying to US AA. More the opposite it what i expect to happen in many if not most cases.
#3716
Join Date: Nov 2004
Posts: 291
What I want to know is when/if the merger will bring flights to Montana. Tired of always having to rely on Alaska code shares.
#3717
Suspended
Join Date: Sep 2006
Programs: AAdvantage PP
Posts: 13,913
Oh i think most of us most definitely notice those things. However the underline assumption here is that these things will decline for current AA flyers. I'm just not so sure about that. Despite what many seem to fear around here, i dont see Parker trying to US AA. More the opposite it what i expect to happen in many if not most cases.
Now that being said, the FF system in general is and will continue to move more towards rewarding higher spenders. Where that will end up in 2-3 years is somewhat unknown. You can bet that UA and AA (merged or not merged) will be looking at how successful DL is next year in adopting status based upon dollar spend. I tend to think unless UA sees a revolt its going this way. The question is will AA remain the odd man out trying to use it as a marketing tool?
#3718
Join Date: Apr 2004
Location: BOS
Programs: Marriott LTG, HHonors Diamond, Nat'l Exec
Posts: 3,580
FFs look at programs very differently based upon their needs. As an EXP that flys almost domestic I'm more concerned about things like full meal service going away on flights less than 3.5 hours or the ability to maintain unlimited, space available complimentary upgrades for EXPs.
As for the unlimited upgrades -- I'm not sure why people are concerned that merging a carrier that offers top-level elites unlimited upgrades with a carrier that offers all elites unlimited upgrades would result in the elimination of unlimited upgrades. The industry trend in the US has been pretty universally toward that system; I'd be very surprised if it were rolled back.
#3719
Join Date: Mar 2007
Location: ABQ & RNO
Programs: AA EXP 4MM, Piper Dakota, Admirals Club, Hyatt Glob, Hilton Gold, Wyndham Diamond
Posts: 1,414
#3720
Suspended
Join Date: Jun 2012
Programs: UA PP, AA, DL, BA, CX, SPG, HHonors
Posts: 2,002
Or OneWorld carriers continue to expand capacity in Asia (particularly through the AA-JL JBA)????? Why are you assuming that the current Asian route network is stagnant. The fact that AA is growing and gaining more passengers would more logically lead to a reason to more aggressively expand capacity.
2 from ORD, 1 from LAX, 1 from DFW, and none from JFK or MIA.
So far AA's strategy with many of their JV partners has simply been more hub-to-hub. New long-haul hub-to-spoke growth has been somewhat unimpressive.
Last edited by 787fan; Feb 13, 2013 at 2:04 pm Reason: changed NRT to Tokyo.