View Full Version : Gains predicted for US FF's


doc
May 25, 00, 6:54 am
Members of the US Airways frequent-flier program could find themselves in the unaccustomed position of winners with the pending deal going through as reported.

...Except for Southwest, US Airways is the only one of the major airlines without flights to Hawaii, which is by far the preferred destination of most frequent fliers," said Randy Peterson, the editor and publisher of Inside Flier magazine. United has daily flights to Hawaii from Chicago, San Francisco and Los Angeles.

"While US Airways' frequent-flier program has always been a competent follower," Mr. Peterson said, "it has never been a leader.
http://www.nytimes.com/00/05/25/news/financial/united-fly.html

dg1
May 25, 00, 9:31 am
Yeah, I could have redeemed points onto AA to get to Hawaii before. Now of course, I fight with thousands of other UA passengers (and employees!) for any good seat to Hawaii.

The gain is obviously more destinations, but for most major destinations you could get there from here before with US's partners. In return US FF's will give up a lot more upgrades, deal with a lot more employees in first class, etc, etc.

Maybe I can cash out my Dividend Miles (or Mileage Plus?) for merchandise http://www.flyertalk.com/forum/smile.gif

markg
May 25, 00, 12:31 pm
Hawaii?

I don't not wanna go to Hawaii! All my miles are for upgrades and US has been swell - IF this merger takes place UAL is tough to upgrade on esp from IAD so I don't not see no benefit.

MG

Jim67094
May 25, 00, 1:15 pm
Do three negatives equal one negative?

doc
May 25, 00, 2:07 pm
US Airways Group Inc. (U.N) shares were down about 6 percent Thursday, as excitement over the proposed $60 a share acquisition of the No. 6 U.S. airline by UAL Corp. (UAL.N) gave way to concerns about the hurdles the deal must overcome.
http://www.nytimes.com/reuters/business/business-airlines-usa.html

Tango
May 25, 00, 3:33 pm
If you don't book these seats one year in advance good luck!!

dg1
May 25, 00, 4:13 pm
I respect Randy but on this one I vehemently disagree. A quick but interesting comparison was posted on planebusiness.com at http://www.planebusiness.com/ubb/Forum14/HTML/000016.html

I quote snippets:


US upgrades are for 699 miles, UA upgrades are for only 500 miles. US Silver and Gold give you 4/10K and 8/10K respectively with the 2 additionals per 20K flown. UA Premier Exec still only get (wow) the same 4/10K flown that regular Premiers get. Chair Pref'd is unlimited but (get ready) 1K's still only get the whopping 4/10K.


I also read that there is no minimum mileage earned for UA.. is that true? Man, considering US's short routes, my miles would drop through the floor.

dw
May 25, 00, 4:53 pm
Originally posted by dg1:
I quote snippets:

I also read that there is no minimum mileage earned for UA.. is that true? Man, considering US's short routes, my miles would drop through the floor.


Yes, it is true that UA FFs simply do not get as many free upgrades as US FFs, but I think that has a lot to do with the program-- the elite levels among the big 3-- UA, AA, DL are pretty much the same. There are more perks offered through the smaller airlines, obviously to attract fliers: NW/CO (like 50% bonus for bottom level elite), TW (unlimited upgrades for 1st and 2nd level plus a minimum mileage of 1000/segment for all elites, PLUS the bonus), and from what I hear, US. Similary, NW, TW, and US offer confirmed first-class upgrades for full-fare Y travellers on connections-- I am not sure if the same is available from the larger carriers. (I guess this will be one benefit of DM that will be eliminated.)

But to clarify about the UA mileage issue: UA DOES give a 500 mile minimum for all mainline and United Express flights; it is United Shuttle that only gives actual mileage. I am praying that UA Shuttle will not come to the East Coast for MetroJet routes (but it probably will!).

Bear96
May 25, 00, 5:27 pm
dg1--

>Yeah, I could have redeemed points onto AA to get to Hawaii before. Now of course, I fight with thousands of other UA passengers (and employees!) for any good seat to Hawaii.<

How do you figure you will be fighting UA employees? If you are redeeming miles to go to HI on UA, you definitely go ahead of all employees travelling space available.

Chairman's Preferred
May 25, 00, 7:59 pm
I don't see what benefit could come of this for me.

The reason I love US is the lack of CPs. There has been an influx since the introduction of segment based elite status; yet there are still way fewer CPs that 1Ks.

I haven't sat in coach in a year on US Airways. While some of these are domestic connections from Envoy, must are upgraded domestic flights.

There are so many ways to upgrade, A4Coach, 7-days out for CP, or the relatively new US20 award (which I use on transcons when I don't want to risk it).

The best I can see is that it will give me a direct link to Asia if I ever go there (perhaps) and the power of *A.

Please. Janet Reno, I'm begging you. Bust this!

dg1
May 25, 00, 8:21 pm
I might end up sitting in coach once this year -- of all places, going from Tampa to Charlotte on Memorial Day. It looks like I chose the most popular flight of the day at 4pm. (I made my reservation seven months ago)

Chairman's Preferred, tell your friends in Tampa to stop taking up MY seats! <grin>

teamoverby
May 25, 00, 11:42 pm
If this merger goes forward, how will a US Gold Preferred member come out in the wash. Will things be better or worse for Gold members like me. I do not fly UA so I am not familiar with their program. Any assistance will be appreciated. By the way doc, I really find your postings helpful. You truly help those of us that are new to the fold. http://www.flyertalk.com/forum/smile.gif

dg1
May 26, 00, 9:36 am
Hello teamoverby,

Check out the link I posted above. It compares every level to the comparable level at United. The bottom line is that at every level the USAirways Frequent Flyer is better off than the United Frequent Flyer.

I believe the motto of USAirways' FFs has always been 'It's a great airline -- if it goes where you need to go.' Now we'll join United, where the motto is 'Hey, at least they go everywhere.' <grin>

doc
May 26, 00, 12:24 pm
Well, Randy's comments, and naturally I do not speak for him! http://www.flyertalk.com/forum/wink.gif, appear to relate more to the less FF rather than the more FF, and particularly the US Air Elite FF's! http://www.flyertalk.com/forum/smile.gif Hawaii alone won't do it for everyone! http://www.flyertalk.com/forum/biggrin.gif

Just my 0.02 http://www.flyertalk.com/forum/wink.gif

[This message has been edited by doc (edited 05-26-2000).]

jetsetter
May 26, 00, 1:36 pm
To Whomever Asked,
With regard to why an elite pax would be competing with UA employees for F seats...?

Several of UA's frequent flyers on this board point out that employees have been upgraded on flights...while top elite flyers were left in coach. This is of course, in general, not the policy of the airline...but rather seems to be a practice of UA's gate agents.

I find it hard to believe, but have no proof, that this takes place say to a large extent more on UA than other carriers...do other carriers perhaps quietly upgrade employees without detection by elites? It's probably like a cop flashing the badge, and not getting a speeding ticket or being able to park in areas where you usually cannot park.

I was seated next to an airline employee some time ago...forget what airline. I asked him how common it was for employees of airlines to do certain questionable things in order that they might get on a flight non-rev space-available, e.g. book dummy reservations in the computer, etc.

He told me that people did it for themself, but that they were reluctant to talk about it...and that if employee A. brought it up to employee B. they might frown on it...but each person would (for him or herself) do whatever they had to do to take care of one-self.

Another time I talked to an NW flight attendant. He said what he did was book the cheapest ticket on CO for his family...then call his friends at CO...and they would just upgrade the whole itinerary "per customer care" for free. He said this was some time ago, and he was not aware of how common a practice this was today.

Pax play games with airline tickets, and don't naively think employees don't play tricks either. After all who would no better than a gate or ticket agent...all the angles in the game.

I'm not saying its "right," but it doesn't surprise me that UA employees (and others) "hook each other up," while leaving the elite pax in coach or at the gate.

dw
May 26, 00, 8:03 pm
Not to completely step in and defend UA, since I have heard of abuses happening before...

But I think there are a lot of rumors going around on the non-UA boards... I don't think that as UA FFs you will really have upgrades taken away from you by employees right and left as some posts have impled. SAs (and the gate agents that are involved) abusing the system and taking upgrades away from paying passengers is an offense that can result in termination from the airline.

And I believe the original question in this thread related to award travel to Hawaii-- with an award ticket you would have a CONFIRMED seat in First, so you would only lose it if something went wrong, such as weather delays/cancellations or missed connections. At which point you would either have some miles refunded or receive an involuntary downgrade kit.

doc
May 30, 00, 6:24 am
More specifically, regarding the proposed merger/buyout!:

United Airlines and US Airways have touted their proposed USD$11.6 billion merger as a boon to US Airways hubs in Philadelphia and Pittsburgh and to air travelers on both coasts.

With the addition of nonstop domestic and international flights, United's acquisition of US Airways should boost Philadelphia's economy, officials said.

Airline officials said every employee of US Airways - Pennsylvania's dominant air carrier, with 5,900 Philadelphia workers and 11,600 Pittsburgh employees - will be guaranteed a job with United. United currently employs 300 in Philadelphia.

"This agreement is a significant growth opportunity for Philadelphia and your local economy," said Steve Tracas, US Airways' vice president of sales. "This agreement will foster increased business and tourism."

United plans to keep all US Airways flights and to add 10 additional nonstop flights from Philadelphia to five U.S. cities and five foreign destinations.

Overall, it will provide nonstop or one-stop service to 273 domestic and international cities from Philadelphia - 102 more destinations than US Airways currently serves from here and 114 than United serves.

The merger means more nonstop flights from the city to the western United States, Europe and the Caribbean, and better access to Asia and Latin American, the officials said. That means no more changing airlines to get to some Asian cities, Tracas said.

Pennsylvania Attorney General Mike Fisher said his office will send letters to United Airlines and US Airways, seeking their assurances about jobs and competition.

"US Airways is by far the dominant airline in the Pennsylvania market. It is my duty to ensure that its purchase by United Airlines does not violate antitrust laws and adversely impact competition in Pennsylvania," Fisher said in a statement.

"A reduction in competition from this merger could not only result in consumers paying higher fares, but it also could result in long-term economic damage if employers move their operations to areas where airline service is more available and more affordable," he said.

Under the deal, United would provide Philadelphia's only daily nonstop service to Portland, Ore.; Orange County, Calif.; San Jose; Amsterdam; Brussels; Barbados; and Vancouver, B.C. The airline also plans to add additional daily nonstop flights to Los Angeles; San Francisco; and Frankfurt, Germany.

These are some of the 64 new daily non-stop domestic and 29 new daily international flights that United plans to add nationally after the merger.

Airline officials were holding similar news briefings in other hub cities. The combined airline will have eight domestic hubs. In addition to Philadelphia, US Airways hubs in Pittsburgh and Charlotte, N.C., will have enhanced domestic service.

In Pittsburgh, where US Airways is the fifth-largest employer, United will introduce the city's only daily nonstop service to San Jose and Portland, Ore., and will add two nonstops a day to Denver. It also will add new one-stop service to several Asian and Latin American cities, officials said.

Bear96
May 30, 00, 8:05 am
UAL has said no layoffs for two years. They are apparently guaranteeing everyone a job for two years-- but note it is A job; not the job they have now in the same location. (Remember, this is the same company who in 1998, which I believe was their most profitable year EVER, surplussed several hundred flight attendants out of the HNL domicile for the sake of efficiency and cost-cutting.) It doesn't make sense for UAL to take over the carrier with the highest costs in the industry, and leave things the way they are. I think PHL will be a little better off than PIT with this, but I don't expect everyone in PHL will be able to stay there. Many will probably be told to move to ORD or SFO, where the current growth is... and then when the two-year period is over (and when did it begin-- are we already in the two-year no-layoff period, which started when this whole deal was announced?), WATCH OUT, UA/US employees...

The same thing (IMO) holds true for all this new exptic service being announced for PIT, PHL, and CLT. UA is saying they will provide all this great service to get the locals and NC/PA politicians salivating over the deal. In two years, watch for announcements about how these services are no longer profitable... PIT and/or PHL and/or CLT are no longer profitable as hubs... and so on.

Why do you need four hubs (PHL/PIT/IAD/CLT) within an hour's flying time of each other? You don't. And ORD is only about an hour's flying time from PIT. The point of a buyout is to CUT costs, REDUCE redundancies, become more EFFICIENT, do the same with LESS. Despite what UA is currently saying publicly about how nothing will be cut or changed, think about it! It just doesn't make sense.

I am not saying this is necessarily a BAD deal. But if you are a UAL os US employee, or an airline customer in PA or the North East, or a politician in PA, just don't drink the Kool-Aid yet without keeping your eyes open.

dg1
May 30, 00, 9:05 am
The two year period starts when the merger is complete -- that has been stated explicitly. What 'complete' really means -- don't know!

I wonder what happens if the EU or PA tries to block the merger but the DOJ doesn't. Does that mean in PA or Europe that United and USAirways have to fly separately but the same everywhere else? <grin>

doc
May 30, 00, 12:16 pm
DC Air, the airline to be formed as a result of UAL Corp.'s(UAL.N) purchase of US Airways Group Inc.(U.N), is expected to serve 44 airports with 222 daily departures and carry 3 million passengers a year, according to more detailed information about the new company.

DC Air will be based at Washington Reagan National Airport (DCA) and is expected to operate 111 daily round trips from there using a mix of aircraft, according to a US Airways filing on Friday with the Securities and Exchange Commission.

The airline will initially offer jet, regional jet and turboprop flights before changing to all-jet service, and its routes will be the same as most of US Airways' current routes from DCA, the filing said.

DC Air's destinations would include Albany, N.Y.; Kansas City, Mo.; Little Rock, Ark.; and Tampa, Fla.

It has already been reported that DC Air is expected to post $500 million in annual revenues and be provided with 10 Boeing 737s, eight turbo props and 19 regional jets, for a total fleet of 37 aircraft.

During a transition period, the carrier will also have hiring and training programs. When that period is over, the airline will have about 1,200 employees -- pilots, mechanics, flight attendants, check-in crews -- according to the filing.
http://www.nytimes.com/reuters/business/business-airlines-dca.html

doc
May 31, 00, 6:19 am
But one week after the UAL-US Airways deal was first disclosed many in the airline industry wonder if the deal will ever be completed:
http://www.nytimes.com/library/financial/053100united-usair.html

The complaints against United are already astronomical," said Paul K. Smid, a manager of Travel with World Express, a Chicago agency that books much of its business on United.
http://travel.wsj.com/n/SB959375736424031158-main.html

[This message has been edited by doc (edited 05-31-2000).]

lonman
May 31, 00, 11:38 am
why do we even attempt to believe any of the press the airlines pull out before a merger?
for example, didn't ac sign an agreement with aa about continuing code sharing for 10 years? i checked my calendar just the other day, and i know my 46th birthday will not occur by oct 1, 2000. also cp code-sharing with dl? turns out to be ac and dl. could this be because they have systematically eliminated all cp flights from transborder? most likely.
if i lived in phl or pit, i would prepare for the worst. as a new us silver, i will probably fly them less should they become ua. i can't fly ua any less. i haven't taken them in two years, and i fly 200,000 a year.

[This message has been edited by lonman (edited 05-31-2000).]

doc
Jun 1, 00, 7:40 am
Samuel Buttrick,airline analyst for PaineWebber, said the deal could actually mean fewer choices for consumers. The two airlines plan to sell routes at Washington's Reagan National Airport to a new company, tentatively named DC Air. But Mr. Buttrick said DC Air and the enlarged United combined would offer 8% fewer flights and as many as 15% fewer daily seats, at least at the outset, than what the airlines now offer.

"Fewer departures with smaller aircraft leads to less competition,". Some analysts doubt that UA will be able to keep its promise not to raise some basic fares.
http://dowjones.wsj.com/n/SB959856550683028196-d-main-c1.html

JayBrian
Jun 1, 00, 11:06 am
At least i'll have a chance for award tickets to Hawaii.

Jay

LAX 1K
Jun 2, 00, 4:47 pm
Sure, Airlines need to cut cost,etc.. but think about it.. US has a great dominance of the PIT and PHL markets... and I am sure they are not going to cut them out because they are too close. If you have a good market making you money.. you keep the good thing. I also think the new flights to PDX are interesting... it seems that PDX is going to turn into a mini United HUB... (I think PHL, PIT, ORD, LAX, SFO, DEN, SEA)... nice to see United expanding.... I think it will keep the US routes that are profitable.. if they reduce non-stops out of PHL or PIT, they open the doors for new competition....

doc
Jun 2, 00, 9:16 pm
The powerful pilots union at UAL Corp.'s UA said it does not support the world's largest airline's $4.3 billion plan to acquire No. 6 U.S. carrier US Airways Group Inc., a move that could hinder completion of the deal.
http://www.nytimes.com/reuters/business/business-airlines-uni.html

doc
Jun 5, 00, 6:54 am
There is another theory. "Any move by American to acquire Northwest may simply be a ploy to pile on so much potential concentration in the airline industry that no transactions end up taking place," Jim Higgins, an analyst for Donaldson, Lufkin & Jenrette wrote.
http://public.wsj.com/news/personalEmail/SB960161157174151452-SB960174941525992069.html (http://public.wsj.com/news/personalEmail/SB960161157174151452-SB960174941525992069.html)

UPDATE: Minnesota Attorney General Mike Hatch has asked the US Department of Justice to block the proposed UA-US Airways merger and said he would sue to stop it if regulators don't. ``It will force a merger phenomena to occur,'' Hatch said Monday of United's proposed acquisition of US Airways for $4.3 billion in cash. ``We're basically going to end up with 3 national carriers.''

Hatch said too much consolidation will allow ``behemoth'' companies to undercut smaller competitors and leave consumers with fewer options. He also said it will create a situation where a strike could cripple the air-traveling public.
http://www.nytimes.com/aponline/f/AP-Air-Mergers-Minnesota.html



[This message has been edited by doc (edited 06-06-2000).]

doc
Jun 7, 00, 4:04 pm
Fresh signs emerged on Wednesday that U.S. airlines are scrambling to respond to the proposed combination of United and US Airways, but the latest talks may only increase the chances that any merger deals would get a cold reception from regulators, analysts said.
http://www.nytimes.com/reuters/business/business-airlines-mer.html

drlewis
Jun 7, 00, 10:34 pm
I'm torn on whether I should be happy or sad. On one hand, UA touts increased service in the hubs, which would directly benefit me as a hub dweller. On the other hand, these new destinations could be discountined, as someone mentioned, plus, I'd be downgraded to 1K from my current CP status.

I reviewed the Unofficial United Website (link in another thread) and it seems that the benefits of a 1K are much worse than those of a CP.

I'm not getting myself too worked up, since there is still a high chance that this thing won't pan out.

doc
Jun 8, 00, 7:56 am
Some analysts and airline executives said they believed that the talks involving AMR were publicized at such an early stage to try to scuttle the UAL-US Airways deal by alarming antitrust regulators in Washington.
http://www.nytimes.com/library/financial/060800british-klm.html

U.S. airlines have reached a decisive stage where the only viable way to get significantly larger is to acquire competitors.

The skies are filled with merger talk: UAL Corp.'s agreement to buy US Airways Group Inc., AMR Corp.'s talks with Northwest Airlines, and AMR's discussions with Delta Air Lines as well.
http://public.wsj.com/news/personalEmail/SB960419221695649750-SB960433748534643574.html

doc
Jun 9, 00, 9:09 am
To quote the more knowledgable and experienced Joe B:

"Fact No. 1: The only guaranteed winners in the transaction would seem to be US Airways chairman Stephen Wolf and chief executive Rakesh Gangwal. Assuming the deal goes through and Wolf activates the change-of-control clauses of his contract, exercises his options and leaves the company, he will walk away with $71 million. Gangwal would walk with $49 million. Both joined the company in 1996.

Fact No. 2: The guaranteed losers in the transaction would seem to be Philadelphia-area frequent flyers. That's because the combined carriers would have 100 percent of the service on routes from Philadelphia to San Francisco, Los Angeles and Denver.

Fact No. 3: United is attempting to take over an airline while its own performance is deteriorating. According to Transportation Department figures released last week, United in April had the worst ontime performance (65.6 percent) among the nation's ten major carriers. It also recorded an industry-worst rating of 5.87 misplaced bags per 1,000 passengers. United also racked up a higher ratio of passenger complaints and canceled a higher percentage of its daily flights than US Airways."

deelmakur
Jun 10, 00, 2:18 am
You got it Doc. The airline was controlled by institutional investors who were under water, and very unhappy. Senior management's payoff was based on cheap options, and lots of them. While nobody expects these guys to be philanthropists, and they are entitled to make a living, their only real exit was a sale. We get stuck with UA, which is bad enough. I feel sorry for the folks who work there. While they were busy taking pay cuts, the big boys were in a hotel room somewhere, peddling the joint.

doc
Jun 12, 00, 6:16 pm
``If this goes through, it's going to be hard for other airlines not to merge. We may end up with 3 huge airlines, and I'm not sure that's in the best interest of consumers,'' said Sen. Mike DeWine, R-Ohio, chairman of the Senate Judiciary antitrust, business rights & competition subcommittee.
Rep. Jim Oberstar, D-Minn., ranking minority member of the House Transportation and Infrastructure Committee echoed the thought.
``The concentration of economic power in the marketplace limits competition and makes new entries into the market more difficult,'' he said. ``There is clearly a pattern of downsizing competition.''
http://www.nytimes.com/aponline/f/AP-United-US-Airways.html

dg1
Jun 13, 00, 1:36 pm
Watch Mr. Goodwin of UAL lie and lie and lie
http://biz.yahoo.com/prnews/000613/il_ual_usa.html

geo1004
Jun 13, 00, 2:26 pm
And watch the Wolfman get in bed with him:
http://biz.yahoo.com/prnews/000613/dc_us_airw.html

doc
Jun 13, 00, 8:20 pm
Committee Chairman Bud Shuster said the consumer effects were important but he raised the possibility that US Airways would eventually disappear with or without the UAL deal. ``The sad fact is US Airways has been hemorrhaging with losses,'' the Pennsylvania Republican said in opening the hearing. ``It's my judgement we will see US Airways in bankruptcy, if not out of business, in the coming years.''

US Airways Chairman Stephen Wolf said the airline was competing strongly and had posted good results in recent months but acknowledged there was an air of speculation about ``is there room for a mature mid-size carrier?''
http://www.nytimes.com/reuters/business/business-airlines-mer.html
http://www.nytimes.com/aponline/f/AP-United-US-Airways.html
http://washingtonpost.com/wp-dyn/articles/A51602-2000Jun13.html



[This message has been edited by doc (edited 06-14-2000).]

doc
Jun 14, 00, 10:57 am
Lawmakers also worried about the impact of the biggest merger in aviation history on smaller cities and rural areas, which could be bypassed by airline hubs concentrated in major cities.

They were joined by academics, local officials and a consumer advocate, who told the House Judiciary Committee they have serious concerns about the merger's effect on the flying public, airline employees' jobs and local communities.

The witnesses complained that increasing concentration of airline hubs has already driven up fares by reducing choice in many markets.

http://www.nytimes.com/aponline/f/AP-United-US-Airways.html
http://www.nytimes.com/aponline/w/AP-United-US-Airways.html
http://news.airwise.com/stories/2000/06/961067791.html

[This message has been edited by doc (edited 06-14-2000).]

doc
Jun 15, 00, 2:07 pm
More gains for FF's proposed, this time for TWA and AirTran folks! http://www.flyertalk.com/forum/eek.gif
http://www.flyertalk.com/forum/Forum106/HTML/000022.html
http://www.flyertalk.com/forum/Forum49/HTML/000170.html

And separately:

UAL Corp is confident it can overcome regulatory, labor and congressional opposition and complete its controversial $4.3-billion buyout of rival US Airways Group Inc., UAL's president said.
http://www.latimes.com/business/20000616/t000056998.html



[This message has been edited by doc (edited 06-17-2000).]

freakflyer
Jun 18, 00, 8:18 pm
One big gain will be for USAirways Club members (annual or lifetime) in than they will be able to almost triple the number of clubs that they will be able to enter with the card (UA's and all of UA's partners' clubs).

dg1
Jun 20, 00, 12:06 pm
Letter to US Div Miles members:
http://usairways.com/dividendmiles/usualetter.htm

doc
Jun 21, 00, 11:26 am
And the latest expression of concern is from the IAM whose leaders )International Assn. of Machinists and Aerospace Workers) will NOT support the United-US Airways takeover unless the union has “clear and concise contract language regarding seniority and job security.”
<A HREF="http://www.aviationnow.com/TwoShare/getPage?sid=-3507801992837611016" TARGET=_blank>
http://www.aviationnow.com/TwoShare/getPage?sid=-3507801992837611016 (http://www.aviationnow.com/TwoShare/getPage?sid=-3507801992837611016</A>)[/url]


AND:
James E. Goodwin told the Senate Commerce Committee that the real threat is not consolidation, but obsolescence. "If fear of consolidation stops this merger, it will keep consumers from realizing the benefits of the only national air network," he said.
http://www.washingtonpost.com/wp-dyn/articles/A38697-2000Jun21.html


[This message has been edited by doc (edited 06-22-2000).]

doc
Jun 22, 00, 1:12 pm
More on Capitol Hill UA/US rhetoric:
http://www.nytimes.com/aponline/f/AP-United-US-Airways.html
http://www.nytimes.com/library/financial/062200ual-usair.html


Alfred Kahn, who engineered deregulation as chairman of the Civil Aeronautics Board in the 1970s, said the deal could prompt a ``radical consolidation'' of the industry that would provide less incentive for airlines to undercut each others' fares.

``There is a possible jeopardy here to the many billions of dollars that consumers have been saving each year because of the competition set off by deregulation,'' said Kahn, an economics professor emeritus at Cornell University.
http://www.sfgate.com/cgi-bin/article.cgi?file=/news/archive/2000/06/22/national1842EDT0732.DTL

[This message has been edited by doc (edited 06-23-2000).]

doc
Jun 27, 00, 9:19 pm
...Johnson said that if concern about other mergers is the overriding guideline used to examine the United-US Airways deal, the government is essentially saying there must never be less than six major airlines. Following that to its logical conclusion would leave the government with the responsibility of propping up any airline that falters.
http://www.nytimes.com/aponline/a/AP-Johnson-Interview.html

AND:

"What these two carriers are trying to do, and what other two carriers consolidating are trying to do, is build their network so they offer more destinations to more people. There's been a lot of talk about whether it's a reduction in competition, but actually that's not what the airlines are trying to do. They're trying to graft together networks. They're not trying to eliminate a competitor. They're trying to complement their own network with the network of another airline. So mostly they're not acquiring competitors. It's a logical thing for the airlines to do, but whether or not the government agrees with that remains to be seen." - Mr. Carty, CEO, AA
http://www.sjmercury.com/svtech/news/front/docs/qa070300.htm





[This message has been edited by doc (edited 07-03-2000).]

MileKing
Jun 28, 00, 9:22 am
Sure, you will be able to get to more destinations after the merger, but US Preferred members who are looking for upgrades will be in for a shock. Not only does UA provide fewer upgrade certs for flying 10K miles, but upgrading as a Premier (equivalent to US Silver Preferred) is difficult. I have done very well upgrading on US at the lowest tier level and want to keep it that way. This merger is a major negative for US flyers in my view!

greg
Jun 28, 00, 12:05 pm
It's true upgrades are iffy as a United 2P (premier), but what do you expect when a single roundtrip (say Charlotte to Singapore) is almost enough to qualify someone for premier? However, I've had about a 90% rate as a 1P (premier executive), and the 1Ks I know are all close to 100%. Although United is pretty stingy with the cretificates, I've had a few occasions where some really nice agents simply handed them back to me and said this one was their treat. I used to be USAir preferred plus (now gold?), but switched to United last year because most of my travel is international and transcon. Couldn't get to Tokyo, Seoul, or Brussels on US and their transcons are limited at best- a few flights to just 5 west coast cities and the biggest thing going is a 757. United goes everywhere and they use some 3-class 744s and 777s transcon- only way to go. When I have to fly Y, at least all UA's domestic planes have 35-inch pitch. And now UA has eliminated the dreaded $5 headset fee. Absorbing USAir will open up the world to travellers all over the southeast especially- it'll really give DL a run for their money. Try getting from Charleston SC to just about anywhere overseas or the western US on anybody but DL. Sorry, but I like United.

JGill
Jul 3, 00, 2:51 pm
The merger should be interesting. I am Premier Exec on UA and Gold Preferred on US -- both the 50k levels. So, will I get 1K status next year, or just PE ??

------------------

doc
Jul 11, 00, 11:47 am
Sen. Arlen Specter said he will remain skeptical of UAs' proposed merger with US Airways until executives allay his concerns about a loss of airline jobs in Pennsylvania.
http://www.sfgate.com/cgi-bin/article.cgi?file=/news/archive/2000/07/10/national1908EDT0702.DTL

doc
Jul 18, 00, 7:35 am
The airport consultants said because the United-US Airways deal will probably not be successful due to political, regulatory and other hurdles, the need for Northwest and American to combine will dissipate. However, if United succeeds in its airline acquisition, then U.S. regulators would allow other mergers and acquisitions such as one between Northwest and American, they added.
http://biz.yahoo.com/rf/000717/n17355279.html

Art234
Jul 18, 00, 7:56 am
My guess is you will remain second tier,as I will. I also hold both US GOld and UA PE.

Originally posted by JGill:
The merger should be interesting. I am Premier Exec on UA and Gold Preferred on US -- both the 50k levels. So, will I get 1K status next year, or just PE ??

doc
Jul 19, 00, 10:08 am
The UA-US Airways deal, now under review by the Justice Department's antitrust division, whose approval is necessary before a merger could be completed, is on hold. Last weekend, the department asked the airlines for additional information to help it determine if the merger is "anti-competitive." Under federal law, Justice has an initial 30-day period to request information from merging parties and then, if more information is needed, it can extend the deadline another 20 days. In seeking added information last weekend, the department extended the deadline. The airlines have unlimited time to respond.


http://www.washingtonpost.com/wp-dyn/articles/A3234-2000Jul18.html


AND:

UA announced today that it will proceed with a $160 million plan to expand maintenance operations and overhaul existing facilities in Pittsburgh subject to approval of its merger with US Airways and the successful outcome of negotiations with local authorities.
http://biz.yahoo.com/prnews/000720/dc_united_.html
http://www.aviationnow.com/TwoShare/getPage?sid=6473896897116129301



[This message has been edited by doc (edited 07-20-2000).]

doc
Jul 28, 00, 12:10 am
"We have concluded that whatever air travelers stand to gain from the merger is outweighed by what they stand to lose," McCain said. He plans a committee vote on the resolution in September, after Congress returns from its August recess.

"We fully believe the governmental reviews will come to the positive conclusion that this merger is in the public interest and will significantly enhance domestic and international competition," US Airways said in a statement issued Thursday.
http://www.nytimes.com/aponline/f/AP-United-US-Airways.html

doc
Aug 1, 00, 7:22 am
US Airways stock is up about 50 percent from its price the day before the deal was announced May 24, but is still about one-third below the $60 a share cash price called for in the deal. Most analysts put the chance of the deal's approval at about 50%, at best.
http://cnnfn.cnn.com/2000/06/09/deals/airlines_regulation/

doc
Aug 4, 00, 10:09 am
If the deal goes through, United would quickly introduce roomier seating on US Airways planes for coach passengers who pay more. It would also shift US Airways passengers to its frequent-flier program, offer them its high-tech communications systems, and add flights from Charlotte and other cities.
http://www.charlotte.com/partners/news/briefs/docs/0804usair.htm

dg1
Aug 4, 00, 10:36 am
Whoopededoo. I can't wait till UA contacts me to try to convince me to give up unlimited upgrades for four upgrades every 10k miles and a few systemwides/NA oneway. GOOD FRIGGEN LUCK!

I have a Bank Of America USAirways Platinum Card. I guess if the merger goes through its my opportunity to try something like the Starwood card, whether or not they choose BOA or BancOne. My annual fee is due in January -- maybe I should cancel before then? (Do cards normally pro-rate annual fees if you cancel during the year?) It's too bad -- I really like the card and the service.

'So long, farewell, I think I must be going...'

doc
Aug 8, 00, 1:40 pm
Steve got the UA VIP treatment! http://www.flyertalk.com/forum/wink.gif

Mr Wolf was able to experience some of those "GAINS" firsthand, as the Washington-Paris plane carrying the US Airways CEO was canceled after several hours on the ground at Dulles, Friday. UA said the flight was finally scrubbed for a mechanical reason.

LOL! http://www.flyertalk.com/forum/frown.gif

dg1
Aug 8, 00, 2:12 pm
That's just plain messed up -- Paris being one of the few international destinations that you can get to on US, why didn't he just fly on US? No wonder why US employees are so mad at him!

deelmakur
Aug 8, 00, 4:26 pm
He lives outside Washington, and presumably even he knows you can't count on making connections at PHL.

eurousair
Aug 8, 00, 5:00 pm
Deelmakur you are right,
PHL is the worst hub for US connections.
Have missed more connections through PHL than all other US hubs together.Big problem with weather there and CLT and PIT in many respects are just better organized hubs.
Also to be fair the airport renovations have somehow eased the PHL airport experience. At least they got rid of going through security in between Concourses which was a nightmare.
Wolf must be scared by the amount of labour problems right now at UA. The worst on time numbers in the history of the DOT statistics for June under 50 %!!!!!Besides North West when they were on strike WSJ and others are openly discussing how United is destroying its own brand.Looks like the US strike scare a couple of months ago was a childrens birthday party compared to the folks there.

deelmakur
Aug 8, 00, 11:17 pm
PHL is just plain overscheduled. Add to that runway and terminal layout problems, and remember that the field is in the middle of the BOS-NYC-DCA corridor, and you have a recipe for total dysfunction. If you want a real picture, log on to http://www.fly.faa.gov. UA is currently demonstrating that it can't run it's own business, let alone the added volume from a "merger". The simple fact is USAirways is gone. There is no management or shareholder commitment to keeping it going, so if this doesn't go, they'll just find somebody else. Interestingly, the help, which historically has been at odds with management(s), seems to like this one. If you listen to them talking among themselves in terminals and onboard, they appear to be excited about their new opportunities, especially flight crews. This turkey is cooked.

[This message has been edited by deelmakur (edited 08-08-2000).]

dg1
Aug 9, 00, 9:33 am
I think US crews are expecting opportunities to more international and exotic destinations that US doesn't serve. Which brings me to a similar question -- why don't they work for UA right NOW?

I guess it all comes down to seniority -- I think both the folks at UA and US are both going to be in for a rude awakening once the sh!t hits the fan. And us passengers will feel it too.

doc
Aug 9, 00, 9:47 am
Another potential gain for US fliers! http://www.flyertalk.com/forum/smile.gif

You'll be assured that no aircraft will fly unless each potty is functional! http://www.flyertalk.com/forum/wink.gif
http://www.flyertalk.com/forum/Forum50/HTML/002645.html

mktozd
Aug 9, 00, 9:58 am
ist really too bad IF US Air becomes UAL

mktozd
Aug 9, 00, 10:11 am
Save yourselves now and redeem on AA

BillMorrow
Aug 9, 00, 8:49 pm
My flight out of PIT to PHL on Sunday was delayed due to late arriving FA's. While waiting in the gate area, my wife and I ended up sitting in a corner with 2 pilots and several flight attendants who deadheading.

I couldn't help overhearing their talk about the proposed merger. Everyone seemed happy with the idea, especially the pilots. One in particular was very excited. He seemed to think that his seniority would allow him to quickly move into a slot flying wide bodies, possibly on international flights.

Needless to say, I was quite disappointed.

doc
Aug 9, 00, 9:00 pm
Mr Wolf was able to experience some of those merger "GAINS" firsthand, as the Washington-Paris UA aircraft carrying the US Airways CEO was finally canceled after several hours on the ground at Dulles, Friday. UA said the flight was finally scrubbed for a "mechanical" reason.


Regarding my earlier post above, it is RUMOURED that some UA mechanics had actually caught wind of the fact that he was onboard and they subsequently would simply NOT release the flight. This was supposedly for less than well defined "maintenance reasons". Of course, ultimately the flight was cancelled. http://www.flyertalk.com/forum/wink.gif

Better safe than sorry! http://www.flyertalk.com/forum/eek.gif

Hard to believe that this would happen though! http://www.flyertalk.com/forum/tongue.gif

doc
Aug 10, 00, 4:31 pm
"It has been suggested that United's service difficulties will hurt the prospects for pushing through the proposed merger," Buttrick said. "It certainly can't help."
He reiterated that he believes the merger faces an uphill battle in Washington because of the intense opposition from Congress that spilled out during hearings before the House and Senate transportation committees.
http://www.chicago.tribune.com/business/businessnews/article/0,2669,ART-46244,FF.html

doc
Aug 11, 00, 9:59 am
The pilots have other concerns. They worry that routes they could fly may be assigned instead to United's commuter airline affiliates. They fear the pending takeover of US Airways will lead to US Airways pilots getting plum jobs that United pilots would otherwise receive.
http://www.nytimes.com/library/financial/columns/081100norris-col.html


The chaos in United Airlines' schedule comes at just the wrong time for a company trying to persuade federal regulators to let it get bigger. Many industry-watchers suspect the turmoil may be enough to sink the proposed $4.3 billion merger with US Airways.
http://www.nytimes.com/aponline/f/AP-United-Merger.html

[This message has been edited by doc (edited 08-11-2000).]

doc
Aug 12, 00, 10:31 pm
The weather and labor-management problems at United has produced an array of "horror stories" about traveling on United. The most colorful story about being inconvenienced by United involves its former chairman, Stephen Wolf, now US Airways chairman. Wolf was booked on United's Washington-Paris night flight on Fri., Aug. 4. After sitting on the ground for several hours, the flight was canceled for mechanical reasons, said the airline. Not so, said United sources working at Dulles. They described the incident as a job action by the pilots, who refused to fly Wolf.

On the following day, Wolf was booked on United Flight 8808 to Paris, but he canceled in person about 2 hr. prior to flight time after hearing that that flight also would be canceled if he were on board. He rebooked a flight to Paris on Air France, according to one United employee who was present. Reportedly, the pilots are angered by the proposed merger between United and US Airways.
http://www.aviationnow.com/TwoShare/getPage?sid=-4513847361353627668

doc
Aug 14, 00, 10:45 pm
Is it really going to happen?
http://www.planebusiness.com/ubb/Forum12/HTML/000294.html

ozstamps
Aug 15, 00, 3:58 am
Seems from reading this thread that the "perks" of Chairman Preferred are pretty cosy right now.

In a couple of months I'll qualify for UA 1K .. their "equivalent" level. Really looking forward to that as some of the guaranteed upgrades are clearly never in a million years "apples versus apples" compared to US upgrades, most especially on the long 15 hour flights I always have to take, to get anywhere else!

My comment is that on the UA board we have had some educated guessing at how many 1K members there were in that rarified strata.

My niave guess was from 5,000-10,000. The number that no-one seems to have much problem with is around 45,000.

So people, being used to automatic everything as it looks like on US Airways may not continue, if the merger happens.

Yes there are benefits, but due to the sheer NUMBER of 1Ks, you are really just one in the crowd to some extent!

Has anyone speculated here how many CP members there are?




[This message has been edited by ozstamps (edited 08-15-2000).]

CLTUSCHPR
Aug 15, 00, 7:00 am
Quoted from ozstamps....

"So people, being used to automatic everything as it looks like on US Airways may not continue, if the merger happens."

Really sucks, doesn't it? Hence the propaganda on the US website.

dg1
Aug 15, 00, 9:12 am
Number of Chairman's Preferreds? With the advent of segment qualification (which put me in the group and many others) I'd say around 10,000. I think deelmakur may have better numbers..

Yes, all Chairman's Preferred, even Gold Preferreds, and Silver Preferreds, heck all elites are in for a rude awakening if they haven't already investigated the UA mileage plus program. I'm just glad UA has a decent amount of partners so I can burn my future mileage plus miles without flying them!

ozstamps
Aug 15, 00, 10:00 am
c10,000 CP is cosy.

Add c45,000 1K's and assuming very little overlap there are 55,000 very top level fliers all of a sudden.

The club just got a little less cosy!

And a LOT more crowded. http://www.flyertalk.com/forum/smile.gif




[This message has been edited by ozstamps (edited 08-15-2000).]

doc
Aug 15, 00, 12:31 pm
Management, rather than deal with the looming crisis, went off on one of those acquisition tangents that end up benefiting mainly the bonding houses. They're trying to buy US Airways, a maneuver that greatly complicates labor negotiations by introducing matters such as pilot seniority and pay parity.
http://www.chicagotribune.com/news/columnists/mccarron/

spartacus
Aug 16, 00, 4:46 am
Doc, the only ones gaining here is The Wolfman and the Rag Head. Gosh, I thought Jesse Jackson sounded like Stephen Wolfe last night in LA!

deelmakur
Aug 16, 00, 10:53 am
The only thing more secret than number of Chairman Pref's is whether Metrojet makes money (I doubt it). When the category was started there were about 2000. Once folks knew it was available, that rose to over 4000. Given segment qualification, and increased transatlantic capacity (a couple of those at full fare will do it nicely), I bet dg1's 10,000 estimate is pretty good. I see a lot bag tags, and almost always get an overflow res agent when I call, all of which conspires to convince me "we are not alone out there."

doc
Aug 18, 00, 6:58 am
"By not doing so, they have set themselves up for failure since it becomes quite easy now to point out that United can't even run their own company let alone US Airways and what if this same situation would happen if United owned US Airways. It would certainly have an even bigger impact then."

-Randy Petersen
http://misc.biztravel.com/content/news_and_views/miles/miles.htm

ozstamps
Aug 18, 00, 8:36 am
Hmmm!

doc
Sep 10, 00, 8:59 am
A new contract between United Airlines and its 10,500 pilots is expected to raise costs across the industry as pilots at other carriers seek to match the record gains won at the world's largest airline.
http://biz.yahoo.com/rb/000831/business_u.html

-----

One can't help but wonder how US pilots feel about this new pending contract and the prospects for the UA/US merger?


AND:

If they made me C.E.O., I would call off the U S Airways merger. It's time for United to focus on getting its own act together, instead of embarking on highly risky operations with integration issues that will exceed problems that United saw this summer. I don't think they're up to the task of merging. If they can't handle their own pilots, they're not up to the task of acquiring another airline.
http://www.nytimes.com/2000/09/10/business/10UALL.html

[This message has been edited by doc (edited 09-11-2000).]

kilane_royalist
Sep 11, 00, 11:37 pm
As a hardway USAirways Silver (30 segments and only 23,000 miles - this with the bonuses from the spring) the UA merger looks roughly as good as having my feet bitten off by a lion.

First - USAir elite program is not wonderful - but given their short routes it is bearable. Given that most of my flights are shuttle flights, upgrades don't count for as much any way. UA's is terrible. For a long haul carrier their upgrade policy is wretched.

Second - Have you looked at the difference between the UA cc and the plat DM card? The plat gives double miles on purchases, more miles per dollar and better service.

Third - United's performance is terrible this summer - anyone who can't see that having #1 buy #6 when #1 makes only 30% of of its flights at the nadir of the summer is a huge hazard to navigation is - getting jet service to the local airport in his congressional district with flights that coincide with congress' schedule.

Fourth - The shuttle. This is the gem of US Airways - it is the flight that is beloved of more travellers who have argued with their companies travel office to get off of Delta and United. It is clean, pleasant, on time and comfortable. Which is more than can be said of its competition.

Fifth - The DC Air sweet heart deal, competition on life support - squeeze it when you need to raise fairs, give it bad equipment and hanger space. No dice, there would be no DC Air without this merger.

doc
Sep 20, 00, 2:40 pm
US Airways has been working behind the scenes to purchase the operating certificate of a defunct small airline to quickly establish a new subsidiary carrier – known as Potomac Air – before the U.S. Justice Department makes a decision on the merger.

US Airways expects Potomac Air to launch in 45 days and will operate as a US Airways Express carrier. “With Potomac Air there will be an experienced team in place and operating on Day One, when it becomes DC Air,” a US Airways spokesman told Aviation Daily . Potomac Air was incorporated Aug. 18 and is based at US Airways' headquarters in Arlington, Va. The airline put out advertisements last week recruiting for every position from pilots to office staff.
http://www.aviationnow.com/TwoShare/getPage?sid=4759890285221907029


AND:

The Commerce Committee today approved a voice vote "nonbinding" resolution to oppose the UA/US deal. Congress has no "formal" role in the federal regulators' review of mergers, yet concerns expressed may have an influence on the process.
http://biz.yahoo.com/apf/000920/united_us_.html

[This message has been edited by doc (edited 09-21-2000).]

doc
Sep 21, 00, 7:51 am
The Senate Commerce Committee passed a resolution today opposing the $11.6 billion plan by the UAL Corporation to buy the US Airways Group because of concern that it could prompt more acquisitions among airlines.
http://www.nytimes.com/2000/09/21/business/21UAL.html

doc
Sep 22, 00, 7:59 am
US Airways expects Potomac Air to launch in 45 days and will operate as a US Airways Express carrier.
http://news.airwise.com/stories/2000/09/969626342.html

doc
Sep 26, 00, 7:14 am
UAL, the parent company of United Airlines, has filed for European Commission approval for its USD$4.3bn takeover of US Airways.
http://news.airwise.com/stories/2000/09/969956625.html

doc
Sep 26, 00, 7:14 am
UAL, the parent company of United Airlines, has filed for European Commission approval for its USD$4.3bn takeover of US Airways.
http://news.airwise.com/stories/2000/09/969956625.html


AND: ``United must change its position and actively work to address the issues of concern to the flight attendants, or there will be no operational merger,'' said Linda Farrow, president of the United flight attendants' Master Executive Council.
http://www.nytimes.com/aponline/business/AP-United-Flight-Attendants.html



[This message has been edited by doc (edited 09-26-2000).]

doc
Sep 27, 00, 7:58 am
The union will take any action legally permitted to press the airline if its requests are denied and United tries to proceed with the US Airways acquisition, she said.
http://www.nytimes.com/2000/09/27/business/27UNIT.html


Patricia Friend, AFA International President, said that if the UAL, the parent company of United Airlines, proceeded with the merger without the union's support, it would experience "chaos". The union would take any legally-permitted action, "including making a nuisance of ourselves". Strikes were not likely, but picketing is scheduled today at Chicago's O'Hare airport.
http://news.airwise.com/stories/2000/09/970058168.html

doc
Oct 6, 00, 3:13 pm
Dear MARK:

We are committed to keeping you informed of changes related to the Dividend
Miles program in a forthright and timely manner.

The latest information related to the pending merger of US Airways and United
Airlines can be found at
http://www.usairways.com/corporate/uaus/index.htm .

The web site is being updated regularly, as new information becomes available, in
order to provide you with the most complete and up-to-date information. The
regulatory approval process for the merger is currently underway. US Airways and
United Airlines remain fully committed to the merger and to delivering the
significant consumer benefits that it will bring.

In addition to merger news, American Airlines has decided to end the frequent
flyer and club relationships between US Airways Dividend Miles and American
Airlines AAdvantage, and US Airways Club and American Airlines Admirals Club
programs on August 23, 2001. We are discussing a transition plan with American
and this final date is subject to change. We will keep you advised as the plan
is completed. Until the official final date is determined, the reciprocal award
redemption, combining of miles and club relationship benefits you have come to
enjoy will, of course, remain in place. The US Airways Shuttle 500 mile bonus
promotion will continue until December 31, 2000, as scheduled.

US Airways is committed to providing you with world-class service, including a
frequent flyer program that is second to none. On behalf of the 45,000 women and
men of US Airways, I want to thank you for your business and continued loyalty.

Sincerely,

B. Ben Baldanza
Senior Vice President, Marketing

doc
Oct 9, 00, 12:07 pm
Continental Airlines Inc. has offered to buy the assets of DC Air, a new commuter airline that must be sold off in United Airlines’ purchase of US Airways Group Inc., letters from Continental show.
http://www.msnbc.com/news/474256.asp

doc
Feb 5, 01, 6:15 am
USAir members, for example, would gain "from United's much richer schedule. United has more flights to Hawaii than anybody. They have more lifts to Florida," said InsideFlyer's Petersen.
http://www.sfgate.com/cgi-bin/article.cgi?file=/chronicle/archive/2001/02/04/BU115808.DTL

doc
Mar 8, 01, 11:06 am
People familiar with Justice's review say the merger plan likely will need many changes to win approval.
http://www.usatoday.com/money/mlead.htm

nologic
Mar 9, 01, 7:46 am
After we end up with 3 airlines, there will be a new wave of upstarts/alternatives.

nologic
Mar 9, 01, 7:48 am
After we have 3 airlines, there will be a new wave of upstarts/alternatives.

doc
Mar 10, 01, 8:46 am
US Airways' stock price, considered a barometer of market confidence in the deal's ultimate approval, fell sharply yesterday for a second straight day.

The Justice Department declined comment on reports in USA Today and The Washington Post that the USD$4.3 billion deal appears to be in antitrust trouble.

Transportation Secretary Norman Mineta indicated last week that an in-depth analysis will be made on the competitive aspect of all mergers.
http://news.airwise.com/stories/2001/03/984173115.html

deelmakur
Mar 10, 01, 8:59 am
As usual, the airlines are their own worst enemy. Just when they get an administration that would probably let this consolidation move forward, they manage to stir things up internally, and amid the threats by all concerned, the President has to promise he'll use federal law to keep them from shutting down the country, thus underscoring the stranglehold these guys have on the economy (not to mention, increasing his popularity with the traveling public). What an exquisite sense of timing.

doc
Mar 21, 01, 12:04 pm
USAirways Group's (NYSE:U - news) chairman said on Wednesday he will tell a congressional panel there is ``no place'' for the company in the airline industry if the government blocks its merger with United Airlines (NYSE:UAL - news).

``There is no place for us at our (current) size long term'' without the merger, said U.S. Airways Chairman Stephen Wolf.

Wolf is scheduled to testify before a subcommittee of the House Energy and Commerce Committee on Wednesday about the effects the United-USAirways merger and other proposed combinations would have on U.S. consumers.

Speaking to reporters, Wolf said the company will have to drastically cut back service if Congress or antitrust regulators of the U.S. Justice Department block the deal.
http://biz.yahoo.com/rf/010321/n21146464.html

pitflyer
Mar 21, 01, 12:47 pm
Wolf is right..

There's no place for USAirways WITH him in charge. Or even more accurately:

There's no place for Wolf in USAirways.

Throw the bum out!

deelmakur
Mar 21, 01, 6:04 pm
Evidently management is confusing its customers with its employees. Threatening service reductions has normally been reserved for the latter.

shinbal
Mar 22, 01, 5:48 am
"There is no place for US Airways without the merger."

Translation: If the merger doesn't happen, Wolf and that idiot sidekick of his lose millions in cash.

The very idea that this merger is about anything more than Wolf and Gangwal cashing out is ludicrice. I will vomit if I hear one more statement from US Airways management about how great this merger is for the traveling public.

Overall, this is a fine airline. I'm willing to be that there are some people in the industry who could make it work. But it's not Wolf....and Gangwal has nearly run it into the ground.

doc
Mar 22, 01, 8:00 am
Last year consumer complaints about airlines increased 14 percent owing to the fact that the average delay of a flight was 52 minutes.
But executives from US Airways, United and American Airlines held fast, insisting that their pending merger or buyout arrangements would actually increase competition and improve consumer services.
The market for flights among the major eastern airports would be split more evenly among three major airlines rather than two if the United-US Airways merger is approved, said Stephen Wolf, chairman of US Airways.
Currently Delta owns about one-third of the air traffic in the east, as does US Air. But without the merger, Wolf said, US Airways might very well go out of business, leaving an even less competitive environment.
However, as the United-US Air deal is now structured, with American Airlines buying about 20 percent of US Air’s routes, the eastern airline market would shake out with Delta owning about 32 percent, United about 25 percent and American going from its current market share of 7.5 percent to about 15 percent, Wolf said.
http://www.msnbc.com/news/547838.asp

doc
Mar 23, 01, 10:38 am
``Given US Airways' precarious financial position in today's aviation marketplace, the merger with United is a lifeline for US Airways employees and the many communities that rely on its service. Significantly, the merger guarantees jobs for all of US Airways' 45,000 employees, including more than 17,000 in Pennsylvania. It also ensures that the broad range of service, including international routes, which US Airways offers from Pittsburgh and Philadelphia, not only will continue, but will be expanded.''
http://biz.yahoo.com/prnews/010323/phf010.html

doc
Mar 28, 01, 4:49 pm
US Airways employees represented by the Transport Workers Union of America today announced their strong support of the merger with United Airlines and urged the Department of Justice to immediately approve the deal.

At US Airways, the TWU's Air Transport Division represents flight dispatchers (Local 545), flight simulator engineers (Local 546) and flight crew training instructors (Local 547).
http://biz.yahoo.com/prnews/010328/dcw058.html

doc
Mar 28, 01, 4:52 pm
Sorry, dup!

[This message has been edited by doc (edited 04-30-2001).]

doc
Apr 30, 01, 9:46 am
Nearly a year later, and wow have things changed or what? http://www.flyertalk.com/forum/eek.gif

Surfrider
Apr 30, 01, 11:52 am
I know you're busy doc, but things have changed, how?

The deal was always pending DOJ approval, not too far along the UA stews declared they didn't like it and still don't; Gov Ridge (PA) has continued to support it and still does; just about every dingaling congressman it affects have been clueless the entire time and are still clueless; UA & US have meted out and continue to mete out very infrequent posts with dubious helpfulness on their sites,...

The only major shift I see is the stock prices. UA's went from 60+ to the 30s, US's went from 18 to 50+, now down in low 30s. Maybe US should go to Wall Street and try to buy part or all of UA??? (Maybe the DEN hub?)

Hate to sound ignorant, but aside from the first few weeks of excitement last May/June, this thing has been hanging around like a bad party guest at a rented dance hall - just won't go away, but it's not really killing anyone.

deelmakur
Apr 30, 01, 2:46 pm
Now let's see. If this thing goes through,the US1 upgrade window goes from 7 days to 4. All elites end up in a pool of travelers 3 times as big, while the number of seats increases at a lower rate, and we end up competing with "employee owners" for many of those. Meanwhile, the Shuttle gets shared with that champion of lower fares, AA. On the plus side, we are told we can look forward to new routes like Roanoke to Tokyo. UA can't even run what they have. Their TV commercials end up with the CEO on camera, apologizing for the crappy service. The industry is at a point where a guy breaks a gate agent's neck, and a jury of 12 folks finds him innocent (it's a comment, not an opinion...no new threads please), likely because some airline screwed them. Now comes the politicians, who have to figure out whether the voters' angst outweighs keeping the PAC money. The regulatory folks are just crazy enough to approve this thing. Common sense (if there was any) would tell you they shouldn't..but stay tuned ..these days anything goes.

unixguy
Apr 30, 01, 5:59 pm
Here, here! The "gains" that are being predicted are gains in frustrations!

Va.SquireFlyer
May 1, 01, 9:27 am
I second the above thought.

Cheers,

Va.SquireFlyer

Va.SquireFlyer
May 1, 01, 9:27 am
I second the above thought.

Cheers,

Va.SquireFlyer

doc
May 2, 01, 7:05 am
Diane Zeitler of Ellicott City has more than 100,000 frequent-flier miles on US Airways. During the past few years, the health care consultant has redeemed free trips for herself and her husband to vacation spots such as Spain and San Francisco.

But now Zeitler worries that if United Airlines is successful in acquiring Arlington-based US Airways, nabbing free trips and first-class upgrades will become more difficult.
http://www.washingtonpost.com/wp-dyn/articles/A29381-2001May1.html