MilesBuzz! - Four airlines bid for US Airways assets-sources




joe_s
Jan 27, 04, 1:03 pm
http://www.forbes.com/business/newswire/2004/01/27/rtr1228982.html
Four airlines bid for US Airways assets-sources
By Kathy Fieweger

CHICAGO (Reuters) - Four U.S. airlines have bid on various assets put on the block by US Airways, including American Airlines, which wants the East Coast shuttle, according to banking sources familiar with the matter.

...

Executives at American Airlines parent AMR Corp., which recently reported a much narrower fourth-quarter loss, have sought the shuttle for years, said the sources, who requested anonymity. In 1997, American bid about $300 million for the shuttle.

...

The shuttle, which flies between New York, Washington, D.C. and Boston, is expected to fetch around $100 million to $150 million, they said.

...

Bids were submitted last Thursday, according to bankers, and the US Airways board is to meet in early February to review the proposals.

...

EXPLORATORY PROCESS

US Airways spokesman David Castelveter said the company has acknowledged that it has begun an "exploratory process" regarding its financial options but added: "We have not made a decision to sell any assets."

Also bidding on different pieces of US Airways assets are JetBlue Airways Corp., Delta Air Lines Inc. and AirTran Holdings Inc.


...

(Additional reporting by Meredith Grossman Dubner)
Copyright 2004, Reuters News Service

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AA EXP 1MM, DL Silver, HH Diamond, Marriott GLD, Starwood PLT, Hyatt PLT


pinniped
Jan 27, 04, 1:08 pm
Question: would the Dividend Miles Program be considered an "asset" up for individual bidding?

UpgradeMe
Jan 27, 04, 1:22 pm
Buzz?


pinniped
Jan 27, 04, 1:26 pm
<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by UpgradeMe:
Buzz?</font>

I think this is Buzzworthy to anyone who holds Dividend Miles. It's a major story, could potentially affect our miles, and involves many airlines. I'm glad I saw it here: now I'll go to the US board to dig through the details.

joe_s
Jan 27, 04, 4:29 pm
<font face="Verdana, Arial, Helvetica, sans-serif" size="2">It's a major story, could potentially affect our miles, and involves many airlines. [/B]</font>

Thanks! That's why, after some consideration, I posted it *here*.


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AA EXP 1MM, DL Silver, HH Diamond, Marriott GLD, Starwood PLT, Hyatt PLT

billhar
Jan 28, 04, 2:38 pm
"Sources said..."
In the past we have seen that the "sources said" theme was almost some one with an agenda in the financial service industry.

Remember all those "sources" that drove up and subsequently drove down the stock market? They still remained nameless even though they cost investors billions.

If the story is true there is no reason for the "sources" not to be named.

This is the same as the comments that "Wall Street punishes a stock"..Certain investment COMPANIES, THAT HAVE NAMES drop a stock.

Airlines may want some of US Airways routes but except for overseas routes, they are free to enter any market that US Airways serves. American is on the "shuttle" routes
but uses RJs.



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