grahampros

Given that that UA/CO merger is now off, the most likely scenario now seems to be that UA/US merge, and AA and CO strikes an alliance agreement. We don’t know the terms of such an alliance, but it would likely involve code sharing on between AA and CO and CO joining Oneworld. Even possible that relationship with BA gets expanded to include transatlantic flights and the 3 carriers have a joint agreement similar to DL/AF/KL.

What do you think of this alliance scenario?

JDiver

I can live with it - iirc, it would bring GUM, MNL, SYD, CNS and DPS to the AA fold (assuming Continental Mike is part of the deal,) a monopoly on Micronesia, some expansion in Europe, some apparent aircraft compatibility; it also brings some new hubs, but challenges with IAH/DFW and EWR/JFK and how they would be operated.

But I am speaking as a relatively uninformed passenger and one who hasn't given the subject much thought, not as a knowledgeable airline exec who has the disclosures and spreadsheets at his/her disposal.

777-DCA

It seems like a good deal.

CO is big in Europe and would allow more direct flights to places in Europe for AA flyers -- for example, it would allow me to fly directly to Amsterdam instead of to Frankfurt with AA and taking a train to Amsterdam.

The biggest thing that makes me worry about an alliance is how AAdvantage would change. Also would be each airline's club. I am seriously considering joining the Admirals Club and it would be nice to get access to CO's Presidents Club.

martin33

If it's an alliance, not a merger, then AAdvantage wouldn't necessarily change at all--- except for the possibility of redemptions and EQM/EQP-earning on CO. CO and AA would provide partner award availabilities like any other partner pair already in AAdvantage.

At present, AA has no partners with cross-upgrading privileges (though in the past it did, with Midway and with Canadian, as well as miles-for-upgrade awards on CX). Would the alliance change that? quite possibly-- the infrastructure for cross-sticker-use from the previous regime with JI/CP is doubtless still lurking un-purged in AA's systems.

dstan

If structured like AA/AS, then there are no reciprocal lounge access agreements. However, if CO were to join OW, then the usual rules would apply for PLT/EXP/F/J international pax. Either way, short of a full merger, I doubt AAdvantage would change at all, except of course, for the expanded earning potential (*fingers crossed* for Air Mike!)

cparekh

They could use the song Karma Chameleon.

... your colors are like my dream: red, gold, and green. Except it would be red, gold, and blue.

You could replace dream with shoe, glue, loo.

bernardd

I assume it's a given that it will involve codesharing, in fact I'd be surprised if it doesn't involve some level of route sharing & pooling because AA, and to a lesser extent CO, desperately need to get their revenues up and to match their flight program to the revied demand. Doesn't that imply higher fares and less aircraft operating? Unless of course one of UA, US, DL or NW is headed for Chapter 7?

I'm less sure CO would end up in OW any time soon, that BA actually wants sharing & pooling across the Atlantic, or that joint TATL service would actually help AA's bottom line.

FWAAA

If it's an alliance and not a merger or acquisition of one by the other, what does aircraft compatibility (or incompatibility) have to do with anything?

i_fly_AA

This alliance would be absolutely fantasic, IMO, assuming that most/all CO flights would earn EQMs to AAdvantage. I think that CO outright has the best domestic product out of all the legacies (although AA is a close second). I used to love it when I had Skyteam Elite because of this fact. I fly AA almost exclusively now because that's our preferred carrier at work and so I just do all of my flying there for the bonus elite miles. If CO joined OW, I would do a (relatively) very high percentage of flying with them. Bottom line: to have the 2 best airlines in one alliance would be sweet. ^

ndhapple

Absolutely nothing which is what makes such an arrangement so brilliant. Most of the benefits of a merger with many few downsides. I'd be thrilled because there would expanded service out of AUS (provided those get AA/CO codeshares) as well as two really great lounges (both AC and PC) and the ability to earn miles flying to certain locations that AA currently doesn't serve (AMS comes to mind).

The downside? Adding all those CO FF's to the already overcrowded heard out of AUS (if you don't believe me watch the morning flights to DFW, ORD, SJC board where they don't even bother to pre-board elites because 90% of the flight has status).

CO FF

I agree that these are the 2 best legacy carriers for domestic flights. But there couldn't be more overlap between them for merger purposes. NY-area hubs; TX dominance; weak TPAC; strong LatAm.

An alliance would be nice - but before we all look to upgrade on CO, remember that they give top-tier status at 75k EQMs; unless the combined deal creates a 4th tier in each program, I for one (with 77k EQM last year) would not like falling behind a CO member with equal BIS time.

JohnFortWorth

I think it would be a very smart move by AA and CO management that would help both carriers. Yesterday, CO announced that it wouldn't consider a merger with United for now. I assume that the AA alliance proposal helped CO reach the decision that it could make it on its own without a merger. This keeps a big UA hub out of Houston and Newark.

As an AA customer, I'd like to be able to fly CO and rack up EQM's and mileage. I was Platinum Elite on CO for several years and their product is better than AA's in some significant ways: priority checked luggage for elites; free drinks and wireless in the President's Club; pre-departure beverages in first class; a much better business class offering on international and Hawaii routes; free snacks in coach during meal times; and cleaner airplanes. Maybe an alliance would force AA to match some of these things.

MIA-SAT

While I would like to see the alliance come about, I see real potential problems with trying to allow for cross upgrades, or otherwise integrate the two frequent flyer programs. AA has VIPOW's that are relatively easy to use. Co does not have anything like a VIPOW. Look at the CO boards about the difficulties that their elites face in trying to use miles or paid upgrades. IME, AA won't let a flight go out with empty seats if there are those with VIPOW's on the waitlist, CO's mentality is quite different. CO wants to "maintain the integrity of the Business First product."

CO has free upgrades on domestic and some limited international, including destinations as far away as IAH-LIM. The scope of AA's upgrades is slightly smaller, POS and PTY are as far south as they go on upgrade stickers, and AA does not grant free upgrades to PLT's and GLD's.

Even as a Plat on CO, I do miss many upgrades, especially on 737-500's which have only 8 seats in F. Rarely do I miss an upgrade as an EXP on AA, unless I have booked at the last second.

One huge difference in the FF programs is that all Y seats sold on CO are automatically upgraded to First if there are seats in the F cabin and those who hold Y fares (as long as they are an elite) will trump any other elite on any lower fare when a seat does become available. CO is very much "what have you done for me very lately", like what did you pay THIS trip, when it comes to upgrades. Some EXP's might be in for a shock if the CO system for upgrades on Y fares were folded into AA's system. I know some frequent flyers whose travel policies allow them to book any fare that is not a first class fare and of course they book Y's on CO and get upgraded at time of booking. It is not unusual for CO to hold back seats in F for upgrades on Y's quite close to departure. AA does not make all Y seats as Y up's or K-up's.

I see the differences between the programs to be so great that I cannot imagine either carrier conforming to the system set up by the other. For those of us who are self-employed and who cannot shift our tickets costs to a third party, AAdvantage would be substantially downgraded if it became more like OnePass. Co's program is better for those who can shift the costs of the highest price fares to others in order to obtain an upgrade. These travelers are rewarded with upgrades while CO places a lower priority on giving upgrades to those who travel more frequently, but on a lower fare that particular day.

davidthomson

Dont hold your breath. History proves things normally find the lowest level, not the highest.

bspencerco

CO doesn't fly to SYD