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What effect does Bankruptcy have on DFW area?

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Old Nov 29, 2011, 11:37 am
  #1  
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What effect does Bankruptcy have on DFW area?

So thoughts on what effect the bankruptcy has on DFW. Thoughts without answers or speculation include:

*DFW holds a large amount of AA debt, how does this effect the airport.

*There is speculation on an AA buyout? What are the chances that headquarters move? That there is a AA brand or that AA is headquartered in Tempe, Salt Lake, or New York in the future. See Houston on CO headquarters?

*What is the effect on Texas franchise tax and DFW municipalities property tax base. Lots of large dollar assets "based" in Texas

*Will there now be two more gates at Love Field available for WN or another airlines taking

*Any effect on Quantas flight to DFW?

*What will WN's reaction be down the street?

*What is the effect on the DFW hub?

*How will future layoffs, if they happen, effect the DFW economy?

*Will AA still be "concerned" for the Love Field neighborhoods? LOL

Let the speculation begin
MrMan is offline  
Old Nov 29, 2011, 11:42 am
  #2  
 
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Talking

Humming a favorite song from "A Chorus Line"

Goodbye AA
Goodbye DFW
Hello.... Love!!
mikesinla is offline  
Old Nov 29, 2011, 1:24 pm
  #3  
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Originally Posted by MrMan
*Will there now be two more gates at Love Field available for WN or another airlines taking

*Any effect on Quantas flight to DFW?

*What will WN's reaction be down the street?

*What is the effect on the DFW hub?
I think the answer to all of these is no effect, no change.
swag is offline  
Old Nov 29, 2011, 1:37 pm
  #4  
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Originally Posted by MrMan
*DFW holds a large amount of AA debt, how does this effect the airport.
If DFW is an unsecured creditor they could be hurt if AA uses packaged BK to get out of its debt obligations.

Originally Posted by MrMan
*There is speculation on an AA buyout?
By who?

Originally Posted by MrMan
What are the chances that headquarters move? That there is a AA brand or that AA is headquartered in Tempe, Salt Lake, or New York in the future. See Houston on CO headquarters?
Slim and none. All the talk about a US deal comes from US, which is a pretty ugly dance partner. They're still fighting over the HP deal.

Originally Posted by MrMan
*What is the effect on Texas franchise tax and DFW municipalities property tax base. Lots of large dollar assets "based" in Texas
Should be none. AA is going to reorganize, not collapse or hold a fire sale of assets.

Originally Posted by MrMan
*Will there now be two more gates at Love Field available for WN or another airlines taking...
Too early to tell but AA has said there will be systemwide capacity reduction and political gestures like the Love Field service seem ripe for cutting.

Originally Posted by MrMan
*Any effect on Quantas flight to DFW?
No. If QF pulls out of DFW it won't be because of this.

Originally Posted by MrMan
*What will WN's reaction be down the street?
WN has its own problems digesting F9 at the moment, and AA isn't going to shrink in Texas enough to start a dogfight with Southwest. And they're two different products, like Kia and Buick, which don't worry that much about each other.

Originally Posted by MrMan
*What is the effect on the DFW hub?
Slim to none.

Originally Posted by MrMan
*How will future layoffs, if they happen, effect the DFW economy?
Answer is obvious but nobody knows the scope of headcount cuts if any.

Originally Posted by MrMan
*Will AA still be "concerned" for the Love Field neighborhoods? LOL
Not really.
BearX220 is offline  
Old Nov 29, 2011, 1:55 pm
  #5  
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Originally Posted by BearX220
Too early to tell but AA has said there will be systemwide capacity reduction and political gestures like the Love Field service seem ripe for cutting.
It would be challenging for AA to cut Love Field flights below the current level of zero.

Seriously, though, bankruptcy or no, AA wasn't going to resume DAL flights until at least late 2014 when the final flight restrictions lift and allow non-stops to ORD, MIA, LAX. At that point, AA will be out of the bankruptcy re-org, and whether to fly to DAL is just another business decision.
swag is offline  


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