bustraveler

I spotted AMR's CEO Tom Horton in Manhattan today near 5th Avenue and 58th. Right by the Plaza. Was walking briskly with briefcase in hand, wearing a blue tie. Rumors are that the AMR board was meeting either yesterday or today to discuss the merger. Potentially in NYC.

FWAAA

Most recent rumours are that the AMR board will meet on Wed:

http://finance.yahoo.com/news/report...193555827.html

http://www.bizjournals.com/charlotte...html?ana=yfcpc

JDiver

Yep; Business Insider says, in part:

grahampros

CNBC has been reporting the same and that's it not really in question how they will vote. That's not unusual since these things are rarely put to a vote unless it's known the support is there.

MiamiAirport Formerly NY George

Its looking more and more when I wake up at 4AM Thursday and turn on the television this will be a done and announced deal (companies tend to make major announcements after the market has closed.)

sts603

Shall we just go ahead and start the thread for all questions that can't yet be answered regarding a post-merger AA (e.g., what will be served on DFW-SEA for lunch after the merger or will fare class restrictions be added to eVIPs after the merger or will AA go all-Y after the merger).

chanp

Lol, yea why not.

justforfun

Yup. The blue tie was the signal that the merger was happening. If he had worn red it meant it wasn't.

onesocalkid

+1

JNB280

I did not read it that way. Now, had he been wearing a top hat and coattails, then and only then would I have declared with authority that the merger was a done deal.

Provided he was carrying his briefcase in his left hand.

OskiBear

Is it odd that this merger which would "create the world's largest airline" doesn't feel like that? Or is it just a matter of perspective?

I'm not for the merger (not really a fan of US), but if it happens I hope they beef up Asia - the lack of routes/representation will be sorely lacking for the world's largest airline. Just came back from vacation and United's Narita operations are pretty huge from appearances (number of passengers, gates, size of United Club).

I can live with the Europe ops (I like LHR vs FRA as a connection point) and I love the coverage to South America.

sts603

It doesn't because unlike DL/NW and UA/CO, two carriers with large international presences aren't merging. Instead, a big carrier with a large international presence is merging with a mid-size carrier (known as a big player only in PHX and the East Coast) with a small international presence are merging.

I think an Asian expansion is certainly warranted with the merger. I think some widebodies would be freed up based on European routes being made redundant. Furthermore, I would think a combined AA-US would consider pulling some widebodies for Asian service at the expense of seasonal Europe service. I think AA fliers would be surprised at how many of US's few A330s/767s are spent doing MCO/SJU/CUN-CLT/PHL and PHL-CLT flights during much of the year. And as much as people want to poo-poo US, the int'l J seat on all of US's international aircraft except the int'l 757s is essentially equivalent to what AA just put in the AA 77W and is thus of course ahead of AAs int'l 772, 763 and 757 J product.

While I'm still anti-merger, the US fleet does give AA options that it doesn't have now.

csanati

Hey guys - who do you think the big winners and losers are for the merger???

ex - winner: 1) Doug Parker - finally wins a deal; Now CEO of combined airline, etc

- loser: 2) PHL - being so close to JFK it will undoubtedly see a major reduction in capacity

sts603

I disagree. PHL is still one of the largest cities in the country, it has one airport and a lot of corporate traffic, US has successfully held WN at bay and placed them into retreat, it still generates more revenue than other US hubs, and the traffic can't be shifted to LGA/JFK because of slot constraints.

My guess is CLT and DCA will largely stay in tact (with perhaps some reduction of Carribean service out of CLT due to the proximity to MIA; or perhaps some scaled back to weekend only when the extra capacity is warranted). PHL will remain a major hub though some int'l routes may disappear due to the proximity to JFK. Or some routes could switch perhaps.

PHX will be the biggest loser. Its a lower revenue hub and is largely redundant to DFW and LAX. The few routes where PHX is the logical connecting hub of a combined entity (say SLC to ELP) isn't a large enough market and is lower yielding.

nall

There's significant network overlap between PHX/LAX and JFK/LGA/PHX/DCA.

Sooner or later they'll go after those cost savings, and it remains to be seen which hub(s) will suffer, or not.