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ARCHIVE: US LCC & AMR / AA Takeover / merger Rumors and Discussion (consolidated)

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Old Feb 14, 2013, 9:50 am
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Last edit by: JDiver
MODERATOR GUIDEPOST

The AA - US merger was approved by AMR creditors and the boards of directors of both airlines on 13 Feb 2013, and announced the 14th.

There is no further speculation about whether the merger will occur; all that is pending is approval from the bankruptcy court and the regulatory authorities.

American Airlines and US Airways approve merger: just the facts, please outlines the facts we know;

AA - US Merger Agreement / Announcement Discussion (consolidated) is the thread for discussion of the announced merger.
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ARCHIVE: US LCC & AMR / AA Takeover / merger Rumors and Discussion (consolidated)

 
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Old Feb 7, 2012, 1:51 pm
  #46  
 
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Originally Posted by newyorkgeorge
In a Chapter 11 filing essentially creditors seize control of the company. Any strategic moves need to be approved first by the creditors' committee and then the Court. If US (or anyother potential acquirer) makes a compeling deal to the creditors Horton won't be able to stop it.

That Arizona water might start smelling like swamp water to AA management.
Agreed. In addition as mentioned on the US board, others may seek pieces of American. The MIA hub, if profitable, could be attractive to US. US has a good eastern and south eastern presence, and decent service in SE Florida. AA's MIA hub was built starting from the significant pieces of the bankrupt Eastern Airlines. Broward and Palm Beach County residents who are US regulars would make better use of MIA.

Possibly AA's management could replace some of US's management. The America West - US merger did not go smoothly.
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Old Feb 7, 2012, 8:07 pm
  #47  
 
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Originally Posted by elitetraveler
If you took out AA's LHR ops I wonder how their European network/revenue/RPMs would look?
AA has quite a few non LHR flights:

AA metal: 37 Europe flights, 26 routes, 13 cities in Europe
JFK-LHR 4x
JFK-CDG 2x
JFK-MAN 1x
JFK-BRU 1x
JFK-ZRH 1x
JFK-MXP 1x
JFK-FCO 1x
JFK-BCN 1x
JFK-MAD 1x
ORD-LHR 4x
ORD-HEL 1x
ORD-DUB 1x
ORD-MAN 1x
ORD-CDG 1x
ORD-FCO 1x
DFW-LHR 3x
DFW-FRA 1x
DFW-CDG 1x
DFW-MAD 1x
MIA-LHR 1x
MIA-CDG 1x
MIA-MAD 1x
LAX-LHR 1x
BOS-LHR 3x
BOS-CDG 1x
RDU-LHR 1x

US metal: 24 Europe flights, 22 routes, 16 cities in Europe
PHL-FRA 2x
PHL-DUB 1x
PHL-GLA 1x
PHL-MAN 1x
PHL-LHR 1x
PHL-AMS 1x
PHL-BRU 1x
PHL-CDG 1x
PHL-MUC 1x
PHL-ZRH 1x
PHL-VCE 1x
PHL-ATH 1x
PHL-FCO 1x
PHL-BCN 1x
PHL-LIS 1x
PHL-MAD 1x
CLT-FRA 2x
CLT-DUB 1x
CLT-LGW 1x
CLT-CDG 1x
CLT-FCO 1x
CLT-MAD 1x

European cities served by AA, not US:
MXP
HEL

European cities served by US, not AA:
GLA
AMS
MUC
VCE
ATH
LIS

Last edited by crazyMRer; Feb 7, 2012 at 8:42 pm
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Old Feb 7, 2012, 8:14 pm
  #48  
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BUD is history for AA.
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Old Feb 7, 2012, 8:59 pm
  #49  
 
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And don't forget PHL-TLV on US.

I was upset that after the TW acquisition, AA discontinued TW's JFK-TLV
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Old Feb 7, 2012, 9:18 pm
  #50  
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Originally Posted by nsoltz
I was upset that after the TW acquisition, AA discontinued TW's JFK-TLV
Actually, TWA discontinued TLV before the asset purchase was approved.
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Old Feb 7, 2012, 9:40 pm
  #51  
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Red face How Rude (& Politically Incorrect)!!!

Originally Posted by Science Goy
US is the one company I've consistently boycotted. Worst airline ever.
You should have said..."Worst airline ever is the history of the Universe". NOW that would be accurate (-:
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Old Feb 7, 2012, 10:08 pm
  #52  
 
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Originally Posted by BF263533
Possibly AA's management could replace some of US's management. The America West - US merger did not go smoothly.
Correction: is not going smoothly. They, US Airways and America West, still are practically operating as separate entities especially in regards to labor which is usually a crux for management with mergers. The <bad thing> that would be a AA-US merger would likely result in further chaos for the airlines.

Last edited by JDiver; Feb 8, 2012 at 9:11 pm Reason: redacted thinly disguised prohibited term
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Old Feb 8, 2012, 6:47 am
  #53  
 
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Originally Posted by I_Hate_US_Airways
You should have said..."Worst airline ever is the history of the Universe". NOW that would be accurate (-:
No, it's actually "The worst airline in the history of ever!". That pretty much covers all the bases.
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Old Feb 8, 2012, 11:53 am
  #54  
 
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Originally Posted by UVU Wolverine
Correction: is not going smoothly. They, US Airways and America West, still are practically operating as separate entities especially in regards to labor which is usually a crux for management with mergers. The <bad thing> that would be a AA-US merger would likely result in further chaos for the airlines.
"Correction: is not going smoothly." That's funny, but sad. I stopped flying them in 2007. Under any circumstances the integration should have been completed years ago.

To the extent management is the problem, they should have been replaced years ago. To the extent labor is the problem, they should read the history of Eastern Airlines [gone following strike], Mohawk Airlines [forced into acquisition by Allegheny (US) after strike], and other long gone airlines.

To put it more diplomaticly, I guess the AA-US- America West merger would be a three ring circus, with Doug Parker the ring-master holding a pitcher of Budweiser in one hand, and a pitcher of the new Bud Light Platinum in the other, trying to figure out how to combine the two into a single drink.

Last edited by JDiver; Feb 8, 2012 at 9:12 pm Reason: edited previously redacted term in quoted post
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Old Feb 8, 2012, 12:03 pm
  #55  
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Originally Posted by BF263533
"Correction: is not going smoothly." That's funny, but sad. I stopped flying them in 2007. Under any circumstances the integration should have been completed years ago.

To the extent management is the problem, they should have been replaced years ago. To the extent labor is the problem, they should read the history of Eastern Airlines [gone following strike], Mohawk Airlines [forced into acquisition by Allegheny (US) after strike], and other long gone airlines.

To put it more diplomaticly, I guess the AA-US- America West merger would be a three ring circus, with Doug Parker the ring-master holding a pitcher of Budweiser in one hand, and a pitcher of the new Bud Light Platinum in the other, trying to figure out how to combine the two into a single drink.
If Parker can get his employees onboard for an AA/USAir merger that is more than half the battle. Remember, a proposed merger benefits US more than it does AA. Moreover, AA unions are going to be, rightly or wrongly, neutered in the Chapter 11 process. If USAir presents a good case to creditors and AA management cannot fend off such a deal creditors may have little care of how AA unions feel.

Personally, I don't see an AA/USAir merger as the end all of the world other than domestic F will probably see a downgrade in service (will be seeing a lot more of that snack basket over real meals). But keep the big seat and complimentary drinks for afternoon and evening flights and I'm still game.

Just like DL/NW/UA employees are going to need to accept their reality or move on.
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Old Feb 8, 2012, 12:04 pm
  #56  
 
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Originally Posted by newyorkgeorge
If Parker can get his employees onboard for an AA/USAir merger that is more than half the battle. Remember, a proposed merger benefits US more than it does AA. Moreover, AA unions are going to be, rightly or wrongly, neutered in the Chapter 11 process. If USAir presents a good case to creditors and AA management cannot fend off such a deal creditors may have little care of how AA unions feel.

Personally, I don't see an AA/USAir merger as the end all of the world other than domestic F will probably see a downgrade in service (will be seeing a lot more of that snack basket over real meals). But keep the big seat and complimentary drinks for afternoon and evening flights and I'm still game.

Just like DL/NW/UA employees are going to need to accept their reality or move on.
That's all fine and well except Parker hasn't even convinced half of HIS employees to merge with the other half!
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Old Feb 8, 2012, 12:15 pm
  #57  
 
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Originally Posted by gegarrenton
That's all fine and well except Parker hasn't even convinced half of HIS employees to merge with the other half!
Exactly.
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Old Feb 8, 2012, 12:18 pm
  #58  
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Originally Posted by newyorkgeorge
If Parker can get his employees onboard for an AA/USAir merger that is more than half the battle. Remember, a proposed merger benefits US more than it does AA. Moreover, AA unions are going to be, rightly or wrongly, neutered in the Chapter 11 process. If USAir presents a good case to creditors and AA management cannot fend off such a deal creditors may have little care of how AA unions feel.
IMO, the bolded portion says it all, and AA's unsecured creditors will not be ignorant of that transfer of wealth. Sure, if Parker can assemble a richer package of cash and stock than can AA's management, he stands a chance.

Although the AA unions will suffer some pain and losses, I wouldn't say they're going to be neutered - after all, they are members of the creditors' committee, so they'll have some input when it comes time to solicit approval for plans of reorganization. My guess is that a POR that includes a merger with US won't be favored by the unions unless it's a really rich plan.
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Old Feb 8, 2012, 2:39 pm
  #59  
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Originally Posted by Science Goy
US is the one company I've consistently boycotted, even when their fares were significantly lower than competitors'. Worst airline ever.
Originally Posted by I_Hate_US_Airways
You should have said..."Worst airline ever is the history of the Universe". NOW that would be accurate (-:
Originally Posted by gegarrenton
No, it's actually "The worst airline in the history of ever!". That pretty much covers all the bases.
Except where does that put Spirit and RyanAir? Or have y'all forget about those (and hopefully never had to actually experience)?
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Old Feb 8, 2012, 2:55 pm
  #60  
 
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Originally Posted by sdsearch
Except where does that put Spirit and RyanAir? Or have y'all forget about those (and hopefully never had to actually experience)?
I don't consider those airlines. If it was between one of those or Greyhound/Amtrak (or the European equivalents in the case of RyanAir), it'd be a no-brainer: pack up my bindle, fill an old soda bottle with Early Times, and hop on!
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