US Airways and American formally agree to consider merger [New Master Thread]
#151
FlyerTalk Evangelist
Join Date: Nov 2004
Location: Melbourne
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#152
Join Date: Mar 2007
Location: TYO / WAS / NYC
Programs: American Express got a hit man lookin' for me
Posts: 4,595
The hubs that AA dismantled following previous mergers were pretty dire hubs to begin with. If you had seen SJC in the late eighties, you would quickly realize that it was physically inadequate to compete with the likes of the UA hub at SFO.
CLT doesn't have the same kind of local demand as any of the AA hubs, but it has been a profitable and effective hub for a long time under both Piedmont and US. I grew up in an AA employee family in RDU during the days of the hub there, and all the local AA people back then were somewhat envious of US picking up the CLT hub a few years prior, and couldn't believe that management intended to compete with it with a scrappy RDU operation.
PHL and PHX are tougher calls, but I don't see how AA cuts them out of a post-merger route network without either overloading existing hubs or destroying their ability to compete in a large number of connecting markets (the latter is possible but would negate much of the purpose of the merger).
CLT doesn't have the same kind of local demand as any of the AA hubs, but it has been a profitable and effective hub for a long time under both Piedmont and US. I grew up in an AA employee family in RDU during the days of the hub there, and all the local AA people back then were somewhat envious of US picking up the CLT hub a few years prior, and couldn't believe that management intended to compete with it with a scrappy RDU operation.
PHL and PHX are tougher calls, but I don't see how AA cuts them out of a post-merger route network without either overloading existing hubs or destroying their ability to compete in a large number of connecting markets (the latter is possible but would negate much of the purpose of the merger).
If AA ends up being in control of the alleged merger (personally, I expect HPdbaUS to be in control) then historically, only the AA hubs will survive.
- Trans Caribbean - SJU - hub dismantled, reinstated years later and dismantled again
- Air Cal - strong intra-Califonia/west coast presence re-grouped as a hub at SJC. Since dismantled.
- Reno Air - RNO and SJC - RNO dismantled asap. Tried SJC again at old facilities, but soon dismantled.
- Trans World - STL - outright lied to Bankruptcy Court as to how they needed STL hub as reliever to DFW/ORD. The "merger" was a joke. STL/TWA/employees dismantled.
#153
Suspended
Join Date: Jan 2004
Posts: 851
Crap... looks like merger will happen. Feb 28, 2014 the end of upgrades?
Good thing I'll make CP this year... 14 more months of US Airways upgrade policy, best in the business. Maybe we'll get to hang on until Feb 28, 2015. But I think it will suck after integration. AA technology and consistency may be better... but overall the system is not as generous to elites and much harder to ensure upgrades (or at least know where you stand) as a top level elite.
Link on latest:
http://newsandinsight.thomsonreuters...Air_-_sources/
Link on latest:
http://newsandinsight.thomsonreuters...Air_-_sources/
#154
Join Date: Sep 2006
Location: PHL
Programs: Former long-time US GP; now AA dirt
Posts: 4,904
I don't think I'm going to be happy with the merger (which, incidentally, many of us used to think could never happen due to integration problems!). The upgrades and the wildly creative use of miles for *A travel will be missed.
#155
formerly FrequentFlyKid
Join Date: Nov 2002
Location: Cleveland, Ohio
Programs: United Global Services, Marriott Bonvoy Ambassador, National Executive Elite
Posts: 981
I feel like our US Airways breathen are going to feel what us CO/UA people have been and continue to go through on a daily basis. Godspeed.
#156
Join Date: Dec 2006
Location: Washington, DC
Programs: US-CP, UA, Marriott Rewards, HHonors, Avis,
Posts: 4,549
I am still really torn priority-wise between loving *A and loving nonstops from DCA. This will be one tough decision!
Personally, I'm not thrilled at all with the concept, as I'm no fan of AA and go out of my way to avoid them (based on many incidents over many years, not stomping my feet over the first time something annoyed me), and I like having my little US routines all set. I know how to maximize my earnings, maximize my awards, increase my upgrade chances, and know US' particular warts and when/how they're likely to wart on me. I don't like having to start all over with a new system and new rules, and definitely don't like going from being a big fish in a little pond to being just another 100k flyer in an upgrade queue of 30. But I don't think US or AA will change their plans just to make me happy, and I think, regardless of airline choice, we're all in for some pretty harsh realities over the next few years as airlines translate their smaller number of competitors to a tightening of elite benefits across the board.
On the upside, I do think that, after an initial few years of overall suck factor, the pendulum will swing, as airlines try harder to court loyal customers (after first driving them all away).
Will be interesting to see what the industry looks like in 5-10 years, especially in terms of what you get in return for logging 100k miles.
On the upside, I do think that, after an initial few years of overall suck factor, the pendulum will swing, as airlines try harder to court loyal customers (after first driving them all away).
Will be interesting to see what the industry looks like in 5-10 years, especially in terms of what you get in return for logging 100k miles.
Last edited by dcpatti; Dec 13, 2012 at 11:19 am
#157
Join Date: Dec 2012
Programs: AAdvantage, Hilton HHonors Gold, Marriott Platinum
Posts: 49
Should I apply credit card from US Airways to earn easy miles? I got AAdvantage Visa Card already.
Besides, anyone know which alliance the merger is going to be? OneWorld or StarAlliance?
Besides, anyone know which alliance the merger is going to be? OneWorld or StarAlliance?
#158
Join Date: Jan 2012
Location: BGM/ PHL
Programs: US (Silver, *A Silver), AA, Starbucks (Gold)
Posts: 2,242
One major international airline: Delta DBA Pan Am.
One major domestic airline: Southwest.
#159
FlyerTalk Evangelist
Join Date: Aug 2007
Location: SEA, but up and down the coast a lot
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(I am also sanguine because I have a decent balance in AA and US. )
#160
Join Date: Jan 2012
Location: BGM/ PHL
Programs: US (Silver, *A Silver), AA, Starbucks (Gold)
Posts: 2,242
IMO, AA oneworld awards > US *A awards in some pretty significant respects (unlimited stopovers). So it's not all downside.
(I am also sanguine because I have a decent balance in AA and US. )
(I am also sanguine because I have a decent balance in AA and US. )
#161
FlyerTalk Evangelist
Join Date: Aug 2007
Location: SEA, but up and down the coast a lot
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All told, from an award standpoint, given the nonsense on LH/LX F *Net blocking from US, I'll take it. Right now, your realistic options to Europe in premium cabins are UA F (meh), LH/LX/OS/LO/UA/US C. Trading that for AA/US/BA F/C, AB/AY/IB C seems pretty close to a wash, and we'd get QF, JL, EY, CX, MH for TG, (small bits of) SQ, NH, OZ... seems a fair trade to me. BA's F and C availability is pretty good, BTW (in no small part because of their fuel surcharges, I suspect).
Last edited by eponymous_coward; Dec 13, 2012 at 11:58 am
#162
Join Date: Jul 2009
Location: DCA/IAD
Programs: AS, US, Hilton, BA, DL, SPG, AA, VS
Posts: 1,628
Depends what you're redeeming for. If you're redeeming for Y, then yes, you probably would be better off just buying the ticket. But if you're redeeming for J or F, that's different.
#163
Join Date: Jan 2012
Location: BGM/ PHL
Programs: US (Silver, *A Silver), AA, Starbucks (Gold)
Posts: 2,242
As well as upgrades. I've read in the FAQ's at the Executive Club forum that one of the best uses for BA Avios is to UfA from World Traveler Plus to Club World (no increased YQ or UK APD.) Does anyone know offhand if oneworld allows partner upgrade awards like *A does (i.e. could I use AAdvantage Miles to upgrade from WTP to CW or is that limited to BA Avios).
#164
Join Date: May 2006
Location: Wellington
Programs: QFWP (LTSG), NZ (Jade), TG ROP (Forgotten), OZ (Silver), AA (Cardboard), EK (Lowest of the Low)
Posts: 4,669
As well as upgrades. I've read in the FAQ's at the Executive Club forum that one of the best uses for BA Avios is to UfA from World Traveler Plus to Club World (no increased YQ or UK APD.) Does anyone know offhand if oneworld allows partner upgrade awards like *A does (i.e. could I use AAdvantage Miles to upgrade from WTP to CW or is that limited to BA Avios).
However the AA/BA/IB alliance might be different.
#165
Join Date: Apr 2004
Programs: AA, UA, SQ, VA, QF, AF, BA
Posts: 2,865
You would have AA/US, AB, AY, and IB to get you to Europe without exorbitant fuel surcharges.
All told, from an award standpoint, given the nonsense on LH/LX F *Net blocking from US, I'll take it. Right now, your realistic options to Europe in premium cabins are UA F (meh), LH/LX/OS/LO/UA/US C. Trading that for AA/US/BA F/C, AB/AY/IB C seems pretty close to a wash, and we'd get QF, JL, EY, CX, MH for TG, (small bits of) SQ, NH, OZ... seems a fair trade to me. BA's F and C availability is pretty good, BTW (in no small part because of their fuel surcharges, I suspect).
All told, from an award standpoint, given the nonsense on LH/LX F *Net blocking from US, I'll take it. Right now, your realistic options to Europe in premium cabins are UA F (meh), LH/LX/OS/LO/UA/US C. Trading that for AA/US/BA F/C, AB/AY/IB C seems pretty close to a wash, and we'd get QF, JL, EY, CX, MH for TG, (small bits of) SQ, NH, OZ... seems a fair trade to me. BA's F and C availability is pretty good, BTW (in no small part because of their fuel surcharges, I suspect).