Go Back  FlyerTalk Forums > Miles&Points > Discontinued Programs/Partners > US Airways | Dividend Miles (Pre-Consolidation with American Airlines)
Reload this Page >

US/AA merger- MASTER DISCUSSION THREAD/incl 'when will US leave STAR'

Community
Wiki Posts
Search
View Poll Results: Is an American Airlines/US Airways merger good for the traveling public?
Yes
84
28.19%
No
214
71.81%
Voters: 298. You may not vote on this poll

Old Nov 12, 2013, 2:24 pm
FlyerTalk Forums Expert How-Tos and Guides
Last edit by: aztimm
Note:

There is an existing thread in the AA forum that may be useful to US and AA Flyertalkers:
US-AA Merger: Just the Facts thread

As facts become posted, that should be the place to look.

Merger discussion, speculation, and other questions can be directed here, or the similar thread in the AA forum:
MERGER: US and AA 9 Dec 2013 and implications for AA flyers (new)

AA - US Merger Agreement / Announcement / DOJ Action Discussion (consolidated, and now closed to new posts)
Print Wikipost

US/AA merger- MASTER DISCUSSION THREAD/incl 'when will US leave STAR'

 
Thread Tools
 
Search this Thread
 
Old Nov 15, 2013, 9:57 am
  #2206  
 
Join Date: Sep 2000
Location: DCA/IAD
Programs: AA EXP; 1W Emerald; HHonors Diamond; Marriott Gold; UA dirt
Posts: 7,816
Who wants to bet that within six months of closing of this deal, AA institutes VFF tier status levels with tie ins to revenue requirements (a la COdbaUnited and Delta)...
IADCAflyer is offline  
Old Nov 15, 2013, 9:58 am
  #2207  
 
Join Date: May 2011
Programs: US Airways Gold, Marriott Platinum, SW A List
Posts: 1,575
Makes sense for them to do that.
heyeaglefn is offline  
Old Nov 15, 2013, 10:00 am
  #2208  
 
Join Date: Mar 2005
Location: CLT
Programs: AA EP, AA AC
Posts: 4,268
Originally Posted by IADCAflyer
Who wants to bet that within six months of closing of this deal, AA institutes VFF tier status levels with tie ins to revenue requirements (a la COdbaUnited and Delta)...
I give it 12
GTITAN is offline  
Old Nov 15, 2013, 12:07 pm
  #2209  
 
Join Date: Oct 2003
Location: Stuck Between the Moon and CLD or SAN, Your local Taco Bell
Programs: AA EXP/LT PLT, DL PM, UA Silver, SPG Plat, Marriott Plat, Hyatt Globalist
Posts: 3,510
Originally Posted by BoeingBoy
Says the type of folks sitting in their upgrade to Envoy seat.
The Envoy certs are a nice perk, but many of us also pay full boat for those seats. When I'm flying leisure, it's price and cert availability - no question. That's one of several TATL trips I've taken this year... and the others were paid pay-through-the-nose fares. If Envoy product was only filled with upgraders it wouldn't exist - plain and simple. It's high margin business.


So spare me the "I fly so much that I support US while the riffraff is subsidized by me" speech. Every person on any airplane is important - take a couple off each flight and US or any airline is hemorrhaging money.
I really don't know where you get this sort of thing from...

What I said was that the folks who pay the big bucks (paid premium passengers) care about arriving with a short at some sleep so they don't lose a day. That's a fact - and people *DO* pay for those seats. Even some folks I know who fly in the back are pretty commonly popping an Ambien if the flight is long enough. Thus, some folks prefer the longer flights afforded by DFW/ORD vs. JFK/PHL.

What the heck does your rant have to do with that?
McFlyPHL is offline  
Old Nov 15, 2013, 5:39 pm
  #2210  
FlyerTalk Evangelist
 
Join Date: Jul 2000
Location: in the vicinity of SFO
Programs: AA 2MM (LT-PLT, PPro for this year)
Posts: 19,781
Originally Posted by GTITAN
I give it 12
Pure speculation, but given that the qualifying year parallels the calendar year --

It's either too late or very nearly too late to announce for the 2014 qualifying year, at least using full-year spend totals; neither of the other big US carriers phased it in, so my guess is that you're right that it will be at least 12 until it takes effect.

Probably well under 12 months until it's announced, and effective 1/1/15.
nkedel is offline  
Old Nov 15, 2013, 6:43 pm
  #2211  
 
Join Date: Oct 2003
Location: Stuck Between the Moon and CLD or SAN, Your local Taco Bell
Programs: AA EXP/LT PLT, DL PM, UA Silver, SPG Plat, Marriott Plat, Hyatt Globalist
Posts: 3,510
Originally Posted by nkedel
Pure speculation, but given that the qualifying year parallels the calendar year --

It's either too late or very nearly too late to announce for the 2014 qualifying year, at least using full-year spend totals; neither of the other big US carriers phased it in, so my guess is that you're right that it will be at least 12 until it takes effect.

Probably well under 12 months until it's announced, and effective 1/1/15.
Personally, I'd like to see them use spend as a qualifier (not just a dis qualifier). They really want to reward margin over miles or segments flown... if I spend $15-20k/yr, why do they care how many miles or segments I spent it on? It's in their interest to have it be on as few flights as possible.
McFlyPHL is offline  
Old Nov 15, 2013, 7:11 pm
  #2212  
 
Join Date: Feb 2005
Location: ROA / CLT
Programs: AA Plat, Marriott Life Plat
Posts: 801
Originally Posted by EWR2AUS
AA has an arrivals lounge at Terminal 3 at LHR. On the departure side, there is a very nice BA lounge (first class and business), a Cathay lounge, and an AA Admiral's Club and Flagship Lounge.

You won't be lacking for lounge options at T3
Sounds great -- I look forward to checking them out in the coming months! Unfortunately with LHR being so space-constrained, I expect US may still be using terminal 1 in late April when I'm planning to be there next.

I'm also looking forward to trying out OW partner BA and their 001/002 service from JFK into LCY airport -- an A318 with just 32 business-class seats. It's not quite the same as when those flight numbers meant Concorde, but flying transatlantic directly to central London is still pretty cool.
twa777 is offline  
Old Nov 15, 2013, 8:39 pm
  #2213  
 
Join Date: Apr 2006
Location: High Point, NC
Programs: None
Posts: 9,171
Originally Posted by McFlyPHL
The Envoy certs are a nice perk, but many of us also pay full boat for those seats. When I'm flying leisure, it's price and cert availability - no question. That's one of several TATL trips I've taken this year... and the others were paid pay-through-the-nose fares. If Envoy product was only filled with upgraders it wouldn't exist - plain and simple. It's high margin business.
You may be one of the exceptions but I'd wager more CPs use their certs to upgrade to Envoy than pay for it. US saw nothing to stop them from shrinking the size of the Envoy cabin after the US/HP merger. As for Envoy not existing I have my doubts. Some pay full fare (or employer/client does) but most are upgrades. Having a business class on TATL flights is a competitive necessity - without it US wouldn't get any premium traffic.

I really don't know where you get this sort of thing from...
From watching airlines for 30+ years and US specificly for 20+ years. If you've got facts to dispute this - not anecdotes about your travels - by all means present them. Show us all which TATL flights have 75% or better full fare premium traffic day in and day out. Heck, show us the flights that have 50%.

What I said was that the folks who pay the big bucks (paid premium passengers) care about arriving with a short at some sleep so they don't lose a day. That's a fact - and people *DO* pay for those seats. Even some folks I know who fly in the back are pretty commonly popping an Ambien if the flight is long enough. Thus, some folks prefer the longer flights afforded by DFW/ORD vs. JFK/PHL.
Again, most passengers are sitting in coach. They may or may not get decent sleep - some people have trouble sleeping on planes and some don't. But in coach, with no lie-flat seats with extra width, many of those who do get some sleep don't get restful sleep. Again, wander out of Envoy and stroll the coach aisle(s) once in a while and see for yourself. Most times half the coach passengers or more are watching a movie, listening to music, tossing and turning, etc - anything but getting a restful nights sleep.

Jim

What the heck does your rant have to do with that?[/QUOTE]
BoeingBoy is offline  
Old Nov 15, 2013, 8:49 pm
  #2214  
 
Join Date: Apr 2006
Location: High Point, NC
Programs: None
Posts: 9,171
Originally Posted by McFlyPHL
Personally, I'd like to see them use spend as a qualifier (not just a dis qualifier). They really want to reward margin over miles or segments flown... if I spend $15-20k/yr, why do they care how many miles or segments I spent it on? It's in their interest to have it be on as few flights as possible.
But again, the magic number is spend per flight. A 200 segment flyer who flies on the cheapest fare they can get produces a lot more revenue than a 100 segment/year flyer who gets free upgrades to FC.

Unless, of course, you'd like airlines to only offer a couple of flights/day to business destinations. That's cut out the extra spending needed to offer extra frequency.

Qualifying on spend - whatever the limits unless very low - would reward those who pay "full boat" for their tickets but almost certainly hurt those FF forced by their company or economics to but the cheapest seats available. But being a "full boat" payer that'd probably suit you - instead of a million or more soon FFs there's only be thousands.

Jim

Jim
BoeingBoy is offline  
Old Nov 15, 2013, 9:57 pm
  #2215  
FlyerTalk Evangelist
 
Join Date: Aug 2008
Location: Usually in SAN or Central Europe.
Programs: AA:EXP/1MM. Accor/Radisson:Silver; HH:Gold; ICH:Plt Amb.
Posts: 22,307
Originally Posted by dtremit
It would be nice if they added one from PHL, but I'm not sure I can see that happening given the EU's condition on the merger.
There are no conditions the EU placed on this merger which would prevent a daytime PHL-LHR flight. BA does have to give up one slot pair at LHR for another carrier to start PHL-LHR service (for a minimum of 3 years IIRC). However, that slot pair can come from any destination BA flies to out of LHR. In fact, with the number of redeye flight arriving into PHL in the morning, coupled with a lot of short flights that get into PHL before 7am, I see a daytime LHR flight as a given.

As for future TATL service from CLT. There will still be flights to LHR, CDG, MAD, and FRA. If LH drops MUC, then I see the new AA picking up the route. Just because US is leaving Star, that doesn't mean a pullout from the German aviation market. Which is the largest market in Europe. In fact, the area around DUS has Germany's largest population concentration. So perhaps a CLT-DUS flight (either by AB or AA) could happen. I think in the peak season, there will be no shortage of CLT-Europe flights to choose from.
Fanjet is offline  
Old Nov 15, 2013, 10:48 pm
  #2216  
 
Join Date: Aug 2004
Programs: AA (EP), Hilton (Diamond), Marriott Bonvoy (Titanium)
Posts: 8,937
Originally Posted by Superguy
AA/US has a choice to make - it can follow in the footsteps of DL and UA in continuously screwing its customers, or dare to be different and try to bring the rest of the industry up with it.

Unfortunately, I see it as easier to sink to their levels as with more limited choice, where else are pax going to go if it's just as bad on the "competition"?
AA has been increasingly focused on premium passengers for a few years now. Hence the upgraded meals, in-flght amenities, Flagship Checkin, etc. Since US execs are taking over, the question is if they continue what they did at US, or continue what AA has been doing. I certainly hope they choose the latter.

Originally Posted by GTITAN
My guess and only a guess that the new American will hurry as fast as it can to join DL and UA at the bottom. YMMV
If the US execs are half as smart as they seem to think they are, they'll stay a premium-focused airline.

Originally Posted by McFlyPHL
It'll all depend on whether they keep US' "unlimited upgrades" or AA's 500 milers scheme. My money is on keeping the US scheme, but it's really anyone's guess.
If you're a low or mid elite, AA's system is bad if you want free upgrades, but is good if you want a better shot at upgrades. By making you pay with 500-mile segment instruments, they reduce the competition, meaning you're more likely to get the upgrades you really want.

Originally Posted by GUWonder
We're talking about the major lemmings species in the US industry. UA and DL have four elite tiers. US already has four elite tiers. I doubt AA is going to stay with just three published elite tiers for very long.
AA has a program called Elite Rewards that provides extra rewards at mid-points between the tiers, and at points above the top tier. As I see it, this is a very clever way of getting the benefits (to the airline) of more tiers (incentive to hit more thresholds) without the drawbacks (pissing off elites who get diluted). I hope the US execs see the wisdom of continuing the AA system.

Originally Posted by akelkar
The English apparently don't know how to make an airport whose terminals are physically connected to each other.
Even airside underground trains shuttling between the terminals would be a lot nicer than those thrice-cursed busses.

Originally Posted by mrwise
There has been a LOT of discussion on what hubs the new AA will maintain, but seems to me nobody is talking about what in flight amenities the new AA will provide? For instance, is the new airline going to maintain the old AA's service levels, like more flexible meal policies, on board IFE, etc, or will it be 'downgraded' to US's service levels with regards to no IFE, meals only after 3.5 hrs, etc? I can surely live without a hub or two in the network, but I would really like to keep the on board IFE! Flying one of UA's newly upgraded planes with IFE was great, spent the whole flight playing virtual blackjack ^ Will the new AA allow me to do the same?
This goes to the focus they adopt. AA's has been on premium. Will the new execs maintain that?
anabolism is offline  
Old Nov 15, 2013, 11:00 pm
  #2217  
FlyerTalk Evangelist
 
Join Date: Aug 2007
Location: SEA, but up and down the coast a lot
Programs: Oceanic Airlines Gold Elite
Posts: 20,395
Originally Posted by anabolism
If you're a low or mid elite, AA's system is bad if you want free upgrades, but is good if you want a better shot at upgrades. By making you pay with 500-mile segment instruments, they reduce the competition, meaning you're more likely to get the upgrades you really want.
Of course, as AA replaces 22F 752s with 16F 738s, and 16F MD80s with 8F A319s...
eponymous_coward is offline  
Old Nov 16, 2013, 12:45 am
  #2218  
FlyerTalk Evangelist
 
Join Date: Apr 2001
Location: NYC
Programs: Landry's President's Club, Marriott Silver, Awesomeness EXPLT
Posts: 20,420
Originally Posted by FWAAA
US Airways has been profitable lately almost entirely because of its industry-lagging payrates, particularly the pilots and FAs. US pilots are paid less than nonunion jetblue pays its pilots. Even with the bankruptcy-induced concessions, AA's pilots and FAs still earn considerably more money than similar US Airways flight crew. Not 5% or 10% more, but 25% to 40% more (the pilots).

So when Parker offered the US pilots pay and benefit increases of $1.6 billion over six years (retroactive to Feb 13), the US pilots were eagerly onboard. The US FAs ratified big payraises earlier this year on their own, but they stand to earn a bunch more as AA FAs with the AA contract. When US offered huge payraises (and lots more shiny widebodies to far-away places than US could ever hope to acquire on its own), the US employees are understandably ecstatic about the merger.

Over at AA, Parker offered all AA employees small raises that help wipe out some of the bankruptcy concessions, and that makes AA employees very excited about the merger. On top of that, the AA CEO, Tom Horton, is viewed as the Devil by many of the AA union leaders and employees and since he's been fired by Doug Parker, many AA employees are on cloud nine.

Of course, the employees have forgotten that every merger involves some redundancies and inevitable job losses. The employees don't seem to grasp that US was profitable mostly because of its low pay and that new AA's profitability may be endangered by raising the pay of all 90,000 union employees at the new airline. AA filed for bankruptcy primarily to jam the more efficient pilot and FA contracts down the employees' throats, and along comes Parker promising to raise the labor costs of the combined airline. "Revenue synergies and cost-savings synergies" are the promised sources of all this higher employee cost. Uh, yeah. We'll revisit this in a couple of years and see how well it's worked out.
I think the unions were really stupid for being so gung ho about this merger. We all know there's going to be large scale layoffs coming due to redundancies but they were just not smart enough to see this.
Cheers
Howie
stockmanjr is offline  
Old Nov 16, 2013, 12:51 am
  #2219  
Suspended
 
Join Date: Mar 2012
Programs: US CP ; LH FTL ; *G
Posts: 1,630
Originally Posted by anabolism
. . . AA's has been on premium. Will the new execs maintain that?
I believe DP said he wouldn't touch AA's quality of service.
burlax is offline  
Old Nov 16, 2013, 1:41 am
  #2220  
 
Join Date: Jun 2004
Posts: 3,774
Originally Posted by Fanjet

As for future TATL service from CLT. There will still be flights to LHR, CDG, MAD, and FRA. If LH drops MUC, then I see the new AA picking up the route. Just because US is leaving Star, that doesn't mean a pullout from the German aviation market. Which is the largest market in Europe. In fact, the area around DUS has Germany's largest population concentration. So perhaps a CLT-DUS flight (either by AB or AA) could happen. I think in the peak season, there will be no shortage of CLT-Europe flights to choose from.
I wish the new AA would pick up a direct Scandinavia - US route, for example, CPH-CLT. It's only possible to fly direct from CPH to the US on Star Alliance year round, and Skyteam seasonally in summer. I fly CPH-MCO a few times a year and can only make a single connection flight with Star (SK, AC, LH) or summer only with SkyTeam (DL). OW (BA) can only be done with an airport change (LHR/LGW) that doesn't appeal.

I would love if OW would give me a single connection option now that US is out of Star.
SusanDK is offline  


Contact Us - Manage Preferences - Archive - Advertising - Cookie Policy - Privacy Statement - Terms of Service -

This site is owned, operated, and maintained by MH Sub I, LLC dba Internet Brands. Copyright © 2024 MH Sub I, LLC dba Internet Brands. All rights reserved. Designated trademarks are the property of their respective owners.