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GogglesPisano

GogglesPisano

Pawn, in game of life
Joined
Oct 20, 2003
Posts
3,939
Continental firing sector's gains on merger talk

ArticlesBy Padraic Cassidy, MarketWatch
Last Update: 3:04 PM ET Dec 11, 2006



NEW YORK (MarketWatch) -- Airlines shares gained in afternoon trade Monday, helped by suggestions Continental Airlines Inc. could be the subject of a takeover bid and an analyst upgrade of JetBlue Airways Corp.
The Amex Airline Index (XX:$XAL: news, chart, profile) was last up 2.2% at 60.04 points as crude-oil futures fell below $62 a barrel.
Shares of Continental (CAL : Continental Airlines Inc
News , chart, profile, more
Last: 45.28+3.30+7.86%

2:55pm 12/11/2006

CAL45.28, +3.30, +7.9%) climbed by nearly 8% after Benchmark Co. analyst Helane Becker suggested UAL Corp. could launch a bid for Delta Air Lines Inc. or announce a merger with Continental.
UAL, United Airline's parent company, is scheduled to make an investor presentation Tuesday, and the company's executives have made no secret of United's desire to play a part in industry consolidation.
last month launched a hostile, $8.5 billion cash and stock bid for Delta, currently in Chapter 11 reorganization.
Calyon Securities analysts on Monday upgraded shares of JetBlue (to add from neutral and downgraded shares of Frontier Airlines Holdings Inc. reduce from neutral.
Those stocks were up 3.7% and down 2.4%, respectively.
Crude-oil futures fell Monday on continued uncertainty about whether the Organization of the Petroleum Exporting Countries will be able to implement any potential output cut members may agree at Wednesday's meeting in Nigeria.
Crude for January delivery was last down 45 cents at $61.58 a barrel. The contract closed lower Friday and lost more than 2% for the week as OPEC remained a major theme. See full story.
 
If these mergers are allowed to happen, then I bet NWA/DL goes through, and CAL/UAL. USAir will be left alone, along with a larger AA. No wonder Parker is freaking out.


Bye Bye--General Lee
 
Let me get his straight General, you want to merge with NWA. Nobody wants to merge with NW. Good luck with that one.
 
Lampshade said:
Let me get his straight General, you want to merge with NWA. Nobody wants to merge with NW. Good luck with that one.
Click to expand...

I really don't want to merge with anyone. But, IF WE HAD TO, then NW would be the best, hub wise, for DL. We would have an airline with a strong Asian presence, strong to Europe, strong to South America, and good hubs in the US. The only hubs that may go away would be CVG (which would also go away with a USAir merger, UAL merger, CAL merger, etc), and maybe their MEM due to its proximity to ATL. We wouldn't have to give up any slots (or hardly any) in the NE, primarily because the NW slots that they currently have at LGA and DCA only go to their hubs. They don't have service from LGA to Florida, or a Shuttle. They only go to MSP, DTW, MEM, IND, and MKE from LGA and DCA--and those are their focus cities and places we don't go from those airports either.

NW needs new planes to replace those DC9s eventually, and Boeing, which already has a 787 order outstanding with NW right now, would love to fill that gap.

As far as the employees go at NW, yes, they are a heated bunch. They don't take krap. It would be interesting watching the integration, but most would keep their jobs, and a merger with USAir may not allow that. The pilots would have to do it through ALPA, and since DL just retired over 2000 Captains, it would probably be a percentage type merger (if you are in the top 30% at DL, you would be in the top 30% in a merged company), and there would probably be fences for their 747s and our 777LRs.

But, the key would be convincing Oberstar, a MN congressman, that it would work out, especially for his constituents. The USAir merger just doesn't make sense at all, on many levels.


Bye Bye--General Lee
 
Deerkiller said:
now it's CAL/NWA

http://yahoo.reuters.com/news/artic...2-11_20-42-57_N11233189&type=comktNews&rpc=44
Click to expand...

Read the second page of the article. That analyst says he doubts NWA and CAL would get together:


"We would not be surprised if United Airlines made an announcement (at the meeting) regarding consolidation," said Helane Becker, an analyst at Benchmark Co. She says United could be interested in Delta or Continental.

Northwest, which hopes to emerge from bankruptcy next year, is seen as more in need of a partner than Continental, which analysts say has a coveted position in the New York market and an attractive international network. "I think Northwest is going to be a participant in some sort of consolidation, but I don't think they will necessarily be involved in doing something with Continental," Klaskin said. He said a merger between Northwest and Continental would be complicated by overlapping European and Asian routes."



Bye Bye--General Lee
 
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General Lee said:
The pilots would have to do it through ALPA, and since DL just retired over 2000 Captains, it would probably be a percentage type merger (if you are in the top 30% at DL, you would be in the top 30% in a merged company), and there would probably be fences for their 747s and our 777LRs.
Click to expand...

Dream on. NW pilots will eat your lunch. Especially with 2000 new "illegitimate" captains.
 
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CAL climbed by nearly 8% after Benchmark Co. analyst Helane Becker suggested UAL Corp. could launch a bid for Delta Air Lines Inc. or announce a merger with Continental.

Well it looks like Helane has narrowed it down to UAL/CAL or UAL/DAL. This must be a "done deal" just like LCC/DAL.:rolleyes:

I bet the speculators are making a ton of $$$ on all these rumors.



 
Hpilot said:
Agree. You can bet the NW pilots would be chanting DOH(including the furloughs). General, no matter what happens(merge-no merge) I'd be polishing up your resume. I know I am.
Click to expand...

They can chant until the cows come home. ALPA merger policy is very clear and doh has nothing to do with it. Speaking of NWA, does anyone know how many retirements they will have over the next 5 years or so?
 
Looks like 175 a year average senior to me, 30 or so a year junior to me. I'm in my 18th year, 49 y/o.
 
Hpilot said:
Agree. You can bet the NW pilots would be chanting DOH(including the furloughs). General, no matter what happens(merge-no merge) I'd be polishing up your resume. I know I am.
Click to expand...

Ummm, huh? ALPA merger polciy WILL rule, regardless of what those guys at NWA say. Too bad, they are an ALPA member, and ALPA states no carrier will get a windfall. Both are in BK, and just because one gets a boutique bank to fund a merger, doesn't mean it is stronger. Both are in BK. And, you shouldnt worry too much about USAir. The bottom guy with 17 years will have to eat it because he is in the bottom 1% of his carrier, and he will be in the bottom 1% of the merged carrier.


Bye Bye--General Lee
 
"ALPA merger policy..." I just about peeed myself laughing! When's the last time ALPA ever got it right? ALPA and their merger policy sure made alot of difference to us TWA'ers. By the way, which airline does Duane Woerthless work for?
 
TV9Driver said:
"ALPA merger policy..." I just about peeed myself laughing! When's the last time ALPA ever got it right? ALPA and their merger policy sure made alot of difference to us TWA'ers. By the way, which airline does Duane Woerthless work for?
Click to expand...

Apples to oranges. TWA/AMR, different unions.
 
TV9Driver said:
"ALPA merger policy..." I just about peeed myself laughing! When's the last time ALPA ever got it right? ALPA and their merger policy sure made alot of difference to us TWA'ers. By the way, which airline does Duane Woerthless work for?
Click to expand...

You didn't even get that right. As 800dog just pointed out, TWA was ALPA and AA was APA. Two different unions, and APA was the agressor and could do whatever they wanted. Now, go clean up your pee and get your facts straight.

Bye Bye--General Lee
 
General Lee said:
Ummm, huh? ALPA merger polciy WILL rule, regardless of what those guys at NWA say.
Bye Bye--General Lee
Click to expand...

General, there is no need to debate this with the peanut gallery, they are not involved in the process and also ignorant of it. The NWA guys would have a say in any potential merger just like the DAL pilots. There will most likely be a ratio integration and some seat protection, but most likely this merger, just like the LCC hostile takeover attempt, it will not happen.
 
TV9Driver said:
"ALPA and their merger policy sure made alot of difference to us TWA'ers.
Click to expand...

ALPA merger policy wasn't complied with because the TWA'ers conceded their ALPA merger policy hoping that AA would be their White Knight. Unfortunately that strategy didn't work well for them.

April 4, 2001
T.W.A. Pilots Reach Accord With AMR

Trans World Airlines Inc. said today that its pilots reached agreements with T.W.A. Airlines L.L.C., the unit of the AMR Corporation's American Airlines that will operate as T.W.A.'s successor.

The agreements included amendments to provisions of the pilots' collective bargaining agreement pertaining to scope, benefits and successorship, said T.W.A. pilots represented by the Air Line Pilots Association International union.

The head of the T.W.A. pilots' union, Capt. Robert A. Pastore, in a letter to the chairman and chief executive of American Airlines, Donald J. Carty, said the pilots wanted ''to ensure a prompt closing'' of the acquisition of T.W.A., which they strongly support.'' Captain Pastore said the pilots ''expect issues related to the integration of our pilots into the American system will be fairly resolved with our participation.''
 
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Oh God, not this sheeeet again!!!
 
Only to be due to the fine leadership at SWAPA...
Click to expand...

Yeah SWAPA had lots to do with ICAO. "fine leadership" = you must be talking about ALPA, right? That is a perfect example of "leadership"
 
nimtz said:
Only to be due to the fine leadership at SWAPA...
Click to expand...


Oh, thats right, it's time to bash SWA again.

Enjoy the jungle jet jimmy.
 
General,

I'm done cleaning up my pee, and actually I do have my facts right.

Since I am former TWA, i'm well aware that AA was/is APA. My gripe is in the fact that ALPA leadership advised us to give up our bargaining rights because we were "assured" of a fair and equitable integration(see previous post from FDJ2). It turns out ALPA was just selling us down the river in an attempt to court the AA members into joining ALPA - sacrifice a 2,300 union dues to gain 12,000.

So my whole point was.... Don't believe a word ALPA says. They will support whichever side gives them the most benefit. They've proven time and time again that they will sacrifice pilots for their own benefit.

Can anyone tell me what the last GOOD thing ALPA has done? Seriously..
 
I really dont think DP is Freaking Out...Afterall, he started the race. In my opinon the Delta Offer is just that...an offer to help them out of the RED and into the BLACK with USAIR. Now you must remember that DP never makes a move without knowing the outcome or at least the best possible outcome. ie....ATA......Hold on boys and girls this could get very interesting. One thing for sure...The Airline Industry is Consolidating as Mr. Parker projected two years ago.
 
TV9Driver said:
General,

I'm done cleaning up my pee, and actually I do have my facts right.

Since I am former TWA, i'm well aware that AA was/is APA. My gripe is in the fact that ALPA leadership advised us to give up our bargaining rights because we were "assured" of a fair and equitable integration(see previous post from FDJ2). It turns out ALPA was just selling us down the river in an attempt to court the AA members into joining ALPA - sacrifice a 2,300 union dues to gain 12,000.

So my whole point was.... Don't believe a word ALPA says. They will support whichever side gives them the most benefit. They've proven time and time again that they will sacrifice pilots for their own benefit.

Can anyone tell me what the last GOOD thing ALPA has done? Seriously..
Click to expand...

Absolutely nothing! I'm not proud to say I am a card caring member in "good standing". If you work for one of the smaller companies represented by ALPA your representation is shoddy at best. I guess the dues just aren't enough for them. Lets hope the new Pres can turn this organization around.
 
SWA/FO said:
Yeah SWAPA had lots to do with ICAO. "fine leadership" = you must be talking about ALPA, right? That is a perfect example of "leadership"
Click to expand...

You stuck your nose into the thread to raise the 65 issue so don't think the role your house is playing shouldn't be called out. If it passes I will certainly begrude your current leadership. This nation hardly prides itself on following the lead of other nations, so I doubt the ICAO decision would have made any noise if not for the lobby groups funded partly by your fabulous leadership. At least ALPA polled their membership and listened to majority rule. Can you say that for your union?
 
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