Rep Duncan says if Merger gets to them, it's going to be tough to block

[lowecur]

Rep John J. Duncan, who serves on Congress' Aviation subcommittee and the Transportation committee, said he is against a DL and US Airways merger, but if it gets to Congress it will be tough to block.

Don't know exactly what his reasoning is, but it sounds to me this subcommittee member could be voicing confidential small talk from within that same subcommittee chaired by Mr. On*Star.

imp:​

http://www.knoxnews.com/kns/business/article/0,1406,KNS_376_5281950,00.html

 

[AA717driver]

What it is is backpedaling. It's the typical "calm AFTER the storm" that we get from politicians who bluster and tell you what you want to hear, knowing that money talks and they will ultimately find it "out of their hands" to stop it. TC

 

[SDF2BUF2MCO]

What it is is backpedaling. It's the typical "calm AFTER the storm" that we get from politicians who bluster and tell you what you want to hear, knowing that money talks and they will ultimately find it "out of their hands" to stop it. TC

....or (my cynical side thinks) they haven't greased the Congressman's palms with enough green.

 

[SkiFishFly]

....or (my cynical side thinks) they haven't greased the Congressman's palms with enough green.

That sounds about right...

 

[General Lee]

Should the two airlines agree to merge, however, "it would be tough" for Congress to block, the congressman said. "There's a good chance it (would) go through," Duncan said.


Did you read that statement? If they AGREE to merge, like two people wanting to merge. USAir and AWA wanted to merge together. They were allowed to because there wasn't any overlap. This isn't the case here, and one group NOT wanting to merge means Congressmen supporting them will fight for them. But regardless, USAir and UAL wanted to merge back in 2001, and the DOJ still shot them down over one disputed area (IAD/DCA), which they even tried to sell off to "DC Air" to the guy who ran BET. It was still shot down, with the help of Jim Oberstar, who now runs this committee.

They key difference here is that DAL doesn't want any part of this, and we have friends in high places, and a DOJ who knows what really is going on here.


Bye Bye--General Lee

 

[lowecur]

They key difference here is that DAL doesn't want any part of this, and we have friends in high places, and a DOJ who knows what really is going on here.


Bye Bye--General Lee

:laugh: :laugh: :laugh: :laugh: :laugh:

imp:​

 

[General Lee]

Looks like they won't AGREE to anything....

:laugh: :laugh: :laugh: :laugh: :laugh:

imp:​

NEW YORK, Jan 16 (Reuters) - Delta Air Lines (DALRQ.PK: Quote, Profile , Research) is pushing ahead with its plan to exit bankruptcy as an independent carrier despite a sweetened takeover bid by rival US Airways Group (LCC.N: Quote, Profile , Research).
Atlanta-based Delta filed a motion with a U.S. bankruptcy court on Friday, asking for permission to start seeking creditor approval for its plan of reorganization. It kept a key hearing date of Feb. 7 unchanged despite US Airways' request to postpone it.
US Airways raised its offer to buy Delta last week by about 20 percent to $10.4 billion and set a Feb. 1 deadline for the bankrupt carrier's creditors to support its bid.
The airline has said it wants to buy the No. 3 carrier while Delta is still in bankruptcy and postponing the hearing would give it more time to finalize its bid.

But in its motion, Delta pushed ahead with its original plan. It is asking for an order approving its disclosure statement and establishing certain procedures and deadlines that would allow it to move forward with its plan of reorganization.
The airline also asked the court to set April 9 as the deadline for creditors to vote on its plan of reorganization and set a hearing on April 25 to confirm the plan.
Delta, which has been operating under bankruptcy protection since September 2005, filed its stand-alone business plan with the court on Dec. 19 and has said it hopes to exit Chapter 11 by spring.
The airline rejected a Nov. 15 takeover bid by US Airways, saying its own plan of reorganization was a better alternative. But last week, US Airways raised its bid for the bankrupt carrier, prompting at least one group of creditors to ask Delta to evaluate the bid seriously.

© Reuters 2007. All Rights Reserved.


Bye Bye--General Lee

 

[Hpilot]

Should the two airlines agree to merge, however, "it would be tough" for Congress to block, the congressman said. "There's a good chance it (would) go through," Duncan said.


Did you read that statement? If they AGREE to merge, like two people wanting to merge. USAir and AWA wanted to merge together. They were allowed to because there wasn't any overlap. This isn't the case here, and one group NOT wanting to merge means Congressmen supporting them will fight for them. But regardless, USAir and UAL wanted to merge back in 2001, and the DOJ still shot them down over one disputed area (IAD/DCA), which they even tried to sell off to "DC Air" to the guy who ran BET. It was still shot down, with the help of Jim Oberstar, who now runs this committee.

They key difference here is that DAL doesn't want any part of this, and we have friends in high places, and a DOJ who knows what really is going on here.


Bye Bye--General Lee

Are you for real? The creditors telling your management to accept the deal is considered agreeing to merge. I don't want this either, but for god sake's man get a clue. Thanks for the laugh though.

 

[General Lee]

Read this again please, and refute it. Even Duncan is against it.

:laugh: :laugh: :laugh: :laugh: :laugh:

imp:​

By contrast, some industry insiders fear that a combination of Delta and US Airways would have a hard time passing muster with regulators. While US Airways officials remain confident that they would be able to divest enough assets to appease antitrust regulators—such as selling off one of the Washington-to-New York shuttle operations the two carriers run—some airline experts fret that a US Airways-Delta merger would give the combined carrier too much control over many second-tier markets like Charleston, S.C. "The Department of Justice will have a hard time approving this deal," says Michael Boyd, an aviation consultant based in Evergreen, Colo.

Already, some of the new Democratic leaders in Congress are voicing their opposition and threatening to derail the US Airways bid for Delta. "This proposal is ill-conceived and designed primarily for the benefit of US Airways," says Rep. James L. Oberstar (D-Minn.), the new chairman of the House Transportation Committee. "I think we can slow it down and eventually stop it."



Yes, I know one quote is from Mike Boyd, but he is entertaining and often correct. Common sense will prevail here. Duncan knows this too.

Bye Bye---General Lee

 

[General Lee]

Are you for real? The creditors telling your management to accept the deal is considered agreeing to merge. I don't want this either, but for god sake's man get a clue. Thanks for the laugh though.

Great you got a laugh. Have the creditors even forced us to open the books yet? USAir has wanted to do due dillegence from the beginning, and we haven't been forced yet to even open one book to them. The smaller, unofficial creditor committee has asked, but so far nothing. You need to remember that the majority on the OFFICIAL committee making the decision (Dalpa, Boeing, GE, Coke, and the PBGC) are considered "friendlies." Keep laughing flyboy.


Bye Bye--General Lee

 

[General Lee]

What it is is backpedaling. It's the typical "calm AFTER the storm" that we get from politicians who bluster and tell you what you want to hear, knowing that money talks and they will ultimately find it "out of their hands" to stop it. TC

Just like what happened with US and UA? That one would have given rights and slots to DCAir and the owner of BET, which would have looked great to any business leader. But no, it was still shot down, and Oberstar was a part of it.


Bye Bye--General Lee

 

[Hpilot]

Forecasters predict "exceptional year" for airlines

By DAWN GILBERTSON
The Arizona Republic


Airlines will look back on a solid 2006 as they start reporting year-end financial results this week, but investor attention will be riveted on their outlooks for 2007.
By all accounts, this year should be even better, with industry profits the highest since 2000 because of continued strong travel demand, fewer flights and lower oil prices. And none of the forecasts includes any merger benefits should the US Airways-Delta deal or other talked-about pairings get off the ground.
"I would expect it to be a very good year, and if oil prices stay where they are an exceptional year," said Jim Corridore, airline equity analyst with Standard & Poor's.
Of course, a very good year in the perpetually challenged airline industry would be a mediocre year in many businesses. But few in the industry are complaining, given the four-year bruising the industry endured after Sept. 11, 2001. The industry lost $35 billion in that period, according to the Air Transport Association.
The trade group's earnings forecast for 2007, which includes U.S. passenger and cargo airlines, is for a profit of $4 billion to $6 billion. That's double the expected tally for 2006.
Airline analyst Roger King says the key to the strength of the recovery is the ability of airlines to continually raise fares.
Buoyed by flight cutbacks, airlines raised fares several times last year without scaring away passengers.
"So far, the consumer's not revolting," said King, of bond research firm CreditSights.
Southwest has repeatedly raised its fares, albeit in small increments. CEO Gary Kelly said the airline was seeing some pockets of resistance to higher fares in the second half of 2006. It raised fares during the holidays, so analysts will be looking for further insights from Kelly when the airline kicks off earnings season Wednesday with its fourth-quarter results and conference call.
Southwest, the industry leader in profits, is expected to report a fourth-quarter profit of 13 cents per share.

<imgsrc="http://as.casalemedia.com/s?s=74169&u=http%3A%2F%2Fseattletimes.com&f=4&id=0&if=0" width="300" height="250" border="0" alt="">US Airways is also expected to be profitable, with earnings of 80 cents per share, as it has led the industry in revenue
gains thanks to higher fares.
Bear Stearns analyst David Strine calls all the merger talk, started by US Airways' bid last fall for Delta, the "game changer" this year.
If US Airways and Delta combined, he said, the industry's already modest growth plans of about 3 percent would fall to 1 percent because US Airways has said it would shrink the combined airline's fleet. Fewer added seats mean more chances to raise fares.
"Mergers and acquisitions could turn what we believe is a reasonably sturdy recovery cycle into a super cycle," Strine said in a report last week.



Copyright © 2007 The Seattle Times Company

C'mon General don't you want to be part of the "super cycle"?

 

[General Lee]

Forecasters predict "exceptional year" for airlines

By DAWN GILBERTSON
The Arizona Republic


Airlines will look back on a solid 2006 as they start reporting year-end financial results this week, but investor attention will be riveted on their outlooks for 2007.
By all accounts, this year should be even better, with industry profits the highest since 2000 because of continued strong travel demand, fewer flights and lower oil prices. And none of the forecasts includes any merger benefits should the US Airways-Delta deal or other talked-about pairings get off the ground.
"I would expect it to be a very good year, and if oil prices stay where they are an exceptional year," said Jim Corridore, airline equity analyst with Standard & Poor's.
Of course, a very good year in the perpetually challenged airline industry would be a mediocre year in many businesses. But few in the industry are complaining, given the four-year bruising the industry endured after Sept. 11, 2001. The industry lost $35 billion in that period, according to the Air Transport Association.
The trade group's earnings forecast for 2007, which includes U.S. passenger and cargo airlines, is for a profit of $4 billion to $6 billion. That's double the expected tally for 2006.
Airline analyst Roger King says the key to the strength of the recovery is the ability of airlines to continually raise fares.
Buoyed by flight cutbacks, airlines raised fares several times last year without scaring away passengers.
"So far, the consumer's not revolting," said King, of bond research firm CreditSights.
Southwest has repeatedly raised its fares, albeit in small increments. CEO Gary Kelly said the airline was seeing some pockets of resistance to higher fares in the second half of 2006. It raised fares during the holidays, so analysts will be looking for further insights from Kelly when the airline kicks off earnings season Wednesday with its fourth-quarter results and conference call.
Southwest, the industry leader in profits, is expected to report a fourth-quarter profit of 13 cents per share.

<imgsrc="http://as.casalemedia.com/s?s=74169&u=http%3A%2F%2Fseattletimes.com&f=4&id=0&if=0" width="300" height="250" border="0" alt="">US Airways is also expected to be profitable, with earnings of 80 cents per share, as it has led the industry in revenue
gains thanks to higher fares.
Bear Stearns analyst David Strine calls all the merger talk, started by US Airways' bid last fall for Delta, the "game changer" this year.
If US Airways and Delta combined, he said, the industry's already modest growth plans of about 3 percent would fall to 1 percent because US Airways has said it would shrink the combined airline's fleet. Fewer added seats mean more chances to raise fares.
"Mergers and acquisitions could turn what we believe is a reasonably sturdy recovery cycle into a super cycle," Strine said in a report last week.



Copyright © 2007 The Seattle Times Company

C'mon General don't you want to be part of the "super cycle"?

Ummmm no. There doesn't have to be a US/DL merge to have a Super Cycle. A more logical merger would be NWA/DL (probably pass DOJ scrutiny), and UAL/CAL. That would be bad for you guys. If forced into a corner, DL would merge with NWA.


Bye Bye--General Lee

 

[lowecur]

What it is is backpedaling. It's the typical "calm AFTER the storm" that we get from politicians who bluster and tell you what you want to hear, knowing that money talks and they will ultimately find it "out of their hands" to stop it. TC

If the subcommittees and various Congressmen/Senators that don't want this to happen can't convince the DOJ, the only option at that point is a parade of lawsuits from various State Attorney General's that could make it too expensive to procede.

A real key to this whole situation if it gets approved by the Creditors Committee, is what kind of a recommendation the FAA would make. It's no secret that the system is a mess, especially on the Eastcoast. With their budget being sliced from $14.31B to $13.75 for 2007, the FAA has little money to fix the operational problems. What they can do and it takes little taxpayer money, is make it more efficient through mergers. I'm sure the FAA will have to go before these hearings and state their case. In my mind the FAA would like this merger to occur for the simple reason that it would free up the entire system at no cost to their budget.

imp: ​

 

[wms]

Should the two airlines agree to merge, however, "it would be tough" for Congress to block, the congressman said. "There's a good chance it (would) go through," Duncan said.


Did you read that statement? If they AGREE to merge, like two people wanting to merge. USAir and AWA wanted to merge together. They were allowed to because there wasn't any overlap. This isn't the case here, and one group NOT wanting to merge means Congressmen supporting them will fight for them. But regardless, USAir and UAL wanted to merge back in 2001, and the DOJ still shot them down over one disputed area (IAD/DCA), which they even tried to sell off to "DC Air" to the guy who ran BET. It was still shot down, with the help of Jim Oberstar, who now runs this committee.

They key difference here is that DAL doesn't want any part of this, and we have friends in high places, and a DOJ who knows what really is going on here.


Bye Bye--General Lee

I may be wrong but I thought the merger proposal between UAL and USAir was withdrawn before the DoJ had a chance to make a decision on it. However I still agree that this merger is a longshot. DAL mgmt and employees don't want it and even the LCC employees don't want it. The only who wants it is Parker. He has already shown his typical airline mgmt dishonestly true colors by saying that if DAL wasn't on board he'd withdraw the offer. DAL isn't on board, and he increased the offer. At least if there is a merger, we're already accustomed to the double-talk from the current DAL mgmt team.

 

[General Lee]

If the subcommittees and various Congressmen/Senators that don't want this to happen can't convince the DOJ, the only option at that point is a parade of lawsuits from various State Attorney General's that could make it too expensive to procede.

A real key to this whole situation if it gets approved by the Creditors Committee, is what kind of a recommendation the FAA would make. It's no secret that the system is a mess, especially on the Eastcoast. With their budget being sliced from $14.31B to $13.75 for 2007, the FAA has little money to fix the operational problems. What they can do and it takes little taxpayer money, is make it more efficient through mergers. I'm sure the FAA will have to go before these hearings and state their case. In my mind the FAA would like this merger to occur for the simple reason that it would free up the entire system at no cost to their budget.

imp: ​

The FAA?? Come on now. They really have no say here. The Attorney Generals complaints will go to the DOJ, and that will press them, along with Oberstar and his committee, to not allow this to go any further. If UAL/US (with only one area of contention--the DCA/IAD area---didn't get past scrutiny) can't get it done, then US/DL is even more likely to NOT get merged. We aren't talking about one city or area, but rather a few. (Shuttles, NE corridor, CLT/ATL, PHX/LAS/SLC) No way. The key is lack of service to smaller communities in the SE, places SW or AT will never go to.

The FAA???? Come on now Lowecur.


Bye Bye--General Lee

 

[mnboyev]

What he said.... LOL...

 

[General Lee]

I may be wrong but I thought the merger proposal between UAL and USAir was withdrawn before the DoJ had a chance to make a decision on it. However I still agree that this merger is a longshot. DAL mgmt and employees don't want it and even the LCC employees don't want it. The only who wants it is Parker. He has already shown his typical airline mgmt dishonestly true colors by saying that if DAL wasn't on board he'd withdraw the offer. DAL isn't on board, and he increased the offer. At least if there is a merger, we're already accustomed to the double-talk from the current DAL mgmt team.

Justice Department Rejects Proposed US Airways, United Airlines Merger.

From: Knight Ridder/Tribune Business News | Date: July 28, 2001

http://www.highbeam.com/Aspx/GetPubL...usine ss+News

The Charlotte Observer, N.C. Knight Ridder/Tribune Business News
Jul. 28--The US Airways deal is dead.
The Justice Department strongly rejected United Airlines' planned $12.3 billion takeover of US Airways Friday, saying it would have reduced competition, raised fares and harmed airline passengers.
"While mergers can further competition, this one does not," said Attorney General John Ashcroft. "If this acquisition were allowed to proceed, millions of consumers would have little choice but to pay higher fares and accept lower quality air service."




Bye Bye--General Lee

 

[mnboyev]

Kinda old article.... eh...... Ya dont have any Western articles from back in the day.. do ya ? This crap changes by the minute... ya'll know that.

But .. I do agree General.. the cure is outa touch man.

 

[xanderman]

Thank you!!!!!!!!!

I may be wrong but I thought the merger proposal between UAL and USAir was withdrawn before the DoJ had a chance to make a decision on it.

Ya know I brought this up some time ago and GL slammed me for it. But this is what happened. Thank you!!!

Andy

 

[mnboyev]

They shot down NWA and CAL...and UAL/UsAir old news fellas.. New Age now. New Congress.. New.. Brand new world !!

Big Brother is watching...

 

[General Lee]

Kinda old article.... eh...... Ya dont have any Western articles from back in the day.. do ya ? This crap changes by the minute... ya'll know that.

But .. I do agree General.. the cure is outa touch man.

Ofcourse the article is old, it came out when the merger was turned down. Hello McFly. I posted it for WMS.



Here is part of an article from last Thursday. Is that new enough for you?


No Avoiding the Altar?

What's more, a potential merger between Delta and Northwest would have a great chance at receiving the necessary regulatory approval than would a Delta-US Airways deal. While Delta and US Airways compete head-to-head in many Eastern and Southeastern markets, there's far less overlap between Delta, whose strength is its Southeastern network, and Northwest, which has major hubs in Detroit, Minneapolis, and Memphis. That would mean fewer layoffs, and fewer of the cutbacks in service that would likely rile lawmakers in Washington.
By contrast, some industry insiders fear that a combination of Delta and US Airways would have a hard time passing muster with regulators. While US Airways officials remain confident that they would be able to divest enough assets to appease antitrust regulators—such as selling off one of the Washington-to-New York shuttle operations the two carriers run—some airline experts fret that a US Airways-Delta merger would give the combined carrier too much control over many second-tier markets like Charleston, S.C. "The Department of Justice will have a hard time approving this deal," says Michael Boyd, an aviation consultant based in Evergreen, Colo.

Already, some of the new Democratic leaders in Congress are voicing their opposition and threatening to derail the US Airways bid for Delta. "This proposal is ill-conceived and designed primarily for the benefit of US Airways," says Rep. James L. Oberstar (D-Minn.), the new chairman of the House Transportation Committee. "I think we can slow it down and eventually stop it." While that must be music to the ears of Delta executives, they still need a Plan B of their own. Which means that as much as Delta might loathe coupling with US Airways, it's still likely there's a merger in its future anyway.
Click here for a slide show looking at the merger-and-acquisition picture in the airline industry.
Foust is chief of BusinessWeek's Atlanta bureau.



Bye Bye--General Lee

 

[General Lee]

They shot down NWA and CAL...and UAL/UsAir old news fellas.. New Age now. New Congress.. New.. Brand new world !!

Big Brother is watching...

Huh? Jim Oberstar is now the Committee chairman, and he was only a committee member back then. With statements like this:

This proposal is ill-conceived and designed primarily for the benefit of US Airways," says Rep. James L. Oberstar (D-Minn.), the new chairman of the House Transportation Committee. "I think we can slow it down and eventually stop it."


I don't think you have any proof of what you are talking about. Please TRY to back up your statements.



BYE BYE---General Lee

 

[General Lee]

This is from 1 week ago, I hope it is up to date for MNBOYEV....

By John Crawley
WASHINGTON, Jan 9 (Reuters) - U.S. Senate lawmakers said on Tuesday they would more closely examine potential airline mergers, including the hostile bid for Delta Air Lines Inc.(DALRQ.PK: Quote, Profile , Research) by US Airways Group Inc. (LCC.N: Quote, Profile , Research)
The Commerce Committee said it would hold a hearing on airline consolidation on Jan. 24. The panel did not release a witness list and a spokeswoman would not say if airline chief executives would be called to testify. Lawmakers in both houses have expressed concern about the potential impact of new consolidation on consumers, especially the potential for higher fares and more erosion of service to small communities.


"I think we want to understand from the airlines what's happening here," Sen. Byron Dorgan, a North Dakota Democrat and member of the commerce panel, said in an interview.
"I'm concerned about any additional proposals by large carriers. I don't think we need less competition. I think we need more. From the standpoint of consumers I don't think it's beneficial to see some of the largest carriers marry up," Dorgan said.
Dorgan said he wants to hear from the airlines themselves as well as Justice and Transportation Department regulators who would review any formal proposals.
Sources have said United Airlines, a unit of UAL Corp. (UAUA.O: Quote, Profile , Research) and Continental Airlines (CAL.N: Quote, Profile , Research) are in preliminary talks about a merger. In November, US Airways made an unsolicited offer for larger Delta, which is bankrupt. Delta management rejected the $8.7 billion bid.


Separately, Northwest Airlines Corp. (NWACQ.PK: Quote, Profile , Research) wants to evaluate strategic alternatives, including a merger. Continental is seen as a potential partner.
The House of Representatives is also likely to hold hearings, according to congressional aides.

Rep. James Oberstar, a Minnesota Democrat and chairman of the Transportation Committee, has "very strong concerns" about possible negative impacts airline mergers, especially the potential for higher fares, a spokesman said. To ally concerns, the aide said Oberstar would have to be convinced that airline consolidation would generate a general economic upside and not hurt consumers.


Congressional concerns over service and competition, which led to hearings, contributed to the failed merger between United and US Airways in 2001.

The new proposals for consolidation come as the industry is on a financial upswing after slowly emerging from its worst economic downturn.
The leading trade group for big U.S. airlines projected on Tuesday that passenger and cargo carriers will net an estimated $4 billion next year.
The group estimates the major carriers will report 2006 earnings of between $2 billion and $3 billion. The last year the industry made money was 2000, which was also the last year for consecutive annual profits. Big airlines are running much leaner than they were five years ago as industry restructuring, most of it in bankruptcy since 2002, has led to major cost savings and capacity cuts. But the industry acknowledges it must improve its weak credit ratings so it can weather normal economic turbulence -- like fuel price spikes.

© Reuters 2007. All Rights Reserved


Bye Bye--General Lee

 

[General Lee]

This is from 1 week ago, I hope it is up to date for MNBOYEV....

double post, sorry

 

[lowecur]

The FAA?? Come on now. They really have no say here. The Attorney Generals complaints will go to the DOJ, and that will press them, along with Oberstar and his committee, to not allow this to go any further. If UAL/US (with only one area of contention--the DCA/IAD area---didn't get past scrutiny) can't get it done, then US/DL is even more likely to NOT get merged. We aren't talking about one city or area, but rather a few. (Shuttles, NE corridor, CLT/ATL, PHX/LAS/SLC) No way. The key is lack of service to smaller communities in the SE, places SW or AT will never go to.

The FAA???? Come on now Lowecur.


Bye Bye--General Lee

Oh, I forgot....the only issue will be anti-trust.

imp:​

 

[General Lee]

Oh, I forgot....the only issue will be anti-trust.

imp:​

The creditors haven't agreed to anything also. The committee will come up with the decision, and the DOJ denial would be the alternative IF it even got that far....you're catching up now...


Bye Bye--General Lee

 

[Morning Wood]

Ya know I brought this up some time ago and GL slammed me for it. But this is what happened. Thank you!!!

Andy

The kiss of death was the DOJ threatening to sue to block it. So no, I guess it wasn't technically shot down, but at that point why continue?

 

[mnboyev]

Wow...I feel up to date..Thanks GL..

I don't disagree...(not that it matters) I hope for the pilots sake that a Delta/Northwest merger does occur...probably better for Airtran than the other possibility..

Oberstar will do the right thing for the working stiffs..count on it...

Sincere regards.. EVV

 

[Marko Ramius]

I may be wrong but I thought the merger proposal between UAL and USAir was withdrawn before the DoJ had a chance to make a decision on it.

UA's Goodwin got cold feet and purposely re-submitted a proposal that had already been rebuffed by the DOJ in January. He did this to get the DOJ to reject the deal, allowing him to pay a lower fee to Airways' for the deal failing and avoid a big breech of contract lawsuit. The deal, like any other, could have gone through if they made the appropriate changes the DOJ requested. The political clout UA lost by backing out cost them dearly in the years to come with the ATSB, looks like they're getting some back though with the China deal. The DOJ will approve almost anything with appropriate measuers. Parker is likely trying to put the onus of splitting DAL/UsAir's routes/employees onto the government.