DAL sees more mergers and wants cash on hand to participate

[DieselDragRacer]

Delta’s top executive said he expects more consolidation in the industry — even after two mega-mergers in the past two years — and wants to keep enough cash available to be able to participate, AJC reporter Kelly Yamanouchi writes.


Delta executives also told investors Wednesday that they see a “strengthening business environment” that will lift Delta well into the black for the year, Yamanouchi reports.


Chief executive Richard Anderson’s comments at an investor conference came amid reports that the British carrier Virgin Atlantic is seeking potential partners or an investment and that Delta is among potential candidates, according to Sky News in the U.K.


“We’ve got to prepare our balance sheets for future opportunities,” Anderson said during the New York conference, which was webcast. “I think we need to be flexible enough to participate, even through joint ventures or other sorts of arrangements.”


He said he wants to position Atlanta-based Delta “to be able to participate” in the final stages of industry consolidation, Yamanouchi writes.


http://blogs.ajc.com/business-beat/...hope-marta-pepsi/?cxntfid=blogs_business_beat

 

[Jetjockey]

Next up..............Alaska.

 

[tommyknock83]

Airways marries Amarican.

 

[andyd]

I hope so!

 

[AceOnTheRiver]

Airways marries Amarican.

I doubt it. The pilot squabble will prevent UsAir from merging anytime soon. I could see AA picking up some pieces if UsAir collapses though.

 

[Dizel8]

Buy Blue!

 

[RNP.15]

Time will tell.

 

[St. Nic]

I doubt it. The pilot squabble will prevent UsAir from merging anytime soon. I could see AA picking up some pieces if UsAir collapses though.

There is no more squabbling- mesa west lost their fight in the appeals court. Parker knows this and is divesting out of Phoenix (a worthless hub) and is consolidation CLT, PHL and DCA. The airline will be split- east to AMR and MesaWest to Republic

 

[TWA Dude]

The airline will be split- east to AMR and West to Republic

May it come to pass! I've no doubt the West would come out ahead in that scenario.

 

[AA717driver]

AMR can't get Useless Air East cheap enough to make it worth taking PHL.

All pain. No gain.

TC

TWAdude--Hope you guys are doing ok. Entertaining thoughts of returning? If so, give me a call.

 

[GOULET!]

Alaska for sure.

 

[Going2Baja]

Smarter move is Hawaiian THEN Alaska.....I'd rather merge 300 guys into wide-body than the 2000 merged pilots of AK and HA if they merge first.

Baja.

 

[JetMonkey]

There is no more squabbling- mesa west lost their fight in the appeals court. Parker knows this and is divesting out of Phoenix (a worthless hub) and is consolidation CLT, PHL and DCA. The airline will be split- east to AMR and MesaWest to Republic

Your welcome for saving your job A$$wipe!

 

[get2flyin]

There is no more squabbling- mesa west lost their fight in the appeals court. Parker knows this and is divesting out of Phoenix (a worthless hub) and is consolidation CLT, PHL and DCA. The airline will be split- east to AMR and MesaWest to Republic

Classic East mentality; "What we have is so valuable and what you bring is crap". After two bankruptcies and near liquidation I'd think you'd start warming up to the idea of your previous model being a failure. The definition of mental illness is repeating the same actions with the expectation of a different result.

I'm sure AMR would welcome the opportunity to staple you on the bottom of their list. As much as I'd love to see you enjoy the view from the bottom (below even the Eagle FOs), I don't think it will happen. You should totally talk to USAPA about it. They've been dead on with everything else.

*NOTE TO MODERATOR- I'm sorry. I didn't mean to jump on the East v. West poop slinging fest band wagon.

As far as Delta's ability to keep cash on hand for another merger...I can't imagine they'll be buying another legacy carrier. Perhaps they'll try to find something more regionalized that gives them gates or aircraft to better complete in someone else's hub.

 

[johnsonrod]

Smarter move is Hawaiian THEN Alaska.....I'd rather merge 300 guys into wide-body than the 2000 merged pilots of AK and HA if they merge first.

Baja.

The Alaska guys would be fenced off of any plane larger than a 737 probably.

 

[GogglesPisano]

Expect more international JV's (Virgin ...) rather than domestic acquisitions.

 

[Full of LUV]

The Alaska guys would be fenced off of any plane larger than a 737 probably.

That would be a lot of fences......

 

[Dash8don]

The Alaska guys would be fenced off of any plane larger than a 737 probably.

That's fine, as long as we fence off SEA, PDX and LAX to the DL guys. Oh yeah, I almost forgot SIT too, you're welcome General ;-)

 

[GG747]

Could you imagine if Delta and United join up. That would be four airlines into one name. Northwest, Delta, United and Continental.

 

[Green Banana]

The Alaska guys would be fenced off of any plane larger than a 737 probably.

The Delta guys would be fenced out of Sitka and Juneau.

Arg.... you beat me to it Don.

 

[johnsonrod]

That's fine, as long as we fence off SEA, PDX and LAX to the DL guys. Oh yeah, I almost forgot SIT too, you're welcome General ;-)

Can you really fence out routes? I don't think so, that would be up to crew planning who puts out the bid schedules most likely. That would mean you guys could get some of Delta's 737 routes too, like Detroit to Columbus. But, it sure looks like a Delta and AK hookup could happen if there is another round of mergers. Hopefully I someday can be a part of that. Fingers crossed!

 

[IBNAV8R]

Classic East mentality; "What we have is so valuable and what you bring is crap". After two bankruptcies and near liquidation I'd think you'd start warming up to the idea of your previous model being a failure. The definition of mental illness is repeating the same actions with the expectation of a different result

I hear that argument worked really well for the TWA guys. Then again, they were only ALPA.

 

[johnsonrod]

Could you imagine if Delta and United join up. That would be four airlines into one name. Northwest, Delta, United and Continental.

Overlapping routes would not allow that, via the Gov't. If 2 airlines want to merge and have Government approval, there has to be very few overlapping routes, and that seems to be the case with Delta and AK.

 

[Green Banana]

Can you really fence out routes? I don't think so, that would be up to crew planning who puts out the bid schedules most likely. That would mean you guys could get some of Delta's 737 routes too, like Detroit to Columbus. But, it sure looks like a Delta and AK hookup could happen if there is another round of mergers. Hopefully I someday can be a part of that. Fingers crossed!

You probably can not fence of routes, but SE Alaska is a special qualification. I am not sure you can fit those huge Alaska nuts inside a double breasted, sub commanders suit.

 

[becket]

The Alaska guys would be fenced off of any plane larger than a 737 probably.

For a few years probably. Not forever. Alaska's share price is almost $60.00. That's one hell of an expensive acquisition. I don't think anybody has that kind of cash lying around.

 

[Full of LUV]

For a few years probably. Not forever. Alaska's share price is almost $60.00. That's one hell of an expensive acquisition. I don't think anybody has that kind of cash lying around.

I got $60.... it's right over here. Also, from what I hear, DAL's LAX flying has already been fenced off to AK via codeshare.....

 

[Launchpad]

That's fine, as long as we fence off SEA, PDX and LAX to the DL guys. Oh yeah, I almost forgot SIT too, you're welcome General ;-)

Why on earth would DL guys be fenced off SEA and LAX when we have pilot bases there already?

 

[CesnaCaptn]

I got $60.... it's right over here. Also, from what I hear, DAL's LAX flying has already been fenced off to AK via codeshare.....

Alaska doesn't have any new or additional flying out of LAX as a result of the DL codeshare.

Didn't WN pay a 50% premium for Airtan? Maybe no one wants to pay $90/share or $3B for AS.

 

[jonjuan]

For a few years probably. Not forever. Alaska's share price is almost $60.00. That's one hell of an expensive acquisition. I don't think anybody has that kind of cash lying around.

$60/share. Wow- so their marketcap it 5 times what DALs is at $12/share. I didn't realize they were worth so much

 

[Going2Baja]

You probably can not fence of routes, but SE Alaska is a special qualification. I am not sure you can fit those huge Alaska nuts inside a double breasted, sub commanders suit.

SE isn't that big of a deal...they had plenty of LAX/SEA guys get forced based up there and after a 3 day OE qual they were qualified. Local knowledge is great, but the operation moves on w/ meat in the seat. DAL guys could be flying the same routes in a week. Let's not think this is rocket science.

Baja.