AA/US not merging??

[Full of LUV]

I think that the gameplan for AMR will be to emerge from BK first, then do the merger out of BK. This is nothing really new, this has been their publically stated desire. (the part about emerging from BK before entertaining any ideas of merger with anybody) It makes sense though, it allows them to negotiate from a position of greater strength, getting a better deal for AMR shareholders.

And a better deal for AA management, not that that would have any sway....

 

[tzskipper]

I think that the gameplan for AMR will be to emerge from BK first, then do the merger out of BK. This is nothing really new, this has been their publically stated desire. (the part about emerging from BK before entertaining any ideas of merger with anybody) It makes sense though, it allows them to negotiate from a position of greater strength, getting a better deal for AMR shareholders.

What will be interesting to me is if the creditors committee accept a management proposal prior to the end of the 12/28 exclusivity period. If they don't, I think you'll start to see the offers for pieces of AMR in early January.

The UCC will most likely be the new "shareholders" upon AMR's exit from BK, so I am not sure their leverage will improve post BK. In addition, I believe that AMR will be a privately held company post BK until such time an IPO is executed.

S

 

[HA25]

the problem with the LCC/AMR merger is that there isn't enough incentive for the merger from the standpoint of the executive suite.. Now if they were going to cash out with some fat bonuses as a result, or get a large amount of stock options for it, then you'd see them sitting at the table infront of congress like back in 2002 when the 12.3 billion dollar merger was being proposed by Wolf and Goodwin.. All this talk about fiduciary responsibly to the share holders is just smoke and mirrors.... there has to be a 1/2 billion in there for the management team or no deal!

 

[Turtle21]

the problem with the LCC/AMR merger is that there isn't enough incentive for the merger from the standpoint of the executive suite.. Now if they were going to cash out with some fat bonuses as a result, or get a large amount of stock options for it, then you'd see them sitting at the table infront of congress like back in 2002 when the 12.3 billion dollar merger was being proposed by Wolf and Goodwin.. All this talk about fiduciary responsibly to the share holders is just smoke and mirrors.... there has to be a 1/2 billion in there for the management team or no deal!

Certainly the money available for Horton will be a big factor in whether or not he stays or goes, and the money he can command will be driven by realities.

One such reality will be the AA pilot TA outcome. Many of the AA pilots I talk with have an almost irrational desire to kick Horton out without a penny and have voiced an intent to never vote in favor of any TA, thinking it will help force a merger with LCC sans Horton.

Who knows? If I could accurately predict the outcome I could make a lot more money than I do now!

 

[Flyby1206]

What will be interesting to me is if the creditors committee accept a management proposal prior to the end of the 12/28 exclusivity period. If they don't, I think you'll start to see the offers for pieces of AMR in early January.

Im pretty sure the exclusivity period has been extened into late January 2013

 

[Dan Roman]

Correction to my last post - Dan and Hal are both on same trip - when they hear the news about US/AA - so they log on to WI-FI to see who can be the first to post this on FI.com!!!!!!

Metrojet

Not sure where your coming from, perhaps you are not aware of the multitude of HA flights on air to air at any one time. I wake up early, have my coffee and surf the Internet in the AM. Coincidentally enough HAL posted an exchange I happened to hear that turned out to be obvious baiting of the AMR pilots on the frequency.

Metro, weren't you the guy who posted a nice callout of some HA A330's pics on the Internet awhile ago?

 

[HA25]

I just spent so much of a 5 hour flight from HNL to PDX sitting next to a top 300 AA guy who showed me their TA proposal which he pretty much liked. He believes the merger is very likely.

 

[dollacrackho]

I just sat next to Doug parker and he said that he's not sure about the merger but if it does go through he's gonna drink a gallon of Jose Cuerva and drive his car through Horton's living room.

 

[B727FA]

So...just to recap what I've heard: AA wants to emerge as a "stand-alone" company. Whew--glad I had that replay from the trans-pac biz jet driver (on the internet). I was almost confused.

 

[B727FA]

I just sat next to Doug parker and he said that he's not sure about the merger but if it does go through he's gonna drink a gallon of Jose Cuerva and drive his car through Horton's living room.

Can tequila be both masculine and feminine? Discuss...:erm: