CAL/UAL announcement next week?

[SuperFLUF]

http://www.nytimes.com/2008/04/26/business/26air.html?ref=business

Continental and United Said to Be Closer to a Merger


By MICHELINE MAYNARD
Published: April 26, 2008
United Airlines and Continental Airlines are getting closer to a merger agreement and would like to wrap up a deal by the end of next week, people with direct knowledge of the discussions said Friday.
The negotiations, which have been under way for months, accelerated after Delta Air Lines and Northwest Airlines announced a $3 billion deal on April 14 that would create the nation’s biggest air carrier.
The talks between United and Continental are in an advanced stage but are not yet complete, the people who had been briefed on them said. They requested anonymity because the talks were private.
The two airlines would like to be finished by Thursday, these people added, although the negotiations could easily run into delays.
As with Delta and Northwest, United and Continental would like to win regulatory approval before President Bush leaves office rather than risk delays that could take place under a new president.
Continental is getting ready to provide details of any possible deal, at least if its Web page is any indication.
The airline, based in Houston, has posted a link on its home page to a new part of its site that looks as if it can be transformed into a merger information page, as soon as a deal occurs.
The page went live on April 15, a Continental spokesman, Dave Messing, said Friday, but only began attracting attention this week.
Mr. Messing declined to comment further. A United spokeswoman, Jean Medina, said the company did not comment on “rumors or speculation.”
The link, www.co-industryconsolidation.com, sits next to a headline, “Latest News and Offers.” It is to the right of a form where passengers can book their flights.
“Welcome to a portion of our Web site designed specifically to provide Continental’s perspective on airline industry consolidation,” the site’s first post reads. “We will add new information to this section as it arises.”
Continental’s consolidation page features only a few links — one to news releases, another to a “Frequently Asked Questions” page that talks about what the Delta-Northwest merger might mean to Continental, and a third guiding visitors to company Webcasts.
But, as the welcome letter says, “Please check back here regularly for more information.”
Delta and Northwest also have their own new Web page, www.newglobalairline.com, which they posted April 15.
On Thursday, executives from those airlines sought to reassure members of Congress that their merger would not hurt consumers or result in significant job losses.
The two airlines blamed high fuel prices for a combined loss of $465 million in the first quarter. Delta and Northwest filed for bankruptcy protection on Sept. 14, 2005, after fuel prices spiked in the wake of Hurricane Katrina. Delta emerged from Chapter 11 protection in April 2007, while Northwest completed its reorganization a month later.
Shares of United’s parent, the UAL Corporation, fell 19 cents Friday, to $15.21, while Continental closed at $17.22, down 46 cents. Delta stock closed at $7.01, down 25 cents, while Northwest fell 32 cents, to $7.56.

 

[CALDC9]

Interesting new name:

United part of Continental.

:laugh::laugh::laugh:

If I did not laugh, I would be crying.

 

[whatitdoing?]

Not going to happen.........we'll announce an American Airlines alliance......CAL wants to stay independant. Just my thoughts.........

 

[Sonny Crockett]

So CAL has answered UAL's "public leverage" (by mentioning it's talking with USAir) by creating its own "public leverage", stating that it is in talks with USAir AND American. If this weren't such a big deal it would sound like two kids negotiating over a candy bar on the playground.

I know it's hard to do, but everybody needs to chill until we get the report on CNN

 

[Rez O. Lewshun]

I know it's hard to do, but everybody needs to chill until we get the report on CNN

But on Fox all things are right.

How's Tubbs?

 

[Jonny Sacko]

Ya, Let the "Experts talk about the Merger, it's going to be ugly, but if we can all stay level, and not EXPECT a leapfrog, on our side or yours. And as the MC is working that out is say we cruise for the ladies at pier 66. I dig that thing. What graphics did you get?

 

[Flopgut]

Senior CAL pilots have an A plan. Senior UAL pilots got most of the bond money. Both just got age 65. If merged seniority lists becomes too big an issue and it's evident that senior pilots of both airlines want to sell out the junior ones, let's do a USAPA type deal and form our own intergration that throws the senior 3rd of both under the bus??

Disclaimer: Mostly stated to bother Rez. But it's no less than the senior third is willing to see done to the rest of us IMHO.

 

[SteelerMan]

Wonder how many senior CAL guys will retire once this merger is announced. Wouldn't they want to protect that A fund and not roll the dice with a joint contract that would have over 9000 voting members that dont have an A fund anymore. Just a thought.

 

[Jetjockey]

The A fund can't be taken away without a negotiation or bankruptcy. However as I understand it, the lump sum option could disappear. In past precedence, this fund would be transferred off the books to a third party administrator. Highly unlikely the lump sum feature would remain in place.

 

[CALDC9]

Wonder how many senior CAL guys will retire once this merger is announced. Wouldn't they want to protect that A fund and not roll the dice with a joint contract that would have over 9000 voting members that dont have an A fund anymore. Just a thought.

CAL's A plan is frozen.