CNBC reports US Air / United in merger talks

[johnsonrod]

It's very clear Tilton wants his $50 million merger success fee so that he can leave the industry. Parker probably wants out as well so that he could open his own nightclub.

The problem that I see is the hub overlap (i.e., PHL and IAD, DEN and PHX, etc.). Do you want hubs close together like that? Unlike NWA and Delta, this merger would not be very complementary in terms of hub locations. To me, that means consolidation and potential job losses... I can see big potential job loss on the regional side as well (as they consolidate vendors).

 

[FlyinPiker]

Celebrating at CAL, actually, this is what may push CAL to merge with United. Interesting.

I think your spot on.

 

[FlyinPiker]

It's very clear Tilton wants his $50 million merger success fee so that he can leave the industry. Parker probably wants out as well so that he could open his own nightclub.

The problem that I see is the hub overlap (i.e., PHL and IAD, DEN and PHX, etc.). Do you want hubs close together like that? Unlike NWA and Delta, this merger would not be very complementary in terms of hub locations. To me, that means consolidation and potential job losses...

Not only that, but I seem to remember the whole large presence of UAL at IAD and USAir at DCA stirring up trouble last time they were dancing.

 

[nyboilermaker]

celebrating at cal, actually, this is what may push cal to merge with united. Interesting.

...

+1

 

[Diesel-9]

Think CAL will join this fight and someone will be split up. UAL and CAL survive and split a few UsAir assets. Sell Airbus airplanes and routes to JetBlue to grow. USAF joins in and works code share to refuel all ComAir RJ's as DAL pays for refueling kits so they can fly RJ's to Asia. 787 never arrives as Delta RJ's hub and spoke out of NRT with 450 aircraft per bank. Have to hire 6000 Thai girls as Stews cause senior ATL babes don't fit thru exit doors on 76 seaters. Training center can't handle the load so all mainline aircraft are parked and furloughs start from the top as Lee Moak signs off on reverse seniority layoff in his final act as he heads to National Alpa. Moaks first act at ALPA is to sign on first cargo company that flies pilotless drones carrying cargo over the Pacific.

 

[COpilot]

LMAO !!! -9

You are as likely right as anyone

 

[johnsonrod]

Not only that, but I seem to remember the whole large presence of UAL at IAD and USAir at DCA stirring up trouble last time they were dancing.

That's a great point. There is some serious route overlap in that case... Especially on the regional partner side.

 

[General Lee]

DOH!!!!! I think this is going to be a MAJOR disaster, since the East and West stuff isn't settled (at least in the Eastie's heads) yet. Can a new "United" support a PHL and an IAD base right next to each other? Parker and Tilton want their money, and they want it NOW. I could see CAL getting AWA's assets, and UAL taking USAir East's? Good luck?


Bye Bye--General Lee

 

[General Lee]

If I were at CAL I would definitely be celebrating.





Then again, next would inevitably be AMR+CAL.

AMR and CAL? Both with Primary hubs in Texas (DFW and IAH), along with large bases in JFK and EWR? Doubt it.


Bye Bye--General Lee

 

[AceOnTheRiver]

Shrewd move by United. CAL will have to respond either by buying United, which is what United really wants or merging with AA as a backstop.