Delta to liquidate! What's the General to do?

[Rhoid]

TWST: Chris, what's the likelihood of somebody liquidating or merging?

Mr. Lozier: I agree with pretty much everything Jim said. You would think, if this were really an efficient market, that we'd be seeing the weaklings drop out - that natural selection would run its course and that, in our view, US Airways would liquidate and that Delta probably wouldn't be far behind.

 

[NYRANGERS]

TWST: Chris, what's the likelihood of somebody liquidating or merging?

Mr. Lozier: I agree with pretty much everything Jim said. You would think, if this were really an efficient market, that we'd be seeing the weaklings drop out - that natural selection would run its course and that, in our view, US Airways would liquidate and that Delta probably wouldn't be far behind.

I guess the General, myself and 50,000 other people would find other jobs. In our free time we could come watch you fly your CRJ-FTD.

NYR

 

[N1atEcon]

Rhoid, you need to grow up! This is people's lives and futures your mocking.

 

[General Lee]

Rhoid,

Ha ha, good one. Read the first part of that again and try to understand that he was hypothisizing. Sure, things happen, and DL is not immune to that. At least you went to the DC Academy and you are ready to fly 747s.


Bye Bye--General Lee

 

[SWA/FO]

So who was that quote from? Actually, who is that guy?
No mention of UAL? I guess they are in much better shape then Delta?

 

[General Lee]

So who was that quote from? Actually, who is that guy?
No mention of UAL? I guess they are in much better shape then Delta?

Good question. I have never heard of this guy. There are always people that want to get their names in the press. If you read that section again, and the following paragraph that Hem-Rhoid did not include, you would see that many factors would preclude that "natural selection" process from ever happening. Somoe factors are Pension reform, and help from the government (what USAir continues to get). Delta has not entered into Chap 11 protection, and Grinstein still thinks he can avoid it. We have set out on a huge restructuring program that aims to save in upwards of $5 billion per year, and that has only started since last December 1st when we (the pilots) took that huge pay cut. We still have assets we can sell that can get us to that point where the cost initiatives will start savings us big bucks and it will show.


Bye Bye--General Lee

 

[General Lee]

TWST: Chris, what's the likelihood of somebody liquidating or merging?

Mr. Lozier: I agree with pretty much everything Jim said. You would think, if this were really an efficient market, that we'd be seeing the weaklings drop out - that natural selection would run its course and that, in our view, US Airways would liquidate and that Delta probably wouldn't be far behind.

You forgot to add the next paragraph to your quote Hem:


TWST: Chris, what's the likelihood of somebody liquidating or merging?

Mr. Lozier: I agree with pretty much everything Jim said. You would think, if this were really an efficient market, that we'd be seeing the weaklings drop out - that natural selection would run its course and that, in our view, US Airways would liquidate and that Delta probably wouldn't be far behind.

But as I said before, there are some definite non-market factors that can slow the process and sometimes prevent it from happening. That includes the government. Because you have so many employees and pensioners, we may be looking forward to seeing all these defined benefit pension plans being assumed by the PBGC. That result would certainly help sustain some uncompetitive major airlines for a while longer, and it's another possibility we debate. Not many Congressmen and women want to see an airline go out of business because it means a significant number of unemployed people. And at the same time, you have the aircraft lessor, which would much rather see their planes in the air, even at reduced rates, than they would in the secondary market, which is very weak right now. So there are still plenty of people who seem intent on keeping the weak airlines in business. It's difficult to predict what's going to give.


All of those scenarios are plausible, and also possible help from alliance members who don't want to lose their cash cow programs.....


Bye Bye--General Lee

 

[walden]

Class envy. Rhoid is "working his way toward a major" yet mocks the very place he aspires to be.
Illogic rules the day.
To those who are languishing, furloughed, grinding to make themselves better, or just plain decent people, I salute you.

 

[D-Bo]

So who was that quote from? Actually, who is that guy?
No mention of UAL? I guess they are in much better shape then Delta?

The answer to that question may surprise you. Future possible strikes notwithstanding.

D-Bo