LCC/AMR Merger offer

[OHGOON]

The smart thing to do do here would be to make a joint CBA and a negotiated SLI a pre-condition of any merger. If you don't do that you end up with a situation like they have at LCC where you can't combine the operations to maximize efficiency. The labor piece of this merger will be an ugly, lengthy nightmare.

Agreed that would be the smart thing to do. There is only one problem. The timeline of that process would be years, by then the deal will have long since fallen apart because the money boys think in terms of quarter year projections. The only way, if it happens at all, is full steam ahead and the rest will have to muddle through. Crazy a$$ industry we tied our personal fortunes to...:nuts:

 

[vetrider]

Exactly. Yesterday Crandall was on Bloomberg and said twice, The key issue is pilot SLI. Without pilot SLI cooperation, there cant' be a merger. I think the APA and USAPA can figure it out, and besides, APA and USAPA both see that they have to figure this out rather than risk the alternative. Its a sure bet that the UCC won't accept anything other than a negotiated SLI, pronto.

Maybe this is really the UCC giving DP his one last shot. As in 'ok Dug, let's see if you can pull this off. We want to see how you're gonna do it, show us. If you can't, then bugger off.'

 

[General Lee]

Why don't you all tell us how your mighty airline treated the PA and WA pilots!

I can't wait!

16561

Was there arbitration involved? Did either side agree to it first and THEN disregard the award? Since PA and WA, which I wasn't around to actually see at the airline, airlines have used BINDING arbitration to solve these types of disputes, and other financial disputes have been solved this way, like NFL salary disputes. How would it have looked in the press if an NFL owner lost in BINDING arbitration to his player and had to pay up, but instead cried like a baby and said "No! I won't do it! No!" Well, welcome to USAPA. Bad examples Dornier.



Bye Bye---General Lee

 

[Turtle21]

Maybe this is really the UCC giving DP his one last shot. As in 'ok Dug, let's see if you can pull this off. We want to see how you're gonna do it, show us. If you can't, then bugger off.'

If they have now invited the unions to the table, then they already had that conversation with DUI. I suspect that DUI and the UCC are pretty much on one side of the table and are presenting the requirement of a negotiated SLI to the Unions. A deal they can't refuse. IMHO. YMMV.

 

[vetrider]

If they have now invited the unions to the table, then they already had that conversation with DUI. I suspect that DUI and the UCC are pretty much on one side of the table and are presenting the requirement of a negotiated SLI to the Unions. A deal they can't refuse. IMHO. YMMV.

I think you are right.

 

[ackattacker]

If they have now invited the unions to the table, then they already had that conversation with DUI. I suspect that DUI and the UCC are pretty much on one side of the table and are presenting the requirement of a negotiated SLI to the Unions. A deal they can't refuse. IMHO. YMMV.

I suspect you are right.

I also suspect we will hear something before the new year.

 

[Turtle21]

If APA and USAPA have been doing their job they already have a list and are showing up ready to discuss scope and other aspects of the contract. IMHO. YMMV.

 

[Flyby1206]

Maybe this is really the UCC giving DP his one last shot. As in 'ok Dug, let's see if you can pull this off. We want to see how you're gonna do it, show us. If you can't, then bugger off.'

I agree. Since this is all under BK court AMR needs to be extra careful to cover their bases before telling Doug to F-off, or else there will be serious lawsuits.

If they have now invited the unions to the table, then they already had that conversation with DUI. I suspect that DUI and the UCC are pretty much on one side of the table and are presenting the requirement of a negotiated SLI to the Unions. A deal they can't refuse. IMHO. YMMV.

I think this is a part of the above logic of covering their bases as well. APA has been a big proponent of a US merger, and AMR needs to make sure they are briefed on the specific reasons the UCC isnt going to pursue that idea.

Or, im completely wrong and a merger will be announced soon good arguements can be made for both directions, but thats the fun of it

 

[Turtle21]

Seems to me that Delta's 49% ownership in Virgin Atlantic makes AMR stand alone exit more risky than it was last week. The UCC will have to decide if there is more value and acceptable risk in the merge scenario. LCC stock price leans "merge". IMHO.

 

[dollacrackho]

Nword please . This merger is a done deal just finishing up trying to eek some more money out of doogie. Maybe 75 25 split.

 

[Flyby1206]

Yep, sounds pretty serious. UCC supports merger:

http://finance.yahoo.com/news/amr-creditors-prefer-stock-merger-005914770.html

 

[HalinTexas]

"Announced" mergers always go through:

http://abcnews.go.com/Business/story?id=87893&page=1#.UMmXQY6cQsk

 

[dollacrackho]

Justice department won't block this one.

 

[B-atch]

This is AAs new 777-300ER. Note the livery is yet to be determined. This merger is farther down the road than what is being said.

...And why the white??

 

[OHGOON]

Yep, sounds pretty serious. UCC supports merger:

http://finance.yahoo.com/news/amr-creditors-prefer-stock-merger-005914770.html

from your linked article:

STICKY ISSUE
The talks are now narrowly focused on how to integrate labor unions, indicating the negotiations are far along, the people familiar with the matter said. Detailed valuation discussions - how much of the combined carrier each side should own - are expected to come after the parties iron out labor integration issues, they said.

May be more difficult than an article about finances wants to admit...