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Mergers - 2 Issues

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skywdriver

Well-known member
Joined
Sep 25, 2005
Posts
230
First of all, does anyone think the Gov (even the current administration) will let it happen?

Second, if it does happen, how bad are the capacity reductions going to be? Seems hard to cut capacity when you are flying around with loads in the low 80's.

Just curious what the thoughts on all of this are.
 
Neither of these matter when there is money to be made.

Heck, safety doesn't even matter all that much anymore if it means turning an extra buck. LOL
 
The will cut capacity AND increase their fares which will keep capacity in those magic 80s except with great profits. God help the merged pilots.
 
I'm betting that this turd won't flush... both of them have a bunch of cash on hand, with no bankruptcy imminent. It'll be United/USAir all over again.
 
What analysts don't seem to grasp (except perhaps Boyd) is that any reduction in capacity will be more than filled in by new LCC entrants. Of course politicians and consumer groups would call this a good thing.
 
Any merger can be made acceptable to DOJ regulators if the participating airlines sufficiently divest routes, planes, and hubs.
 
The will cut capacity AND increase their fares which will keep capacity in those magic 80s except with great profits. God help the merged pilots.

If both UAL and DAL just parked all of their RJ's, it would take care of the capacity problems as well as keeping pilots on the job!!!!!!!!!!!!!!!!!!!!!!!
 

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