"NWA will be the purchaser" IMHO

[Fly4hire]

Actually he had asked an agent to carry HIS

briefcase around screening. When he got caught

with the weed he blamed it on his kid!

Weasel is being generous.

Dave B

We are very lucky to be rid of him. His departure is much more significant than the presence or absence of Steenland or Anderson.

 

[g-code]

I am glad that is your opinion, but that is not the opinion of Richard Anderson here at Delta, and he probably knows more than you do about what is going on. But, you did use TPG to get rid of the Air Tran threat, which is good for you. If mergers do occur in the future, it may just include "pieces" of airlines, to get rid of the "political" and governmental roadblocks. Do you need GOV'T approval to buy some planes or routes from another airline? Maybe, but not as much oversight as a full merger. Tilton has hinted that he may be willing to sell parts of United (like the Asian routes), and maybe that is what is in our future. If Northwest is there instead of the UAL Pacific routes, I would think NWA employees would rather have DL management since no one anywhere likes the NWA management. It just makes sense.

Bye Bye--General Lee

No. Tilton wants to sell "non-core" assests like the mantainance base at SFO and the frequent flier program.

 

[General Lee]

No. Tilton wants to sell "non-core" assests like the mantainance base at SFO and the frequent flier program.

Are you SURE about that? Really, are you? Boyd and others think you may be wrong. I guess we'll see.......If Gov't hurdles remain in Tilton's way, the only way to get the job done may be selling parts. Parts is parts.


Bye Bye--General Lee

 

[jetflier]

Hi Ben. Ok, here it is. This is the article (not statements with "idiot" or "dork") that is important. You like to say that Delta cannot afford to buy anyone. Why O why would our CFO, the MONEY GUY, announce to a conference full of airline people and bankers, that we may want to acquire someone? Any idea? Is he lying? He is just making this stuff up. Yeah. He is hoping noone would be able to look up the stuff he "hides" in the books, right? Come on now, I hope you are smarter than your above quote.



Delta Airlines still considering an acquisition
CFO Ed Bastian says the airline will have to re-evaluate its business model if oil prices remain near $100 a barrel.

November 7 2007: 6:44 PM EST


ATLANTA (AP) -- Delta Air Lines Inc.'s evaluation of whether it would make sense to purchase another carrier is a "front-burner" issue for the nation's third-largest airline, a senior executive said Wednesday.
"I think there's value there," President and Chief Financial Officer Ed Bastian said of consolidation during a New York investor conference that was broadcast on the Internet. "We just need to find the right transaction for the constituency. If we do find it, we'll certainly consider it."

On the flip-side, Delta (Charts, Fortune 500) recognizes that buying another airline could have considerable financial costs and cause friction among employees, Bastian said. Bastian was noncommittal on how long it would take the Atlanta-based airline to complete the review process, nor what Delta's ultimate decision will be. But, he did say that deciding whether to acquire another carrier is on Delta executives' minds. "It's a front-burner issue for us," Bastian said.


Bye Bye---General Lee

OK General,

IMHO here's the scenario:

-TPG, and associates controlling NWA (Gary Wilson, Checci, Richark K Blum, and the other BOD membrs agree that asset laiden DAL would support an LBO.

-NWA and DAL enter CH11 and the same bankruptcy courthouse in Manhattan at the same time. Lowcated in lower Manhattan, both airlines have law firms nearby as well as consulting groups. Having the information readilly available to both NWA and DAL the consulting and legal firms are able to coordinate exploration of both NWA/DAL, sculpting the CH11 process for a quick exit. Both airlines emerge lean and are now more compatible. This helping to assure that the regulatory and DOT approval would come quickly once a deal is announced.

_TPG owned America West/Us Air announces a hostile bid for DAL, allowing friends and other shareholders to take a profitable exit. Additionally announcing a terrible loss of over 10,000 jobs if merged, the Republican admin frowns and does not want that blood-bath on their watch. AW/LCC walk away quietly with their tails between their legs. TPG smiles knowing that the next DAL merger better not poop on their re-election campagins.

-Both airlines emerge from the clouds of CH11, saying that each is a profitable "stand alone" airline, the cloud of dust begins spinning. NWA majority of stock is snapped up by chosen Investment banker firms, and selected hedge fund groups each tied through TPG. DAL stock is snapped up by the big banks knowing that their investment will pay off soon after post CH11. This is a time for "day traders to pump in cash to these two powerhouses.

-Boyd and other analysts are primed about NWA/DAL exploring a merger, the hungry media outlets are also primed with the carefully chosen words from both management teams.


-DAL CEO Anderson (former NWA CEO) announces DAL would be the purchasing airline in the event of a merger, beginning the stock pump that will allow the DAL shareholders a gracefull and agreed to profitable exit. TPG and Investment Bankers controlling NWA begin to wring their hands as the spinning dust cloud becomes thicker... to be continued....








-

 

[FDJ2]

-DAL CEO Anderson (former NWA CEO) announces DAL would be the purchasing airline in the event of a merger, beginning the stock pump that will allow the DAL shareholders a gracefull and agreed to profitable exit. TPG and Investment Bankers controlling NWA begin to wring their hands as the spinning dust cloud becomes thicker... to be continued....
-

Doesn't your whole conspiracy theorey scenario actually increase the cost of acquisition by increasing claims and then increasing stock value, thereby increasing the cost of acquisition? Sounds kind of counter intuitive.

 

[Jmoney]

The General.......

I say let General Lee run all the airlines! At least he won't look like a slacker.......

I can just see logging to the company network to duty in and "You have 1,632 new messages" -all from the General. That is one hell of a lot more involved than our current guy.

-Man, my finger would sure get sore from hitting "delete" 1,632 times every time I go to work!

 

[General Lee]

I say let General Lee run all the airlines! At least he won't look like a slacker.......

I can just see logging to the company network to duty in and "You have 1,632 new messages" -all from the General. That is one hell of a lot more involved than our current guy.

-Man, my finger would sure get sore from hitting "delete" 1,632 times every time I go to work!

Sounds good, except my CONSTANT attention to Flightinfo will cause the airlines to all go into a financial tailspin. What will I do first you ask? I will try to make back some of the money by SELLING Southwest's fuel hedges. Yeah, that's the ticket. I might be able to put a bandaid on a gushing wound at that point. Then, I will sell any profitable parts of my "airlines" to hedge funds and INTL conglomerates. Why you ask? I don't know, I am SURE they will do the "right thing" and not hurt the employees. What should I do next? Maybe dump the pensions and then give myself a large bonus, along with "first class for life" on all of my airlines. I can't wait!

Bye Bye--General Lee

 

[120% Torque]

http://www.thestreet.com/_yahoo/newsanalysis/businessinsurance/10389394.html

CHARLOTTE, N.C. -- Airline industry consolidation has moved a step closer to reality, now that Delta (DAL - Cramer's Take - Stockpickr) has made clear that it wants to be a player.

Bastian also said, "Delta views itself an acquirer, not a seller." In tone, he went beyond statements made last month by Delta's new CEO Richard Anderson, who said, on his first earnings call, that the carrier is open to a deal.

As far as Washington is concerned, Parker noted that with a new attorney general likely to take office in 2009 no matter who is elected, the current administration may be unlikely to rule on an airline merger during the latter part of 2008. "If you don't have [merger plans] announced by year-end or shortly thereafter, it will be really hard to get something done," he said. "You would have to wait for a new team to come in January 2009."

Continental's maneuverability is somewhat limited because Northwest (NWA - Cramer's Take - Stockpickr) holds a stake in Continental and could block any merger efforts by its fellow carrier, Misner noted.

"If somebody starts stuff out there, we're not going to sit back and just do nothing," Misner said. "We have models on every conceivable paring that you could think of. We have thoughts and ideas and plans sitting there on the shelf."

 

[Sedona16]

click on the Q & A tab then mergers and fast forward to the 4 minute thirty second mark and its pretty clear Delta will fight any sort of being bought situation tooth and nail.

http://www2.multicastmedia.com/demos/Delta/TownHall1.html

 

[filejw]

Just to add more fuel to the fire.....


Hedge Fund Pardus Pushes
For Delta-United Merger

By SUSAN CAREY
November 14, 2007 11:29 a.m.

A hedge fund with stakes in Delta Air Lines Inc. and United Airlines parent UAL Corp. sent a letter to Delta management Tuesday renewing its calls for airline consolidation and specifically advocating a merger of Delta and United.
In the letter, Pardus Capital Management LP, which holds 7 million Delta shares and 5.6 million UAL shares, said it believes "it is imperative" that Delta "enter into a merger transaction with another carrier given the rapid rise in fuel prices and the increased risk to the business as a stand alone entity." Pardus, which noted that the letter was a followup to a Sept. 7 missive to Delta, said it has consulted industry experts including airline consulting firm SH&E and Gordon Bethune, former chief of Continental Airlines Inc.
With their input, Pardus studied potential combinations of Delta with United, Northwest Airlines Corp. and Continental, according to the letter, signed by Karim Samii, Pardus president, and Shane Larson, principal. "Pardus believes the most attractive and practical combination would be a Delta and United Airlines combination," the letter said, because that pairing would produce $585 million in synergies achieve more network breadth than the other combinations.
Pardus went on to recommend a stock-for-stock merger in which Delta shares would be issued to UAL holders, with each UAL holder receiving 2.395 Delta common shares. The hedge fund estimated that the combined company's stock would be valued at $53 a share in 2012, a 75% improvement from today. Pardus also "would support the Delta management team leading the strategic direction of the combined entity," with UAL Chairman and CEO Glenn Tilton serving as nonexecutive chairman for the next year or two.
The letter was sent to Richard Anderson, Delta's new CEO, Edward Bastian, Delta's president and Daniel Carp, chairman of the Atlanta-based airline. Delta, under previous CEO Jerry Grinstein, opposed a hostile takeover of Delta by US Airways Group Inc. early this year, saying that Delta was better off emerging from bankruptcy-court protection as an independent carrier. US Airways' effort fizzled, but its CEO, Doug Parker, remains an outspoken proponent of airline mergers.
Mr. Anderson, who succeeded Mr. Grinstein in September, quickly signaled that he believes airline consolidation could benefit Delta. His comments during the carrier's third-quarter results conference cal were echoed in varying degrees of enthusiasm by all the other major carriers' executives. Mr. Tilton, UAL's chief, has been advocating consolidation in the industry for several years.
Write to Susan Carey at [email protected]

 

[FDJ2]

Just to add more fuel to the fire.....


Hedge Fund Pardus Pushes
For Delta-United Merger

By SUSAN CAREY
November 14, 2007 11:29 a.m.

A hedge fund with stakes in Delta Air Lines Inc. and United Airlines parent UAL Corp. sent a letter to Delta management Tuesday renewing its calls for airline consolidation and specifically advocating a merger of Delta and United.

The article then went on to discuss the numerous posters on Flightinfo that believe a merger is in the works and right around the corner.:laugh: :laugh: :laugh:

 

[General Lee]

Just to add more fuel to the fire.....


Hedge Fund Pardus Pushes
For Delta-United Merger

By SUSAN CAREY
November 14, 2007 11:29 a.m.

A hedge fund with stakes in Delta Air Lines Inc. and United Airlines parent UAL Corp. sent a letter to Delta management Tuesday renewing its calls for airline consolidation and specifically advocating a merger of Delta and United.
In the letter, Pardus Capital Management LP, which holds 7 million Delta shares and 5.6 million UAL shares, said it believes "it is imperative" that Delta "enter into a merger transaction with another carrier given the rapid rise in fuel prices and the increased risk to the business as a stand alone entity." Pardus, which noted that the letter was a followup to a Sept. 7 missive to Delta, said it has consulted industry experts including airline consulting firm SH&E and Gordon Bethune, former chief of Continental Airlines Inc.
With their input, Pardus studied potential combinations of Delta with United, Northwest Airlines Corp. and Continental, according to the letter, signed by Karim Samii, Pardus president, and Shane Larson, principal. "Pardus believes the most attractive and practical combination would be a Delta and United Airlines combination," the letter said, because that pairing would produce $585 million in synergies achieve more network breadth than the other combinations.
Pardus went on to recommend a stock-for-stock merger in which Delta shares would be issued to UAL holders, with each UAL holder receiving 2.395 Delta common shares. The hedge fund estimated that the combined company's stock would be valued at $53 a share in 2012, a 75% improvement from today. Pardus also "would support the Delta management team leading the strategic direction of the combined entity," with UAL Chairman and CEO Glenn Tilton serving as nonexecutive chairman for the next year or two.
The letter was sent to Richard Anderson, Delta's new CEO, Edward Bastian, Delta's president and Daniel Carp, chairman of the Atlanta-based airline. Delta, under previous CEO Jerry Grinstein, opposed a hostile takeover of Delta by US Airways Group Inc. early this year, saying that Delta was better off emerging from bankruptcy-court protection as an independent carrier. US Airways' effort fizzled, but its CEO, Doug Parker, remains an outspoken proponent of airline mergers.
Mr. Anderson, who succeeded Mr. Grinstein in September, quickly signaled that he believes airline consolidation could benefit Delta. His comments during the carrier's third-quarter results conference cal were echoed in varying degrees of enthusiasm by all the other major carriers' executives. Mr. Tilton, UAL's chief, has been advocating consolidation in the industry for several years.
Write to Susan Carey at [EMAIL="[email protected]"][email protected][/EMAIL]

I think we would like "pieces" of United, but not the whole thing. First of all, we have hubs very close together--IAD/JFK, DEN/SLC, ORD/CVG, and we both have a large presence at LAX. That would mean lots of lost jobs and service to smaller communities (Montana if SLC was shut down for DEN)---and that would NOT fly with Gov't officials (especially local gov't who could lose service). United's overall debt is a problem too. Anderson is really opposed to adding any more debt, and that is why he isn't ordering 787s. It ain't gonna happen. Nah. Good try HEDGE FUNDS. Sell a part of United, and I bet we would be interested. (SFO hub)

Bye Bye--General Lee

 

[filejw]

I think Mr Lee misses the point. Its not what you want or DAL NWA AAA UAL, but what the hedge funds and money managers want. In the end they will have the final say based on whats best for them.

 

[jke406]

"NWA will be a purchaser....

I couldn't have said it better myself !

how's that looking for you, champ?