UAL Headed for Liquidation...

[bigr]

http://news.ft.com/servlet/ContentS...StoryFT/FullStory&c=StoryFT&cid=1033849024639

 

[eaglefly]

Son, I believe you have confused Chapter 11 Bankruptcy with Chapter 7.

Chapter 11 is a reorganization.

Chapter 7 is a liquidation of assets.

UAL is in NO danger of liquidating. They may find a reorganization under chpater 11 to their benefit however.

Time to go back out and practice some more touch-and-go's for you airline career. Some more "heavy" time in that seminole will look good to the recruiter.

Tip - don't try to dazzle them with your knowledge of the airline industry in the interview. You'll come across much stronger explaining the landing gear system of the 172RG.

 

[Vik]

"Going into Chapter 11 with a labour-owned airline increases the risk of liquidation instead of re-organisation."

It is at risk. It doesn't mean that it will happen. Every company that files for Ch.11 is at risk of Ch.7 but it doesn't mean that is always the course of action otherwise USAir would be gone by now.

UAL will hurt until labor doesn't own 55% of the company and have 2 seats on the board. Labor cannot make management decisions and the two should never mix. If labor could make management decisions, management would be out of a job.

 

[bigr]

I wasn't confused.

Obviously Eaglefly didn't read the entire article. But if I flew for Eagle, I'd be a little obtuse as well.

 

[surplus1]

Maybe you should read the article again. I don't think it's bigr that's confused.

 

[FEDUPPILOT]

As a fellow Eagle pilot, I hope I never get stuck flying with Eaglefly!!! Why do you have to be such an A$$?? READ THE ARTICLE BEFORE YOU SHOOT YOUR MOUTH OFF!!!! Its people like you that make a four day trip seem like an eternity!!

 

[SaifAir]

Thats cool --- I think that I will go to that auction. You think it will be held in ORD?

 

[peepsmover]

No drama queens, please

Everyone could be right or wrong, still my money is on UAL's labor groups coming together, think about it, if your job was no kidding on the line, you'd be willing to give a little bit more to keep yourself from losing everything. I think it simply reflects just how badly all parties have misinterpreted the severity of this current downturn, but what airline hasn't? So I think now that chorus of analysts are talking a recovery in 04, labor groups will come around.

As to labor groups serving as members of corporate boards, this is not rocket science, other companies share the same structure. To say that one group is wholly responsible for the dire situation at UAL totally fails to place the severity of the problem in the proper context. Finally, as to bankruptcy itself there are other airlines that were successful in coming out of it, lets hope UAL becomes a success story as well.

 

[dispatchguy]

I worked at UAL, in both management (OPBCM) and non-management positions (ORDSK).

UAL labor unions will not come together. Never really have, never really will. Each workgroup has their own fiefdom, and thats that.

I fully expect UAL to file BK, especially if they cant service that 900 million (yes million) debt payment in the 4Q this year. No, I dont want UAL to file it, as I know a lot of people still there, and I wouldnt wish it on anyone.

UAL labor unions coming together and singing kumbaya (sp). It will not happen. SW (the F/As) are still pissed over the USAir fiasco (well, everyone is), their lost pay arbitration from a couple of years ago, and the fact that they dont have a seat on the board. AFA is not going to give management an inch, regardless of the situation. Their basic attitude is that we have a contract which you abuse enough already, we're not giving in in this section.

ALPA proffered a %-age a while ago (which basically negated their Contract 2000 raise).

IAM, machinists and C/S-RR, not sure about. Their wages are so low already (CS-RR), that they cant give back much more. I mean, a 10% give back off an 8.75/hr wage (for someone junior) isnt a whole helluva lot.

PAFCA (dispatchers). From friends in CHIDD (Chicago Dispatch), the first negotiated give back was 11%, contingent on all the other unions going along - now that some groups are balking, management wants more - but why should the dispatch group (or any other group) have to bleed more because some other groups arent going to go along?

Talking to friends who are pilots and dispatchers, the morale over at UAL is just as hunky-dory as it was Summer 2000, when the pilots were negotiating their current agreement. Back then I had a saying - "United, in name only"

When I was at OPBCM during the summer of 2000, we got a raise, called the Vision 2000 payraise. All of UALs non-unionized groups received one. For example, my raise %-age was about 22%, for working the pilot crew desk as a crew scheduler. One old-head crew coordinator, on the day everyone got their new UG showing their new monthly scale, was admonishing everyone "Dont go out and spend this all - the only reason they can afford this is that were doing so well, but the second the economy goes south, us as UAL MOST OF ALL (especially if this USAir fiasco goes thru), we will be in the toilet - mark my words."

Well, he was right.

 

[MetroSheriff]

Son, I believe you have confused Chapter 11 Bankruptcy with Chapter 7.

Chapter 11 is a reorganization.

Chapter 7 is a liquidation of assets.

UAL is in NO danger of liquidating. They may find a reorganization under chpater 11 to their benefit however.

Time to go back out and practice some more touch-and-go's for you airline career. Some more "heavy" time in that seminole will look good to the recruiter.

Tip - don't try to dazzle them with your knowledge of the airline industry in the interview. You'll come across much stronger explaining the landing gear system of the 172RG.

Eaglefly,

You should be ashamed of yourself for acting like such an a$$.