UAL/LCC Tabled

[Colonel Savage]

Just like dogs in heat, they keep sniffing each others butt, and then humping !

That was pretty damn funny, JF!

 

[Bringupthebird]

Dougweiser is now "J. Douglas Parker"?!?!?!?

Funny, since his first name is William.

 

[Tweaker]

Well, I'm pleased that UAL/LCC is off. While LCC may not be perfect on their own, long term, a merger is not a solution to the revenue problem. Also, UAL is about the worst choice for a merger, IMHO.

As a LCC newhire, one of the best things about LCC is the pilot groups pending retirements. UAL would dilute this significantly.

 

[contrail67]

I'm not sure if I'd want to mix it up with CAL right now. They were very thinly hedged going into Q2 and they used 3 way collars, capping their upside protection. CAL may be in a lot more cash trouble than they're letting on.
... and unless (short bus) investors are willing to throw $3B or so in new cash into the merged entity, it'd likely be undercapitalized. I'm currently comfortable with UAL's cash position (pending Q2 results), but a merger is a hugely expensive proposition.

what about a code share like they were exploring...how much extra $$$ would that create? Don't have to have the extra costs of a merger...yes it is very expensive.

 

[daedaepilot]

Well, I'm pleased that UAL/LCC is off. While LCC may not be perfect on their own, long term, a merger is not a solution to the revenue problem. Also, UAL is about the worst choice for a merger, IMHO.

As a LCC newhire, one of the best things about LCC is the pilot groups pending retirements. UAL would dilute this significantly.

Hold your panties, the deal isn't off just yet.

http://money.cnn.com/2008/05/28/new...usairways.ap/index.htm?postversion=2008052821

 

[eaglesview]

Well, I'm pleased that UAL/LCC is off. While LCC may not be perfect on their own, long term, a merger is not a solution to the revenue problem. Also, UAL is about the worst choice for a merger, IMHO.

As a LCC newhire, one of the best things about LCC is the pilot groups pending retirements. UAL would dilute this significantly.

I agree a merger would not be good. However I wouldn't worry too much about UAL diluting your moving up, we are not as young as you think and certainly bring enough widebody flying to offset any "dilution.

By the way rumor here is Tilton and Parker are meeting again today.

 

[Tweaker]

This just in. Deal dead again. The dogs have officially stopped sniffing each others hindquarters.