US Airways raises the offer to 10.2 Billion

[ironspud]

You can't debate, so you try to make fun, and instead look dumb.


Bye Bye--General Lee

No he didn't. That was ROTFLOAO funny.:laugh: Good one spinproof! Made my day.

 

[General Lee]

No he didn't. That was ROTFLOAO funny.:laugh: Good one spinproof! Made my day.

Are you still in Seoul? Bummer. When do you go back towards ANC? Someday.....


Bye Bye--General Lee

 

[tomgoodman]

Hmmm....

So, this extra 20% is in cash, right? Nope. It's all added debt....if this is consumated, you have an extremely over leveraged airline with reactionary mergers that follow. Immediately you have a third tier air carrier with no Pacific rim exposure that will have to divest itself of critical east coast landing slots, gates and routes. The resulting reactionary mergers will produce stronger airlines with superior networks, and, they scoop up the divested assets as well.

Maybe that's the real plan: put the combined company hopelessly in debt, squeeze the employees again, sell off assets, and bail out with a huge golden parachute. It's been done before.

 

[FDJ2]

I predict that this higher offer will completely convert General Lee into the biggest supporter there is.

I predict this offer will put more coin in every Delta pilots pocket as the claim sale is in full swing. Beyond that, it's just another fart in the wind by Dougie with a drop dead date of Feb. 1.

 

[bravodude]

Wow, I should read it and weep? Huh? The Government came in yesterday and stated there would be hearings, and both the Senate and House don't seem very interested in this deal at all. They will strike it down, even if the creditors somehow said yes to this new deal (5 of the 9 on the committee are friendlies). I still can't wait to see Parker testify in front of the Senate and the House panels. Say it with a straight face Doug--"We will lower fares, and this is good for the consumer.....taking one of two airlines out of many cities in the Southeast...." Riiiight. It is all over but the shouting (was that the case with US and UAL?).


Bye Bye--General Lee

Takeing one airline out is a good thing. WE have toooooooo much capacity and you know that, just because they picked Delta general you are throwing a fit, if it didn't involve Delta you would be screaming how much we need this deal and consolidation and blah blah blah, shut up and take it like a man.

 

[spinproof]

You can't debate, so you try to make fun, and instead look dumb.


Bye Bye--General Lee

OK..sorry I'll try not to make fun of you anymore...Oh and I'm trying not to look dumb..and..and... I know I'm not a good debater..well its hard when you're up against such a "Master-de-bater".... ...uh with all due respect of course!

 

[General Lee]

Takeing one airline out is a good thing. WE have toooooooo much capacity and you know that, just because they picked Delta general you are throwing a fit, if it didn't involve Delta you would be screaming how much we need this deal and consolidation and blah blah blah, shut up and take it like a man.

That really makes no sense. Mergers are good when they actually make sense. The USAir/AWA merger actually made sense, and was good for both parties. This one does not. You know as well as I do that taking capacity out of the system will NOT last long. Southwest and others will fill in the gaps, with lower wages for those people who were put out of work due to the original bad merger. I don't think consolidation is the answer, but if others do actually move to merge and it makes sense (CAL/UAL could merge because their routes and hubs would be a good fit)---then there would be a move towards consolidation. But a merger or takeover that really makes NO sense, that doesn't work. Looks like the Gov't doesn't want any mergers right now. You should take this up with your local Congressman, or call Oberstar directly....

Bye Bye--General Lee

 

[General Lee]

OK..sorry I'll try not to make fun of you anymore...Oh and I'm trying not to look dumb..and..and... I know I'm not a good debater..well its hard when you're up against such a "Master-de-bater".... ...uh with all due respect of course!

You got that right........And I smile the whole time .....


Bye Bye--General Lee

 

[Bat]

General,

Why do you say SW will give them low paying jobs? Last I checked, SW pays their 737 Captains from $174-$198 an hour and that is favorable to DL 777 rates of $173-$188 per hour. It is a good thing they don't pay DL rates and give them such low paying jobs may have been what you meant unless you are aware of a new pay raise on the way. And by the way, I do hope that you do have a pay raise on the way. I hope that we all have a pay raise on the way!

 

[General Lee]

General,

Why do you say SW will give them low paying jobs? Last I checked, SW pays their 737 Captains from $174-$198 an hour and that is favorable to DL 777 rates of $173-$188 per hour. It is a good thing they don't pay DL rates and give them such low paying jobs may have been what you meant unless you are aware of a new pay raise on the way. And by the way, I do hope that you do have a pay raise on the way. I hope that we all have a pay raise on the way!

That is not what I mean at all. Most of the workers that will be let go will be airport workers or ramp and gate people due to the fact that at airports served by both, they don't need two ticket counters or twice the gates. They will have to start over with new carriers if they want to stay in the business, at lower wages and lower or new seniority. Thanks for bringing up the new pilot wages at Southwest. We helped them get that with our original 777 rates. Thanks.


Bye Bye--General Lee

 

[400ADude]

That really makes no sense. Mergers are good when they actually make sense. The USAir/AWA merger actually made sense, and was good for both parties. This one does not. You know as well as I do that taking capacity out of the system will NOT last long. Southwest and others will fill in the gaps, with lower wages for those people who were put out of work due to the original bad merger. I don't think consolidation is the answer, but if others do actually move to merge and it makes sense (CAL/UAL could merge because their routes and hubs would be a good fit)---then there would be a move towards consolidation. But a merger or takeover that really makes NO sense, that doesn't work. Looks like the Gov't doesn't want any mergers right now. You should take this up with your local Congressman, or call Oberstar directly....

Bye Bye--General Lee

It doesn't make sense? Then why is Parker pursuing it? Why are people talking about it. There is a real good chance you'll be eating crow my friend. Sorry, it's life. Like I said before, overlap isn't going to be a factor. Parker wants your international routes, some gates, and a presence in ATL. The rest will be sold off to the highest bidder. Life goes on big guy.

 

[redflyer65]

Parker knew exactly what he was doing. Throw out an offer and talk it up. Shortly thereafter DAL will put together their exit strategy with a fixed dollar amount.

Parker comes back with more money. End of story.

 

[Green]

Parker is not dumb. Remember when he originally announced the AWA/AAA merger and all the analysts were calling it the barbell aka 'dumbbell' merger? Most pundits thought it was a terrible idea in the original stages and then they were falling all over themselves to declare what a succesful merger it was before we announced 300million in profit for one quarter.

I think Parker is looking down the road and realizing that the new US Airways is going to get squeezed out again as we really can't compete with the big boys or SWA in our present state. We need to grow yesterday in order to be on a level playing field with UAL/AMR/CAL. Dal fits the bill with massive international expansion and a 100 or so widebodies. The interesting thing will be how long this deal is held in government hearings and how both companies handle being in limbo for an extended period of time.

 

[General Lee]

It doesn't make sense? Then why is Parker pursuing it? Why are people talking about it. There is a real good chance you'll be eating crow my friend. Sorry, it's life. Like I said before, overlap isn't going to be a factor. Parker wants your international routes, some gates, and a presence in ATL. The rest will be sold off to the highest bidder. Life goes on big guy.

Are you serious? Wake up. The Gov't will NOT approve any mergers that don't make sense, and cut jobs and are not good for their constituents. Why did the USAir/UAL merger attempt fail? Overlap and loss of flights to smaller communities. Why did the USAir/AWA merger succeed? Because the Gov't saw there was little overlap and minimum job loss, with no small communities hurt. That is not the case here. Southwest and other low cost carriers will not fill in the gap. It will not happen.


Bye Bye--General Lee

 

[General Lee]

Parker is not dumb. Remember when he originally announced the AWA/AAA merger and all the analysts were calling it the barbell aka 'dumbbell' merger? Most pundits thought it was a terrible idea in the original stages and then they were falling all over themselves to declare what a succesful merger it was before we announced 300million in profit for one quarter.

I think Parker is looking down the road and realizing that the new US Airways is going to get squeezed out again as we really can't compete with the big boys or SWA in our present state. We need to grow yesterday in order to be on a level playing field with UAL/AMR/CAL. Dal fits the bill with massive international expansion and a 100 or so widebodies. The interesting thing will be how long this deal is held in government hearings and how both companies handle being in limbo for an extended period of time.

Parker is not dumb, eh? What about that USAToday debacle? Didn't he state, in front of editors and jounalists (not a tape recorder), that he would not persue DL if our management didn't want it? It was front page news. The next day he retracted it....... Hmmmmm. That was genius..


Bye Bye--General Lee

 

[Tejas-Jet]

You can't debate, so you try to make fun, and instead look dumb.

Not really....I thought it was creative...and hilarious !!!

Tejas

 

[BeCareful!]

Not really....I thought it was creative...and hilarious !!!

Tejas

Me too. Personally, I think GL's looking more and more dumb as this issue gets debated.

 

[General Lee]

Me too. Personally, I think GL's looking more and more dumb as this issue gets debated.

Really? Wow, since you think that I had better stop.........riiight. I back up my statements with articles that support it. You and others resort to petty slams that mean nothing to me. Have a great one.....


Bye Bye--General Lee

 

[Nightrain_080]

General Intelligente

Me too. Personally, I think GL's looking more and more dumb as this issue gets debated.

Not to tout the General's EGO too much, but I have to agree with his thought process on this issue. Delta should be able to remain stand alone and successful based on a solid future plan with proven results of the past. DP is grasping at straws for his own ego and dreamy stock options for his pals. 99 to 1 odds he pulls off this nightmare merger scenario. No one wants a dance partner with 2 left feet.

 

[munson]

usair buys dal, sells parts of it to united, cal buys united. end of story

 

[TWA Dude]

Parker is not dumb, eh? What about that USAToday debacle? Didn't he state, in front of editors and jounalists (not a tape recorder), that he would not persue DL if our management didn't want it?

No, Parker is not dumb. His attempted buyout may be a longshot but he has experts he paid to find out if it was possible for it to clear regulatory hurdles. Parker is in a better position to make that assessment than you are. Making it clear the DOJ may cost more than it's worth but he's obviously willing to try.

I feel no need to defend Parker, but I interpret his statements about getting DAL management on board differently. He obviously knew DAL management wasn't interested since he'd already spoken to them privately. His hope is that the creditors will convince management to get on board. If that doesn't work he'll know he's failed.

 

[General Lee]

usair buys dal, sells parts of it to united, cal buys united. end of story

IF US bought DL, the the DOJ would allow the others to merge, which would leave two monsters (UAL/CAL and AA/NW) against poor little new DL. We would be smashed. We would have no Asian presence and go back into Chap 11, with $24 billion in debt. Thanks Doug!


Bye Bye--General Lee

 

[General Lee]

No, Parker is not dumb. His attempted buyout may be a longshot but he has experts he paid to find out if it was possible for it to clear regulatory hurdles. Parker is in a better position to make that assessment than you are. Making it clear the DOJ may cost more than it's worth but he's obviously willing to try.

I feel no need to defend Parker, but I interpret his statements about getting DAL management on board differently. He obviously knew DAL management wasn't interested since he'd already spoken to them privately. His hope is that the creditors will convince management to get on board. If that doesn't work he'll know he's failed.

Hello? Anyone, anyone can see there is so much overlap it is ridiculous. Just because USAir doesn't fly from ATL or CVG to the same cities, doesn't mean there isn't overlap. You might not see it, then. Obvioulsy the other people in control, the Congress, don't like it, and will squash it if they want (just like they did with US/UA--they leaned on the DOJ and got it squashed)

Parker making those statements to the USAToday was one of the biggest blunders ever. My friends in PHX told me it was on the front page of their own paper --"USAir will NOT fight for DL." FRONT PAGE. The President, Kirby, immediately made the statement the next day (notice Parker did not, since he was still cleaning his shorts) that Parker didn't really mean that....

As far as the creditors, the official committee is mainly friendly to DL, and the others are hoping for a good deal. Part of the problem, again, is that if Parker were to succeed, it would take longer for them to get their money. The DOJ process for the US/UA attempt took 14 months.(and that only had one area of contention--IAD/DCA) Didn't USAir and United propose selling the DC slots to good ole "DC Air"---headed by the head of BET? Yes, yes they did. It still didn't pass the Gov't test.....


Bye Bye--General Lee

 

[General Lee]

No, Parker is not dumb. His attempted buyout may be a longshot but he has experts he paid to find out if it was possible for it to clear regulatory hurdles. Parker is in a better position to make that assessment than you are. Making it clear the DOJ may cost more than it's worth but he's obviously willing to try.

I feel no need to defend Parker, but I interpret his statements about getting DAL management on board differently. He obviously knew DAL management wasn't interested since he'd already spoken to them privately. His hope is that the creditors will convince management to get on board. If that doesn't work he'll know he's failed.

Here is the first part of the article again. Please tell me how you understood it agian??


Marilyn Adams
USA TODAY
Dec. 5, 2006 06:51 PM

US Airways will give up its proposed takeover of Delta Air Lines if management there can't be persuaded of the benefits, US Airways CEO Doug Parker said Tuesday.

Parker said Tuesday he's not prepared to fight Delta's management in bankruptcy court by submitting a merger plan to the judge without the backing of Delta's management.

"We have to get to a point where are all working together on this or it's not going to happen," Parker said during a meeting with editors and reporters at USA Today. "This is all about convincing Delta's management that this plan makes sense."

At the same time, though, the Tempe-based company remains confident it will prevail.

"Because this transaction creates value that can only be created through a merger, and because the bankruptcy process is designed to elicit value, we're going to get this done," US Airways President Scott Kirby said at the Reuters Aerospace and Defense Summit in Washington.

US Airways has made an unsolicited takeover offer of $8billion-plus in cash and stock to acquire Delta, the nation's third-biggest carrier, which is in Chapter 11 bankruptcy. Delta's management has rebuffed the offer, saying it's too risky and that Delta is better off as an independent airline.




Notice again it was to a group of editors and journalists---not a tape recorder he was talking to.


Bye Bye--General Lee

 

[TWA Dude]

Hello? Anyone, anyone can see there is so much overlap it is ridiculous.

All I'm saying is that people who know a lot more about mergers and the DOJ than you or I are saying that it can happen. I'm sure you've already read the article about USAir divesting gates in CLT. That's just the beginning. Remember how the USAir/United merger also involved a number of 757s going to American? Think along those lines. This thing can happen if the right wheels are greased.

 

[TWA Dude]

Here is the first part of the article again. Please tell me how you understood it agian??

I stand by my interpretation. DP knew the initial response would be negative or else it wouldn't have been a hostile takeover bid.

 

[GogglesPisano]

What happens on Feb 1? Is this hostile takeover attempt finally going to be put to rest?

 

[munson]

Hello? Anyone, anyone can see there is so much overlap it is ridiculous.

i agree, and not to sound cold or that i dont care about what happens to the people at DAl, but I bet that UAL buys what USair dont want, and that CAL comes in and picks up the UAL/DAL(whats left over) combo. I think that DAL will be divided up. I think in the long run it will be good for the industry, and i dont see people loosing jobs, just putting on a new uniform. That will also satify the competition that congress wants in order to approve the deal. There is so much behind the scenes crap going on here that we will never no about. I bet all the CEO's get together and have a weekly confrence call and have it all laid out who is gonna do what when. We are simply pawns my friend

 

[Green]

IF US bought DL, the the DOJ would allow the others to merge, which would leave two monsters (UAL/CAL and AA/NW) against poor little new DL. We would be smashed. We would have no Asian presence and go back into Chap 11, with $24 billion in debt. Thanks Doug!


Bye Bye--General Lee

General you've got yourself worked up into a bit of a frenzy here. No amount of posting is going to change the outcome of this deal. While we sit here and bit#h management is actively working this deal out.

Now you're above statement contradicts your previous statements. Obviously as you stated the DOJ will not permit excessive market dominance. If UAL/CAL or AA/NWA merge then the DOJ will force them to sell some slots/routes to appease the anticompetitive issues. The new Dal would be in a perfect position to pick up some of those routes. If it turns into three mega carriers I would imagine the government will make sure that they are fairly evenly matched...

 

[spinproof]

General you've got yourself worked up into a bit of a frenzy here. No amount of posting is going to change the outcome of this deal. While we sit here and bit#h management is actively working this deal out.

Now don't ya'll go fret'n yoselfs 'bout Mistah Gen-ral. He's got a burr stuck in his saddle and no 'mount reas'ng gonna change thangs. He's bound for dat coat'house now and theys gonna be H-E dubb'll hockey sticks to pay for mor'ng! Yassir I's do believes' it. Unhuh sure do's!