WSJ - US/UAL merger talks "becoming very serious"

[satpak77]

http://online.wsj.com/article/SB100...5534.html?mod=WSJ_hpp_LEFTWhatsNewsCollection

BY SUSAN CAREY AND DENNIS BERMAN

Merger talks that came to light last week between UAL Corp.'s United Airlines and US Airways Group Inc. have become "very serious," said one person close to the matter. But they remain sensitive and it is just as likely the discussions will fall apart as result in a done deal, this person noted.
Any transaction would be an all-stock merger, with United being the surviving entity, this person said. The share premium to be paid to US Airways shareholders hasn't been settled. Another person familiar with the talks said the two sides haven't yet agreed who would run the combination.

 

[AA717driver]

CAL had better hurry...

I predict exactly NOTHING will come from this. Now they're talking about a stock swap--no cash. 'Oh, the futility!'

TC

 

[Quiet Flight]

satpak77, please change your avatar. Those two guys are creeping me out!

 

[ACL65PILOT]

Well if UAUA does go with LCC it is because CAL told them no way.

 

[another cfii]

My sympathy to my UA's bro and sis... Too bad after all this, they are still highly desirable among both our ranks and the flying public. That says a lot about UA's legacy.

 

[MCDU]

My sympathy to my UA's bro and sis... Too bad after all this, they are still highly desirable among both our ranks and the flying public. That says a lot about UA's legacy.

Lets not forget that CAL was the worst disorganized airline in the 80 and 90's. Now somehow they are better. Things change. The PFT generation on here seems to be clueless on the dynamics of airlines and how things change. United in the mid 90's was the most sought after job.

Delta in the 80's was pretty much a regional airline and grew thanks to many intl airlines like PAN AM, Braniff and Eastern failing. United had 15 year F/E's at one time. How fast you people are to label airlines shows your age and your maturity.

M

 

[Redmeat]

This is likely to induce a feces throwing contest, but it is a legitimate question none the less.

Exactly how would the UA and LCC pilot SL be merged? Correct me if I'm wrong here (and I'm sure someone will) but isn't an agreed upon joint contract between east and west the trigger that would implement the nic list?

So how does this all shake out if the merger (which some sources are stating could be finalized in as little as 2 or 3 weeks) happens before a joint contract?

Honest question. Anyone know how it would go?

 

[Crzipilot]

I highly doubt you will find you answer on FI......you will find alot of opinions. But as the saying goes.........

True answer.....ask a labor lawyer, which might get you close. Only way to tell is to watch it happen

 

[waveflyer]

Crzi pilot is right-

but IMO - the sli would be between Nic and Ual- with all the furloughs on both sides- what a cluster-

it'll be a Nic list on top of a nic list

 

[TWA Dude]

Exactly how would the UA and LCC pilot SL be merged? Correct me if I'm wrong here (and I'm sure someone will) but isn't an agreed upon joint contract between east and west the trigger that would implement the nic list?

That is the conventional wisdom.

So how does this all shake out if the merger (which some sources are stating could be finalized in as little as 2 or 3 weeks) happens before a joint contract?

If they have an announcement in 2-3 weeks that's just an agreement at the BOD level. To finalize (close) the merger a whole bunch of things need to happen including DOT/DOJ approval which is by no means assured. Plus, chances are the precedent of DL/NW will mean a joint contract will be approved as well. In other words, the merger announcement means the beginning of a 6-9 process before it can hope to close.