Alaska BNA-SEA takeoff abort

Inverted said:
So are you for or are you against mergers? If almost all mergers go though, how is it their tough stance that blocks mergers? Obama was president in 2016 when the AS VX merger happened. In terms of recent mergers and acquisitions, the last couple of democrat presidencies have allowed huge mergers (think Time Warner, Sprint and T-Mobile and more). Again, most airline mergers historically have been under bad economies and with one or both companies struggling.

JB and B6 could have gone though, there were lots of errors along the way and eventually, pretty substantiated rumors that JB was actively tanking the deal as they saw the writing on the wall with B6. AS knows how to merge, they have acquired several companies in their history and they know how to do it. I promise you with the entirety of my heart, that if AS filed plans to kill inner island flying in Hawaii for this merger, there would have been absolutely zero chance the merger went though.

Zero…


All of those airlines you listed, were absorbed and the parent airline grew, including AS. AS didn’t file plans to kill the VX business model, again think more to love. You can’t apply the same lens to every merger just because JB and B6 was denied.
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It goes back to what @///AMG said. CC has a vested interest in this merger, personally and financially, so he’s all invested in it because it cost him personally with his portfolio and possibly in his family travel at a later time.
 
mwflyer said:
It goes back to what @///AMG said. CC has a vested interest in this merger, personally and financially, so he’s all invested in it because it cost him personally with his portfolio and possibly in his family travel at a later time.
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Yea I am confused at what he is arguing for and against honestly. If mergers are bad because they creates monopolies or conglomerates, ok I can see the argument for not allowing mergers. But most airline mergers have been approved under numerous presidencies both blue and red.

I am not shocked that JB and B6 was shot down. The DOJs logic is sound. Conversely, I am not shocked that HA and AS was approved. To get permission to do something like this, you need to make a strong case. AS did, JB did not. It’s pretty simple.
 
mwflyer said:
It goes back to what @///AMG said. CC has a vested interest in this merger, personally and financially, so he’s all invested in it because it cost him personally with his portfolio and possibly in his family travel at a later time.
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Arguably, it would have been worst post merger. No way would all 3 ORD, DFW, and DTW still be bases. There would have been a greater chance of DTW-LA and/or PIT-LA getting cut. Btw, post merger failure, Spirit permanently cut my second backup option, CLE-LA.

It would be worse in all likeliness as a merger would have combined network that be fine tuned for efficiencies and synergies.

As for stocks, you win some and lose some. I set off my losses with other gains for a net zero result when I have to. So that’s not even in the equation.
 
Inverted said:
I am not shocked that JB and B6 was shot down. The DOJs logic is sound. Conversely, I am not shocked that HA and AS was approved. To get permission to do something like this, you need to make a strong case. AS did, JB did not. It’s pretty simple.
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Is this a Me, Myself, and Irene merger? :) I would agree there. I too would turn down a JB and B6 merger. Sounds incestuous.
 
bimmerphile said:
i’m assuming someone lost a boatload of money playing My Lil Stockbroker and is blaming the gubbermint for messing up their solid investment strategy
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SAVE is chicken feed for my holdings. If you’re gonna talk about pissed, that would be BABA. Have no one to blame but myself, and thanks to the Chinese government cracking down.
 
Inverted said:
I think consolidation is good when the industry calls for it. Spirit crapping its pants has very little to do with them not having any passengers to fly. There still needs to be enough competition in the market to drive the industry. If everything is gobbled up there really is no competition. Even though the top 3 have such a huge market share, domestically they very much feel the pressure from the smaller airlines
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The bolded part is incorrect. They’ve had a demand problem since COVID.
 
CoffeeIcePapers said:
The bolded part is incorrect. They’ve had a demand problem since COVID.
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Because of fuel prices. Not solely a lack of passenger demand. Passenger demand goes down when the ticket prices go up and are comparable to other carriers. If you can fly on Delta for close to, or the same ticket price as Spirit, which are you going to choose? SWA is weathering a similar storm. Airlines slow or late to react to the changing market are suffering. SWA is making massive changes that are long overdue and Spirit is coming from an even greater defensive position in the ULCC market. How do you take one of the worst passenger reputations, worst seat pitch, barest bones offerings airline and change it to compete with the rest of the domestic market and make it competitive? To Cherokee's point and I agree with him on this, hindsight is 2020 and this would have been solved with the Spirit, B6 merger.
 
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