z987k
Well-Known Member
I can write an article claiming all sorts of things to.
DOJ sues to prevent LCC/AMR link up
- Thread starter sherpa
- Start date
Firebird2XC
Well-Known Member
Read post #141 above, previously posted by me.
I'm saying the press has gotten wind of an idea I had when I first learned the DOJ filed against the merger.
Horton and Parker look buddy-buddy publicly. A slugging match between rival CEOs of two merging companies where both entities need a boost to their stock ticker doesn't end well for anybody. So no matter what happens, the public face is collaborative. At least, in the end. During the early days of merger talk, Horton was claiming stand-alone, while Parker plugged on. Then labor lumped in with Parker, and suddenly Horton had a stampede brewing. Horton called for new paint, and steamed ahead, and Parker claimed he was reconsidering it. But Horton wasn't giving up. He lost the behind-the-scenes game, so the merger was on, and he was out, but with a hearty consolation prize, to keep him quiet.
Then, surprise! The payout was maybe not so legit. One last turn of the knife. But not to be outdone, in the 11th hour, suddenly the bankruptcy is almost done, but the merger is in question... ? Parker's run with USAir depends on merging with AA, not the other way around. AA is now the third largest, but AMR could survive with some creativity- or a void in the market. USAir, not so much.
So now, suddenly folks are coming out of the woodwork and Horton's laughing his ass off- no merger, no place at the AMR board for Parker. Bye, bye. And now with a solid look at all of USAir's financials, SCREW merging- AA knows just where to hit USAir, and slides in and eats them for breakfast.
If. If the merger does eventually get blocked. But hey- AMR just declared record numbers for a month. Gee, that's convenient.
Gotta learn to read between the lines, kids. The real decisions don't get made at the table or in the press. They're made by ego on the golf course and across the lunch table. And as of right now Horton has Parker on the defensive.
When the press has them together, it's all smiles and handshake shots. But when anything gets spoken of separately, they paint a less than unified picture.
This is far from done.
scooter2525
Very well Member
.
.
.
Firebird2XC
Well-Known Member
... got something to say?
Firebird2XC
Well-Known Member
I'm just hoping it doesn't screw me if it does or doesn't. I've got flow through rights in seniority order. Between then and now, a lot of guys have a lot of ways to go up and out to AA, which is good for me at Eagle. The hard part is not knowing how things will play out either way.
Horton was *not* initially on board with this, but all the labor ran to Parker to save them from Horton. When things played out, they were all "We meant for this to happen!" which was likely an attempt to save face. But look at history- Parker rattled the saber about this a few years ago when AMR's stock hit a low. Previously, via America West, he swallowed up US Air, then made a run at Delta while they were in bankruptcy, which was only thwarted because labor rallied behind not merging. So now, with labor on board with AA, what's to stop him from pushing the issue?
If I had to take a stand, part of me doesn't want this because I see Parker using Frank Lorenzo-esque acquisition and labor suppression tactics. Since that slimeball himself has chimed in in the press lately about things, you can't tell me that Parker hasn't taken a page from his playbook. It's too obvious. It's like Eastern and Continental all over again- and we saw how that worked out. Sure, some laws have changed, but then what?
If the merger goes through, AA gets stuck with the so-called 'ugly girl at the dance'. I think Horton never wanted this and got boxed in.
I can't say for certain this would be bad for AA or US Air in the long run, but consolidation always means redundancy and stagnation, and anything that smells like Lorenzo has me wary any day.
Seggy
Well-Known Member
Understand
Wasn't Horton put in place instead of Arpey as Horton WANTED to merge?
Can't some say that Airways got stuck with AA? The Asian and European route structure is lagging very far behind their competitors on both sides.
ClarkGriswold
Non Nutritive Cereal Varnish Engineer
I thought Arpey made it a point that he didn't want to file BK and in came Horton to do it.
Seggy
Well-Known Member
Nope that is it, I stand corrected.
But.....by them declaring bankruptcy they knew that Airways was going to make a play for them. Parker has wanted a merger sooooooooooo badly......Remember what Airways did to Delta in 2006.
scooter2525
Very well Member
ERfly
Well-Known Member
You're thinking Kellner and Smisek at Continental.
Firebird2XC
Well-Known Member
It's crap full of brainless psychobabble and manipulative editing. I don't watch it as a rule.
Firebird2XC
Well-Known Member
It was my understanding Horton was trotted out for the bankruptcy, not a merger. Arpey's shtick was breaking labor without going through bankruptcy. When he never really managed, Arpey was out and Horton was in.
As for international, AA's got inroads into Asia more and more all the time. Tokyo and Seoul direct flights are now a daily event. I understand Europe is a little lacking, but AA has been working to clean that up with codeshares.
As for who got stuck with who, I think AA definitely got stuck with Airways. AA trotted out a huge airframe purchase and reorganization plan prior to all this, and made a serious point of going it alone. Previously it was Tilton who called USAir the 'ugly girl' and thumbed his nose at them. They just don't have the size or infrastructure to compete with Delta or United alone. Tying on with AA means their survival.
I really do believe there's a behind-the-scenes power struggle for control of whatever AA will become.
I wish they'd just be done with it. Damned hard to plan otherwise.
Firebird2XC
Well-Known Member
There are still a few Letter 3 guys that haven't gone yet. They've got AA list numbers.
After that, everybody on property up to October of 2011 has flow through rights to AA per a negotiated settlement over a scope grievance. The next guys in the hopper are the 824 transferable slots won in a grievance over Letter 3.
We don't get to fill every class but we do get at least a third, up to half the minute an Eagle pilot hits the streets.
Absolutely none of all that has to do anything with the merger. The merger has just been one giant speed bump in all that happening.
Firebird2XC
Well-Known Member
There are still a few Letter 3 guys that haven't gone yet. They've got AA list numbers.
After that, everybody on property up to October of 2011 has flow through rights to AA per a negotiated settlement over a scope grievance. The next guys in the hopper are the 824 transferable slots won in a grievance over Letter 3.
We don't get to fill every class but we do get at least a third, up to half the minute an Eagle pilot hits the streets.
Absolutely none of all that has to do anything with the merger. The merger has just been one giant speed bump in all that happening.
Firebird2XC
Well-Known Member
You really think it's that simple?
ERfly
Well-Known Member
So, what I'm getting from you is that you don't want the merger to happen because it's slowing down your flow-through? Flow-throughs change. Half of them aren't worth the paper they're printed on. Ask a ton of guys I flew with when I was at XJT how it worked out for them.
Similar threads
