NYT via Reuters: UAL + LCC 'deep' in Merger Talks

N826AW

N826AW

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http://finance.yahoo.com/news/US-Air-United-deep-in-merger-rb-3625706358.html?x=0&.v=3

US Air, United "deep" in merger talks: report

NEW YORK (Reuters) - U.S. Airways (NYSE:LCC - News) and UAL Corp's (NasdaqGS:UAUA - News) United Airlines are deep in merger discussions, the New York Times reported on Wednesday.
Such a deal would create one of the world's largest airlines.
Any such deal is not expected to be announced for at least several weeks and could fall apart, the newspaper reported, citing people briefed on the matter.
An alert posted on the newspaper's website said US Airways would be the acquirer, although an accompanying story made no such reference.
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UPDATE: http://www.reuters.com/article/idCNN0713709520100407?rpc=44
 
Just saw this come across my screen. If it goes through that will be one hell of a storm when it comes to pilot integration. Just saying!
 
I think USAPA would be toast at that point, correct?

Could UAL's pilot group make them accept Nicalau and then merge seniority lists after that? Unless they do something like that there is no way to really go about it I don't think. I mean, the USAir/America West integration isn't settled...how can they then do a SLI with UAL? This would be really stressful for the people involved - but fun for the rest of us to watch.
 
It would be a vote to keep USAPA or ALPA.

I would bet a lot of money ALPA would win that.
 
RightSeatGirl said:
Ugh...this would be very very bad for the two wholly owneds.
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Eh.... You're DASH 8s would be right in DEN and out in PHX ASAP.... Or I should say those that are capable of doing that flying...... Plus look at UAL right now... They just added ASA and kept Xjet around flying 50 seat jets..... Add that to the fact with the out sourcing happening at UAL with the Air Lingues? I think the pilot group there would be quick to turn down 86 seat aircraft being flown at a regional.... Plus you have that whole mess of Mesa and UAL out of DEN. Many factors that need to be answered in which none of us are able to really produce... But as of right now, DAL/NWA was a great thing for the industry.... Being younger, I am looking at positives of these sort of deals with long term implications more so then how it will hurt me tomorrow.....
 
Seggy said:
It would be a vote to keep USAPA or ALPA.

I would bet a lot of money ALPA would win that.
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I think so too. We had a USAir jumpseater two weeks ago and he mentioned their union at one point. He said he was on the fence initially, still slightly favoring ALPA at the time of their vote but after it passed, was curious to see how USAPA would work out.

Now he's not on the fence anymore and completely back with favoring ALPA.
 
amorris311 said:
Just saw this come across my screen. If it goes through that will be one hell of a storm when it comes to pilot integration. Just saying!
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Holy moley. They aren't done with the first integration (last I heard), WTF is America West doing. Do you suppose the real US Airways and United could just merge and furlough them all off.
 
I thought both were bleeding cash? Am I jumping to conclusions here in assuming that US Air being the acquirer, the US Air name would stay and United would be gone?
 
WacoFan said:
I think USAPA would be toast at that point, correct?
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Yep, almost certainly. Nearly 7,000 pilots at UAL, overwhelming majority in favor of ALPA, with only about 2,500 pro-USAPA at Airways. I would bet the combined vote would come in at a 2 to 1 majority in favor of ALPA, at least.

Could UAL's pilot group make them accept Nicalau and then merge seniority lists after that? Unless they do something like that there is no way to really go about it I don't think. I mean, the USAir/America West integration isn't settled...how can they then do a SLI with UAL? This would be really stressful for the people involved - but fun for the rest of us to watch.
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It's actually an interesting question, and I'll have to ask the attorneys to find out how they think it would work. In ALPA's view, the Nic award was final and binding, and a judge agreed. There is an appeal, but it may be possible that another seniority list integration could happen before the appeal is completed.

B767 said:
I thought both were bleeding cash? Am I jumping to conclusions here in assuming that US Air being the acquirer, the US Air name would stay and United would be gone?
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I can't imagine that they would keep the USAirways name over United. United is a brand image recognized around the world, far more so than USAirways.
 
Its funny because US Airways built a new office tower on their property. It was finished over the summer and has sat empty since then. The running joke is that it's for the United employees when the two airlines merge.
 
amorris311 said:
Just saw this come across my screen. If it goes through that will be one hell of a storm when it comes to pilot integration. Just saying!
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Ya think? :)

Betchya a dollar with all of the fences, "protections" and other shenanigans, it'd just be another huge 1980's "US Air".
 
Eeek. Slow Motion Train Wreck....

Shouldn't....watch...but...can't....avoid....looking....

Actually, I think I heard that even with AAA+UAL, DAL is still biggest.

This may also be a play to get CAL to poop or get off the pot.

Richman.
 
Man that seniority list integration is going to require Steve from the Jerry Springer show.

Dra...

ha....

MAH! ;)
 
Shenanigans! It's simply a ploy to temporarily game the two companies' stock prices to get better fuel hedges for the summer.

Or something. :D
 
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