eaglefly

AA pilots don't want it either. Internal growth please...........

Opus

Who would the AA pilots rather merge with Delta or USAir? Assuming a merger is coming?

Jay5150

Ummmm....I'm a Delta guy and couldn't care less.

Though I'm also not sure that AA + LCC = "top dog"

VenetianFryCook

1. I think there is very likely a deal. When it happens, AA will be the surviving name though much of the US corporate structure will likely survive. I think Parker is the CEO of the combined airline, HQ is in DFW, and management is a mix of both carriers.

2. The US hubs are not so worthless as some would have you believe. PHL is an enormous profit center for US, and the international network there has the kind of feed that AA can only dream of at JFK. While New York has more O&D, it is structurally impossible for AA to get the kind of network feed it would need to get PHL-like financials through organic growth. There just isn't space there.

3. DCA is one of US's most profitable operations, and the slot transaction only increases the size of the operation there. AA has always been a distant third behind US and DL at DCA, and they'll now be an even more distant #2 behind a larger US presence there. Plus, AA has coveted the Shuttle for years.

4. CLT is the only hub airport that is geographically competitive with Atlanta, and enables convenient connectivity to a lot of places that are a stretch from hubs in the Northeast, Midwest, or Florida. There is also an enormous amount of corporate business there (especially the banks) and that is growing ... Chiquita just left CVG for CLT, thank in large part to the US hub there and the severe reduction in service at CVG after the NW/DL merger.

There's a lot more pushing FOR a transaction than pushing AGAINST it. Any way you slice it, we live in interesting times ...

gloopy

I'd love to see an AA/US hookup. Preferably with JB thrown in but even without. More consolidation is great for a number of reasons. Heck I was glad to see UCAL merge even though that knocked DL barely out of "number one" status. If AA/US ends up happening, the skids will have been greased by DL in the first place with the slot swap. US's massive NY pulldown and DC fortification is one of the biggest transitions for that merger that could have happened. It also puts additional pressure on AA and US, who are very anemic in NYC and trying to fend off two NYC superpowers. Three if you creatively count EWR as NYC.

I see this as a merger in the making and the script isn't very hard to read. I see one more critical piece to the puzzle though and thats JB. A 3 way merger, possibly with a mini fragmentation/asset sale thrown in and AA coming out as a mega carrier again appear to be manifest destiny rather than an obscure theory. I can't see it not happening.

satpak77

Guys, the carrier being taken over will be AA. AA is not taking anyone over or leading a merger effort with anyone. They are the dying animal with lots of assets (international routes, hubs, etc) and the coyotes will be circling soon.

At 0.40 cents a share and 336M shares outstanding, anyone with 134M in their pocket, cash or financed, can own complete control of AMR.

By the way my preliminary research doesn't show (from a takeover standpoint) any revolutionary difference between the current situation at AA and the one when AA and TWA merged. I think the issues are the same.

tsquare

The money guys like US because of the low operating costs. They also know that as long as east and west are at each other's throats, there will never be a joint contract, hence no.. as in zero leverage from the pilots' union. That equates to stability. Wall Street LOVES stability.

Whether AA can stop Doug is another thing. I know that the pilots had a little influence, but that that should not be overblown in its' importance. tT had way more to do with how the creditors were paid off by the front office than our participation. If that merger does happen as two independent entities however, I sincerely wish all those involved the very best.

Riddler

Or if you're management, you get another 5-6 years of bottom barrel USAir wages while they fight over seniority integration.

tsquare

Seriously? With all the dysfunction at US, to throw AMR into the mix is like throwing gasoline in a bonfire... I seriously doubt if a successful integration would ever happen, but who am I other than an outside observer. And FWIW, I do not think DAL guys are at the top of ANY heap, but watching the bloodletting that will occur in a US/AMR merger does not particularly fill me with any fear about being "passed" by THAT resultant group, whatever that means.

nerd2009

If US buys the assets of American, because they are in ch11,...like TWA was, would the AA pilots get stapled to the bottom of the US sen list.

Isn't that what happened at TWA?

OK now pass the popcorn.... this is gonna get good!