Jetblue-United Merger
08-23-2017, 06:37 PM
#101
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DOJ isn't going to stop United, the #4 airline in the US at 14% market share, from buying an airline with a 2% market share, basically catching up to #3. Here's a graph of US Market share by airline.
https://www.statista.com/statistics/...g-us-airlines/
United buying Spirit, Frontier, or Allegiant would 100% be approved by the DOJ.
08-23-2017, 07:26 PM
#102
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Joined APC: Jul 2015
Posts: 353
And why would they? Spirit is a cesspool...I've been here for seven years... only now actively trying to get out. With ALPA relative integration and fences the four and five year captains would probably keep they're seats on the Bus. Doesn't sound fair to the 18-19 year FOs at UAL
08-23-2017, 07:28 PM
#103
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Joined APC: Apr 2012
Position: 737 CA
Posts: 508
Jetblue-United Merger
Much bigger mergers happen all the time. There isn't a magic size that's too big. Exxon Mobil was a $80B merger and it flew through DOJ. Its not even one of the biggest mergers. Drug companies and telecom companies have had close to $100B mergers, which created companies that were massive in market share.
DOJ isn't going to stop United, the #4 airline in the US at 14% market share, from buying an airline with a 2% market share, basically catching up to #3. Here's a graph of US Market share by airline.
https://www.statista.com/statistics/...g-us-airlines/
United buying Spirit, Frontier, or Allegiant would 100% be approved by the DOJ.
DOJ isn't going to stop United, the #4 airline in the US at 14% market share, from buying an airline with a 2% market share, basically catching up to #3. Here's a graph of US Market share by airline.
https://www.statista.com/statistics/...g-us-airlines/
United buying Spirit, Frontier, or Allegiant would 100% be approved by the DOJ.
I never spoke in absolutes such as yourself. Could it happen? Sure. In MY opinion will it happen? Doubtful. The link you provided only accounts for domestic market share. Should you include international, I doubt you'd find the same result.
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08-23-2017, 07:34 PM
#104
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Joined APC: Oct 2010
Posts: 2,639
Looking at the international routes of both UAL and Spirit there are basically zero city pair overlaps except for IAH-CUN and ORD-CUN.
On an international basis, it would really fly through the DOT/DOJ approvals, IMHO.
This does mean that a merger is even happening---just that the usual hinderances appear to be a non-issue.
On an international basis, it would really fly through the DOT/DOJ approvals, IMHO.
This does mean that a merger is even happening---just that the usual hinderances appear to be a non-issue.
08-23-2017, 07:43 PM
#105
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08-23-2017, 08:42 PM
#106
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Joined APC: Apr 2012
Position: 737 CA
Posts: 508
Looking at the international routes of both UAL and Spirit there are basically zero city pair overlaps except for IAH-CUN and ORD-CUN.
On an international basis, it would really fly through the DOT/DOJ approvals, IMHO.
This does mean that a merger is even happening---just that the usual hinderances appear to be a non-issue.
On an international basis, it would really fly through the DOT/DOJ approvals, IMHO.
This does mean that a merger is even happening---just that the usual hinderances appear to be a non-issue.
I was responding to the false notion that United is fourth place in total market share. A merger with Spirit I just see as unlikely. A merger with JetBlue I see as even more absurd for the reasons you suggest given the NYC area alone.
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08-24-2017, 06:43 AM
#107
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Joined APC: Oct 2014
Position: 787
Posts: 776
Its not a "false notion". Its actual. Those are real statistics. Congress regulates interstate commerce, not international commerce. Also US airlines are less than 1/2 the world's international travel, so that 14% of United gets watered down even more and Spirit's 2% goes to 1%. With those numbers, there is no debate.
08-24-2017, 07:05 AM
#108
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Joined APC: Jul 2013
Posts: 10,518
Looking at the international routes of both UAL and Spirit there are basically zero city pair overlaps except for IAH-CUN and ORD-CUN.
On an international basis, it would really fly through the DOT/DOJ approvals, IMHO.
This does mean that a merger is even happening---just that the usual hinderances appear to be a non-issue.
On an international basis, it would really fly through the DOT/DOJ approvals, IMHO.
This does mean that a merger is even happening---just that the usual hinderances appear to be a non-issue.
On a side note, why buy Spirit in the first place? They would provide nothing of value to United
08-24-2017, 07:09 AM
#109
UCH Pilot
Joined APC: Oct 2014
Position: 787
Posts: 776
Do you remember a year or two ago we were tentatively getting Airbus planes from Spirit AND Air China South, but instead we only got the Air China ones? Maybe the Spirit ones are coming in greater number.
Also no DOJ approval needed to just take their planes.
08-24-2017, 08:52 AM
#110
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Joined APC: Nov 2015
Posts: 1,522
I don't think its "Spirit Airlines" that we are after. Its those planes. So maybe we just buy planes from them, or we grab the Virgin Airbus planes, and future orders from Spirit.
Do you remember a year or two ago we were tentatively getting Airbus planes from Spirit AND Air China South, but instead we only got the Air China ones? Maybe the Spirit ones are coming in greater number.
Also no DOJ approval needed to just take their planes.
Do you remember a year or two ago we were tentatively getting Airbus planes from Spirit AND Air China South, but instead we only got the Air China ones? Maybe the Spirit ones are coming in greater number.
Also no DOJ approval needed to just take their planes.
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