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  • American, US Airways Agree to Merge

    DALLAS –– American Airlines' parent company AMR and US Airways voted late Wednesday afternoon to approve a merger, which would create the world's largest airline.

    Sources tell News 8 the official announcement will happen at Dallas/Fort Worth International Airport on Thursday. Another will follow later in the day in Phoenix.

    The new carrier will retain the Fort Worth-based American Airlines name and headquarters will stay in Tarrant County, just south of D/FW Airport. But the Tempe, Ariz.-based US Airways name and brand will eventually disappear.

    Sources tell News 8 that US Airways CEO Doug Parker will lead the new airline. He has actively lobbied for the combination for 14 months.

    AMR CEO Tom Horton’s role in the new airline, if any, was immediately uncertain. Last week, News 8 reported that Horton was being considered for a ceremonial position on the new board of directors such as non-executive chairman. But Horton, who remains unpopular with American’s own labor unions, had been lobbying his board for a more prominent role in the new airline.

    Doug Parker, 51, once worked at American Airlines. He held a number of financial management positions at American from 1986 until 1991, according to his US Airways biography.

    But his executive star began to rise in 2005 when, as CEO of America West Airlines, he successfully purchased a bankrupt US Airways and moved its headquarters from Charlotte, North Carolina to Tempe, Arizona.

    "Under Parker's leadership, the airline has achieved record revenue growth, operational performance and profit margins that have outpaced most industry peers," the bio added.

    Parker, a married father of three, tried unsuccessfully to purchase Delta Airlines when it was reorganizing under bankruptcy protection in 2006. Using lessons learned from the failed Delta deal, he approached Horton in 2011 about a possible deal.

    For months, though, Horton and American insisted they were only interested in emerging from bankruptcy as a standalone carrier.

    But American's labor unions, which have long had a deep level of mistrust for American management, began to lobby hard for a merger with US Airways. Parker agreed to deals with American’s Allied Pilots Association, Association of Professional Flight Attendants and Transport Workers Union which would help them transition to a new contract if the airlines combined.

    The Allied Pilots Association, specifically, negotiated $87 million in improvements per year for its pilots –– mainly in increased pay and retirement contributions, along with training pay and per diem.



    Craptastic

  • #2
    Craptastic indeed ....

    Comment


    • #3
      Its official, pending court's approval and so forth.

      American


      US Airways


      Details
      6. Who will run the combined company?

      Doug Parker will serve as Chief Executive Officer of the combined company and a member of the Board of Directors.
      Tom Horton, Chairman, President and Chief Executive Officer of American Airlines, will serve as Chairman of the Board through its first annual meeting of shareholders, at which time Doug will assume the additional position of Chairman of the Board.

      8. When is the merger expected to close?

      The merger is conditioned on the approval by the U.S. Bankruptcy Court for the Southern District of New York, regulatory approvals, approval by US Airways shareholders and other customary closing conditions.
      The combination is expected to be completed in the third quarter of 2013.
      During the period between the signing and closing of the transaction, a transition-planning team comprised of leaders from both companies will develop a carefully constructed integration plan to help assure a smooth and sustainable transition.
      what ever happens......happens

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      • #4
        though i buck the trend here at least, i'm only concerned about the aadvantage program. i've been loyal to american for over a decade of heavy business travel and if they substantially change it i will have wasted a assload of money buying tickets at higher prices to earn the miles.

        a flight attendant friend of mine has "assured" me it's gonna be the US air program that gets changed. hope so!

        Comment


        • #5
          Originally posted by TeeVee View Post
          a flight attendant friend of mine has "assured" me it's gonna be the US air program that gets changed. hope so!
          Right - see Vnav's comments on the "25 minute turnaround" thread about how well-informed flight attendants are.

          Comment


          • #6
            Press Release

            what ever happens......happens

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            • #7
              noooo
              My pictures: https://www.jetphotos.com/photographer/46959

              Comment


              • #8
                There goes another longhaul flight out of my local airport or at least a downgrading from the current A330-300 to either a 767-300ER or more likely a 757-200.

                Comment


                • #9
                  More importantly, what is the potential impact on:

                  Livery?

                  IFE?

                  Comment


                  • #10
                    Originally posted by SYDCBRWOD View Post
                    More importantly, what is the potential impact on:

                    Livery?

                    IFE?
                    Livery: I read that the airline will be American and that US Air fleet will be repainted as american.

                    IFE: Is this in flight entertainment? If so, I like what AA has offered to date on international flights and hope they keep it.

                    Comment


                    • #11
                      Originally posted by HalcyonDays View Post
                      Right - see Vnav's comments on the "25 minute turnaround" thread about how well-informed flight attendants are.
                      not they they know everything, but they certainly are more informed than us idiots making suppositions on an internet forum.

                      besides, aadvantage is the oldest ff program. AND other than management, it is US Air that is going away. only the AA brand will survive. so it stands to reason that Aadvantage will be the one that remains. I have read some crap about this and the guy was of the opinion that the program would be "less generous" after the merger. hopefully not like delta just did.

                      Comment


                      • #12
                        Originally posted by SYDCBRWOD View Post
                        More importantly, what is the potential impact on:

                        Livery?

                        IFE?
                        You may have to wait for a trip report.

                        I can't wait for photos of the new seat trays.
                        Les règles de l'aviation de base découragent de longues périodes de dur tirer vers le haut.

                        Comment


                        • #13
                          Livery ? Frankly, I couldn't give a shit !

                          IFE ? Aaah, that's a different kettle of fish. For long haul I want AVOD in all seats. I'm travelling Air Canada MCO-YYZ-LHR in May. I'm told that they have full AVOD on the short haul A320 flight and the long haul A330. Along with the experiences I've heard from friends I'm really rather looking forward to it. I just hope the United B757 and A320 outbound flights don't spoil things too much.

                          Advantage over BA and Virgin is that the British airlines want £4500 for 3 of us round trip economy and the AC/United deal comes out at £1700 for 3 of us round trip economy. Bit of a no-brainer really ? Even with short stops in Newark going out and YYZ coming back that's a shit load of a saving.

                          My trip with dearly beloved to Vegas last year was similar in fare pricing. BA and Virgin charged around £1400 each, admittedly non stop and US Airways who we eventually used charged £560 each but with a quick turnaround in Charlotte, NC. OK, no entertainment at all on the internal flights but heeeeeey, over £800 less EACH is another no brainer. I paid $12.99 to use the onboard wi-fi on my iPad for entertainment.
                          Lets just hope the pricings don't go up to silly levels with an AA merger.
                          If it 'ain't broken........ Don't try to mend it !

                          Comment


                          • #14
                            Originally posted by brianw999 View Post
                            Livery ? Frankly, I couldn't give a shit !
                            Aren't liveries the subject when you take jetphotos?
                            Les règles de l'aviation de base découragent de longues périodes de dur tirer vers le haut.

                            Comment


                            • #15
                              Like United and Continental, they could use the name from one of the airlines and the livery of the other. I think to me the US Airways livery looks better on most planes. It just looks very good. And an "American" marking would go well, coincidentally. American's classic livery is getting changed anyway.
                              As for the rewards programs - it would seem unfair to discontinue either one on a short notice and not allow loyal customers to use their miles. I don't think they are doing that.

                              Comment

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