UAL Pilots: "Enormous Concern" about USAir Deal

[reepicheep]

pilots leader opposes any merger with US Air

Tuesday April 29, 5:35 pm ET WASHINGTON (Reuters) - A merger between United Airlines, a unit of UAL Corp (NasdaqGS:UAUA - News), and US Airways Group Inc (NYSE:LCC - News) would be "extremely negative," United's pilots' union chief said on Tuesday. "While United has its own problems and issues ... US Airways' problems run even deeper," said Steve Wallach, chairman of the Air Line Pilots Association (ALPA) chapter at United. Wallach said in a statement reports of advanced merger discussions between United and US Airways on Monday have generated "enormous concern" among pilots at United.
They point to potential problems of combining work arrangements and seniority of union employees at both companies, if a merger were proposed. US Airways has failed to integrate pilots following its 2005 merger with America West Airlines.

 

[BeCareful!]

Wow, they must be afraid of USAPA :laugh:

 

[get2flyin]

pilots leader opposes any merger with US Air

Tuesday April 29, 5:35 pm ET WASHINGTON (Reuters) - A merger between United Airlines, a unit of UAL Corp (NasdaqGS:UAUA - News), and US Airways Group Inc (NYSE:LCC - News) would be "extremely negative," United's pilots' union chief said on Tuesday. "While United has its own problems and issues ... US Airways' problems run even deeper," said Steve Wallach, chairman of the Air Line Pilots Association (ALPA) chapter at United. Wallach said in a statement reports of advanced merger discussions between United and US Airways on Monday have generated "enormous concern" among pilots at United.
They point to potential problems of combining work arrangements and seniority of union employees at both companies, if a merger were proposed. US Airways has failed to integrate pilots following its 2005 merger with America West Airlines.

Ok, everybody just needs to relax. USAPA will solve all of these problems in due time. And possibly, world hunger too. They're that good. Just ask them.

 

[vetrider]

Ok, everybody just needs to relax. USAPA will solve all of these problems in due time. And possibly, world hunger too. They're that good. Just ask them.

No doubt. I think Bradford is right on the verge of a cure for male pattern baldness to. Better sell all your stock in Hair Club for Men.

 

[NuGuy]

Heyas,

Actually, the UAL guys are worrying about Bond-McK. No staples there. Federal law > union "policy".

While DOH is not specifically listed, it is a factor for consideration, and may be used as a part in any in any integration

Of course, if UAL is looking at AAA as a savior, it's like having the Lusitania responding to pick up the Titanic passengers.

Nu

 

[Ocity]

Heyas,

Actually, the UAL guys are worrying about Bond-McK. No staples there. Federal law > union "policy".

While DOH is not specifically listed, it is a factor for consideration, and may be used as a part in any in any integration

Of course, if UAL is looking at AAA as a savior, it's like having the Lusitania responding to pick up the Titanic passengers.

Nu

The Nic. award is done, The integration would start there.

 

[SuperFLUF]

Here's the full UAL ALPA press release

http://finance.myway.com/jsp/nw/nwdt_ge.jsp?news_id=cmt-120p8802&feed=cmt&date=20080429

Statement by Captain Steve Wallach, Chairman of the United Master Executive Council of the Air Line Pilots Association, Regarding Speculation of Possible Merger Between United Airlines and US Airways

[FONT=Verdana,Sans-Serif]Tuesday April 29, 5:13 PM EDT[/FONT]


[FONT=Verdana,Sans-Serif]CHICAGO, April 29, 2008 /PRNewswire-USNewswire via COMTEX/ -- The following is being issued by the United Chapter, Air Line Pilots Association:[/FONT]
[FONT=Verdana,Sans-Serif]"Continental Airlines' abandonment of merger discussions has produced intense media speculation that United Airlines is in final merger negotiations with US Airways. This speculation has created enormous concern among the pilots of United.[/FONT]
[FONT=Verdana,Sans-Serif]"United pilots share the market's view that a merger with US Airways would be extremely negative from United's perspective.[/FONT]
[FONT=Verdana,Sans-Serif]"While United has its own problems and issues -- mostly created by management's single-minded focus since bankruptcy exit on consolidation as opposed to the basic 'blocking and tackling' required to run a successful airline -- US Airways' problems run even deeper.[/FONT]

[FONT=Verdana,Sans-Serif]US Airways significantly trails other legacy carriers in generating cash flow from operations. In 2007, US Airways generated cash flow from operations of only 3.8 percent as contrasted to an average 9 percent for its peers.[/FONT]
[FONT=Verdana,Sans-Serif]In 2007, US Airways was alone with negative cash flow from operations less capital expenditures.[/FONT]
[FONT=Verdana,Sans-Serif]In basic operational performance, US Airways in 2007 ranked at or near the bottom among all legacy carriers in every measurable category: on-time arrivals, completion factor, mishandled bags and customer satisfaction -- complaints are up 132 percent year over year alone.[/FONT]
[FONT=Verdana,Sans-Serif]JD Powers and Associates' 2007 North America Airline Satisfaction Study and the 2007 Airline Quality Rating Study reflect similar results for US Airways. In the latter survey, US Airways went from first to last in overall airline performance over the last five years and has been worst of breed for the past four years.[/FONT]
[FONT=Verdana,Sans-Serif]"Much of this is a result of US Airways' inability to achieve operational integration despite the fact that more than two and one-half years have elapsed since its merger with America West. Continued difficulties associated with pilot seniority integration are well chronicled. Even those reports grossly underestimate the complexity of seniority integration, which likely will not be solved without years of litigation. US Airways' pilot integration problems have created a toxic stew, as any carrier that seeks to merge with it will quickly discover and one which in the current environment could imperil a United/US Airways combined enterprise. (For anyone wishing to explore the divisiveness of the pilot groups, one need go no further than the web-sites at www.usairlinepilots.org and www.awappa.org.)[/FONT]
[FONT=Verdana,Sans-Serif]"United should take a page from Continental, and turn its attention inward. United is the only carrier in the industry with no aircraft on order or optioned. That is not a long-term plan for survival. While United's labor costs are among the lowest in the industry, its other costs excluding fuel and labor are among the highest, year over year.[/FONT]
[FONT=Verdana,Sans-Serif]"The United pilots have always been proactive in seeking creative solutions to problems. We have repeatedly demonstrated our ability to make the airline fly, despite management's missteps. However, we do not view a marriage with US Airways as anything remotely resembling a solution."[/FONT]
[FONT=Verdana,Sans-Serif]SOURCE United Chapter, Air Line Pilots Association[/FONT]

[FONT=Verdana,Sans-Serif]URL: http://www.awappa.org http://www.usairlinepilots.orgwww.prnewswire.com[/FONT]
[FONT=Verdana,Sans-Serif]Copyright (C) 2008 PR Newswire. All rights reserved[/FONT]

 

[Jonny Sacko]

Good Job, I'm sorry, but if I were in their shoes also, I would be all sorts of skeptical. Boot Tilton, and move on. It's pretty simple. That is a road to nowhere!

 

[lowecur]

Toxic Stew

Hubris has no boundries, as leaderhip can't see the forest through the trees. They just can't understand that time is short in the forthcoming economic calamity. They are given a platform by the electorate without any latitude due to the memberships distain for any type of mgt. It's like the Arabs; If they weren't killing us they'd be killing each other. Testosterone and revenge are blind leaders, and people don't change until they reach rock bottom.

A "toxic stew" of problems with pilots and other issues at US Airways Inc would imperil any merger between that carrier and United Airlines, the leader of the United pilots' union said on Tuesday. Hey buddy....take a good long look in the mirror. There's a reason CAL wanted nothing to do with UAL....and it ain't all mgt.

In the coming economic battle, only those with some foresight and a little luck will live to fight another day. Unfortunately, UAL or US east pilot's haven't figured it out yet. Good luck on your new careers as Insurance Agents.

imp:​

 

[AC560]

The only thing better then USAir and United merging would be Stephen Wolf coming back to run the merged company.