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View Full Version : US talking Code Shares with CO,NW, & UA


SirCris
May 21, 2002, 08:21 AM
http://biz.yahoo.com/rb/020517/economy_usairways_2.html

What do folks here think of this ?
Who would you like to be associated with ?

skyguy
May 21, 2002, 01:05 PM
A codeshare will be one step closer to a merger with somebody...

Presently, Continental is a great company to work for... but the flight attendants are not AFA.

United's F/As are AFA so our seniority would be better protected.

May 21, 2002, 07:49 PM
Originally posted by skyguy:
Presently, Continental is a great company to work for... but the flight attendants are not AFA.

United's F/As are AFA so our seniority would be better protected.<font size="2" face="Arial, Verdana ">I have to correct you on this one skyguy. If the US Airways/AFA contract has merger and aquisition protection in it, then it dosen't matter who buys or merges with US. If the AFA signs away all seniority for the US Airways flight attendants and all of you agree to it, then yes you will get screwed. I would suggest reading your contract to find the SCOPE clause on mergers and aquisitions.

jetstewus
May 22, 2002, 01:05 AM
I believe skyguy is refering to the AFA Constitution which provides date of hire seniority integration any time two AFA carriers merge. Cut and dry.

I don't really desire to be associated with United, though. When the merger was still "on," the AFA constitution I mentioned above seemed all of the sudden "unfair" to many UA stews. There was even a push by some to have the AFA de-certified at United.

I think NWA would be a nice fit for us. Our networks are fairly complimentary and, if it ever did become a full blown merger/acquisition, large parts of our fleets match. Plus they seem to be a pretty down-to-earth bunch. I reckon they haven't had too great of a history with seniority integrations, at least with the front end crews.

From a historical standpoint I think it would be cool to have someone who flew for Mohawk or Lake Central working a flight with someone who worked for West Coast or Bonanza.

They have their labor issues but don't we all these days? Whatever happens, I hope it happens fast so we can get on with it!
Good luck everyone! images/icons/smile.gif

[ 05-22-2002, 02:22 AM: Message edited by: jetstewus ]

quickcallqueen
May 22, 2002, 02:19 PM
Code shares could be a good thing for us. Our customers could fly to more destinations that we don't already fly to while booking their travel plans with us. Correct me if I am wrong, I think when two airlines are involved in a code share agreement they both make 50% off the ticket, so both airlines gain fromthe sale of the ticket.

B747-437B
May 23, 2002, 03:59 PM
Originally posted by quickcallqueen:
when two airlines are involved in a code share agreement they both make 50% off the ticket, so both airlines gain fromthe sale of the ticket.<font size="2" face="Arial, Verdana ">Its a lot more complex than that, but the basic premise is correct in that there is revenue sharing in place for codeshare agreements.

My fairly reliable source tells me that the US/CO talks are at a stage where a preliminary agreement has already been reached for CO to place their code on the US Shuttle and possibly some other Northeastern routes. US will get to put their code on CO's service to Hawaii initially and later Asia (pending government approval).

hillbillyfa
May 25, 2002, 11:55 PM
It is important to point out, as well, that any codeshare agreement that USAirways would enter into with either Continental or Northwest would almost certainly be a buy one arline alliance and get one free proposition.

The agreement between NWA and CO is tight and one without the other would be virtually impossible to pull off. Another advantage of that would be access to KLM in Europe and Air China, Japan Air Systems and the 10 or so other regional carriers that NWA, CO, and KLM codeshare with.

USAirways would be a welcome addition to NWA as we aren't very well represented on the east coast.

Things to remember, this is a codeshare, not a merger as some seem to see this as on this board. USAirways still has to figure out how to become viable again. That is a huge challenge for the company right now.

Good luck to the fine people of USAirways...this cannot be easy for you.

The Hillbilly FA

friendly_sky_friend
May 26, 2002, 07:43 AM
US Airwyas is a reat airline, and it would be a shame for such a great brand to disappear, which is why I didn't want the UA-US merger to go ahead.
But I, and maybe my Star Partners will be looking forward to welcoming US pax onto the friendly skies.

jetstewus
May 26, 2002, 07:59 PM
While we're not ready just yet to send our pax to the competition, it's nice that you'll welcome them in the event of our demise. I'm more concerned though about who will welcome our employees if we are split into pieces.

[ 05-26-2002, 09:00 PM: Message edited by: jetstewus ]

May 27, 2002, 03:35 AM
Originally posted by jetstewus:
While we're not ready just yet to send our pax to the competition, it's nice that you'll welcome them in the event of our demise. I'm more concerned though about who will welcome our employees if we are split into pieces.<font size="2" face="Arial, Verdana ">If US Airways files for BK, then the airline probably will be parted out in pieces. In that case, the airlines that buy pieces of US Airways don't have to take the employees.

skyboi
May 27, 2002, 10:45 AM
"...If US Airways files for BK, then the airline probably will be parted out in pieces. In that case, the airlines that buy pieces of US Airways don't have to take the employees."

Which is EXACTLY what I think jetstewus was pointing out. But remember, as our friend Dave reminded up on his weekly update on Friday evening, Chapter 11 is a "viable business tool". Chapter 11 Bankruptcy is only a chance for a corportation to catch it's breath while filing a reorganization plan with the federal government. The corp. has 120 days to do so, and 180 days to lobby for the acceptance of the plan, but the 180 day period may be extended for good reason.
Filing Chapter 11 does not mean that we're going to be broken apart and sold. What I understand that it does mean to us, as employees, is that we have to do what the government says and that each of our collective bargainaing agreements is pretty much null and void.
Granted, I'm none too happy about that, but I would MUCH rather be working for a little less money and perhaps some different flight time legalities than not be working at all.

B747-437B
May 27, 2002, 11:15 PM
Originally posted by skyboi:
What I understand that it does mean to us, as employees, is that we have to do what the government says and that each of our collective bargainaing agreements is pretty much null and void.<font size="2" face="Arial, Verdana ">Absolutely not. Under changes made to bankruptcy laws in the 1980s following Frank Lorenzo's antics at Continental, collective bargaining agreements are no longer considered to be dischargable debts under Chapter 11. A filing would simply allow US Airways to restructure its outstanding debt (primarily on the flight equipment) to more favorable terms with the consent of the court.

The only way a valid collective bargaining agreement can be unilaterally abrogated is if one of the parties who signed it ceases to exist, either through bankruptcy liquidation (Chapter 7) or a sale of assets (not the sale of the entire entity, as that would pass on all obligations to the purchaser).

skyboi
May 27, 2002, 11:24 PM
Thanks for setting me straight on that!!! I appreciate it.