has NW made an offer for U ?

[SirCris]

From "Chip's Corner" on USaviation.com

"Sources close to U believe the company will announce a corporate transaction this week that will include both domestic and international alliance partners. Meanwhile, it is believed that NWAC has made an offer to acquire the Arlington based company, provided employees agree to meaningful concessions and U receives a loan guarantee. However, without required cost reductions and additional access to liquidity, some observers believe DAL, AMR, UAL, NWAC, and CAL have let it be known they would seek to acquire assets at a premium without employee transfers during a bankruptcy process. Regardless if a merger proposal is offered for and accepted by U, in the aftermath of September 11 the Bush Administration has privately made it known that the Justice Department would grant antitrust approval under the "failing carrier" guidelines."

http://www.usaviation.com/nm/anmviewer.asp?a=348&z=8

[B747-437B]

No, there has been no formal offer as yet.

[quickcallqueen]

I think that code share agreements with other airlines is a good idea. It is especially good for our customers. This will allow our loyal customer base to fly to more destinations which US AIRWAYS does not presently serve.
I still hold the opinion that we should be independent, just forget about mergers. Remain in business as we are with code shares with other airlines to allow our customers to fly to more domestic and international destinations. I personally think that stop hoping for a merger and remain independent with a sound and sensible business plan to revive our airline.

If US can't get a loan guarantee I think it would be great if NWA buys them. This way the US employees will still have jobs and not be on the street. It will be a sad day if the USAir/US Airways name goes away.

[SirCris]

Is it possible for NW to buy US and run it as a seperate brand ?

[quickcallqueen]

I don't know if bankruptcy liquidation is the best thing. The folks at TWA got a bad deal, the seniority lists got "stapled".
Sure other airlines can buy assets at fire sale prices, but they don't have to take the employees.
I stand corrected here. I think that this scanario occurs, then other airlines buy our slots, gates, aircraft, ground equipment. But they don't have to retain employees, that could mean the unemployment line for us.

[retred]

Originally posted by quickcallqueen:
I don't know if bankruptcy liquidation is the best thing. The folks at TWA got a bad deal, the seniority lists got "stapled".
Sure other airlines can buy assets at fire sale prices, but they don't have to take the employees.
I stand corrected here. I think that this scanario occurs, then other airlines buy our slots, gates, aircraft, ground equipment. But they don't have to retain employees, that could mean the unemployment line for us.<font size="2" face="Arial, Verdana ">I agree , banckruptcy is not the best option, even if US files to reorganize they would most likely be forced to sell some assets. As far as the Loan guarantee, surely US qualifies for one, so I don't see why they wouldnt get it. The real wild card here is consessions from the Labor groups. How much are they willing to give in order to save US. An alliance is a step in the right direction since it can only help generate much needed revenue. US has a very attractive route struture and customer base in the East coast, something that NW covets. NW has the midwest and Asia, CO brings Latin America to the table and KL can take US customers throughout Europe, Africa and the Middle East. I trully see this alliance as a positive move for everyone, but it is not the end all solution. A merger would be too complex and expensive and as always some folks end up paying more than others, I don't see this happening.

[ 06-14-2002, 11:58 AM: Message edited by: retred ]