American Airlines (AA) chairman, president and CEO Tom Horton pushed back against US Airways’ (US) efforts to bring about a merger of the two carriers, telling employees in a Monday letter that “we must be mindful of other parties who don’t have our best interests at heart.” (atwonline.com) More...
It's about time. Horton is exactly right in warning about quick fixes. There will be no merger until after bankruptcy emergence and then it will be up to the board. If they like what they see, then AMR will come out with guns blazing and Doug Parker will have a BIG target on his back(and front). He is making a desparation play for self protection right now, but as bad as what it may be for employees and AMR creditors, all they really need to do is take a stong look at Parker's operation right now and see the unfinished business and leftover animosity from his last merger exercise. His track record at negotiations has been less than stellar.
Wayne, I don't claim to know anything about airline business but I'll bet you are right. There is a time for consolidation and not. BR is ugly but to join forces basically to keep competition down is not a good answer. I would say ok if USA was really strong and could absorb to everyone's benefit. Probably will just resort in a bigger bankruptcy down the line and in the mean time not good for employees or consumers.
if they respected their employees they wouldnt have this trouble. they force everyone to take a pay cut then management gives themselves millions in bonuses....
Let's review ... Continental said statements such as this, as did America West, Hughes AirWest, AirTran, TWA, Air California, Alleghany, Piedmont, Northwest and numeorus others .. It has previously been noted, when it's done .. it's usually to bring about a smoother quieter transition .. so as not to stir things up among the current AA employees .. some morning when eveyone wakes .. it will most likely .. be one !
