Originally Posted by
bigfatdaddy
Fireman - was the reason for UAL mgmt wanting to back out of the deal a company cultural issue or something business related - hidden costs?
I really think it was because they understood that the deal was not going to produce the results they had hoped for in the merger. Wall Street had become skeptical of the plan, especially considering the $60 a share that UAL was offering for USAir.
Also, the "dot-com" bust was rearing it's head as I recall, and I think company financial projections were really starting to look downward, although that might not have been until early 2001.
The DOJ statement was probably quite welcome by senior management.