Originally Posted by
30west
Airways management side.
30west
Thanks for the quick reply.
Again, I don't think it has to do with lack of synergies as US Airways posted the highest profit margin of any US airline last quarter. Below is an excerpt from an article that hints at why US Airways management is suddenly so interested in resolving the situation:
The deal also puts pressure on AMR Corp. (NYSE: AMR) and US Airways (NYSE: LCC), once thought to be a potential United partner. Each carrier will have to go it alone in a market that's become known for consolidation, high fuel prices, and packed-to-the-gills airplanes.
But this merger stings for US Airways more than it does American. Last month, US Airways CEO Doug Parker told pilots that a provision in their contracts that would allow for higher wages following a business combination wouldn't be retained were a deal reached with UAL or any other airline, TheStreet.com reported.
The implication? Parker wants to make his airline as attractive a takeover candidate as possible, even more so now that he's been spurned by Delta and United.