More Bankruptcies Coming
#13
To have global airlines, means a few things.
1) The RLA would not apply to foreign carriers therefore not to its US employees.
2) They would base the companies in countries where unions are illegal
3) They are way ahead of us in their line of thinking. Be very careful what you wish for.
1) The RLA would not apply to foreign carriers therefore not to its US employees.
2) They would base the companies in countries where unions are illegal
3) They are way ahead of us in their line of thinking. Be very careful what you wish for.
#15
IMHO, I think they would like to, but there will be no money to lend. They will not want the companies to fail. The last option is foreign ownership. I think that is what the companies are hoping for....
Remember that China is already nervous about their exposure to our debt. I am not sure they will be willing to buy more.
Just my .02
Remember that China is already nervous about their exposure to our debt. I am not sure they will be willing to buy more.
Just my .02
Rhetorcally speaking, if lets say if one of the giants such as DAL goes down in bankruptcy, what would the economic impact be? Would barriers such as price and availabilty go up effecting commerce and tourism? Not to mention job loss.
#16
Glenn Tilton, CEO of UAL, has been clear from 2002 when he started at United. He wants cross border mergers.
Now that we have Democrats in full control of the federal government, we will see if they will continue to subsidize failing companies like they have with the banks and GM.
Questions:
If United becomes too weak to survive on its own, or American, for that matter will the federal government step in?
Who is left in the domestic market to buy them?
Will the federal government force some domestic mergers along with some subsidies.
Is the US Treasury too broke to subsidize failure any longer?
Will the federal government be forced to relax foreign ownership rules to keep the airline industry competitive?
Please note this is not the start of a political debate. It is a serious non-partisan discussion of macro economic and policy issues facing the industry.
Now that we have Democrats in full control of the federal government, we will see if they will continue to subsidize failing companies like they have with the banks and GM.
Questions:
If United becomes too weak to survive on its own, or American, for that matter will the federal government step in?
Who is left in the domestic market to buy them?
Will the federal government force some domestic mergers along with some subsidies.
Is the US Treasury too broke to subsidize failure any longer?
Will the federal government be forced to relax foreign ownership rules to keep the airline industry competitive?
Please note this is not the start of a political debate. It is a serious non-partisan discussion of macro economic and policy issues facing the industry.
Of course it's political. Your obvious contempt of the other decisions of the current administration is quite out in the open.
How are those subsidies/assistance (whatever you want to call it) any different from the gov't sponsored sham bankruptcies that allowed massive cuts to employee pay and benefits under the guise of 'restructuring' while the upper managements laughed all the way to the bank?
Just sayin'....
Call it what it is at least. But it is political.
If the easy bankruptcy laws (which have since been change IIRC) had not existed, we would now probably be living in an airline world without United Airlines and US Airways. And maybe one or two others.
And anyway, distasteful as those bankruptcies were, many folks still have jobs because of them.
I also don't wish to make it political. This is not the place for that. But at the end of the day it can't really not be political. It's the nature of the beast when dealing with corporations worth billions of dollars and which employ tens of thousands of people, all of them voters.
#17
Not only that, but considering the sky hasn't fallen with the GM bankruptcy (Yet), I wouldn't be surprised if the government would let the chips fall as they may.
Rhetorcally speaking, if lets say if one of the giants such as DAL goes down in bankruptcy, what would the economic impact be? Would barriers such as price and availabilty go up effecting commerce and tourism? Not to mention job loss.
Rhetorcally speaking, if lets say if one of the giants such as DAL goes down in bankruptcy, what would the economic impact be? Would barriers such as price and availabilty go up effecting commerce and tourism? Not to mention job loss.
#18
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From: The Beginnings
Hah! We'll be paid in US dollars, which after the hyper-inflation hits, will save "Global Airlines" a ton. It will be like paying pilots in pesos.
I don't see the presently constituted US government allowing a major legacy carrier to fail. Get ready to compete with an airline that has the unlimited pockets of the US taxpayer at it's disposal.
#19
Then why haven't we heard a peep about airline bailouts? I find it hard to believe mainline airlines have a much better financial position than GM etc. Either the airline lobby is very weak
or congress/the public doen't really care. More likely the government simply doen't want to risk "investing" in the airlines.
or congress/the public doen't really care. More likely the government simply doen't want to risk "investing" in the airlines.
#20
Take one look at GM and just picture us there in a year or so.
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