They do mean something imo. They mean that at some point the creditors and going to decide that AMR's revenue gneration plan going forward sucks, and they will look outside of AMR to increase their odds of issuing lines of credit. That is why I suspect that we will see fragmentation attempts from LCC maybe DAL, UCAL and they may be sustained by their creditors demands for more than just cents on the dollar but a business plan that secures the remaining debt going forward. To me that is what ALFA is getting at. They have a revenue problem and if the creditors are smart they will force them to deal with it, or force them to see assets to those who can.

AMR's saving grace is that it is a Presidential election year. More job loss sucks during this point in the cycle.

What he is saying is that their route network means little if it cannot be fed by JV's etc.

ALFA, (ACL and Carl too),

What Carl says pretty much parallels the analysis done by the Boyd Group. Here's a link:http://www.aviationplanning.com/Imag...%20Reality.pdf

You may disagree with Boyd's conclusions, but Carl is not "out in left field", so to speak, with his comments as you asserted so aggressively.

My prediction is rather than admit Carl was on to something you will follow the DALPA tactic of trying to discredit the messenger (Boyd).

Bankrupt AMR: Cut Flights, Possible Merger

DALLAS TheStreet) -- The bankruptcy of American Airlines and parent AMR(AMR_) could mean fewer flights and fewer seats for passengers, even on some prestigious routes, as well as a turning point for airline investors. Competitors' shares rose, with the three remaining legacy carriers registering double-digit gains last week.
More on AMR

Passengers in a variety of markets could be impacted.
Passengers are likely to lose routes with an American Airlines bankruptcy, but Delta, JetBlue, US Airways and United are already seeing stock gains.

American's principal hubs in Dallas, Miami and Chicago should escape the bulk of the capacity trimming, and American may also be hesitant to reduce flying between the U.S. and the U.K., Ticonderoga analyst James Higgins says. But flight cuts should be steeper in markets outside the three major hubs, he says, and various analyst agree they see impending cuts in Los Angeles and New York -- which despite being keys to American's cornerstone strategy are not places where it dominates.

In May, in a controversial report, Avondale Partners airline analyst Bob McAdoo wrote that American loses $1 billion annually by flying too much in losing markets.

"More important than its costs are AMR's capacity decisions, its market selection and its unwillingness to halt or reduce flying in markets that are losers," McAdoo said. Those losers, he said, include many of the carrier's highest-visibility, most prestigious routes: New York to London; New York to California; Chicago to Delhi, Beijing and Shanghai; and Miami to Buenos Aires. The 10 worst markets lose $450 million a year, he said.

Similarly, American operates 10 daily flights in the New York-Los Angeles market, losing $70 million annually, and five daily flights in the New York-San Francisco market, losing $54 million annually, McAdoo wrote.

In its first week in bankruptcy, American has signaled modest capacity cuts via interviews with executives and in its filing, which shows 24 planes already retired to desert storage facilities and more aircraft lease rejections coming.

In a report issued Monday morning, Higgin wrote "We expect all U.S. airlines to benefit from AMR's surprise Chapter 11 filing, largely because we believe AMR will meaningfully reduce capacity," probably in the 10% to 15% range.

If someone doesn't hurry up and make all this joint venture stuff with American into a football analogy real soon I'm going to start posting pictures of dudes...



its the only threat I know that is legit around here.

I dunno. This makes my wings flutter more then chocolate! Look at the head on that beer!

I know. I know. Most don't even notice there is a beer in that picture.

Reasonable cash position and less long term debt than the one that is agressively paying it down. They will exit strong; won't be any hub shifting.

Where do you find that? I can't seem to load anything past my Jan schedule.

Actually, what Carl says is part of the issue, but not the total issue, not by a long shot. I also disagree with Boyd from time to time.