AP source: United, US Airways in 'very advanced' combo talks

[Tesha]

Source: AP via the SF Chronicle

AP source: United, US Airways in 'very advanced' combo talks

By DAVE CARPENTER, AP Business Writer

United Airlines and US Airways are in very advanced talks with
the expectation of announcing within two weeks that they are
combining, a person close to the negotiations told The Associated
Press on Monday.

The two carriers stepped up their talks after Continental
Airlines Inc. caught United off guard by deciding not to
pursue a deal with the UAL Corp.-owned carrier.

The source asked not to be named because of the sensitive nature
of the talks. The timing of any agreement remains hard to predict,
and either side also could pursue an alliance instead or simply
walk away from a deal, as Continental did.

Representatives of both airlines said they do not comment on
rumors or speculation about consolidation.

<more>

Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2008/04/28/financial/f081805D62.DTL&tsp=1

[Tesha]

1. Here's Reuters' version of the story..

http://uk.reuters.com/article/innovationNews/idUKN2849124520080428

[JuniorPlankton]

2. Soon we will have one airline left

Perhaps, Aeroflot?

[Tesha]

3. No, not Aeroflot, but it'll work just as well as them. ;-) (NT)

[Neverarepublican]

4. I work for Continental

and was happy to hear the news yesterday that Continental said no.
United is not making any money. The decision not to merge was because the
risks outweighed the benefits. Continental made money last year. We got
big profit sharing checks this year. I think there is more to this than we know
and United is in big trouble.

[Tesha]

5. United's been in big trouble for quite a while, no? (NT)

[Parche]

8. Continental

Continental is a very well run airline, with good hubs in IAH/EWR/CLE
and with their Micronesia almost monopoly, they are here to stay for the long haul

:hi:

[high density]

6. That's dumb

US Airways hasn't really simmered down from its last merger yet. Perhaps United should just cease operations. I've flown them a few times and I just don't quite understand why they still exist.

[Tesha]

7. Some things just roll on for a while based on their own internal momentum.

The Clinton campaign, for example.

Tesha