US and American merge. (Phoenix, Parker: car rental, 2013, rentals)

[youthinkso]

We knew it was coming but now it's official

US Airways, American merging into world's biggest airline - Business - CBC News.








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[43north87west]

Any way you cut it, probably not a good thing for PHX.

I'm a US Gold FF too, so I'm concerned about how the loyalty program merger is going to go. I guess we're going to have to be retrofitted into the OneWorld program. Not looking forward to that, but time will tell how it works out.

[Ponderosa]

Very bad news for lots of people in Phoenix. Don't believe the bs that they are going to maintain a strong presence here. They will be closing up shop and the merged airline will be the end of low fares in PHX. It just goes to show that PHX has made no progress on being anything more than an overgrown cowtown overshadowed by LA, Dallas and Denver.

[43north87west]

Originally Posted by Ponderosa

Very bad news for lots of people in Phoenix. Don't believe the bs that they are going to maintain a strong presence here. They will be closing up shop and the merged airline will be the end of low fares in PHX. It just goes to show that PHX has made no progress on being anything more than an overgrown cowtown overshadowed by LA, Dallas and Denver.

Classic bait and switch. This is the kind of thing corporate wordsmiths always say to get everyone on board. Give it a few years and the reality will be different than the smoke they're blowing in this morning's press releases.

[youthinkso]

The union will prove to be their biggest headache in the near future. I think I will quit booking with US Airways and start using Westjet as I feel a strike is on the horizon for US/American.


Westjet...non-union and very successful.


They waste no time by emailing customers.....in my box this morning.

The New American is Arriving
As a valued member of the US Airways Dividend Miles® program, we wanted to inform you of some exciting news. Today we announced that American Airlines and US Airways will combine to create a premier global carrier. Operating under the iconic American Airlines name, one of the most recognized brands in the world, the combined airline will have a robust global network, a strong financial foundation and one of the most modern and efficient fleets in the industry. We are excited about what the combination of our two great airlines means for our valued customers.

More Access to More Destinations
The combined company will provide customers with access to more choices and increased service across a larger worldwide network and through an enhanced oneworld® Alliance, creating more options for travel and benefits both domestically and internationally. The new American Airlines will offer more than 6,700 daily flights to 336 destinations in 56 countries.

The combined company is expected to maintain all hubs currently served by American Airlines and US Airways, with increased service to existing markets and service to new cities. It is also expected to provide the most service across the East Coast and Central regions of the U.S., including the East Coast shuttle, and to expand its presence and further strengthen its network on the West Coast.

Enhanced Services
Customers will also benefit from American's landmark agreements with Airbus and Boeing, designed to transform the new American Airlines fleet over the next four years and solidify its fleet plan into the next decade. The combined airline is planning to take delivery of 607 new aircraft, including 517 narrowbody aircraft and 90 widebody international aircraft, most of which will be equipped with advanced in-seat inflight entertainment systems offering thousands of hours of programming, inflight Wi-Fi offering connectivity throughout the world, and "Main Cabin Extra" seating with 4 to 6 inches of additional legroom in the Main Cabin. In addition, as currently provided on US Airways' Airbus A330 international Envoy service, American's new transcontinental and international widebody aircraft will feature lie-flat, all-aisle access premium class seats.

Largest Loyalty Program
As a US Airways Dividend Miles member, you will be able to enjoy unparalleled benefits. Here are some of the benefits the combined company will offer our members:
Even more opportunities to earn and redeem miles from an expanded global network of routes and partnerships;
122 new destinations through which to redeem miles
Earn miles with more than 1,000 participating companies, including more than 20 airline partners
Unmatched redemption options including flights, hotels, car rentals, vacation packages, one-way awards and club memberships; and
Worldwide benefits through the oneworld Alliance.
Until the merger is complete, US Airways and American Airlines will remain separate companies and each company will maintain its current loyalty programs (US Airways – Dividend Miles and American Airlines – AAdvantage®). In the meantime, your existing miles will continue to be honored, and there will be no impact to your US Airways MasterCard® or US Airways Visa® card. You can continue to book travel and track and manage flights and frequent flyer activity on www.usairways.com. You can also continue to earn and redeem mileage for travel awards with us and our Star Alliance™ partners.

We expect the combination to be completed in the third quarter of 2013. Additional information will be provided to customers of our frequent flyer program on any future program updates, including account consolidation or benefit alignment. In the meantime, please visit www.usairways.com/arriving for the latest information.

We are committed to providing you with safe and reliable service, and we look forward to continuing to serve you on US Airways and on the new American Airlines.

Sincerely,

Doug Parker
Chairman and CEO, US Airways.

[Chicagoist123]

Wow that sucks for Phoenix.

[psulions2007]

I actually think PHX will be okay from this. Phoenix is a more centralized hub location for the west. Dallas may be in big trouble, though, considering it is the source of tons of delays due to thunderstorms, etc.

[observer53]

Let's stick to the topic of the merger of these two airlines, please, and how it impacts Phoenix. Take other airline issues to the general forums.

[observer53]

Originally Posted by psulions2007

I actually think PHX will be okay from this. Phoenix is a more centralized hub location for the west. Dallas may be in big trouble, though, considering it is the source of tons of delays due to thunderstorms, etc.

I'm not concerned about the flight schedule. The direct and indirect job loss, yes.

[psulions2007]

Originally Posted by observer53

I'm not concerned about the flight schedule. The direct and indirect job loss, yes.

The biggest issue is you don't want to be eliminated as a hub like Memphis was in the Delta/NWA merger (despite such corporate promises to maintain Memphis as a reliever for Atlanta). That would be the main factor in job losses.

Looking at the combined American/US Airways airline in the west, you have hubs in Phoenix, Dallas, and Los Angeles. Los Angeles could be in trouble as a hub due to the smaller amount of routes in/out of the airport. Dallas could be in trouble due to the weather delays often incurred there. The only way Phoenix would be in trouble is if they feel that they can move all of the PHX routes to LAX and eliminate PHX as a hub due to duplicity. That's the least likely, IMO, especially with how centralized PHX is.