Tuesday, April 15, 2008

Continental to unite with United?

The ink had only just dried on the deal between Delta Air Lines and Northwest, when it was suggested that it might be a good idea if Continental courted United. These marriages of convenience could well be the only thing that keeps the planes flying, but at what cost?

United's flight attendants made it clear yesterday (Monday) that any deal better be in their best interests. "In the event we determine there exists a threat and not an opportunity for flight attendants, we will launch an aggressive campaign to derail any attempt to move forward with a merger that is harmful," Greg Davidowitch, president of the local chapter of the Association of Flight Attendants, said in a prepared statement. Blimey! I hope he keeps it all in house and doesn't let it spill over into the planes. "It's cold chicken, or nothing, sir!". It could be a very distressing time with grumpy flight attendants.

I've got a vested interest in that Continental fly out of Birmingham to Newark. From a selfish standpoint, this could be a good thing. We might get a United route to the West Coast. According to Roger King, of analysts CreditSights, such a merger "could be pretty quick, because they have already talked to each other".

So Continental United or United Continental? Oh, it's going to be hard choosing who comes first. The Hon. Charles Rolls was able to convince Henry Royce that their cars should be called Rolls Royce, much to Henry's chagrin. Rolls had the money and connections but Royce had the engineering skills. So today, those owning such a car simply refer to the Rolls. However, if you venture into Derby (where they make the aero-engines) and ask the workers where they work, they'll tell you - ROYCE'S!

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