United Rumors?

[plutospup]

We plan on flying United next weekend. I've been hearing rumors that they may declare bankruptcy. Has anyone else heard anything regarding United?

 

[DebbieB]

Bankrupcy does not mean they will stop operations. USAirways filed for bankrupcy in August in order to restructure. It gives them protection from creditors and they can renegotiate union contracts. They are still flying. An airline as big as United will not stop flying if they file for bankrupcy, I would not worry.

 

[plutospup]

Not really worried that the will stop flying. My main concern is that they may change flight times. Oh well, I'll be on vacation whatever happens. Vacation days are always good days!

 

[sgtdisney]

Originally posted by plutospup
We plan on flying United next weekend. I've been hearing rumors that they may declare bankruptcy. Has anyone else heard anything regarding United?

Here in Chicago, news about United is on almost nightly.. United just got wage concessions from their 4 largest Unions.. This was a stipulation of the Government to get the Government backed loan that United has been seeking. What this means is they are almost guaranteed this loan at this point. There was a big article about United this weekend in the Business section of the Chicago Tribune and it basically hinted that United is too large a business for the Gov't to let fail and go under. It stated other large bailouts that the US government has made to other very large failing companies, mentioning Lockheed and Chrysler as 2 of the larger ones.

What this means is United is not going to go bankrupt any time soon. United's corporate has really had to put the pressure on the unions to accept these wage concessions so they made a lot of noise about a potential bankruptcy. From what I hear most of the union staff at United had been the highest paid in the industry. Not that they don't deserve it.. It just all adds up I guess.

As for flight schedule changes, it is hard to say. Airlines change their schedules frequently based on load factors among other things. It isn't just a thing that will happen with airlines going into Chapter 11.. Like you mention, relax, a vacation is a vacation.

 

[plutospup]

Thanks Sarge for the United info. Much appreciated!

 

[pbhunt]

Did you sign up for United's "Easy Update" service? There's not much you can do about it if they should change your flights (and not likely this close to departure) At least Easy Update will insure that you get the soonest possible notification of your flight status.

 

[Miss Jasmine]

From what I have heard in the industry, United is looking at its flight schedules and may be making changes in the future. It's not something that I would worry about because most airlines are looking at and revamping their schedules every few months anyway.

It appears that United is doing what it can to stay out of Chapter 11 right now. It will be interesting to see how things go after all of the concessions being made.

 

[sgtdisney]

Originally posted by Miss Jasmine
It appears that United is doing what it can to stay out of Chapter 11 right now. It will be interesting to see how things go after all of the concessions being made.

What is remarkable is these same unions just recently fought to get pay increases after years of not having any.. I think they just won these new contracts right before 9/11.. Now, they had to give it all back. It shows how serious the airline's condition must have been...