Wednesday, January 9, 2013

Merger clue in American's new china pattern?

The information vacuum surrounding a possible US Airways-American Airlines merger is starting to generate all kinds of theories, the latest being that the merger is foretold in American's new china pattern.

The Chicago Business Journal reports that American's new china, cutlery, and stemware for its premium cabin has no logo emblazoned on it. As the report says: "This is believed to be the first time that AA has introduced on-board service items in its premium cabins that didn't feature the familiar AA logo or some other specific AA branding."

The new designs will be introduced later this month.

US Airways CEO Doug Parker has said that in the event of a merger, the merged airline would keep the American name, as well as its Texas headquarters. So it could well be that the new American china is simply cheaper logo-free (remember, American is restructuring in bankruptcy and presumably not looking to shell out a ton of money for new dishes).

But the report highlights the lack of concrete information available about the proposed merger. American's board is considering the merger today, according to leaked reports. But no decision or announcement is expected, and the CEO of American has only said the question will be decided in a "matter of weeks." Meanwhile, some analysts are now speculating that a merger decision might not come for months.

The pilot unions of both carriers have agreed to a merger framework, but the memorandum of understanding outlining the terms hasn't been shared with members. And with everyone tightly bound by legal non-disclosure agreements until at least the end of the month, get ready for more of the wait-and-see game.


Anonymous said...

Ikea has plates starting at $2.99.

TC said...

But with SWA in the mix now,US Airways is gonna have to moderate prices......

Anonymous said...

Even if there is a merger with US Airways, Doug Parker has stated that the American name, brand and HQ will remain.

The new china pattern might have more to do with the brand being refreshed more than anything else. And while it may be unusual for AA to have a pattern without their logo on it, it is not rare in the airline industry.

Anonymous said...

US Airways' china is has been logo-free since 1997.