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  • Some Myths About Airline Mergers

    04/16/2008 8:17:50 PM PDT · by The_Republican · 7 replies · 177+ views
    Wall Street Journal ^ | April 16th, 2008 | RICHARD ANDERSON and DOUG STEENLAND
    Myth One: Airline mergers cause big job losses. Reality: Bankruptcies and high oil prices have caused significantly more job losses than mergers. Record fuel prices have led to the shutdown or bankruptcy filings of five U.S. carriers. Myth Two: This deal will jeopardize employees' benefits.Reality: The merger will create a financially stronger airline, better positioned to protect jobs, compensation and benefits. The transaction will make employee pensions and benefits more secure. Myth Three: Prices will go up as a result of the merger.Reality: In this industry, prices are set by market forces and competition. There is very little overlap between...