PPRuNe Forums - View Single Post - UAL to file Chapter 11 this week.....
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Old 23rd Jan 2002, 00:05
  #23 (permalink)  
Cyclic Hotline
 
Join Date: Oct 1999
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The raise for mechanics may be the most pressing personnel issue, and may well determine the outcome of the entire airline. A strike at a time like this would be disasterous for any business. It is really quite amazing that the combination of events in the last 12 months has developed into a "perfect storm"!

The pressure being put upon the stock and bond prices of UAL, may result in a liquidity and credit squeeze, forcing them into Bankruptcy, solely as a means of escaping crushing financial burden.

After the melt-down of Enron, there is going to be considerable caution exercised by any financial institution in propping up a business that is suffering serious financial difficulties, and the possibility of industrial action, thus taking the fate of the company out of the hands of the management.

Dangerous times for UAL.
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