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Despite stalled growth in China, Brazil and Russia, a wave of newly middle-class travelers from the BRICs and beyond will start visiting international destinations in the coming decades — dwarfing the numbers we’ve seen thus far.
Given all the operational problems that have plagued the United-Continental merger, Crandall realizes that the pilot issue is a top priority. Otherwise, a merger could turn out to be worse for American than no merger.
One of his main points is that a merger would make sense and ensure American’s future — but only if the two airlines’ pilots can first create an integrated seniority list.
Mergers are tremendously complex, and without such a combined seniority list, the combination could be a bust, Crandall argues.
American’s pilots may have taken a step in that direction when the Allied Pilots Association board approved a transition plan to be considered by the boards of both airlines. Details of the plan have not been publicized.
Crandall’s latest remarks are worth a listen: