US Airways Chairman and CEO Doug Parker told employees in a Wednesday letter cited in press reports that "All airlines are going to have to make dramatic changes to their existing business models in order to viable," and that while he would not comment on any "specific discussions or transaction" that may involve US, the carrier "can't ignore what's happening in the world around us." Parker has been a consistent proponent of consolidation in the industry and was unsuccessful in his attempt to acquire Delta Air Lines last year (ATWOnline, March 13, 2007). The Wall Street Journal reported that US and United Airlines have been discussing a combination for more than a month, without citing sources. UA also has been linked to Continental Airlines. Parker again touted the results of the merger between America West Airlines and the former US Airways, but pilots unhappy with the progress of related labor issues responded by dumping their long-time representative. They voted yesterday to leave the Air Line Pilots Assn. and form a new union called the US Airline Pilots Assn., which will represent more than 5,000 pilots from both AWA and the former US. The pilots had been frustrated by ALPA's inability to negotiate a merged seniority list and other provisions with management to unify the two groups. USAPA Interim President Stephen Bradford said, "USAPA is ready on day one to begin a new era for all US Airways pilots, East and West. . .In addition to providing quality services to the US Airways pilots, USAPA will approach management in a more businesslike fashion to address the deficiencies of the collective US Airways pilots' contracts, both East and West." Separately, US unveiled a new revenue initiative called Choice Seats that will make select aisle and window seats in the first few rows of economy available for a fee. Effective May 7, passengers may select a Choice Seat during Internet check-in from 24 hr. before departure. Fee starts at $5 and depends on segment length and aircraft. Approximately 8% of US and US Airways Express economy seats will be made available. by Brian Straus and Aaron Karp