I can't see how all this proposal works... how can he include Hicks, not break canon and maintain continuity? It makes no sense. Something has to go.
So we have 3 options as far as I am concerned:
1). Original proposal: Ripley and Hicks come back in a post 'ALIENS' scenario.
The Problem: Alternate continuity breaks canon. This just messes everything up as far as I am concerned
2). Proper 'ALIEN 5' sequel: Ripley 8 finishes her story and we get closure to the series.
The Problem: 'ALIENS' fanboys can't wank themselves into a stupor. ...or maybe they can if we see 24th Century military hardware and personnel introduced into this scenario.
3). 'ALIENS 2' sequel:: A direct sequel to the 2nd movie that ditches Ripley and Hicks entirely. A fresh cast aboard another Conestoga class transport ship that gets involved with Xenos in a scenario that runs parallel to the events of 'ALIEN 3'.
The Problem: There isn't any. Sure, Ripley and Hicks don't appear, but is that really an issue? To me, the insistence that these 2 characters MUST appear in the new movie is where all the problems are happening, anyway. With this option, however, canon is not broken, continuity is intact and we get new experiences and a fresh start that could build into a whole new series without disregarding 'ALIEN 3' and 'ALIEN: Resurrection'. Nope. There's absolutely no problem with any of that.
Personally, I'd like to see the series wrapped up properly with closure to Ripley 8's path; but I'm also good for a proper 'ALIENS 2' sequel to the 2nd film that has no canon or continuity breaches with completely fresh cast because this Universe is big enough to accommodate such a thing.
-Windebieste.