Here we go again
Posted on April 7th, 2008 – 3:37 PMBy Casey Common
The Financial Times reported over the weekend that Delta has agreed to go back into merger talks with Northwest, even without a deal between the airlines’ pilots.
Then, today, the Associated Press followed up with a report that Delta is “trying to determine whether to push ahead” with a deal.
One intriguing point at the end of AP’s story:
Another option that remains on the table is a “light” deal between Delta Air Lines Inc. and Northwest Airlines Corp. in which they would combine some corporate functions but keep separate pilot ranks and operations, the people familiar with the talks said.
The “light” option, in theory, would be along the lines of Air France-KLM: two separate airlines run by the same corporation. In this case, with each airline cutting capacity to cut costs as fuel costs soar, that option seems unlikely. They want all the savings they can get, and the idea of operating two separate airlines might be no more than a last-ditch option. But one thing on the plus side: It would avoid a years-long seniority dispute between the two airlines’ pilots.
4 Responses to "Here we go again"
NW pilots blew it. It will take them over ten years to gain the earlier proposed increases in pay and benefits. Not smart!
This has NOTHING to do with the price of oil, and EVERYTHING to do with WELLINGTON Capital, Pardus Hedge Fund, and Roy Bostock, Steenland hundreds of millions in pay out!!
Delta doesn’t have a nickle in a pot. Northwest employee need to fight this tooth and nail. Instead of a merger, NWA needs NEW management from the Chairman of the Board on down. It is a disgrace how they have ruined and raped what was once the most stable airline in America.
Once “The” most stable airline in America???? Excuse me wasn’t Delta once on the front cover of BusinessWeek as one of the top ten most desirable companies to work for ….not just airlines but companies….
I am sorry that NWA…and all of us have been gutted of pride and history and poor management…..BUT I STILL FAIL TO SEE WHAT ANY…ANY DL PILOT has to gain by this deal…I don’t think the same can be said for NW PILOTS.
“Delta doesn’t have a nickle in a pot. Northwest employee need to fight this tooth and nail. Instead of a merger, NWA needs NEW management from the Chairman of the Board on down.”….and whole NEW slew of airplanes, NEW routes, NEW contract, and NEW morale (Red Book/ Green Book)