MSP and LAXer's rejoice looks like Delta-Northwest is a done deal!!!
 

If this is true I can't wait!

http://www.chron.com/disp/story.mpl/...s/5539881.html


Feb. 13, 2008, 7:16PM
Sources say airlines have agreed on terms
By MARY JANE CREDEUR and MARY SCHLANGENSTEIN
Bloomberg News

Delta and Northwest have agreed on major terms for a tie-up, including keeping Delta's name and Atlanta headquarters and having Delta Chief Executive Richard Anderson run the combined carrier, according to people familiar with the plans.

Spokeswomen for Delta and Eagan, Minn.-based Northwest declined to comment Wednesday.

Air France-KLM Group plans to invest in a combined Delta-Northwest in exchange for a board seat, people with knowledge of the matter said.
The size of Air France's potential stake hasn't been set, said the people, who didn't want to be named because the talks are private. Delta and Northwest have briefed pilots on details of a tie-up, the people said.
A spokeswoman for Air France declined comment.

A Delta-Northwest combination would create the world's largest airline and keep the carriers in the 11-member SkyTeam Alliance with Air France. Leo van Wijk, SkyTeam's chairman and the Air France vice chairman, said Jan. 29 his carrier would do "whatever is possible" to aid the merger.

The Associated Press reported that Anderson has offered to give up certain financial benefits he would be entitled to if Delta combines with another airline. In a regulatory filing Wednesday, Delta said its chief executive voluntarily offered on Feb. 7 to waive the change in control provisions of his compensation arrangements.

Just curious, why LAX and MSP pilots should be happy? I know it is only an opinion but curious what the thought process is. I am LAX 767 DAL so I don't mind that rumor, just curious about the line of thinking.

I could see the combined airline really growing their capacity out of LAX.

Well, I'm from MSP and live in LA now. I had no intention to work for NW because of all the things that they have been going through lately and the fact I enjoy LA way too much. If I were to move on to a major, DAL would be my first choice. So having a LAX base with a MSP base would be too good to be true. How often can you say that about this industry?

Now that would be too good to be true!

This won't fly. I think either DOJ or EU will put a halt on this merger.

Please, tell me why? Sorry you guys make way to much money in profits, so no merger for you.

Ask yourself this: How much money did Exxon Mobile make last year?

Is this scuttlebutt or the real deal? If so let the fun begin

All of this meger stuff is a mess. All it is gonna mean in the long run more people out of work. They always sugar coat this crap at first saying that this is gonna be great and no jobs will be lost. YEAH RIGHT!

Pilot jobs.. Yes there will be some lost. It may take a little while but when they really start to look at things they will eliminate a lot of runs that over lap each other. Yeah things may look more efficent but that still means less planes less pilots.

Mech, agent, rampers...Same thing here. They will eliminate some of the maint hubs that are not shared by both carriers. Agents and rampers all goes back to less # of flights through those overlapping cities.


It may mean a stronger carrier, maybe. Only the economy will tell that, Not one big airline.

I have not been at either carrier, but just ask all the old TWA guys and current AM West/US Air people how that worked out. 2 different situations, but still a lot of unhappy people (at least the ones i have worked with and talked too)

And at last will it all go through???? Who knows. It would not shock me!
Remember this is the same administration that thought opening a few restricted airspaces would help solve all the delay issues on the east coast for the holidays.

Here's some more info

Report: Delta board to meet Wednesday

Delta-NWA merger could come as soon as Wednesday


Report: Delta board to meet Wednesday

The airline's board plans to approve a merger proposal with Northwest Airlines at the meeting, the Financial Times reported.

Last update: February 15, 2008 - 4:56 PM

Delta Air Lines' board plans to meet Wednesday to approve a merger with Eagan-based Northwest Airlines, the Financial Times reported today on its website.

The financial newspaper, citing unnamed "people close to the matter," also said a meeting of Northwest's board may be called for the same day.

Late Friday, the airlines were negotiating with the Air Line Pilots Association in an effort to secure the union's support, the Financial Times said. But the paper said the two airlines have agreed to exchange Northwest's shares for those of Delta at little or no premium.


Delta-NWA merger could come as soon as Wednesday
by Martin Moylan, Minnesota Public Radio
February 15, 2008

A merger of Northwest and Delta airlines could be announced Wednesday. Meanwhile, Gov. Tim Pawlenty is reminding Northwest of commitments the airline has made to Minnesota.

St. Paul, Minn. — Citing unnamed sources, The Financial Times reports the Delta Air Lines board will meet Wednesday, February 20, to approve a merger with Eagan-based Northwest. The report also says Northwest's board may meet the same day. Neither airline would comment.

As a merger appears imminent, Gov. Tim Pawlenty's spokesman Brian McClung says the governor is once again reminding the airline about promises it made to keep its headquarters and hub in the Twin Cities.

"The governor trusts and expects those commitments will be honored. We're willing to make additional commitments to keep the hub at full operations and the headquarters in Minnesota," said McClung.

In return for past promises to keep its headquarters and hub here, Northwest has received about $450 million in loans and lease breaks from the Metropolitan Airports Commission.



Delta Air Lines (NYSEAL) ' board plans to meet on Wednesday to approve the US carrier's merger with rival Northwest Airlines (NASDAQ:NWAC) , people close to the matter said on Friday.

The two airlines have already shared their proposal with labour leaders and have been working toward securing their support. Late on Friday, those negotiations were still ongoing, the people said. Northwest may also call a board meeting for Wednesday, they said.

The two airlines have agreed to exchange Northwest shares for those of Delta at little or no premium, the people said.
Securing support of pilots and other workers would be a crucial victory for the carriers' executives, who are mindful that any deal would face stiffer opposition in Washington without endorsements from key employee groups.

The Air Line Pilots Association represents pilots at both Delta and Northwest. While each group has said it was open to consolidation, they are pushing for wage increases to unwind concessions they made to their airlines during their bankruptcies. They also want to resolve how their members will rank in the combined company's seniority list, which helps determines how much pilots are paid and what aircraft they fly.

While pilots cannot technically block two airlines from merging, they can help galvanise opposition. Delta was able to fend off a hostile bid from US Airways last year in part because of the pilots' co-operation with management.

Delta has a market value of about $7bn, including shares the company will issue to creditors as part of its agreement to exit bankruptcy. Northwest is worth about $5bn. Both carriers filed for protection from creditors in 2005 and emerged last year.

Delta and Northwest also still need to determine whether Air France-KLM, their mutual European ally, will invest in the combined company, the people said.

Neither company immediately returned calls seeking coment.

Same old tired articles that have been posted for the last 6 weeks. The pilot groups have still got some work to do.