Delta And Northwest Officially In Chapter 11

[Fly]

They are in control of bashing the employees but when it comes to day to day decisions and were to put cash, they must get court approval. They can't just pump money into Song and let Delta flounder, they lose that control to decide. (of course, all they have to do is belly up to the "judicial" bar and he'll give them what they need)

 

[700UW]

The first day in bankruptcy the get bridge orders which lets them continue and assume certain contracts and liabilities.

The judge only has to approve any changes in business when it comes to money that is not contained in the interim orders.

 

[FM2436]

I think DL will have a long and difficult transition during Chapter 11. They waited too long to file. Personally I think they played corporate chess with the "certain" demise of US. That strategy backfired and they got caught on the bad side of a corporate gamble. Unfortunately we can relate to bad decision making and we are acutely aware that the customer and the employee base suffers.

:down:

[post="300596"][/post]​

I'll bet Northwest is going to have the more difficult time in banruptcy than Delta. Although Delta's period though bankruptcy will not be a piece of cake and will likely be tougher than US Airways' times though bankruptcy (if anyone can believe that).

My thoughts are who is going to be willing to make the necessary huge cash investments into the latest two airlines who have filed bankruptcy? Hasn't that already been done for US Aiways/Am West and United? And I'd bet Northwest will have a tougher time finding the investment types who will be willing to make those cash investments particularly after Northwest's mechanic just walked of the job? That doesn't provide much comfort the those investors (who would likely only invest MILLION$ into Northwest with the goal of making huge profits from their investments) that Northwest will successfully emerge from bankruptcy.

Another thought; there were many who have posted on this US Airways forum that US Airways should have been allowed to liquidate and go out of business and become pages in the airline history book. Should that be the same for Delta and Northwest?