DL Pilots Approve Contract Revisions

[chucky]

Delta pilots approve contract revisionsWednesday May 14, 11:21 am ET
By Harry R. Weber, AP Business Writer
Delta Air Lines pilots approve contract revisions by overwhelming margin


ATLANTA (AP) -- Delta Air Lines Inc. pilots voted overwhelmingly in favor of changes to their contract that will give them pay raises, an equity stake and other benefits, but also will give management more leeway as part of a proposed combination with Northwest Airlines Corp.


Voting, which started May 1, ended Wednesday. A letter from the chairman of the union's executive committee, Lee Moak, to fellow pilots said 78 percent of pilots who voted approved of the changes.

The contract covers more than 7,000 pilots at Atlanta-based Delta. Northwest's 5,000 pilots are not part of the agreement.

Delta agreed to extend its existing collective bargaining agreement with its pilots through the end of 2012. The revised contract provides the Delta pilots a 3.5 percent equity stake in the new company.

In exchange, the company will be able to place the Delta code and brand on Northwest flights and retain Northwest's large stake in Midwest Airlines, while maintaining those two carriers' separate operational status.
Link


Interesting......I wonder what DL will end up doing with Midwest Air? Absorb it, sell it or expand it?

 

[Cajun Flyer]

Delta pilots approve contract revisionsWednesday May 14, 11:21 am ET
By Harry R. Weber, AP Business Writer
Delta Air Lines pilots approve contract revisions by overwhelming margin


ATLANTA (AP) -- Delta Air Lines Inc. pilots voted overwhelmingly in favor of changes to their contract that will give them pay raises, an equity stake and other benefits, but also will give management more leeway as part of a proposed combination with Northwest Airlines Corp.


Voting, which started May 1, ended Wednesday. A letter from the chairman of the union's executive committee, Lee Moak, to fellow pilots said 78 percent of pilots who voted approved of the changes.

The contract covers more than 7,000 pilots at Atlanta-based Delta. Northwest's 5,000 pilots are not part of the agreement.

Delta agreed to extend its existing collective bargaining agreement with its pilots through the end of 2012. The revised contract provides the Delta pilots a 3.5 percent equity stake in the new company.

In exchange, the company will be able to place the Delta code and brand on Northwest flights and retain Northwest's large stake in Midwest Airlines, while maintaining those two carriers' separate operational status.
Link


Interesting......I wonder what DL will end up doing with Midwest Air? Absorb it, sell it or expand it?

I think they'll only be able to put their code and brand on the NWA flights AFTER the transaction has been approved and closed. This amendment letter allows Delta to do those things only if the transaction is approved by US Justice and won't happen until then from what I've read. They would still maintain separate operations at that point because they would have to merge the pilot groups and seniority as well as that of the Flight Attendants and they would have to have an Operating Certificate from the FAA to operate as one carrier before they can operate the airline as one unit. It'll be interesting to see what happens with Midwest. If Midwest is a good source of passengers for our International routes then I think we would want to keep the stake in them. It appears that Texas Pacific Group owns 60% of Midwest, so I guess they would make the final decisions. Has anyone heard anything? I seem to remember Anderson saying that Delta wanted to keep its stake in Midwest.

 

[1Conehead]

Interesting......I wonder what DL will end up doing with Midwest Air? Absorb it, sell it or expand it?

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