Northwest And Delta?

[Gilding the Lily]

http://www.marketwatch.com/News/Story/Stor...o&dist=yhoo


Got this article from fellow poster 'flyhigh' about talks between DL and NWA regarding potential merger. Can DL find a White (well maybe grey) Knight?

 

[wings396]

If the DL folks think that a merger with US would bring them labor headaches, they Ain't seen nothin yet....
All of those lovely old DC-9's :blink: would look great in DL colors again..

 

[deltawatch]

If the DL folks think that a merger with US would bring them labor headaches, they Ain't seen nothin yet....
All of those lovely old DC-9's :blink: would look great in DL colors again..

Just goes to show you how bad Delta hates US Airways people ..... Northwest would be a bigger nightmare.


Delta, Northwest in merger talks: report
Wednesday January 10, 2:45 pm ET


CHICAGO (Reuters) - Delta Air Lines Inc. (Other OTCALRQ.PK - News) and Northwest Airlines Corp. (Other OTC:NWACQ.PK - News) are in talks on a possible merger, the Wall Street Journal reported on Wednesday.
The newspaper said representatives of the two carriers, which are No. 3 and No. 5 in the United States respectively, have met regularly for weeks discussing a possible link-up after they both emerge from bankruptcy.

The two airlines have been restructuring in bankruptcy since September 2005. A Northwest spokesman declined to comment. Delta officials were not immediately available for comment.

When it's all over it will be NW/DL/CO and US/UA.

 

[Non Rev]

That is great news!!! Please, please, please, please let it happen!!!!!!!!!!!

 

[PHL]

Putting the labor and aircraft compatability issues aside, this merger makes more sense than DL/US. For starters, it would effectively cover 6 of the continents pretty well...WITHOUT an alliance.

You shouldn't be wishing it happened vs. the potential LCC-DAL merger because a DL/NW combination would be a pretty huge "synergy".

 

[robbedagain]

wonder if this could be a prelude to say a nw/us delta/ua may be i dont know but that would be a better sense wouldnt it?

 

[delta777]

I'd take NW any day over US Airways. Better route structure, better pay, better ROI.

 

[wings396]

I'd take NW any day over US Airways. Better route structure, better pay, better ROI.

Don't leave out the "Better" Mtc. that they have over at NW either....Good luck on that little issue alone.
Then toss in the 70+ stations that they just outsourced, and check their payscales agiain while you are at it. :unsure:

 

[Rico]

Sounds like delta is getting desparate. They know their "Stand-Alone" plan will not hold up against the new offer, so now IMO they have to try and come up with a "Plan B" that involves a merged DAL/NWA.

Trick is if they could get anyone to exit finanace it with sufficent capital to actually do it.

Interesting.

 

[a320av8r]

I wouldn't wish Delta on Northwest!

 

[luv2fly]

Sounds like delta is getting desparate. They know their "Stand-Alone" plan will not hold up against the new offer, so now IMO they have to try and come up with a "Plan B" that involves a merged DAL/NWA.

Trick is if they could get anyone to exit finanace it with sufficent capital to actually do it.

Interesting.

No trick to it at all really. US was able to secure the financing for this deal partly based on proposed synergies.
Surely those same synergies would be proposed in a NW/DL deal, and would most assuredly result in comparable financing.
As far as the stand alone plan, I find it interesting that Parker upped his offer to more closely align itself with DL's valuation after proclaiming it was artificially inflated. That tells me one of several things.
He undervalued his own proposal (lowballed).
He believed his previous offer was going to be shunned in favor of DL's proposal which was reported by some to be the case. Link

 

[USFlyer]

I would love a NW-DL merger with a deeper alliance (or even merger) with AS. That would create an airline that could seriously compete with UA. US is dead if they don't merge and Parker knows it ... they are lacking presence in many important markets, many of which are international.