General, I realize you are a glass almost full kinda guy when it comes to your beloved Delta...but I have a newsflash...Capacity will be cut drastically compared to what it is now if DAL merges with anyone. Can't you see the whole point this is happening is to battle an economy heading south? Why would you merge two carriers with the intent of keeping the current capacity? If that was the case they would stay seperate. There are other motives behind this merger and it has nothing to do with a super carrier...it has more to do with survival. Dal/Nwa/UAUA are in no position to merge just to stay as large as they currently are. AA/TWA, AWA/USAir...did they stay the same size? Yeah...right...that's why 75% of the ex TWA guys are flying for American Eagle...yeah...and this was pre 9/11. I am glad you are being positive about it..but I seriously doubt anything good will come out of this...at least not for a few years. It will be paiful, simply because this merger has consolidation written all over it.
As for giving up capacity...well when carriers can't survive at their current state and merge, something has to be given up no matter how painful it is. Been through PIT lately? Do you think USAir built all of that infastructure to just throw it away? STL??? AA sure put that airport to use.
I have to disagree with you, of course. Most of our combined hubs (If Delta and NWA merge) do not overlap, with the exception of CVG (close to DTW) and MEM (close to ATL). They will likely have to be reduced a bit, but not enough to just give a hub to a LCC waiting for an opportunity. If you think about it, who really has the most to lose in those two hubs---since all of the other hubs are profitable? The regional carriers who dominate there. Comair, which just announced another 14 RJs being parked (why is that?) has 200 or more flights a day. Delta mainline has 56. How about MEM? Messaba and Pinnacle have the majority of flights, with NWA mainline having about 40. Now we are currently hiring 50 a month (for the INTL expansion only--no retirements) and are budgeted for 600, with another 240 if we actually got the MD90s. NWA is hiring also, primarily for INTL expansion I bet. If we are forcasted to be that short, and our INTL expansion is to cities that NWA does NOT go to (starting in June--Amman, Cairo, Tel Aviv, Lagos, Dakar, Edinburough, London Heathrow, Paris Orly, Malaga, Cape Town, Nairobi, and Lyon---all from JFK only)---how are we going to do it on current staffing? We are selling those tickets right now. We put 50 new FOs in the NYC 7ER last month alone.
You ask if we can grow or stay the same size. AA bought TWA and 9-11 happened. The STL hub was between ORD and DFW, and was never a very good O&D city. Did you ever want to just "go take your wife to St Louis for a romantic weekend?" Who would do that? TWA also didn't have any major strengths by the time AA bought them. Did they have any LHR slots? Anything else? They had some 717s that AA didn't use long. They also had some 757ERs that we just bought. And, their union head had to give away the farm or risk liquidation. Neither DL nor NWA are in immediate danger of liquidation. UAL may be, but not DL or NWA. We actually could probably weather most of this longer than some of the others because we cleaned house during BK. You can't compare TWA and AA to anyting going on right now. And, USAir and AWA are actually growing, and will be starting A340 service to China next year, and are replacing old 737-300s with new E190s. They are hiring too.
Also, both PIT and STL are dying towns. They are. After USAir vacated PIT, did Southwest come in and start a large hub there? Did anyone? Nope. How about St. Louis? What about that rumored new terminal and that Jetblue would start a focus city there? They have the opportunity, and nobody has taken it. (even in good times) Southwest is removing some flights from STL I believe. So, those two cities are not good examples to back up your claim, since nobody has taken the bait and started up large operations there since the others downsized.
Bye Bye--General Lee