Anderson thinks a merger would be in the employees' best interests.....

[9rj9]

what happened..

What happened to "keep delta my delta"???
I guess the clowns in Atlanta wanted to get paid since the stock options awards didn't work out.

Delta can't make money over the long term without reducing some capacity on the domestic side, so to cover this flaw in the plan, they announce a merger, ha, now it gives them a year or two to hide the fact they can't make money.

This is the biggest con job you will ever see. No capacity will be reduced just transfer of cash from the have nots to the haves.

They will be able to take massive writedowns/offs since making money is not the real goal here, the goal is to survive long enough to GET PAID.

After the smoke clears and the bosses retire to their mcmansions, the employees will be stuck with fixing a broke business model.

 

[Max Powers]

Here is why it will pass the senior ("I got mine crowd") at Delta will approve the merger because their Cpt slots are safe and with the downsizing in capacity and increase in revenue they will get a nice fat raise while the Junior schmucks get stuck on reserve with no upgrade in sight for the next 2 decades.

 

[FDJ2]

It'll be interesting to see how they integrate all the non-union Delta flight attendants (or most DAL employee groups as far as that goes) with the union NWA or UAL employees.

My guess is via Allegheny-Mohawk LPPs. I believe that with the McCaskill-Bond legislation that A-M is now the baseline merger policy.

 

[puddlejumper101]

hmm...didn't see this coming (note of sarcasm). reducing capacity??? NAH...really? Anything execs say...just think the opposite.

The thing is DAL and NWA or UAUA will try to see this any way they can to make it seem like it is better than it is. They will also start their jibberish about how if they are not allowed to merge, one of these airlines might dissapear. Given the state of our economy...I think these airlines do have to do something before everything collapses on them. They will have to reduce capacity to survive...even if it means giving it up to the low cost carriers.

 

[~~~^~~~]

Puddlejumper - The business of the future will revolve around increasing revenue. This has been the raison d'etre for operating a network with global connectivity and diverse revenue streams.

BTW - there is no such thing as a Low Cost Carrier - with fuel prices where they are - it is all high cost. It costs AirTran more to get a coach seat to the west coast than it does Delta.

Shrinking actually drives up unit costs, which is why most airlines grow themselves into trouble. The network carriers learned from those mistakes and have been pretty conservative when it comes to domestic capacity.

 

[MINIME]

Hopefully there will be none or very little job loses.

But I imagine the goal here is to come out lean and become the new Wall Street darling for about a month. In that time, Pardus, CEOs and Bethune will get their pay-day and just like that, everybody's happy once again. Then they'll move on to the next venture. And we'll still be here fighting about my airline is better than yours type of crap, wondering what the hell just happened!

The rich get richer and the middle and lower middle class gets handed a new one once again.