Delta talks to NWA for merger alternative.

[Fly4hire]

Even our people in the crew lounge talks have stated we were talking to someone else, but never said who of course. The key here is Boeing. I think they would LOVE to replace Northwest's DC9s, and they would give their support on our creditor committee if they could get a chance at new planes for a combined airline. Bye Bye--General Lee

General,

The talk is NWA is going to aquire DAL - not sure how that would effect such a purchase unless Boeing is one of NWA's creditosr in the exit deal as well. NWA is filing it's POR next week with no extension - DAL's hearing is Feb 7. NWA will likely be out of Ch11 well before DAL.

Disclaimer: not trying to initiate a intergration DMC -who aquires who has no bearing on ALPA merger policy.

 

[NYRANGERS]

General,

The talk is NWA is going to aquire DAL - not how that would effect such a purchase unless Boeing is one of NWA's creditor in the deal as well. NWA is filing it's POR next week with no extension - DAL's hearing is Feb 7. NWA will likely be out of Ch11 well before DAL. Do the math

Disclaimer: not trying to initiate a intergration DMC -who aquires who has no bearing on ALPA merger policy.

The discussions are about merging after both companies come out of BK.

 

[michael707767]

The talk is NWA is going to aquire DAL - not sure how that would effect such a purchase unless Boeing is one of NWA's creditosr in the exit deal as well. NWA is filing it's POR next week with no extension - DAL's hearing is Feb 7. NWA will likely be out of Ch11 well before DAL.

Delta has already filed its POR.

 

[xjhawk]

i hear that if a merger happens, they would take something from both names to name the new company. They would take the "Delta" from Delta airlines, and the "airlines" from NWA, So the new company woulld be called Delta Airlines.

I did not come up with that, just retold the joke!

 

[General Lee]

General,

The talk is NWA is going to aquire DAL - not sure how that would effect such a purchase unless Boeing is one of NWA's creditosr in the exit deal as well. NWA is filing it's POR next week with no extension - DAL's hearing is Feb 7. NWA will likely be out of Ch11 well before DAL.

Disclaimer: not trying to initiate a intergration DMC -who aquires who has no bearing on ALPA merger policy.

Here is the actual article:

By SUSAN CAREY, MELANIE TROTTMAN AND EVAN PEREZ
January 10, 2007 2:17 p.m.
Northwest Airlines has been having recurring talks with
Delta Air Lines about a potential link-up between the two,
possibly after they both emerge from bankruptcy-court
protection later this year, said people familiar with the
matter.

Meetings between executives at various levels of management
and between the airlines' advisers have been occurring
regularly for weeks, including some in recent days. These
sessions have helped Delta's creditors come to see a
combination with Northwest as a realistic alternative to US
Airways Group Inc.'s hostile takeover bid.

US Airways today upped the ante by sweetening its hostile
takeover bid for Delta to $10 billion. US Airways improved
its mid-November $8.4 billion bid after Gordon Bethune, a
former airline executive hired as an adviser by the Delta
creditors, on Monday told US Airways its first offer wasn't
good enough, said one person familiar with the matter.

Delta, which has insisted that it wants to step out of
Chapter 11 as an independent airline, was trying to persuade
its creditors that its standalone post-bankruptcy business
plan is superior to US Airways' first offer. The Delta
creditors, who met today, are taking the improved offer
seriously and intend to pressure Delta to consider opening
its books to due diligence by US Airways and possibly other
suitors, this person said.

Meantime Northwest has emerged as a "promising third option"
to Delta's standalone plan and US Airways' sweetened bid,
said one person familiar with the matter. Another person
with knowledge of the matter said there also have been
contacts by UAL Corp.'s United Airlines with Delta. But this
individual said it's not clear whether Delta has officially
investigated an alternative deal with either Northwest or
United.

Another individual said the United-Delta conversations
haven't been as frequent or recent as the ongoing Northwest-
Delta contacts. United has been having exploratory talks
about a combination with Continental Airlines Inc., its
preferred dance partner, although many issues remain to be
sorted out, according to another person familiar with that
situation. Continental isn't certain it wants to combine
with any rival, but is going along with negotiations out of
concern that any Delta deal with lead to a flurry of
mergers.

Northwest, which also wants to step out of court protection
as an independent company, is expected in the next few days
to file its preliminary plan of reorganization with the U.S.
Bankruptcy Court in New York. It must file that document by
Tuesday as that is the day its right to field such a plan
without facing rival plans from creditors or other parties
expires. Leading up to that, Northwest has been out in the
marketplace trying to raise equity capital to help fund the
company once it leaves Chapter 11.

Northwest, which had been virtually mum about the merger
speculation sweeping the industry, last month broke its
silence by hiring investment-banking and restructuring
advisers Evercore Partners Inc. to help it evaluate and
possibly implement a merger, acquisition or other business
combination. But as early as last May, the Northwest board
of directors created a special committee to evaluate
consolidation possibilities.



So, according to this, there could be a merger, acquisition, or other business combination. You never know---except that your DC9s will be history probably before our planes. (we just dumped the 737-200s and 737-300s).
Thank Gawd that ALPA merger policy is there! Fences probably would go up for your 747s, and our other 120 widebodies including the 777s. But, we both could get 787s, so they would be open to everyone.... That would be a sight to see!


Bye Bye--General Lee

 

[xjhawk]

i hear that if a merger happens, they would take something from both names to name the new company. They would take the "Delta" from Delta airlines, and the "airlines" from NWA, So the new company woulld be called Delta Airlines.

I did not come up with that, just retold the joke!

 

[Whine Lover]

"Even our people in the crew lounge talks have stated we were talking to someone else, but never said who of course."

Genius. Pure Genius.


YKW

 

[Diesel-9]

deleted

 

[Diesel-9]

If I recall, NWA has 18 firm orders for 787's with options for 50. Think I read in Aviation Leak they were working on engine purchase for the next 18. Think the order for 68 787's is all part of a merger scenario that they have had in planning for years. Being the North American launch customer they probably got a great price on them when ordered years ago and like the 747-400 deal they got as the launch customer, they could sell excess 787's today for $20 mil. or more profit per slot.

 

[doh]

Looks like NWA and Delta are making their talks public now about the merger.

I would hate to see my beloved NWA fall under the influence of the evil empire in any way, shape or form! Sad news...sad news.