Northwest also files Chap. 11

[General Lee]

General-

I just listened to Steenland speak at a press conference on tv.

He said it was "purely coincidental" that both filed on the same day.

NWA had some equipment and pension payments coming due in a day or so, that NWA didn't want to make; to preserve liquidity.

About mergers, he said there were too many seats chasing too few pax. One way to correct that, would be through consolidation, but he didn't see anything happening soon.

Remember: he's a lawyer, who has worked for Lorenzo, etc..... He only tells true lies.

320AV8R

Sure it was speculation, but Grinstein said all of them are looking for dancing partners. NW/CAL/UA/DL. A management guy I talked to in ATL today was speculating and he said he could see NW/CAL/DL as one, or UA/CAL and NW/DL. Even the third grade paper the USAToday stated today that the gov't will have to change it's stance on mergers and allow more, or many job losses will result. Everyone likes to say "oh, the LCCs will absorb it"----not when passenger numbers are climbing like crazy. Consolidation will happen---they are all looking at it right now. (Thanks to the USAir/AWA deal)


Bye Bye--General Lee

 

[densoo]

"On Thursday, the Air Line Pilots Association said Northwest was reducing flying levels, which would result in 400 pilot furloughs over the next eight months. That's in addition to around 500 Northwest pilots already on furlough, the union said in a statement. A Northwest spokesman confirmed the furloughs, but had no comment on them."

http://biz.yahoo.com/ap/050915/airlines_bankruptcy.html?.v=21