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NWA?DAL deal rumored within 2 weeks

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Like I have said before, it seems that there has been something going on at the MEC level for the last few months. I could be wrong, but it appears that way.
I think that they would like to have this as prepackaged as possible. It needs to be done before Bush leaves office.
Most of the people over at the Kremlin seem to think that this is a done deal. It is just the details that they are not sure about.
 
What happens to the Mesaba and Compass NWA flow thru if DAL buys NWA? Would DAL honor that previous agreement and have a flow thru to DAL from Mesaba and Compass?

Just guessing, but I would imagine they would remain in force as long as NWA is hiring as NWA. I also would expect all mainline/feed air service agreement contracts to be revisited in a merger.
 
Did NetJets ever get the basing situation resolved?
 
Same argument could be made for the 80s. The DC-9s are paid for and generate revenue. There are zero plans to retire them as they are part of the NWA fleet plan for the next 5-10 years.

What about MEH? It's very likely they'd be folded into this mix as well although it may be a can that's kicked down the road.
As far as Midwest, this could possible happen around the same time the DOJ is to rule on the TPG acquiring Midwest. I imagine Northwest would probable walk away from the Midwest deal and focus totally on a merger with Delta. Leaving the door open for AirTran to come in and acquire Midwest if they were still interested.
 
If it did happen, I would think it will take at least 6 months to get approved and another 2 plus years to get the two companies together if not more. So for the next 2.5 years after it would happpen, the two airlines would most likely operate as seperate airlines like the AWA/Usair situation. I dont think there would be any furloughs since it would take awhile to get the list and company merged into one. Would DELTA keep the name or would it be NORTHWEST?


I think your right except if this deal does get announced they will attempt to integrate the operations a little quicker because of the cost pressures they are now facing. Running two seperate operations is expensive and they will attempt a fast integration. I still think a fast integration will take at least a year. In the mean time NWA and DAL both have to staff for international growth and NWA has to cover the retirements they will have. I'm hoping that the worst case scenario is a hiring freeze, but even that may not happen if both airlines want to cover the growth. DAL is getting a few 777's, 737's, and 757's so they will need to hire to staff those over the next year. My biggest worry is base closures. DTW, MEM, CVG, and SLC. Which of those will go is what I would like to know. I also would bet that the DC-9's will go even if they are paid off. DCI and the NWA connection carriers have a good number of CR9's that could cover alot of that flying much cheaper than keeping the 9's.
 
If it does happen... got to wonder what is going to happen to the remaining legacy airlines.

AA
CAL
UA

and then you have the wildcards out there..

JB
SWA
AT
MW
FR
AL

Gonna be an interesting year!
 
Yep it is coming. Maybe not in two weeks, but soon. Wonder how long I will be furloughed for.


You are right. All the signs are there. This has probably been in the works for at least 2 years now. My prediction was a NWA/Delta merger in Fall '08 but it looks like it could be earlier. Interesting times to say the least.
 
there are some differences between DL and NW, but they are very small compared to AWA and AAA. Frankly the only airline out there that was way, way out of wack was AAA. A merger with any airline but them is a lot easier.

You got that right, AAA was out of whack with anyone. There is no other airline with the majority of its pilots hired in such a concentrated period way back in the eighties.

We at AWA were lucky enough to get that, as long as you fellas elswhere stay away from LCC your deal should be a cakewalk in comparison.
 
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You are right. All the signs are there. This has probably been in the works for at least 2 years now. My prediction was a NWA/Delta merger in Fall '08 but it looks like it could be earlier. Interesting times to say the least.

I have predicted this merger for some time. I also move the announcement date ealier than I originally anticipated which was end of 2008. It will take well into 2009 or longer to work out the details. I just hope its not a melt down like Airways/AWA.
 
I have predicted this merger for some time. I also move the announcement date ealier than I originally anticipated which was end of 2008. It will take well into 2009 or longer to work out the details. I just hope its not a melt down like Airways/AWA.

I'll agree with you on that one. I'd venture to say that with the very little overlap a DAL/NWA would have, ATL would make MEM dissapear, and DTW would make CVG dissapear. All the other hubs, MSP/SLC too far apart, ANC/LAX.
I think that the new airline would make a nice fit.
I read an article in one of those money mags that said a combined UAL/DAL would generate $800 million dollars a year in (I hate this word thanks to Parker) "synergies), while a DAL/NWA combo would produce over $2.1 billion in synergies.
Of course a UAL/DAL deal would cover much more of the globe, but there would be more routes/hubs/aircraft to be divested.
Just my .02

737
 
Translation

I read an article in one of those money mags that said a combined UAL/DAL would generate $800 million dollars a year in (I hate this word thanks to Parker) "synergies), while a DAL/NWA combo would produce over $2.1 billion in synergies.

For the benefit of those who have not experienced a merger, "synergies" is management-speak for "doing more work with less people". :(
 
Heyas,

Rumor is that the deal will be announced Monday, along with a pre-arranged deal between the NWA and DAL MECs for seniority integration.

Word is that for those hired before 2002, it will be a ratio integration, and those after will be DOH. No fences, no bump, no flush.

Nu
 

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