More consolidation? Delta considering AMR purchase

[Brian Noble]

From the Wall Street Journal (and so probably paywalled), but you can find other reports elsewhere:

http://online.wsj.com/article/SB100...842920091500.html?mod=WSJ_hp_MIDDLETopStories

 

[DebbieB]

From the Wall Street Journal (and so probably paywalled), but you can find other reports elsewhere:

http://online.wsj.com/article/SB100...842920091500.html?mod=WSJ_hp_MIDDLETopStories

I can't see Delta being allowed by the government to buy American since they are so big after they bought Northwest. USAirways still hasn't completed the merger of the union contracts with America West from 6 years ago, they are still operating as separate airlines as far as crew goes.

 

[Captain Blue Sky]

Continental and United are merged but still operating as 2 separate carriers. So the fact that seniority integration lists for pilots and flight attendants with USAir are not merged is really no surprise. That's business as normal for today's mega merger airlines. Too much to sort through trying to integrate air crew seniority lists with different union represenation.

And Delta with AMR? Will never happen...

 

[Brian Noble]

I can't see Delta being allowed by the government to buy American since they are so big after they bought Northwest.

I didn't think so either, but from the WSJ article...

If Delta were to merge with American, the combined carrier would control 27% of the U.S. market, unless it was forced to divest assets to other carriers to satisfy antitrust concerns. It would quickly regain the No. 1 spot in traffic from United Continental.

Delta has conducted an antitrust analysis on a possible tie-up with AMR and concluded that, with some concessions, such a deal has a good chance of passing regulatory muster, people familiar with the matter said.