aviation
United and Delta Airlines Talk Combination
Filed in archive Aviation News by Terah Shelton on November 15, 2007
United and Delta Airlines Talk Combination
Another merger between major airlines? Maybe. It was reported yesterday that United Airlines and delta airlines have been quietly discussing merging. The second and third largest carriers are looking to offset rising oil prices and jet fuel expenses to help cut costs. If the merger took place, United would become the combined airlines name and the corporate headquarters would remain in Chicago.

However, both airlines have issued statements denying reports of a merger.

There is a sense of urgency in the most recent talks, which have been going on for some time and continued as recently as a week or so ago, the official with knowledge of the talks said Wednesday. The official spoke on condition of anonymity because the person was not authorized to speak publicly. The official stood by the assertions about the talks after learning of the statements by Delta Air Lines Inc. and United, a unit of UAL Corp.

"They want to get something done before a new administration gets in and so they get the clock ticking on" federal regulatory approval, the official said.

Financial details were not clear. But the talks involve United being the name of the combined airlines, the headquarters staying in Chicago and Delta's Atlanta hub being an operational center for the two carriers, the official said. One possible scenario involves Delta's Anderson being the chief of the combined airline, the official said.

Delta also has had talks with other airlines, the official said, without specifying which airline or the status of any such talks.

Shares of Delta rose 77 cents, or 4.1 percent, to $19.52 Wednesday while UAL shares gained 67 cents, or 1.5 percent, to $44.17.

When Anderson was named in August as Delta CEO to replace Grinstein, there was immediate speculation in the investment community that Delta and Northwest might eventually merge. Anderson is a former CEO of Northwest Airlines Corp.

Anderson immediately tried to dispel such speculation, telling Delta employees he wasn't coming to Delta to facilitate a deal with Eagan, Minn.-based Northwest.

Photo

Permalink: United and Delta Airlines Talk Combination
Tags: United  Airlines  Delta  Airlines  Merger  Combination  Oil  Fuel  Prices  Aviation  News  airlines  delta+airli 
Trackback: http://publish.creative-weblogging.com/publish/mt-tb.pl/102203
img Addthis img Ask img Blinklist img del.icio.us img Digg img Fark img Facebook img Google img Lycos img Ma.gnolia Add this page to Mister Wong Mr Wong img Netscape img Netvousz img Newsvine img Reddit img StumbleUpon img Slashdot img Tailrank img Technorati img Wink img Yahoo

Vote for United and Delta Airlines Talk Combination:

  • Currently 8.60/10
  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
Rating: 8.60 out of 5 vote(s) cast.
 
Subscribe
Share It
Popular posts from our other blogs:
RSSrss
See all blog subscribe options
Google google
What is RSS?
Yahoo! yahoo
Addthis Subscribe using any feed reader!
Bloglines Bloglines
Newsletter

TwitterFollow us on Twitter!