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Simple NW/DL Merger Questions.  
User currently offlineNorthstarBoy From United States of America, joined Jun 2005, 1872 posts, RR: 0
Posted (6 years 3 months 4 days 11 hours ago) and read 3847 times:
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I've read/heard that NW/DL will put their marriage proposal to the shareholders on 9/24, so i suppose there are just two answers, either Yes or No.

If it's a big thumbs up, what's the next step? Have they already applied for regulatory approval? Or does this happen after the shareholders have their say? If they don't get approved this year (which, considering that Bush's people are only in their jobs for another four months, would be pretty much a rubber stamp), is it even realistic to expect anything noticeable to happen before 2010?

Lastly, what are the chances that a Carl Icahn type "Shareholder advocate" can derail this?

Assuming everything goes according to plan, i'd guess that a whole bunch of NW/DL people are going to be traveling between Atlanta and Minneapolis to merge the two computer systems, get all of their functions integrated, cut over the flights in the CRSes from NW to DL*, not to mention implement a flight renumbering system for NW so as all the flight numbers are integrated, cut off use of NW ticket stock, transfer those companies with NW corporate contracts over to DL, not to mention airport re-signing, fleet repainting, analysis in terms of fleet retirements, schedule adjustments, hub integration. and that doesn't even begin to touch on such things as disentangling the NW/KL alliance, Wow, i'm getting a headache just thinking about it!


Why are people so against low yields?! If lower yields means more people can travel abroad, i'm all for it
22 replies: All unread, jump to last
 
User currently offline764 From United States of America, joined Jul 2001, 634 posts, RR: 0
Reply 1, posted (6 years 3 months 4 days 10 hours ago) and read 3807 times:

Here's one Northwest lover still hoping the merger will never happen....

But realistically I am quite sure that they will get approval. As you stated, integrating computer systems is always a major headache. Additionally all branded products will have to be replaced bit by bit, starting with napkins and plastic cups and extending to the actual aircraft liveries, gate configurations etc. It may take a while.

What I am most concerned about is the frequent flier programs. There are considerable differences between SkyMiles and WorldPerks and we'll have to see where that goes. I would much like to see a WorldPerks style program, but knowing Delta, they will probably want to eliminate anything Northwest.


User currently offlineAtpcliff From United States of America, joined Jun 2001, 181 posts, RR: 0
Reply 2, posted (6 years 3 months 4 days 9 hours ago) and read 3771 times:

Hi!

They've already been doing the above swapping employees and working on combining all the facets of DAL and NWA for quite a few months. There are 50+ groups working now to integrate them.

cliff
KYIP



TRY. It's all you have control over, and it's what God wants.
User currently offlineDALMD88 From United States of America, joined Jul 2000, 2614 posts, RR: 14
Reply 3, posted (6 years 3 months 4 days 6 hours ago) and read 3652 times:

Yes the tech people for both airlines have been going back and forth for a few months. They have already made announcments as to which systems would be used by the combined airline. The public changes will be come noticable in some cities by Dec. I know in BOS we will see NW flights moving to Terminal A then. For the short term the two employee groups will be seperate. The two fleets will continue to operate under differnent certificates for about a year we were told, but employee intergration will begin this winter/spring.

User currently offlineIsitsafenow From United States of America, joined Feb 2004, 4984 posts, RR: 23
Reply 4, posted (6 years 3 months 4 days 5 hours ago) and read 3613 times:

My question is....

Who will end up with the credit card business?
AM EX which is now Delta
or
US BANK which is now NW.
safe  dollarsign 



If two people agree on EVERYTHING, then one isn't necessary.
User currently offlineGsosbee From United States of America, joined Jan 2005, 825 posts, RR: 0
Reply 5, posted (6 years 3 months 4 days 4 hours ago) and read 3545 times:

Ed Bastian's comments yesterday about a single pilot seniority list was surprising to me. (http://online.wsj.com/article/SB122179833437156185.html?mod=djemITP)

When did this occur and does anyone know the outcome?

The single operating certificate will probably come faster than anyone wants to imagine.


User currently offlineIsitsafenow From United States of America, joined Feb 2004, 4984 posts, RR: 23
Reply 6, posted (6 years 3 months 4 days 4 hours ago) and read 3531 times:



Quoting Gsosbee (Reply 5):
The single operating certificate will probably come faster than anyone wants to imagine.

Like I posted elsewhere...........NW last flight will be March 31st of 09.
The entire A-Net group laughed.......and said I was way, way too early with my guesstamation..
Dont bet against this. I'm much closer then SEPT 09 to Jan 10 like most folks think it will be.
safe.



If two people agree on EVERYTHING, then one isn't necessary.
User currently offlineMayor From United States of America, joined Mar 2008, 10655 posts, RR: 14
Reply 7, posted (6 years 3 months 4 days 4 hours ago) and read 3471 times:

Quoting NorthstarBoy (Thread starter):

Where have you been? There has been any number of posts here, discussing all these things. If you do a search, you can probably find them.

Quoting 764 (Reply 1):
but knowing Delta, they will probably want to eliminate anything Northwest.

You haven't been paying attention, either. They've already decided to keep some of the NW computer systems as well as some of the DL systems.


I look for the DOJ approval by the end of the year. Management has already said that AFTER that approval it could take 12-24 months for a full integration. Until then, they will operate as two airlines, with a full codesharing agreement. I believe they've already applied for the single operating certificate.

[Edited 2008-09-19 06:51:18]


"A committee is a group of the unprepared, appointed by the unwilling, to do the unnecessary"----Fred Allen
User currently offlineGsosbee From United States of America, joined Jan 2005, 825 posts, RR: 0
Reply 8, posted (6 years 3 months 4 days 3 hours ago) and read 3399 times:



Quoting Isitsafenow (Reply 6):
Like I posted elsewhere...........NW last flight will be March 31st of 09.

I didn't laugh as I thought that was an outside date. I believe that a lot of people thought that most of substantive work would be left until the acquisition closed. If this had been a less friendly acquisition I would have agreed. However as discussed in the media, numerous implementation teams have been at work since the day the merger was announced.


User currently offlineMichman From United States of America, joined Dec 2006, 568 posts, RR: 0
Reply 9, posted (6 years 3 months 4 days 3 hours ago) and read 3337 times:



Quoting Isitsafenow (Reply 4):
My question is....

Who will end up with the credit card business?
AM EX which is now Delta
or
US BANK which is now NW.
safe dollarsign

Given that AMEX pre-purchased zillions of miles from Delta a few years back, I'm guessing it will be far less financially painful to separate with US Bank than AMEX. On the other hand, Hilton has both a HHonors Citibank Visa card and a HHonors AMEX card, so perhaps DL could continue both relationships?


User currently offlineFWAERJ From United States of America, joined Jun 2006, 3829 posts, RR: 2
Reply 10, posted (6 years 3 months 4 days 2 hours ago) and read 3256 times:

Quoting Isitsafenow (Reply 4):
My question is....

Who will end up with the credit card business?
AM EX which is now Delta
or
US BANK which is now NW.

Delta management has said that there will be only one co-branded credit card. My bet's on American Express... they have a lot to lose if they don't win this one, as the Delta SkyMiles card accounts for 5% of their card business (and their profits have taken it in the shorts as of lately). Still, the Wall Street Journal said that DL is also bidding out the card account to other issuers besides AmEx and US Bank, such as Barclays (who issues cards for US and FL), Chase (UA, CO, and WN), and Bank of America (AS).

[Edited 2008-09-19 08:25:41]


"Did he really need the triple bypass? Or was it the miles?"
User currently offlineBurnsie28 From United States of America, joined Aug 2004, 7564 posts, RR: 8
Reply 11, posted (6 years 3 months 4 days 2 hours ago) and read 3202 times:



Quoting Isitsafenow (Reply 4):
My question is....

Who will end up with the credit card business?
AM EX which is now Delta
or
US BANK which is now NW.
safe

I rather see AM EX, I have had so many problems with US bank its not even funny, plus American Express has always been super nice.

Quoting Michman (Reply 9):
Given that AMEX pre-purchased zillions of miles from Delta a few years back, I'm guessing it will be far less financially painful to separate with US Bank than AMEX

US Bank has a ton of miles too.

Quoting Michman (Reply 9):
On the other hand, Hilton has both a HHonors Citibank Visa card and a HHonors AMEX card, so perhaps DL could continue both relationships?

Perhaps, but unlikely.

Quoting FWAERJ (Reply 10):
Chase (UA, CO, and WN),

God I hope not,. Chase is by far the WORST bank I have ever had a Credit card with, and good luck speaking with anyone that you can understand. Another reason I hope that chase doesn't get it. Atleast at Amex and US Bank you speak to a person that can speak english and that english is their first language. Although, atleast with the UA card, after you first purchase they give you enough miles for a free ticket anymore.



"Some People Just Know How To Fly"- Best slogan ever, RIP NW 1926-2009
User currently offlineOkie73 From United States of America, joined Mar 2006, 446 posts, RR: 0
Reply 12, posted (6 years 3 months 3 days 20 hours ago) and read 2993 times:



Quoting Gsosbee (Reply 5):
When did this occur and does anyone know the outcome?

The quote that the pilots have already integrated the seniority lists is incorrect, probably a misquote. The seniority list integration is ongoing. There are hearing dates before the arbitrators in the next couple of months. The arbitrators are supposed to rule by Nov 20th.


User currently offlineGsosbee From United States of America, joined Jan 2005, 825 posts, RR: 0
Reply 13, posted (6 years 3 months 3 days 20 hours ago) and read 2931 times:

Thanks; that is what I thought.

User currently offlineAtpcliff From United States of America, joined Jun 2001, 181 posts, RR: 0
Reply 14, posted (6 years 3 months 3 days 15 hours ago) and read 2745 times:

Hi!

The seniority integration will occur before the carriers are legally joined, so pretty soon.

They have already lined up 3 arbiters, so if the two sides can't agree pretty soon, it will go to arbitration, so it will be done quick.

Luckily, mgmt is good enough to know they do NOT want a USAir/AWA situation!

cliff
KYIP



TRY. It's all you have control over, and it's what God wants.
User currently offlineDeltAirlines From United States of America, joined May 1999, 8913 posts, RR: 12
Reply 15, posted (6 years 3 months 3 days 14 hours ago) and read 2731 times:



Quoting Burnsie28 (Reply 11):
God I hope not,. Chase is by far the WORST bank I have ever had a Credit card with, and good luck speaking with anyone that you can understand. Another reason I hope that chase doesn't get it. Atleast at Amex and US Bank you speak to a person that can speak english and that english is their first language. Although, atleast with the UA card, after you first purchase they give you enough miles for a free ticket anymore.

Only reason I deal with Chase is their Marriott Visa Signature has some good perks to it - given that Marriott and Starwood are my two primary hotels, I like to stick with the Marriott card simply because SPG is an AmEx, and I'd rather have the DL AmEx (although the SPG one seems very good with their new pay with miles program). DL AmEx is the primary card; Marriott Visa is there for those places that don't take AmEx.


User currently offlineLambert747 From , joined Dec 1969, posts, RR:
Reply 16, posted (6 years 3 months 3 days 14 hours ago) and read 2719 times:



Quoting Isitsafenow (Reply 4):
Who will end up with the credit card business?
AM EX which is now Delta
or
US BANK which is now NW

Amex hands down, just as my Air France  Smile


User currently offlineSlcDeltaRUmd11 From United States of America, joined Jan 2004, 3638 posts, RR: 0
Reply 17, posted (6 years 3 months 3 days 11 hours ago) and read 2550 times:

I am going to say they eventually go with american express. US bank will definitely stay for a while as well with the whole merger and to honor contracts etc.

American Express and delta have a great relationship right now. Its really quite convenient that the third largest industrial bank in the country American Express Centurion Bank is headquartered in Salt Lake City too.

Plus American Express purchases alot of tickets on delta at both JFK and SLC so I think that is a relationship that they will value in the end. Trust me I'm sure us bank is a very valuable customer as well but American Express and delta have some deep routes now. Its delta taking over northwest so i am going to vote for AMEX on this one down the road


User currently offlineJetJeanes From United States of America, joined Oct 2004, 1433 posts, RR: 1
Reply 18, posted (6 years 3 months 3 days 9 hours ago) and read 2461 times:

For what its worth as a sharholder in Dl ive already gotten something from dal to vote for or agaist the merger. I voted yes and its supposed to be a stock swap. and will happen near years end, I just wonder what delta will liquidate as far as aircraft as they will have way to many a/c as they compete on many routes already. Delta projections for the year end are horrile but Nw is looking at about 90 million. in the last quarter.
.
I just wonder if dal will do what aa did to twa and any a/c that dont fit their needs they will dump. Delta doesnt have as large of a cargo ops as Nw and i hope they keep it and the 747F
.
I just dont know if dal will keep any 747,s and replace them with the 777s or a330.
and i would think the d-9,s will evetually head for the boneyard within 6 to 8 months.
.
But i do wish dal would dump some of those 767,s as they are getting in bad shape



i can see for 80 miles
User currently offlineMayor From United States of America, joined Mar 2008, 10655 posts, RR: 14
Reply 19, posted (6 years 3 months 3 days 9 hours ago) and read 2456 times:



Quoting JetJeanes (Reply 18):

You need to check on some of the threads on here since the "merger" was announced.
Most of it has been hashed out, already.

As far as competing on too many routes, nothing could be further from the truth. They only compete on 12 routes which is a big selling point for the merger. They will need every a/c, in both fleets, to fly the combined system.



"A committee is a group of the unprepared, appointed by the unwilling, to do the unnecessary"----Fred Allen
User currently offlineOkie73 From United States of America, joined Mar 2006, 446 posts, RR: 0
Reply 20, posted (6 years 3 months 3 days 3 hours ago) and read 2365 times:



Quoting Atpcliff (Reply 14):
mgmt is good enough to know they do NOT want a USAir/AWA situation!

Management really does not get a say. The pilot seniority integration is strictly a union issue. I'm sure Parker at USAir did not want the current situation, but it's out of his hands.


User currently offlineFloridaflyboy From United States of America, joined Jun 2006, 2018 posts, RR: 0
Reply 21, posted (6 years 3 months 3 days 1 hour ago) and read 2292 times:



Quoting 764 (Reply 1):
but knowing Delta, they will probably want to eliminate anything Northwest.

I think Delta is far smarter than this. They realize both companies have incredible strong points to bring to the table and will utilize the best of both worlds to create an incredible airline. They would be ignorant not to do so, and have already shown their willingness to use NW stuff in their decision to adopt PARS among other NW computer systems companywide. I certainly hope we see the best of both products surviving as well. Clearly, DL's economy class product is superior to NW's with much more offered and nicer cabins. However, I would imagine we'll see some DL things go NW-style, such as first class meals on the shorter flights that NW serves them, hot meals on CR9 and E75 flights, glassware in F-class on ALL flights, etc. Should be quite an airline when it's done.

Quoting Isitsafenow (Reply 4):
Who will end up with the credit card business?
AM EX which is now Delta

I'm pretty sure it'll be AMEX. I've heard DL has nearly half again the number of DL Amex holders that NW has Worldperks Visa cardholders.



Good goes around!
User currently offlineMainland From United States of America, joined Jun 2004, 309 posts, RR: 0
Reply 22, posted (6 years 3 months 3 days 1 hour ago) and read 2273 times:



Quoting NorthstarBoy (Thread starter):
I've read/heard that NW/DL will put their marriage proposal to the shareholders on 9/24, so i suppose there are just two answers, either Yes or No.

The meetings are on the 25th, and yes, it will come down to the ol' yea or nay. As a Northwest shareholder I'll be at the meeting in NYC, but it should be a pretty simple event.

Quoting NorthstarBoy (Thread starter):
Lastly, what are the chances that a Carl Icahn type "Shareholder advocate" can derail this?

Virtually no chance.

No shareholder proposals or separate proxies contesting the merger have been filed, and all the major shareholder advisory firms have voiced their approval of the deal. So, shareholder approval should be a piece of cake on both sides.



You don't need a passport to know what state you're in...
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