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DL/CO Merger?

Fri May 26, 2000 9:29 am

AirT85 has a relation to a DL employee, who says that there might be a merger between DL and CO. The combined carrier would be a strong Eastern presence. I'm excited, as I'm a Continental shareholder. Is this likely? The merger would give DL a strong presence in the West with AWA and CO at Phoenix and Houston. Also, DL gets even more Pacific service by eating up Continental Micronesia. DL is also getting more 777s for long range ops to Asia, which would help CO a lot if there was a single source carrier from East Coast.

RE: DL/CO Merger?

Fri May 26, 2000 9:35 am

Don't everyone get all excited! Not every airline will merge just b/c of UA and US. Every otehr topic on thsi forum has something do do with merging and it probably is nothing to get all excited about! First, for Delta to buy CO, they would have to buy NW's share in it too.

Jack M
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RE: DL/CO Merger?

Fri May 26, 2000 9:38 am

Hi! hehe, well im glad you liked what i wrote! Well Delta has been going after Continental for a while, when it went up for sale Delta bid on both CO and AWA to merge them all into Delta, but CO opted for Northwest, which they now want out of from what i hear. But After the UA/US thing, i think Continental and AWA might re-think this. Delta would love Phoenix and Las Vegas, Houston could replace if not augment DFW service and EWR would blend well with other NYC operations...So we'll see. I was also told by my grandmother who works for USAirways that she just heard today that AA and DL will be placing bids for USAirways as well, but i am not too sure this will happen!
Why would God make us all so different, if He wanted us to be the same?
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RE: DL/CO Merger?

Fri May 26, 2000 9:42 am

NO Please, let it be lies! I love CO, and hate DL. Can't DL prey on another airline?
Kittens Give Morbo Gas
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RE: DL/CO Merger?

Fri May 26, 2000 11:28 am

I think the Dl-Co thing would work out well, but in terms of service i cant stand Co, or at least there flights out of Sfo. Absolutely horrible, but this was 2 years ago.
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RE: DL/CO Merger?

Fri May 26, 2000 11:33 am

I remember just a few years back when Delta was prepared to merge with CO. What went wrong? DL was putting up all the cash and Co wanted to remain in complete control. Is CO willing to relinquish some control if such a situation occurs again?

As far as CO. There rankings have dramatically improved withing the past two years. DOT and customer FF survey's. A very complimentive fleet to DL's, and that's very very important.
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RE: DL/CO Merger?

Sat May 27, 2000 1:22 am

Delta would never bid on USAirways because of severe overlaps in the East and Delta's already developed European operations.
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Joined: Wed May 24, 2000 2:50 am

RE: DL/CO Merger?

Sat May 27, 2000 1:42 am

Merging with Delta would end Continental's renaissance. Delta is an awful
airline, with bad service, dirty airplanes, and chronic delays. The two carriers
overlap on a number of routes (Trans-Atlantic and East Coast) not to mention
the fact that Delta has a hub in Dallas and CO is based in Houston.

I would think Continental would merge with Northwest (if further consolidation
does occur) and would strengthen its presence in the West by buying up
America West. But let's not forget, today's Continental is the product of the
merger of Texas Air, Continental, Frontier, New York Air, and People Express,
not to mention parts of Eastern. This is an airline with a troubled past when it
comes to mergers and may try to go at it alone.

RE: DL/CO Merger?

Sat May 27, 2000 2:12 am

COEWR, you definitely have a chip on your shoulder.

Two interesting facts about Delta (which you describe as a poorly run airline):
- They flew more pax than any other airline in the world last year
- They made more money than any other airline in the world last year

I think there must be a bit of a renaissance going on at Delta. From what I've seen the corporate cultures are not all that dissimilar (unlike CO/NW) and the fleet types are very nearly identical. Makes for a very rational merger as compared to some others that have been suggested.

Delta's on-time performance has improved dramatically over the last 18 months and they have a fleet renewal program in place that replaces all their L1011/727/732 aircraft by the end of 2002. Sounds like someone that is moving and not watching.

Most of your comments appear to be about situations from Delta's 7.5 days.....catch up to the present.
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RE: DL/CO Merger?

Sat May 27, 2000 2:31 am

I don't think it would be allowed anyways. Delta and Continental serve all those european destinations that nobody from the US does. If you want to fly on solely US airlines to any city besides ones such as FRA, CDG, LHR, AMS, ... you would have to fly on CO/DL. Sounds like a monoploy to me except for very large cities that have european airlines.
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RE: DL/CO Merger?

Sat May 27, 2000 2:38 am

"No Way BA/AA" will become "No Way CO/DL" and will be painted on all European Carriers except for KLM, and AF.
Here is the take. UA has bigger plans for their A330's think about this .... British Midland has ordered A330s to begin TransAtlantic Operations. UA will partner with BM and lease the (soon to be) ex-US A330s to them. BM has announced where they would like to start flying to. Look for the Bold Blue with red titles soon on ex-US Airbuses. Too perfect. To all of you who overlooked this one...
go to the news section near April
BM is a member of StarAlliance. A330s they have already ordered... more from US... damn... look out. I am getting excited to see.
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Joined: Tue Dec 07, 1999 12:35 pm

RE: DL/CO Merger?

Sat May 27, 2000 5:32 am

There is a lot of bad blood between CO/DL. Doesn't anybody remember the last time Delta tried to buy them out? When they were in negotiations, it was found out that all Delta wanted was CO's planes, their Pacific routes and not much out. They would've dismantled most of their hubs and downsize a # of employees. Needless to say CO got pissed, and decided to call off the merger (or 'takeover').

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RE: DL/CO Merger?

Sat May 27, 2000 9:13 am

The previous 3 posters bring very valid and well reasoned arguments against DL/CO.

Furthermore, think about what the feds would think. DL and CO running the show in the NYC (especially to Europe) area joining up, reduced competition in TX with DFW and IAH hubs, reduced competition in OH with CVG and CLE. And don't even talk about "consolidating" the hubs. What nonsense. That's like saying CLE and CVG are the same market because they are in the same state. That would benefit the airline left standing, NOT the flying public in those states. Therefore the feds will not like it. Each state (OH, TX, NY[and EWR in NJ]) would have a huge hub and the other city would have diminished service. Also CO and DL are currently big players in the south. Diminished competition there too. DL/CO together might create a new dominant carrier to Latin America giving AA the shove. Once again greatly diminished competition there too.
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Sat May 27, 2000 9:18 am


Another great example is US Airways with two hubs in Pennsylvania.
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RE: Klwright69

Sat May 27, 2000 12:17 pm

I hope Delta, and Continental merge!!!! They are 2 best airlines in the U.S. The only thing I wonder about is what would they do with the DFW/IAH Hub?

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