10-28-2013 05:43 PM Blog Category:
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Delta - The Giant Airline
Just days after the Delta takeover of Northwest airlines was approved, It presented it's new management team. This gigantic merger was approved quickly, and definitely will it all go smoothly? there is a lot at risk here, and this will take time.Airlines Northwest
It could take a year or so prior to the two airlines are entirely merged. More empty gates brings less revenue to airports at any given time once they need more, since the carriers combine gates at each airport they share. Some airport facilities, like snack bars or stores, will see less business. They may be closed, along with the jobs they provided. If any, all small enterprises who depend on either carrier of many with their revenue may get a lesser slice.Northwest Airlines
A Boeing 747, the biggest airplane in the Northwest fleet, will be the first to be repainted in Delta colors. How long could it take to integrate all of the Northwest pilots, which opposed the merger? , and definately will they need to require a pay cut? It may be the Northwest employees who will get fired, because the loser in this particular merger.
What will happen with overlapping hubs? will they be downsized or de-activate. The Northwest Memphis hub has always competed with Delta's fortress hub in Atlanta for southern traffic. The Northwest hub in Detroit competes with Delta's in Cincinnati for eastern traffic. Delta's western hub in Salt Lake is probably safe. Inside a surprise move, Delta announced new service from both Pittsburgh and Raleigh-Durham to Paris. This really is welcome news in Pittsburgh, that had a huge cutback by USAirways.
Fares will likely increase where Delta presently has a monopoly, but it could be the discount airlines who benefit. Southwest airlines, that has a long past of moving in when others scale back or move out, has announced it is going to start Chicago Midway to Minneapolis service in March of 2009, charging much lower fares than Northwest. And JetBlue had been kept out of Atlanta, which may change. Air Tran has become increasing service in Milwaukee, about halfway between the Northwest hubs of Detroit and Minneapolis. The turbulence continue.