Delta and Northwest Airlines Merger Given Clearance

October 30, 2008 · By Kalyani Mukherjee Filed Under News Tagged as: Delta airlines, Northwest airlines

In one of the biggest mergers in recent aviation history of the US, two of its major domestic carriers, Delta Airlines and Northwest Airlines announced that they would be coming together. The official announcement of the merger came just hours after the US Department of Justice declared that the agreement to create the world’s largest airline did not raise anti-trust concerns for the government.

The new airline after the merger will be named Delta and will have its headquarters at Atlanta. It will take from 14 to 16 months for the operations of the two carriers to combine. After the merger, the new airline will be the largest in the world by several measures like the total number of passengers carried, the number of departures as well as the total number of destinations.

In the past few months, domestic airlines in the US too have felt the negative impact of weakened economy. While job cuts and stagnant wages cut down on the average people’s disposable income, they take to travelling less in order to save money for essentials. However the recent fall in fuel prices from record-level highs in the summer has spelt good news for the aviation industry which was already giving rise to talks of airline bankruptcies and wider industry consolidation.

Share and Enjoy: