Will DAL/NW Merge? Yay or Nay?

[propdog]

NWA wants to go into arbitration?---more news

Updated from 4:31 p.m. EST CHARLOTTE, N.C. -- The proposed merger between Delta(DAL - Cramer's Take - Stockpickr) and Northwest (NWA - Cramer's Take - Stockpickr) faces a potential collapse, sources say, for an unusual reason -- Northwest's pilots want to arbitrate seniority.
Delta pilots oppose arbitration, which was shown in the 2005 merger between US Airways (LCC - Cramer's Take - Stockpickr) and America West to be an unreliable method to protect pilots from severe career disruptions.
In the effort to merge Delta and Northwest, "there is a solution still to be had," said a person familiar with the situation. "The door is still open, but not forever. If Delta passes its time line, it will just move on." The window of opportunity is a couple of weeks, the person said.
Delta executives, in a memo to employees late Tuesday, declared that they haven't been able to put together a satisfactory merger agreement.


That is some more news fresh from the press. I wonder how much of it is true. If it has to go into arbitration, I say scratch the deal...it ain't worth it.

 

[Gunfighter]

It's refreshing to see that Delta management won't sell the pilots down the river just to make some hedge fund manager a few million richer. Maybe it's actually a good management team at Delta. Is that possible in this industry?

 

[NuGuy]

Heyas Propdog,

The fact that the NWA team would rather take arbitration over the current "table offer" deal speaks volumes.

They are WELL aware of the cluster F@#@ the arbitration at USAir was, and in fact, it has been their postion that arbitration is NOT desirable in any, way, shape or form.

But the fact that they would consider that preferable what the DAL guys are offering, PLUS the fact that the DAL guys don't want to get near an arbitrator, tells me that the table position is SOOO lopsided that it wouldn't pass the sniff check.

Don't let the DAL boyos here fool you. The hangups with the integration talk ISN'T about redbook/greenbook...that's just a smokescreen, just like the "leaked" press reports that had the NWA team "demanding" that we staple 3000 of their pilots (absurd on its face).

The truth is that there isn't ANY argument about the top part of the list. Rather, their current table position would cripple the career progression of well over 2000 NWA pilots while they would enjoy almost all of the top positions for well over a decade.

They are in full spin mode trying to justify their ridiculous positions and laying blame while the NWA guys are trying to get the job done.

But don't take my word for it. Call your rep, and get the REAL story.

Personally, let this thing die.

Nu

PS Keep Delta their Delta

 

[clippyrip]

Touche'! Guess that answers that. He didn't see that one coming did he! Kind of walked...no ran into that one!:laugh: Just one more thought. Will you be junior to yourself after the merger if it happens?:laugh:

Two quick things there smarty, just because he flew for NWA(he was Blue Book if you caught that) does not make him an expert on Red Book vs Green Book. Secondly, we've already discussed the SLI a few threads earlier. But I am sure you we're getting to that next. :laugh:

 

[Schwanker]

I wonder how much of it is true.
Call your negotiators and ask them.

If it has to go into arbitration, I say scratch the deal...it ain't worth it.
Bingo. Maybe this will clue you into DAL's absurd position. It was NWA's position to avoid arbitration. Take the clue--it ain't worth it.

Schwanker

 

[michael707767]

The truth is that there isn't ANY argument about the top part of the list. Rather, their current table position would cripple the career progression of well over 2000 NWA pilots while they would enjoy almost all of the top positions for well over a decade.

They are in full spin mode trying to justify their ridiculous positions and laying blame while the NWA guys are trying to get the job done.

I am hearing its just the opposite. NWA is in spin mode, trying to justify walking away from the huge contractual improvements they could get . A relative position merger still favors the NWA pilots. Delta has a much higher percentage of widebodies, so a lot of NWA pilots will end up at widebody seniority even in a straight percentage merger. NWAs retirements are more than offset by the attrition your fleet faces in the next few years...even with the 787s coming in.

Delta does want to avoid arbitration though. I believe our position is sustainable, but we are not going to do this deal unless we are sure it has value for the Delta pilots all the way around.

I do agree with you on one thing. Let this thing die. I am perfectly happy with the career I see in front of me at Delta. Keep what you have, I'll keep what I have.

 

[propdog]

disregard

 

[propdog]

Are the unions still at the negotiating table OR are they done for right now??

 

[propdog]

Heyas Propdog,

The fact that the NWA team would rather take arbitration over the current "table offer" deal speaks volumes.

They are WELL aware of the cluster F@#@ the arbitration at USAir was, and in fact, it has been their postion that arbitration is NOT desirable in any, way, shape or form.

But the fact that they would consider that preferable what the DAL guys are offering, PLUS the fact that the DAL guys don't want to get near an arbitrator, tells me that the table position is SOOO lopsided that it wouldn't pass the sniff check.

Don't let the DAL boyos here fool you. The hangups with the integration talk ISN'T about redbook/greenbook...that's just a smokescreen, just like the "leaked" press reports that had the NWA team "demanding" that we staple 3000 of their pilots (absurd on its face).

The truth is that there isn't ANY argument about the top part of the list. Rather, their current table position would cripple the career progression of well over 2000 NWA pilots while they would enjoy almost all of the top positions for well over a decade.

They are in full spin mode trying to justify their ridiculous positions and laying blame while the NWA guys are trying to get the job done.

But don't take my word for it. Call your rep, and get the REAL story.

Personally, let this thing die.

Nu

PS Keep Delta their Delta

I talked to the rep. Lets help them keep Delta their Delta!!

 

[Superpilot92]

http://www.startribune.com/business/15996522.html

Delta Air Lines CEO Richard Anderson told his employees Tuesday that he has not proceeded with a merger because Delta still doesn't have a deal that meets all of its goals.
Northwest Airlines and Delta have reached agreement on a merger, but executives at the carriers have been waiting for their pilot groups to integrate their seniority lists. It's unclear whether the two union groups can achieve that goal, because some pilots would be winners and others would be losers under virtually any methodology used to merge the lists.
"To date, we have not arrived at a potential transaction that meets all of our principles," Anderson said in a memo that was also signed by Ed Bastian, the airline's president.
Protecting the seniority of Delta employees was one of the five principles cited.
"Rest assured that we will not complete a transaction unless all of these conditions are met," the executives said.
Preserving the Delta name and Atlanta headquarters also are essential to Delta, the executives said. They added that a merger must allow Delta to strengthen its network and accelerate its plans to expand in the international market.
In November, Anderson said that the headquarters must remain in Atlanta. But Minnesota politicians pressed him in recent weeks to consider saving Northwest's headquarters in Eagan. The headquarters would be in Atlanta under the merger documents that the Delta and Northwest boards are poised to approve, according to a person familiar with the transaction.
In his employee memo, Anderson did not name the pilots' conflict or Northwest.
But it appears that he released the memo to reassure Delta employees that he has not deviated from core merger principles and that the airline has a "strong stand-alone plan" if that's needed.
Northwest CEO Doug Steenland said in a Tuesday message that Northwest's leadership is prepared to give "positive" consideration to a "transaction that would provide greater long-term security and growth opportunities for our employees" and create value for Northwest shareholders.
The Delta-Northwest merger is structured as a stock swap.