Delta, Northwest agree to merger
Delta Air Lines confirmed a deal to merge with Northwest Airlines, ending months of speculation and creating the world's largest airline.
The airlines — which emerged from bankruptcy protection a year ago — will need antitrust approval and union support. Delta's pilots apparently approved a post-merger contract late Monday, considered a critical step for the combined company that will have a value of $17.7 billion, according to Delta. Both companies' boards approved the deal late Monday.
Delta chief executive officer Richard Anderson will oversee the much-larger airline, with headquarters based in Atlanta.
"We said we would only enter into a consolidation transaction if it was right for all of constituencies; Delta and Northwest are a perfect fit," Anderson said in a news release faxless payday advances. "Together, we are creating America's leading airline — an airline that is financially secure, able to invest in our employees and our customers, and built to thrive in an increasingly competitive marketplace."
Under the terms, Northwest shareholders will receive 1.25 Delta shares for each Northwest share they own — an almost 17 percent increase to Monday's closing stock price.
Northwest is based in Eagan, Minn.
Both airlines serve Sacramento International Airport.
Filed under: technology by Wolf