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Tuesday, February 19, 2008

Delta-Northwest merger may face opposition in Minnesota

On the brink of a likely merger between Delta and Minneapolis-based Northwest airlines, Minnesota politicians express their concerns. Northwest has signed agreements to maintain a hub and headquarters in Minnesota, but political leaders worry that because Atlanta-based Delta is the larger airline, those arrangements could go south along with jobs.

Delta’s board is expected to meet Wednesday to consider the merger deal, but once made, it still must clear many hurdles in Washington where lawmakers from all over will have a chance to weigh in. They could modify the deal.

Minnesota Governor Tim Pawlenty said he would not rule out opposing the merger if it’s bad for his state, but he’s willing to negotiate. For instance, the headquarters could go as long as the merged airline kept an equal number of jobs in his state.

Northwest employs 11,500 people in Minnesota, about 1,000 are tied to its headquarters.

The merged airline would create the world’s largest airline, employing nearly 80,000 people.

GPB News Team: