Delta-Northwest merger gets DOJ nod

The US Department of Justice has cleared the way for Atlanta's Delta Airlines and Minneapolis-based Northwest Airlines to merge. The Department's anti-trust division spent the last six months trying to determine if the merger would give the new airline an unfair advantage in the industry. The new airline will keep the Delta name and its Atlanta headquarters. In a statement, the division said the merger is likely to produce "substantial and credible efficiencies" that will benefit consumers nationwide and is "not likely to substantially lessen competition."

Delta could see 3Q profit

Delta Air Lines could have relatively good news in its third-quarter earnings report scheduled for Wednesday. The Atlanta-based carrier could eke out a small adjusted profit, based on analysts' projections. Delta's president and chief financial officer, Ed Bastian, said Sept. 18 that Delta expected its third-quarter results to be in the range of break-even to a modest loss. The airline industry has been beset for an extended period by hefty fuel prices.

(Associated Press)

Delta says going solo not off table

The head of Atlanta-based Delta Air Lines says he has a back-up plan if a merger deal falls through. Ed Bastian says Delta could remain a standalone carrier if it doesn't consolidate with Northwest Airlines. The CFO spoke with The Associated Press as Delta took delivery of its first new plane since 2002. Delta said the new Boeing 777-200 LR, slated to fly between New York and Mumbai, will boost revenue by $10 million a year, thanks to added cargo space.

Bastian still Delta CFO

Atlanta-based Delta Air Lines announced today that president Ed Bastian will keep his duties as chief financial officer. Bastian added the title of president to his duties as CFO on September 1st. Bastian was one of the top internal candidates to replace former CEO Gerald Grinstein and decided to remain with the company after being passed over.

Delta considers purchase of another carrier

The president and chief financial officer of Atlanta-based Delta Air Lines says the possibility of the purchase of another carrier is a "front burner" issue for the company. Ed Bastian made the comments during an investor conference in New York Wednesday. He told the group there is value in consolidation. However, Bastian also said he understands the purchase of another airline would be a heavy financial burden and cause friction among employees. Bastian indicated the evaluation process is ongoing, but could not say how long that review could take.