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HOUSE COMMITTEE ON THE JUDICIARY ANTITRUST TASK FORCE AND COMPETITION POLICY HOLDS A HEARING ON AIRLINE COMPETITION
APRIL 24, 2008
SPEAKERS: ...
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ATLANTA - Delta Air Lines Inc. has received government permission to operate its namesake service and its Northwest Airlines subsidiary as a single carrier, a Delta executive said Thursday.
The single-operating certificate from the Federal Aviation Administration allows Delta to put its code on Northwest flights and phase out the Northwest name. That process is expected to be complete in the first quarter of 2010. For now, travelers won't notice anything different.
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It's a classic good news/bad news story for a former Northwest Airline pilot who lost his job after getting caught with marijuana.
The good news is that federal courts could hear his ERISA retaliation suit - despite the airline's strident protest to the contrary. The bad news? Well ...
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ExpressJet Airlines, which has operated daily flights between Colorado Springs and Ontario, Sacramento and San Diego, Calif., will suspend all flying on Sept. 2, the latest in a series of local flight cuts triggered by soaring fuel prices.
ExpressJet's move comes on the same day Northwest Airlines announced it will cut its overall flight capacity by 10 percent. That will include ending service next month between the Springs and Memphis, Tenn., after two months of operation.
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A possible strike looming at Northwest Airlines Corp. could affect travelers at Milwaukee's Mitchell International Airport, where Northwest is the second busiest carrier.
The National Mediation Board last week released the airline and the union representing Northwest mechanics and other ground crew workers from mediated talks, triggering a 30-day "cooling off" period. The board's action means that a strike could begin Aug. 20 if a new labor agreement isn't reached by that time.
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Northwest Airlines on Wednesday joined the rest of the industry in reporting significant second-quarter losses due to fuel costs.
Northwest lost $377 million, or $1.43 a share, for the quarter ended June 30, compared with a net income of $2.1 billion in the same period last year.
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Delta Air Lines reported losses Tuesday of $25 million in the fourth quarter and $1.2 billion for 2009, in a tough but improving economy, and despite essentially running two separate airlines.
Executives said they expect improved results as fleets and reservation and yield management systems of Delta and the former Northwest Airlines are fully integrated this year. The airline was put under a single operating certificate Dec. 31.
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MINNEAPOLIS - Striking Northwest Airlines mechanic Russ Christenson hands out lime-green fliers asking passengers not to fly on his airline. Many of them offer words of support before disappearing through the airport's sliding glass doors. Many lament the airline's use of replacement workers.
And then they fly on Northwest anyway.
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Now that US Airways and United Airlines have improved their chances of emerging from bankruptcy-court protection, another carrier - Northwest Airlines - may be steering perilously close to Chapter 11.
Bad news is stacking up at Northwest like jets circling an airport on a stormy evening. The company's stock has lost 42 percent this year but was up 9 cents, or 1.4 percent, to $6.33 in 4 p.m. Nasdaq Stock Market composite trading Friday. On June 1, Fitch Ratings pushed the company's senior unsecured debt rating deeper into speculative, or junk, territory, downgrading it to triple-C- plus from single-B and citing unsustainably high labor costs and pension-plan obligations.
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Northwest Airlines frequent flier Mike Wingertzahn can recall a time when the airline provided reliable service into and out of Milwaukee's Mitchell International Airport, where it is the second- busiest carrier.
That was when the airline was reorganizing its finances under Chapter 11 bankruptcy protection. Within days after emerging from Chapter 11 on May 31, Wingertzahn said, Northwest's service began to slide.