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Delta Pilot Leaders Meet Amid NWA Merger Buzz

ATLANTA (AP) ― Leaders of Delta Air Lines Inc.'s pilots union were meeting in special session, the union said Friday as the company kept trying to determine whether to move forward with a combination with Northwest Airlines Corp.

Union spokeswoman Kelly Regus said in a memo to rank-and-file Delta pilots that the Master Executive Council meeting was taking place in Atlanta. She did not say how long the meeting would last or what was being discussed.

Northwest pilot union leaders were scheduled to meet Sunday in Bloomington, Minn., to discuss merger issues.

People familiar with the discussions between Delta and Northwest said earlier this week that Delta is deciding whether to push ahead with a combination with Northwest without a prearranged deal between their pilots -- a move that could change details of the deal.

Delta and Northwest are looking at their route structures and how a combination now would affect them given $110-a-barrel oil and a decision by both carriers to cut domestic capacity, one of the people said.

Overarching issues like the combined company being based in Atlanta, Delta Chief Executive Richard Anderson being the head of the combined entity and the airline being called Delta are not likely to change, the person said.

Another person said there is no particular timeline or deadline for the airlines to decide whether to proceed with a deal, and things could still fall apart. At the same time, people familiar with the deal have described the situation in recent days as fluid.

The usual approach in airline combinations has been to have pilots work out a joint union contract after a deal is announced. Atlanta-based Delta and Eagan, Minn.-based Northwest took a different approach in their talks for months, figuring that if they could obtain full pilot agreements in advance they would reap the benefit of a combined airline much sooner.

With that in mind, pilots were in line to get raises and equity in the combined company. But the two groups couldn't agree on seniority, which determines who flies more desirable aircraft and routes.

Now, the rising cost of oil has put all airlines under intense financial pressure. Since the talks began, Delta and Northwest have announced plans to reduce capacity this year, and Delta has announced plans to eliminate 2,000 jobs.

Delta has said it would be interested in a combination under the right circumstances, including the ability to protect its employees' seniority. It has said it has a strong standalone plan and is not obligated to find another partner if a deal with Northwest falls through.

Delta's pilots were granted permits to picket at Northwest hub airports in Minneapolis and Detroit between Thursday and April 24. There have been no reports so far of picketing.

Northwest's pilots union told its members in a memo earlier this week that Delta's pilots have been granted such approvals in the past but have not followed through and actually picketed. The union said it reserves the right to do the same thing at Delta hub airports if it chooses.

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