On April 15, 2008, Delta Air Lines and Northwest Airlines announced a merger agreement.[1] The merger of the two carriers formed what was then the largest commercial airline in the world, with 786 aircraft. The Delta Air Lines brand was retained, while Northwest's brand officially ended in 2010.[2]
Leading up to the announcement
It had been reported as early as January 2008 that Delta and Northwest were in merger discussions.[3] News reports covering the event and the official press release reported that the new airline would use the Delta name and have its headquarters in Atlanta. The proposed merger partners lost a combined $10.5 billion in first quarter 2008, an amount that exceeded their combined market capitalization.[4][5]
Richard Anderson was CEO of Northwest Airlines until 2004, the year before Northwest Airlines declared bankruptcy. Then, in 2007, he became CEO of Delta Air Lines when the merger took place.[7]
Announcement
On April 14, 2008, both Delta and Northwest Airlines announced that they would merge to create the world's largest airline under the Delta name. The Atlanta-based combined airline will have $17.7 billion enterprise value.[8] The company also stated on April 14, 2008 that it agreed with its pilot union to extend the existing collective bargaining agreement through the end of 2012.[9] The agreement, subject to a vote by the pilots, provided Delta pilots a 3.5% equity stake in the created new airline.[10]
After the announcement
On September 26, 2008 it was announced that both Delta and Northwest's shareholders had approved the merger.[11] Approval by a federal antitrust review board was the last step needed to finalize the deal.[12] The proposed merger "is likely to produce substantial and credible efficiencies that will benefit U.S. consumers and is not likely to substantially lessen competition," the Justice Department said in a statement issued by its Antitrust Division.[13]
After a six-month investigation, government economists concluded the merger would likely drive down costs for consumers without curbing competition. On October 29, 2008, the United States Department of Justice approved Delta's plan to acquire Northwest.[18]
Delta and Northwest's operating certificates were merged on December 31, 2009. From a technical standpoint, Northwest then ceased to exist as an independent carrier. Ground operations and reservations systems were combined on January 31, 2010.[19]
In airports where Northwest and Delta operate in separate terminals, one airline moved to the other's terminal.
In Tampa International Airport, NWA moved into Delta's Airside E from its previous location in Airside A on April 28, 2009.
In Los Angeles International Airport, NWA, which had a smaller operation, moved into Delta's Terminals 5 and 6 from its previous location in Terminal 2 on June 30, 2009. (Although between May 12–17, 2017, Delta moved to Terminals 2 and 3, allowing easier transfers to/from the Tom Bradley International Terminal.)
At Orlando International Airport, NWA moved from Airside 3 (Gates 31 to 38) to Airside 4 (Gates 71 to 78) where Delta had a much larger presence and a dedicated terminal. Prior to complete integration in 2010, NWA operated solely out of gates 72, 74 and 76.
Northwest WorldPerks was merged into Delta SkyMiles on October 1, 2009.
The Fleet
Prior to merging with Northwest Airlines, Delta Air Lines had an all-Boeing (including McDonnell Douglas aircraft) fleet.
Northwest operated a mixed fleet of Boeing, McDonnell Douglas, and Airbus aircraft. Northwest was the largest owner and flier of A330s in the world.
