Air Transport World

Delta-Northwest merger may mean regional shakeout.(Regional News)(Brief article)

The proposed merger between Delta Air Lines and Northwest Airlines, if consummated, could result in a reduction in the number of regional partners flying for the combined airline, analysts suggest.

"We continue to believe that longer-term consolidation poses a threat to regional airlines," JP Morgan's Jamie Baker wrote in a recent report. "Regionals exist to feed hubs ... As a means of reducing industry capacity, consolidation is a process by which hubs are likely to be shuttered. It is difficult to imagine a consolidated Delta-Northwest operating hubs in Detroit and Cincinnati."

Delta already has said it would like to sell its wholly owned subsidiary Comair, which provides 19. …

Log in to your account to read this article – and millions more.