Delta, Northwest deal gets DOJ approval

[brooklynite]

Source: CNN

MINNEAPOLIS (AP) -- The Justice Department on Wednesday approved a much-anticipated merger between Delta and Northwest, clearing the way for creation of the world's largest airline.

After a six-month investigation, government lawyers concluded the merger would likely drive down costs for consumers without curbing competition.

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.

The merger should create cost savings by combining airport operations, information technology and other efficiencies, ultimately driving down prices for fliers, the regulators said.

Read more: http://money.cnn.com/2008/10/29/news/companies/delta_northwest.ap/index.htm?postversion=2008102915

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More routes I won't be able to get upgrades on...

[BR_Parkway]

1. yes, cause all these other mergers this decade drove down prices

for me.

I get so sick of hearing that one. My phone bill isn't any lower, the opposite is true. Same with my cable charges, same with the gas in my car come to think of it.

So lets create one more company so large and employing so many that we can't afford to let it fail. And hold our breath until they drop prices from all these operating savings. Of course, holding our breath that long may be the only way my aunt and uncle would ever turn blue....

[Hawkowl]

2. Liars

Ha! The whole reason behind the merger is to RAISE prices. More pricing power. Airline ticket prices are going to climb substantially.

[Old Codger]

3. I have some info

That maybe Southwest airlines will now move more heavily into MSP which will give some competition in that area and should help lower prices. The only reason they weren't into MSP was because Northwest said they would pull out if they let Southwest in... This may be one good thing out of that merger.....