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March 18, 2008

Can the Leadership of Delta and Northwest Help the Pilots’ Unions Reach an Agreement?

Screenhunter_01_mar_18_0642 (NewsVisual, powered by IntellectSpace) -- The Delta Air Lines Inc (NYSE: DAL) and Northwest Airlines Corp (NYSE: NWA) plan to merge, which would instantly create the country’s largest airline, encountered a major setback when the companies’ two pilots’ unions failed to agree on common standards for measuring their pilots’ seniority when the new company is established, The New York Times reported in an article on Tuesday.

Although Delta and Northwest offered their pilots a series of incentives, including stock in the new company, the unions’ talks still faltered and remained deadlocked after weeks of intense negotiations, The Times reported.

The ball is now in the court of the two companies’ Senior Managers and Boards of Directors to find some resolution to the pilots’ impasse so that the merger can have a chance of proceeding smoothly.

NewsVisual decided to create an IntellectSpace Knowledge Map in order to illustrate the personal connections between the two companies that could perhaps serve to keep the partnership talks alive after this setback.

The Knowledge Map shows the following:

Delta CEO Richard H Anderson previously spent 14 years with Northwest as that company’s CEO from 2001 to 2004; Delta Executive Vice President Stephen E Gorman was also previously an EVP at Northwest; and Northwest EVP and CFO David M Davis was also previously Delta’s Director of Finance.

In addition, Delta Director Paula Rosput Reynolds and Northwest Director Michael J Durham are well acquainted via another board room; Durnham joined AGL Resources as a Director when Reynolds was the company’s CEO/President/Chairman.

Click here for an interactive and fuller version of this IntellectSpace Knowledge Map.

(Note: the information contained and presented in Knowledge Maps is public information from the Securities and Exchange Commission of the United States of America).

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