Update on your Northwest and Delta miles

by Grant Martin on

As we barrel forward into 2009 and the processing merger between Delta and Northwest Airlines, small facets of the company are slowly being integrated. Just a few weeks ago, the first NW 747 was repainted in DL colors, and ever so gently the NW routes are starting to disappear.

Throughout the year, mileage accounts between the two airlines will also be integrated, with the joint rules pulling from both carriers current programs. Here are the basics:

  • Miles from each program are safe.
  • Partway through this year you’ll be able to transfer miles between each account at no cost. You won’t be able to transfer elite miles, but before year’s end they should be integrated. So miles on each airline will count towards 2010 status on the new, merged airline.
  • New award fees for non-platinum members will be instituted. Booking award tickets:
    • Outside of 21 days of travel = free
    • Between 8 and 20 days = $75
    • Between 4 and 7 = $100
    • Inside of 3 days = $150
  • A new award tier asking for more miles with “better availability” will be offered. You can check that out here, but effectively if you want better flexibility with your tickets you’ll now need to cough up 30-40% more miles.
  • All passengers will now be able to earn elite status with segments.

Are these changes for the best? Most passengers I’ve listened in on are unhappy with the new fees and award tiers, but I think they’re being a bit gloomy.

I concede that in 2009 it will be harder to spend your Skyteam miles, however, so if you’re thinking about booking a ticket this year, it’s never too early to start looking.

Got a question about your miles? Shoot us a note at editorATgadlingDOTcom and we’ll try to help out.

Delta offers buyouts to 75,000 employees

by Josh Lew on

Despite promises that job cuts will be minimal as a result of the Northwest/Delta merger, Delta recently offered buyouts to 75,000 employees. Delta CEO Richard Anderson explained that the airline needs to make the cuts because of the economy: “To deal with the effect of the recession, we are moving quickly and decisively to decrease system-wide capacity by 6 to 8%.” This could be bad news for Delta employees. Severance packages are offered in lieu of lay-offs, but if not enough workers opt for the buyouts…

Northwest and Delta have hinted that their merger will lead to an unspecified number of job cuts. The Delta buyouts might allow Northwest employees at hubs in Minneapolis and Detroit to rest a little easier. Delta is offering buyouts to its own employees instead of swooping in to Northwest hubs and giving their own workers the best jobs. The only thing that is certain is that the drama is far from over.

[Via Today in the Sky]

OpenSkies and L’Avion announce codeshare, merge closer

by Grant Martin on

OpenSkies and L’Avion, two of the last remaining all-premium carriers (arguably, THE last remaining carrier as OpenSkies acquired their competitor earlier this year) just announced a codeshare agreement between the two airlines, effectively increasing the number of available flights serachable from each carrier at any particular time.

The step brings them ever-so-closer to a complete merger of the two entities, although there is still no word on when/if the L’Avion planes will be rebadged and integrated into the OpenSkies fleet.

The codeshare agreement also means that those flying on L’Avion can now earn British Airways Executive Club miles, a huge benefit for business travelers and frankly a former concern from many prospective passengers.

Note that this still doesn’t mean that one can earn OneWorld miles. On the phone with one of OpenSkies PR reps last week, I asked about when or if they would be looking into this. The rep said that she’d look into it.

Qantas CEO Hints at Future Merger

by Josh Lew on

Qantas CEO Geoff Dixon might be stepping down from his post after eight hectic years, but he still has something to say about the future of the famous Australian airline. Though he did not announce a merger, Dixon stated that a future merger is “inevitable.”

“For Qantas, consolidation is highly desirable. It is in our interests to be at the leading edge of efforts to build a global airline grouping.”

However, he did not give any further details, leading some to believe that he is just letting off steam after running up against stiff government restrictions concerning the percentage of foreign ownership allowed of Australian airlines. Attempts to merge with Singapore Airlines and Air New Zealand were less than successful.

Dixon will leave Qantas in relatively stable condition, all things considered. He will hand a profitable company over to Alan Joyce, the current CEO of Jetstar (the low-cost-carrier affiliated with Qantas). The airline claims to have saved money because it operates more fuel-efficient aircraft.

[Related Story]

So long, Northwest. Department of Justice approves merger

by Grant Martin on

For those of you who were holding onto one last shred of hope that Delta and Northwest might not merge, you can go ahead and flush that down the toilet — the Department of Justice just approved the merger, saying:

“After a thorough, six-month investigation, during which the Division obtained extensive information from a wide range of market participants–including the companies, other airlines, corporate customers and travel agents–the Division has determined that the proposed merger between Delta and Northwest is likely to produce substantial and credible efficiencies that will benefit U.S. consumers and is not likely to substantially lessen competition.”

Not that we weren’t already heading full tilt into the merger. Just this week the two airlines integrated upgrade policies (now one can be upgraded on the other based on elite status), and the buzz about NW flight attendants getting fitted for Delta uniforms has already popped up in a few places in the underground.

So to speak, this message from the DOJ just puts the final nail in the coffin. Over the next twelve months you’ll slowly start seeing red tails disappear from the tarmac to become red white and blue, you schedules out of Atlanta, Detroit, Minneapolis and Cincinnati will get rejiggered and your boarding passes will suddenly carry the wrong name.

So long, Northwest Airlines. It was a fun ride while it lasted.