Delta’s Rejection of US Air Takeover Should be Good for Vacation Travelers
Feb. 4, 2007. This week’s news that US Air ended its hostile takeover bid of Delta is good news for luxury vacation rental travelers in the Eastern United States, where both airlines now compete on many routes. This is particularly true for some of the smaller cities that are prime vacation destinations in the Middle Atlantic States and Southeastern states such as North Carolina, Georgia and Florida.
Many political leaders expressed opposition to the merger because they feared the impact of less service for their constituents. Even if Delta had agreed to the takeover, it was far from certain that the merger would be approved by regulators because of its impact on competition.
Delta management issued a statement cheering the US Air announcement.�This is a proud day for the thousands of Delta people, customers, communities, civic leaders and others who stood up for our standalone plan and said, emphatically, 'Keep Delta My Delta,'" said the statement from Delta CEO Gerald Grinstein. "We appreciate the unsecured creditors committee's endorsement of our plan of reorganization.�
We agree that competition results in better service to travelers. This is as true in the airline business as it is in the vacation rental business. For more information on the failed takeover see the story in CNNMoney.com .
