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Thu, Apr 24, 2008

Group Says Delta/NWA Merger Will Improve Competition

Say What???

Critics of the proposed merger of Delta Air Lines and Northwest Airlines -- including a number of skeptical lawmakers -- have said repeatedly the formation of the mega-airline would serve to raise ticket prices and reduce customer choice, due to the resulting loss of competition. But one group says that won't be the case.

Consumers for Competitive Choice (C4CC) -- which bills itself as "an alliance of consumer organizations with 1 million members throughout the United States" -- says the merger would, in fact, "create a pro-consumer market that will stimulate price, expand choice and improve service for airline passengers."

"The combined company will be in a strong position to continue to serve smaller and less profitable airports," says Robert Johnson, president of C4CC. "A seamless connection for business travels is important, and greater access for use of miles for travel should be important to frequent fliers.

If you've never heard of C4CC... well, neither had we. As it turns out, until July 2007 the group was known as "Consumers for Cable Choice," which fought for deregulation of the cable television industry. Prior to that, it was "Consumers Voice," a lobbying organization for phone companies.

"The combined airline will be able to reach out to communities across the globe through its expanded route system," Johnson added. "As the single largest airline in the US, it will have the resources and might to weather the difficulties that have plagued other airlines."

C4CC notes both carriers have promised to keep all hubs open (a promise few in the industry believe will survive the economic realities of combining two large operations -- Ed.) and to improve international access for smaller communities.

FMI: www.newglobalairline.com, www.consumers4choice.org

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