Salt Lake leaders preparing for 'imminent' Delta merger

Calling a Delta Air Lines merger "imminent," government and community leaders are jointly preparing for the obstacles and opportunities it may present for the Salt Lake City International Airport.

Salt Lake City Mayor Ralph Becker convened the inaugural meeting of the Air Transportation Promotion Alliance on Monday at the Salt Lake City-County Building, bringing together state legislators, city officials, transportation leaders and members of the business community to discuss the airport's future as Delta's Western hub.

"The airport is of such enormous significance, not only to (Salt Lake City) but to the entire state," Becker said. "We thought it would be good to work as a coordinated effort as best we can on how we should approach a merger if it occurs to be prepared as we can for possible outcomes."

The discussion quickly shifted from how to react if Delta would merge with another airline to what action should be taken when a merger occurs.

"We can skirt around as long as we want," said Lane Beattie, president and CEO of the Salt Lake Chamber, "but it seems there is a merger that's imminent."

Delta brass reportedly has been in discussions with Northwest Airlines for about two weeks, and industry analysts say a deal between the two carriers could emerge in the days ahead.

Delta, which is based in Atlanta but has 3,400 employees in Salt Lake City, is the nation's No. 3 airline in terms of traffic, and Minnesota-based Northwest is No. 5. A merger would create the nation's largest airline.

Delta also has been linked in merger talks with Chicago-based United Airlines, though Joe Zeidner, legal counsel for the Air Transportation Promotion Alliance, said it's unlikely that Delta is engaged in serious merger talks with more than one airline.

House Speaker Greg Curtis, R-Sandy, said he, Senate Majority Leader Curt Bramble, R-Provo, and Sen. Wayne Neiderhauser, R-Sandy, recently met with Delta officials and got the impression that a merger would be announced "relatively shortly."

"I'd be surprised if we're sitting here two weeks from now (without a merger announcement)," said Curtis, who opted to be part of the coalition rather than appoint a Republican member of the House to it.

When that happens, having the Air Transportation Promotion Alliance in place will allow the state and city "to land quickly on our feet to take advantage of whatever the merger is," Becker said.

Until then, coalition members will keep in contact with one another, essentially comparing notes on merger news, with Becker's and Gov. Jon Huntsman Jr.'s offices coordinating the effort.