Delta Air Lines Inc. and Northwest Airlines Corp. are in talks on a possible link-up, the Wall Street Journal reported Wednesday.
The newspaper, which cited sources “familiar with the matter”, said representatives of the two carriers, which are No. 3 and No. 5 in the United States respectively, have met regularly for weeks discussing a possible link-up after they both emerge from bankruptcy.
The two airlines have been restructuring in bankruptcy since September 2005 and aim to exit this year. A Northwest spokesman declined to comment. Delta officials were not immediately available for comment.
The report came in the wake of news that US Airways Group , which made a hostile bid for Delta in November, has raised its offer to $10.3 billion.
Delta management had rejected the original US Airways bid, but US Airways hopes to persuade the carrier’s creditors to have management reconsider.
Delta has filed a plan to exit bankruptcy as a stand-alone company. Northwest has said it plans to file its own reorganization plan by Jan. 16.