ATLANTA — In the end, Delta Air Lines remained firm in its stance to emerge from bankruptcy as a standalone carrier rather than concede to a hostile takeover by US Airways.
US Airways announced Jan. 31 that it had withdrawn its $10 billion hostile takeover bid of Delta Air Lines after being informed that the carrier's creditors were not interested in pursuing a deal.
The withdrawal comes after months of back and forth discussions, which began in November. Meanwhile, the $2.3 billion Delta Community Credit Union is applauding Delta Air Lines' position to remain firm in being independent.
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"Delta employees have worked hard to have their company emerge from bankruptcy as a strong, stand-alone carrier," said Rick Foley, president/CEO of Delta Community CU. "Delta Community Credit Union has supported these efforts and we're pleased that the unwanted bid from US Air has been retracted. We look forward to seeing Delta become profitable again in the global airline industry."
Many of the CU's more than 161,000 members are active and retired employees of Delta, Foley said. Previously known as Delta Employees Credit Union, the CU changed its name in October 2005.
Delta's plan has always been to emerge from Chapter 11 bankruptcy in the first half of 2007 as an independent airline, Gerald Grinstein, CEO of the carrier, has repeatedly said.
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