New Delta CEO Raises Questions

Appointment revives rumors that merger with Northwest is preparing for takeoff
By Sam Gale Rosen,  Newser Staff
Posted Aug 22, 2007 8:48 AM CDT
New Delta CEO Raises Questions
Gerald Grinstein, CEO of Delta Air Lines, listens to the CFO of Delta, Ed Bastian, not pictured, speak to the media after exiting bankruptcy court in New York, Wednesday, April 25, 2007. A federal bankruptcy judge approved a Delta Air Lines plan to exit bankruptcy after the nation's third-largest airline...   (Associated Press)

Delta's choice for its new CEO—an outsider who won the job over two internal candidates—is raising questions, the Journal reports. Newly emerged from 19 months of wrangling in bankruptcy court, the airline appointed former Northwest CEO Richard Anderson yesterday, sparking speculation about a future merger with Northwest and a possible new post-Chapter 11 strategy.

Anderson immediately shot down the merger rumor, saying, "Between Northwest and Delta there are no plans." Delta's outgoing CEO, Gerald Grinstein, had said that he hoped his successor would be Jim Whitehurst or Ed Bastian, both of whom were interviewed. Bastian will stay with the airline, but turnaround specialist Whitehurst's future is unclear. (More Richard Anderson stories.)

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