Grinstein: Airline Not Interested In Merger

Delta Air Lines CEO Gerald Grinstein plans to retire shortly after the airline leaves Chapter 11 bankruptcy next year, according to media reports.

In an interview with the Associated Press, Grinstein (right) said he expects Delta to be in the black by the first half of 2007 -- and that he'll retire soon thereafter, although he would not give an exact date.

"I think it's quits this time," said Grinstein, who took over as CEO in January 2004.

In another interesting development, the CEO of the third-largest airline in the nation said Delta was approached by United Airlines 18 months ago about a possible merger -- but said he was not interested then, as the carrier was still working to avoid filing for bankruptcy. Those efforts did not bear fruit... and Delta, along with similarly beleagured Northwest Airlines, filed for Chapter 11 bankruptcy on September 14, 2005.

Now that the future looks brighter for Delta, Grinstein reiterated the airline has no interest in a merger with United, or anyone else -- and that, in his view, predictions of such mergers between other major carriers are likely wrong, as well... at least for now.

"If you go back over [the industry's] history, you see lots and lots of mergers," he said, "and very few of them were successful." United had nothing to say about Grinstein's comments.

As for the future of Delta's troubled regional subsidiary, Comair, Grinstein gave a decidedly mixed response... saying he has no plans to sell the Erlanger, KY-based airline, but "I don't want to prejudge that."

FMI: www.delta.com