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Northwest Airlines is considering creating a new regional airline that would fly the carrier's smaller and medium-sized jets.
The Minneapolis Star-Tribune described the potential spinoff carrier as "a Mini-Me (of Northwest) that would operate with lower pilot pay, more flexible work rules and new aircraft."
Northwest's pilots union said it wouldn't necessarily oppose a lower pay scale for pilots at the new carrier, but did say it would likely be against shifting flights to the new carrier that are currently flown by Northwest pilots on mainline service. But Northwest's proposed carrier would not be a discount unit like United's Ted or Delta's Song.
Aviation consultant Douglas Abbey tells the Star-Tribune the new unit could function as a commuter carrier that would help Northwest reduce costs and increase productivity on "low-yield routes" to leisure-oriented destinations such as Phoenix and Florida.
In addition to improving yield (or a measure of revenue) on such routes, The Atlanta Journal-Constitution says the move could also be aimed at helping the carrier reduce debt and improve its bond rating. That could be crucial as the carrier seeks new financing when it's ready to exit Chapter 11 bankruptcy protection.
The Minneapolis Star-Tribune described the potential spinoff carrier as "a Mini-Me (of Northwest) that would operate with lower pilot pay, more flexible work rules and new aircraft."
Northwest's pilots union said it wouldn't necessarily oppose a lower pay scale for pilots at the new carrier, but did say it would likely be against shifting flights to the new carrier that are currently flown by Northwest pilots on mainline service. But Northwest's proposed carrier would not be a discount unit like United's Ted or Delta's Song.
Aviation consultant Douglas Abbey tells the Star-Tribune the new unit could function as a commuter carrier that would help Northwest reduce costs and increase productivity on "low-yield routes" to leisure-oriented destinations such as Phoenix and Florida.
In addition to improving yield (or a measure of revenue) on such routes, The Atlanta Journal-Constitution says the move could also be aimed at helping the carrier reduce debt and improve its bond rating. That could be crucial as the carrier seeks new financing when it's ready to exit Chapter 11 bankruptcy protection.
Could this work? Any possible problems with this plan? What do you guys think about this plan?
) regional airline, which is what I think NW is trying to do.
Stop Searching. Start Traveling. southwest.com 
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