Delta merges regional subsidiaries’ ground handling operations

The Atlanta Journal-Constitution

Wednesday, February 11, 2009

Delta Air Lines is combining the ground handling operations of its three wholly-owned regional carriers into a new subsidiary called Regional Handling Services.

The new subsidiary will be made up of about 4,100 airport customer service employees from regional subsidiaries Comair, Compass and Mesaba.

DELTA NEWS
Latest Headlines:
More Delta news
Business news
Business photo galleries

Delta spokesman Kent Landers said the airline’s aim is “to deliver a consistent airport experience for customers around the country,” adding that “this is another step in that process.”

Regional Handling Services will handle airport ticket counters, gates and baggage handling services at about 100 airports now managed by Comair and Mesaba, most of them small and medium-sized airports. It also will oversee airport customer service at 170 other airports where the work is now handled by Delta Connection ground handling partners, and will develop performance standards and streamline training. The new subsidiary will be fully operational in the third quarter of this year. It will not affect flying operations at Comair, Mesaba or Compass.

With the move, Delta expects to cut some jobs through attrition and voluntary programs. But Delta Connection senior vice president Don Bornhorst said in a memo that Delta does not expect layoffs of frontline employees due to the creation of the new subsidiary.

Comair’s Don Stephens will lead Regional Handling Services, which will be based in Minneapolis along with Delta Connection. Delta agreed to put Delta Connection’s new headquarters in Minnesota in an agreement with the Metropolitan Airports Commission in that state.

Delta acquired regional subsidiaries Mesaba and Compass airlines through its merger with Northwest Airlines. Delta expects the combination of the regional ground handling operations and its combined buying and contracting power to help the airline to cut costs and generate benefits from its merger with Northwest.


Kudzu Services » Find the right people for the job