Tenn. lawmaker threatens Delta antitrust hearing

Worth noting, but keep in mind this is a Democrat pushing for action in a GOP-controlled U.S. House. From The Hill newspaper:

Rep. Steve Cohen (D-Tenn.) on Wednesday threatened to push for an antitrust examination of Delta Air Lines, for what he said was a broken promise by the airline to maintain current service levels in Memphis, Tenn.

Cohen was reacting to what he said was a decision by Delta to cancel summer flights between Memphis and Amsterdam, and said it was the latest of a “growing string of broken promises” by the airline.

- By Jim Galloway, Political Insider

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9 comments Add your comment

Fannin

November 1st, 2012
1:12 pm

Yes, let’s do hold hearings on why companies are struggling to do business in an Obama economy and why ultimately the promises a publicly traded company needs to keep are the ones they made to their shareholders.

xxx

November 1st, 2012
1:31 pm

Pathetic pandering. All of the airlines reduced international capacity ( 4%-5% in total) in the wake of decreased demand over the past year. This clown is just trying to rally his base.

Toes The Line

November 1st, 2012
2:11 pm

xxx, have you flown recently? Canceling flights is designed to push more bodies on fewer planes and routes to squeeze out higher profits. Why is state of Georgia still exempting Delta from paying sales taxes on fuel – and what has CEO Richard Anderson threatened them with if it’s reinstated?

You see, buddx, when you use public airports, public air traffic controllers, and public security, you need to be pandering a little bit to the public.

xxx

November 1st, 2012
2:39 pm

Toes, been working for them for 25 years. My point was the reduction in the flight schedule is driven by ticket demand. When you are not selling as many tickets, the size of the aircraft and frequency of flights is reduced as well. Why does the senator expect a comapny to operate a money losing flight? I assure you if traffic demand was strong out of Memphis for Amsterdam, the service would remain. Memphis is not guaranteed flights just because they have an airport. Airlines also pay facility rent and landing fees for their utilization.

What Does Richard have- how about we are the largest airline at the world’s businest airport as well as the largest employer in the capital city of the state?

Toes The Line

November 1st, 2012
2:50 pm

xxx – largest anything does not entitle Delta to corporate welfare.

Shar

November 1st, 2012
3:38 pm

Delta might deserve the benefit of the doubt if they did indeed follow through on their promises of superior customer service, comfortable and on-time flights and convenient schedules. Toes is right – Delta has consistently delivered a terrible customer experience, cancels flights if they are not sufficiently full and shuffles passengers to later flights to fill those up, has rude and surly customer-facing employees (I called customer service one time and the person demanded, “Who the hell gave you this number?” and hung up on me) and has bought off our governor and top legislators with “gold” perks and free flights while holding their hands out for exemption from taxes and posting record profits. Delta has the highest RPMs in the country out of Atlanta, and screws Atlanta passengers daily with bad service and political bribery. No wonder Memphis is angry – they used to have a functional airline as an alternative to Delta. I’d love to see Delta investigated, fined and forced to give up fates in Atlanta – and not in the E Concourse, either!

Mike

November 1st, 2012
4:27 pm

A stuggling company that just made a billion dollar profit in the last quarter who has taken from the employees over the past several years, raised airfares and given executives raises. I do not believe that they are struggling out of MEM, they were allowed to buy out NWA and merge the traffic into ATL. They are doing exactly what they said they would not do and I believe that is why they are looking at anti-trust. No one expects them to operate unprofitable routes, but I highly doubt that is all they have cut out of CVG and MEM, especially since CVG had one of the highest cost of airfare in the country.

Mitch

November 2nd, 2012
4:31 pm

I love when people quote a billion dollars in profit but complain when they fly on old planes. Have you looked at what a new commerical airliner costs? I hope they keep making money in the billions so I can fly in a safe and comfortable jet and not some 30 year old tin can with the wheels about to fall off.