"nobody" wrote in message
...
n e w s wrote:
Delta Air Lines Inc. could file for Chapter 11 bankruptcy protection
as soon as next week, a source familiar with the matter said
yesterday.

Interesting timing. I was expecting this to happen after the elections.
Although I suspect this won't make much of a news dent in the USA with the
media in a pre-election frienzie.

What I don't quite understand is why there is an implied threath of
bankrupcy
right away if pilots don't agree to concessions. There seems to be
concensus
that bankrupcy is inevitable. Do pilots really have any incentive to get
some
agreement before bankrupcy when they know perfectly well that any "wins"
they
make can be voided weeks later when the judge voids their agreement ?

Seems to me that an agreement reached during bankrupcy and approved by a
judge
stands more chances of surviving bankrupcy than any contract done prior to
bankrupcy.

The argument is that if the pilots agree before a bankruptcy filing, the
filing may well be avoided, like with American Airlines last year. Remember
that there is a tremendous cost associated with bankrupty, including
administrative fees paid to the U.S. Trustee's office, as well as attorney's
fees in the millions of dollars, all of which could be more appropriately
used to fix the airline.