Northwest shareholders OK merger with Delta Air Lines

NEW YORK: Northwest Airlines shareholders on Thursday voted overwhelmingly for a planned merger with Delta Air Lines, which would create one of the biggest global carriers.

Northwest said in a statement that more than 98 percent of the shares voted supported adopting the merger agreement.

"This is a resounding vote of confidence by shareholders for our merger with Delta Air Lines and a great day for our employees, who will receive equity in the combined company and more stable, long-term employment opportunities," said Doug Steenland, Northwest Airlines president and chief executive.

"The two billion dollars in annual synergies achievable through this merger are something neither carrier could have achieved as a stand-alone carrier," e said.

Delta shareholders were due to vote later in the day on the deal, which still needs antitrust clearance from the US Justice Department.

The merger of Delta, the nation's third-largest airline, with number-five Northwest, will create a new mammoth airline that keeps the Delta name and, like its namesake, will be headquartered in Atlanta, Georgia.

The planned merger comes amid consolidation in the aviation sector as airlines struggle to survive amid spiking fuel prices, which have more than doubled in a year.