MINNEAPOLIS (AP) - The commission that runs Minneapolis-St. Paul
International Airport has voted to let Delta Air Lines out of Northwest Airlines' agreements to keep its headquarters in Minnesota.
In exchange, Delta agreed to speed up the repayment of the $245
million debt tied to the headquarters promise.
Northwest promised in 1992 to keep its headquarters and a hub in
Minnesota in exchange for financial help from the state. When Delta
bought Northwest last year it inherited that debt, and the
agreement to keep a headquarters there. Delta plans to run the new
airline from Atlanta.
The airport commission's only way to enforce the headquarters deal was to make Delta pay the money back early.
Metropolitan Airports Commission chairman Jack Lanners said enforcing the old deal would have accomplished nothing, and left it
with no leverage over Delta in the future.
The new deal keeps a requirement for 10,000 jobs in the state.
(Copyright 2009 by The Associated Press. All Rights Reserved.)
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