Newsstand - Northwest executives say that unless cuts are made "bankruptcy is inevitable"

http://www.detnow.com/news/0302111203.html

They are expected to be talking to their seven unions and asking for concessions. They need to cut a billion and a half dollars of costs.

Similar Discussion:
http://www.flyertalk.com/forum/Forum35/HTML/005223.html

>Northwest executives say that unless cuts are made "bankruptcy is inevitable"

Sounds like NW badly needs some new executives that know how to run an airline. These days it's becoming at least slightly clear that the companies (in any industry) that are doing best in this rough climate are the ones who know how to please their customers (while keeping their employees "on board", of course).

NW is already a frugal airline, at least I'd say they are based upon their drabby old airplanes and in-flight amenities. I don't think they can cut back much further here.

Northwest is already running gate operations with only (1) gate agent per flight in CMH. They have cut any and all labor expenses that they possibly could at the CMH station.

I think that labor costs need to stay competitive with what the other airlines are paqying and if UAL reduces labor costs and American also make huge labor reductions Northwest must follow or else they risk becoming the most expensive major US carrier (based on labor costs)

Also they have been losing money and this cannot go on forever.

RC