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Northwest, Delta announce merger

Executives from Northwest Airlines and Delta Air lines announced Monday that the two companies will merge, reported the Pioneer Press.

This $3.1 billon deal means the creation of the largest airlines in the world. It would carry Delta’s name, Delta’s CEO Richard Anderson would take the top seat, and the headquarters would be in Atlanta—Delta’s hometown.

Northwest and Delta have been trying to work out a deal since the beginning of the year, but they were unable to find away to combine each company’s pilot seniorities. Despite Monday’s announcement, obstacles still remain.

According to Minnesota Public Radio, Rep. James Oberstar, a Democrat, said the merger jeopardizes jobs in the upper Midwest.

But the Delta CEO Richard Anderson suggested job cuts were not ahead.

“Today, we’re announcing a transaction that is about addition, not subtraction,? he said, as reported by the Pioneer Press.

Delta said it would not close any hubs it will keep major operations and an employee base in Minnesota, the Associated Press reported.

Rep. Oberstar, chairman of the House Transportation and Infrastructure Committee, said the committee would “marshall all the forces necessary? to check for anti-trust issues.

U.S. Sen. Amy Klobuchar, D-Minn., said she would focus on the jobs in Minnesota and “the long-standing commitment the state has to Northwest.?

Gov. Tim Pawlenty has also promised to enforce the agreements Northwest made to keep its headquarters in Minnesota, reported the Associated Press.