Business Beat

A round of mergers is expected in the airline industry, but the plans of airline executives may hit a roadblock in the form of Kate Hanni, the super-energetic Napa, Calif., woman who formed a consumer rights organization after being stuck for hours on a grounded airplane at the Dallas airport a few years ago.

Hanni is being joined in her fight against airline mergers by the International Association of Machinists and Aerospace Workers, which represents thousands of employees at the major airlines.

“We are very against these mergers,” Hanni, executive director of the Coalition for an Airline Passengers Bill of Rights, said in an interview Monday. Hanni was, as usual, on her way to catch a flight, this time to Washington, D.C., where she hopes to lobby members of Congress on behalf of the organization she formed two years ago.

“History has proven that every time these mergers take place, there is a loss of employees, a loss of morale, fare increases, and much poorer customer service,” said Hanni, who expects to be in New York City next week to rally support for airline passengers rights.

Delta Air Lines and Northwest Airlines have been talking about a merger, according to industry analysts. United Air Lines and Continental Airlines are another possible merger coupling. Also, American Airlines may team up with Alaska Air Lines, analysts say. The mergers are all about saving money in the highly-competitive airline industry.

Joseph Tiberi, a spokesman for the IAM, which represents about 170,000 flight attendants, mechanics, customer service agents and others, said communities across the country could be hurt by mergers as airlines eliminate some routes.

“The loss of jobs also affects the communities,” Tiberi said.

Tiberi said he and Hanni plan to lobby on Capitol Hill this week.

“We have already met with some key senators and representatives to express our concern,” Tiberi said.

Airline executives, while not confirming any particular mergers, say the deals will provide better service and that fare increases are unlikely because of the growing number of discount carriers around these days.

--Jim Bernstein

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