That would be hugely expensive for them though.
Atlanta is the busiest airport in the country.
I say just jack up prices on all flights out of Atlanta and very publicly point the finger of blame at the idiots who run the state.
Expensive yes, but Delta and Georgia’s RW legislature have been here before AND Delta would not have to shoulder relocation costs alone.
DELTA ONCE BROKE A HEADQUARTERS COMMITMENT
New York, Washington State, Minneapolis, and other cities and states across the country, have been wooing Delta Airlines Headquarters as the company faces hostility in Georgia ami an NRA tax break fight.
On Wednesday, as the state legislature stripped a tax break for Delta after the airline ended a discount for NRA members, Connecticut ‘s governor and airport authority entered the fray with a pitch to Delta to move its headquarters.
Connecticut Airport Authority Executive, Kevin Dillion, said in a written statement “We would welcome the opportunity to host the airline headquarters in Connecticut.”
He added that
”we are committed to doing whatever necessary to make this relocation a reality.”
Those hoping for Delta to make a move should know that Atlanta-based Delta signed a 20 year lease in which it committed to keeping its headquarters in Atlanta.
BUT THERE ARE CAVEATS.
In the airport lease with the city of Atlanta, Delta agrees to maintain its headquarters in Atlanta, or within 15 miles of the airport. If Delta violates the headquarters covenant, it would forfeit its share of revenue-sharing for concessions and other sources at Hartfield-Jackson for the remainder of the lease.
However, that does not prevent Delta from moving jobs, operation, or facilities from the headquarters.
And, Delta once broke a headquarters commitment less than 10 years ago,. It was in fact a move to keep its headquarters in Atlanta.
When Delta first acquired Northwest Airlines in 2008, Northwest had an agreement to keep its headquarters in the Minneapolis area.
The headquarters commitment gave the airport commission there the power to demand repayment of $245 million in bonds it had issued on behalf of Northwest. But within months Delta had reached a deal to get out of the headquarters commitment by agreeing to keep 10,000 jobs in Minnesota and maintain a retain level of flights at the Minneapolis airport.
And two years later, Delta paid off the remaining $170 million worth of airport backed bonds, relieving it of the jobs commitment. In 2011, the airline closed its training centers in Minnesota and moved its maintenance center and flight training to Atlanta.
Today, Delta has about 8,000 employees in Minnesota.
AJC.COM
In this economy, cities and states would jump through hoops and bend over backwards to get Delta to relocate there, and they would pat whatever necessary to make that happen. Is Georgia sure they want to take that chance?
