US airlines team up

US airlines team up

Northwest Airlines and Continental, the fourth and fifth-largest US carriers, yesterday revealed plans to forge a global alliance, the latest combination by leading players in the industry. The move, which involves Northwest taking a 14 per cent stake in Continental for $519m (pounds 310m) in cash and shares, could give a boost to the alliance hopes of British Airways and American Airlines. Continental had been one of the fiercest critics of BA's plans, but will now face similar regulatory hurdles.