Hmmm…I think the folks at U.S. Air really want to buy Delta, despite how uncomplimentary their route structures and fleets are. From wsj.com (subscriber link):
The sweetened bid, which offers $1 billion more in cash and 11 million more US Airways shares, puts immediate pressure on Delta to increase its offer. Delta, operating under bankruptcy-court protection, is cash-strapped and filed a reorganization plan that promises an all-equity payout. But Delta has said that it will consider raising money to beef up its offer through an equity cash offering of would-be company stock to creditors, who would receive rights to buy additional shares for cash.
So, Delta’s being forced into a bidding war for itself. That’s going to raise the hurdle to cross to achieve profitability a bit.