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Delta Air Lines and Aeromexico are forming a maintenance partnership in which
they will work on each other's planes and sell services to other carriers,
the companies announced Wednesday.

The Mexican airline, already a marketing partner of Delta's in the SkyTeam
alliance, will do heavy maintenance work on Delta's fleet of MD-88s under the
agreement.

The first Delta MD-88 goes to Guadalajara in July.

Delta, in turn, will maintain certain jet engines and auxiliary power units
for Aeromexico.

The deal follows the collapse last winter of an earlier contract Delta had
signed for MD-88 heavy maintenance with Miami-based Avborne. An Avborne official
at the time said his firm ''could not perform the work at commercially viable
terms.''

Delta decided last year to contract out the most labor-intensive aircraft
overhauls on up to 70 percent of its fleet to slash related costs by one-third.
The airline, which is reorganizing in bankruptcy court and cutting jobs, said
the overall move will save $240 million over five years.

Delta officials said Wednesday that the Aeromexico partnership will enable
the two companies to sell comprehensive ''nose-to-tail'' maintenance, repair
and overhaul services to airlines around the world, bringing in new revenue.

''Not only will customers continue to benefit from Delta's proven experience
in engine, component and airframe maintenance, they can add heavy airframe
maintenance to the list,'' said Tony Charaf, Delta's senior vice president
for technical operations.

Delta has long performed maintenance for other carriers and has sought to
expand that business in recent years.

Delta brought in $243 million last year through such deals. Customers include
foreign carriers GOL and Santa Barbara airlines and U.S.-based Hawaiian Airlines
and World Airways.

Delta will maintain Aeromexico's CFM56-7 engines used on Boeing 737s.

Delta faces steep competition in North America from American Airlines and
Air Canada, which actively market maintenance services, and a host of foreign
firms that pay workers far lower wages.

Delta hired an Air Canada subsidiary in 2005 to overhaul its Boeing 757 and
767 fleets, and Delta estimated at the time the deal would lower its maintenance
costs by 34 percent.

The Avborne deal was intended to take care of its 136 MD-88 and MD-90 aircraft
before it fell apart.

''Aeromexico meets our high standards for safety, quality and compliance,''
Delta's Charaf said in a statement Wednesday. ''Aeromexico also meets our need
for competitive costs.''