Business news for Thu, 27 Dec 2007 & with words deal+san. 2 news.

SAN FRANCISCO (MarketWatch) -- Midwest Air Group Inc.'s Midwest Airlines said Thursday it extended a codeshare pact with Northwest Airlines Corp. to include Northwest's nonstop routes from Indianapolis to seven cities. Financial terms of the deal weren't disclosed. Midwest, a Milwaukee-based airline holding company, said the new agreement will add 250 city pairs and 1,000 new flight options. Customers can engage in single ticket transactions using both airlines under the deal, and choose to earn mileage on on either company's frequent flyer program. The first phase of the agreement began Nov. 17, the company said.

SAN FRANCISCO (MarketWatch) - Two of the biggest rivals in the market for digital downloads of music and videos went at each other Thursday as Amazon.com Inc. added to to its online music arsenal and reports surfaced about a new video-renting deal involving Apple Inc.