Delta cutting more capacity

Delta to cut capacity more than expected as declining revenue overtakes merger benefits.

Delta Air Lines Inc. will shave additional capacity later this year as it warns that more than $6 billion in benefits it expected from lower fuel prices, its merger with Northwest Airlines and previous capacity reductions will be overtaken by declining revenues. The reduction in available seats could mean further job cuts at the world's largest airline operator. Delta also said it projects it will take a $125 million to $150 million revenue hit in the second quarter because of the impact on air travel from the swine flu virus. The quarter ends June 30.

Delta executives told employees in a memo Thursday ahead of a presentation at an investor conference in New York that Delta will reduce system capacity by 10 percent this year compared to 2008. That is up from Delta's previous plan to cut system capacity by 6 percent to 8 percent. Delta also will reduce international capacity 15 percent, up from a previous plan to cut it by 10 percent. Delta said capacity reductions will begin in September. Some routes will be suspended, while the number of weekly flights to other destinations will be reduced.

"The additional capacity reductions mean we again must reassess staffing needs," Chief Executive Richard Anderson and President Ed Bastian said in the memo. "While the challenges of the current environment preclude us from making guarantees, our goal remains to avoid any involuntary furloughs of frontline employees."

Delta Airlines stock closed at 6.40 on 6/12/09

Board of Directors

Here is some information about Board of Directors of Delta

Pursuant to the Bylaws adopted effective as of April 30, 2007, Delta's Board of Directors will be elected annually. It is currently comprised of Delta's non-executive chairman, Daniel A. Carp, Delta's CEO, Richard Anderson, and eleven outside directors.

Daniel A. Carp has served as non-executive Chairman of Delta’s Board of Directors since April 30, 2007. He was Chief Executive Officer and Chairman of the Board of Eastman Kodak Company from 2000 to June 2005, and continued to serve as Chairman of the Board until his retirement from the company in December 2005. Mr. Carp was President of Eastman Kodak Company from 1997 to 2003. He is a director of Liz Claiborne, Inc., Norfolk Southern Corporation and Texas Instruments Inc.

Richard H. Anderson has been Chief Executive Officer of Delta since September 1, 2007. He was Executive Vice President of UnitedHealth Group from November 2004 to August 2007. Mr. Anderson was Chief Executive Officer of Northwest Airlines from February 2001 to November 2004. He is a director of Cargill, Inc. and Medtronic, Inc.

The Board of Directors holds regular meetings four times a year, schedules special meetings when required, and regularly meets in executive session without management. The Board and its committees also meet informally from time to time. The Board met 18 times in 2008.

We learned in class from Dr.Busija that the responsibilities of the board of directors are establish and update mission, elect the top management team, establish top management compensation, determine amount and timing of dividends, set broad company policy, and mandate legal and ethical compliance.

Delta's stock price

The stock of Delta Airlines went up to $6.68 closing at 6/11/09

The New Delta "Atlanta Anthem" 2007

http://www.youtube.com/watch?v=HhNW_3AIek0


Here is the Delta commercial in 2007 after exited bankruptcy.

On April 3o, 2007, Delta Airlines emerged from bankruptcy protection after surviving a hostile takeover bid and cutting billions in costs in a 19-month overhaul.

Delta also unveiled a new logo, reminiscent of its logo from the 1970s and 1980s, and a new paint scheme. Delta's bankruptcy exit strategy was vastly different from that of United in that it expanded its way out of bankruptcy, rather than retrenching.
Delta's previous stock was canceled as of Monday, April 30, 2007, and new shares are trading on a "when issued" basis on the New York Stock Exchange. These shares began trading normally on Thursday, May 3, 2007. The starting price was around $20.00 a share, and went up to as high as $23.35. But investors showed little confidence in the stock as the price fell to $19.00 later in the week.
Upon exiting bankruptcy, Delta also announced a 50% increase in operations at Los Angeles International Airport, thus establishing Los Angeles as Delta's second West Coast hub and new potential Asian gateway with a total of 99 daily departures.

Coach Class Becomes Cattle Class

Many airlines are installing slimmer seats. Passengers given less space than average pig on the way to Baconland!!!!!!!!

They try to install slimmer seats to gain more customers so that their revenues will be boost up.

Follow this new from the link below!!!

http://www.minyanville.com/articles/amr-dal-cal-uaua-jblu-luv/index/a/22963/from/yahoo

Mission Statement

Delta Mission Statement

“Making Delta, carrier of choice for customers through operational excellence, “second mile” service and building emotional connections with the disability community.”

Delta’s Customer Advisory Board on Disability promotes accessibility for all our customers by providing leadership in achieving our sustainable goal: making Delta, carrier of choice for customers with disabilities in all aspects of our business.

Delta Airlines stock closed at 7.02 on 6/5/09

Delta Introduction

Delta Air Lines is a United States airline based and headquartered in Atlanta and Georgia. Delta Air Lines is the world’s largest airline. From its hubs in Atlanta, Cincinnati, Detroit, Memphis, Minneapolis-St. Paul, New York-JFK, Salt Lake City, Amsterdam and Tokyo-Narita, Delta, its Northwest subsidiary and Delta Connection carriers offer service to 368 destinations in 66 countries and serve more than 170 million passengers each year.

Delta’s marketing alliances allow customers to earn and redeem either SkyMiles or WorldPerks on more than 16,000 daily flights offered by SkyTeam and other partners. Including the SkyTeam and worldwide codeshare partners, Delta offers flights to 567 worldwide destinations in 112 countries.

On October 29, 2008, Delta closed its merger with Northwest Airlines to form the world's largest commercial carrier. In February 2009, the airline began consolidating gates and ticket counters at airports where both Delta and Northwest operate. The consolidation will be completed by early 2010.

Delta Airlines stock closed at 6.88 on 6/2/09