Delta Warns Of Bankruptcy | Aero-News Network
Aero-News Network
RSS icon RSS feed
podcast icon MP3 podcast
Subscribe Aero-News e-mail Newsletter Subscribe

Airborne Unlimited -- Recent Daily Episodes

Episode Date

Monday

Tuesday

Wednesday

Thursday

Friday

Airborne On ANN

Airborne 08.22.16

Airborne 08.23.16

Airborne 08.24.16

Airborne 08.25.16

Airborne 08.26.16

Airborne Hi-Def On YouTube

Airborne 08.22.16

Airborne 08.23.16

Airborne 08.24.16

Airborne 08.25.16

Airborne 08.26.16

Tweet Us The Coolest Things You See @OSH16!
#OSH16Coolest!

It's Alive!: AirVenture 2016 Innovation Preview on Vimeo!

It's Alive!: AirVenture 2016 Innovation Preview on YouTube!

Wed, Aug 11, 2004

Delta Warns Of Bankruptcy

Looking For Concessions

Delta Airlines Monday raised the volume on its warnings that, unless it gets major concessions from its unions, it will file for bankruptcy protection.

"If we cannot make substantial progress in the near term toward achieving a competitive cost structure that will permit us to regain sustained profitability and access to capital markets on acceptable terms," Delta said in a statement, "we will need to seek to restructure our costs under Chapter 11 of the US Bankruptcy Code."

The warning came on the tail of news that Delta had depleted about a third of its cash reserves in just the first six months of 2004. Reserves dropped from $2.7 billion to $2 billion. Analysts say anything below $1.5 billion would almost guaranteed Delta's bankruptcy.

Still, at least one airline expert quoted by the Atlanta Journal-Constitution believes Delta's holdout pilots will eventually come to the rescue. The pilots have repeatedly withstood Delta's appeals for cuts. They're now the highest-paid pilots in the pilot business.

Ray Neidl, an airline analyst at Blaylock & Partners, told the Atlanta paper, "At the end of the day, I think the pilots will do what they have to do to help Delta survive. They have too much to lose in Chapter 11."

Aviation consultant Mike Boyd told the Journal-Constitution he agrees with that assessment. "Delta managers know what they have to do regarding their route system, their fleet and their costs," he said. "I think they're going to get their employees and creditors on board. But this report makes clear that they don't have a lot of time."

FMI: www.delta.com

Advertisement

More News

Airborne 08.26.16: Citation Longitude Update, Falcon 9 Display, N Shore Heli Rte

Also: Aerosim Scholarship, Santa Monica Nonsense, Marine One, UAV Developer Kit, FAA Penalty, F-35 Weapons Test, Coastal Helicopters The Cessna Citation Longitude moves closer to i>[...]

Another Tough Weekend For Airshows... Two Pilots Lost

Accidents in Oregon and China Take Lives It's been a lousy weekend to be an aviation journalist as we document the tragic loss of two well-known pilots in two separate airshows acc>[...]

Aero-News: Quote of the Day (08.28.16)

"This is the perfect natural laboratory to study aerosol-cloud interactions, which are some of the largest uncertainties in the prediction of future climate." Source: Jens Redemann>[...]

NASA Flies To Africa to Study Climate Effects Of Smoke On Clouds

Two Research Aircraft Head To Namibia Because Of Its Unique Climate NASA scientists and two research aircraft are on their way to a unique natural laboratory off the Atlantic coast>[...]

ANN's Daily Aero-Linx (08.28.16)

Aero Linx: Aviators Model Code Of Conduct Innovative tools advancing aviation safety and offering a vision of excellence for aviators, the AMCC is for use by aviation practitioners>[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

© 2007 - 2016 Web Development & Design by Pauli Systems, LC