Delta Employees Expected To Profit From Failed US Airways Takeover Bid | 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

Oshkosh Day One

Oshkosh Day Two

Oshkosh Day Three

Oshkosh Day Four

Airborne 07.22.16

Airborne Hi-Def On YouTube

Oshkosh Day One

Oshkosh Day Two

Oshkosh Day Three

Oshkosh Day Four

Airborne 07.22.16

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!

 

Tue, Mar 20, 2007

Delta Employees Expected To Profit From Failed US Airways Takeover Bid

Will Receive $480 Million In Benefits; Grinstein Won't Collect Bonus

Employees at Delta Air Lines who stood up to fend off a hostile takeover attempt by US Airways will be rewarded for their loyalty, when the carrier emerges from Chapter 11 bankruptcy protection.

The Financial Times reports Delta workers will receive $480 million in cash and stock options, as part of a restructured pay and incentives package. The plan also includes profit-sharing options and bonuses for staff and executives.

Under the plan, some 39,000 Delta employees will receive a 3.5 percent stake in the airline. Approximately 12,000 managers will receive a further 2.4 percent stake in "equity opportunities," the airline announced Tuesday.

Interestingly, one Delta won't receive any such bonus: CEO Gerald Grinstein, who stated last year he plans to retire from the airline once it emerges from bankruptcy.

Though many credit Grinstein with leading the charge against the US Airways bid, he says Delta's employees should be rewarded for sticking with the carrier through difficult times.

"They let it be known how miserable and unhappy they would make life [under US Airways]," Grinstein told the Financial Times. He emphasized the incentive plan was not a ploy to "buy" employee support and morale.

Meanwhile, Delta CFO Ed Bastian said the effort in fending off the US Airways bid helped the airline gain leverage with its creditors' committee, to win support for its reorganization plan.

"They said 'No' to US Airways and 'Yes' to investing $500m in our people," said Bastian. "That was certainly something that [US Airways' CEO] Doug Parker was not planning to provide."

FMI: www.delta.com

Advertisement

More News

Airborne 07.27.16-Oshkosh Day 3: WomenVenture!, NTSB on Part 23, CAF Update

Also: An American Airbus Flies To Oshkosh, Mooney Update, Comprehensive Jack Pelton Interview--Part 3 ANN’s Maxine Scheer attended the kickoff event to WomenVenture, the Wome>[...]

Airborne 07.27.16-Oshkosh Day 3: WomenVenture!, NTSB on Part 23, CAF Update

Also: An American Airbus Flies To Oshkosh, Mooney Update, Comprehensive Jack Pelton Interview--Part 3 ANN’s Maxine Scheer attended the kickoff event to WomenVenture, the Wome>[...]

The Airplane Factory Presents AirVenture 2016 Special Event Coverage

The Airplane Factory Sling – Best-Handling LSA – A Real Airplane The Airplane Factory Sling is a high performance, 2 place Light Sport Aircraft that fits the needs of p>[...]

Aspen Avionics, True Innovators, Present OSH2016 Special Event Coverage!

OSH2016 Sponsor: Always-Innovative Aspen Avionics Based in Albuquerque, New Mexico, Aspen Avionics specializes in bringing the most advanced display and sensor technology from the >[...]

Only Sporty's!!! Sporty's Pilot Shop Helps ANN Cover Oshkosh 2016!

Sporty's Pilot Shop Is A Pivotal GA Resource! Sporty’s Pilot Shop was founded over 50 years ago by a flight instructor, and ever since has been for pilots and by pilots. Hal >[...]

blog comments powered by Disqus



Advertisement

Advertisement

Podcasts

Advertisement

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