Company Watch - Delta Air Lines.

For more company news, data and analysis, please go to: http://www.airguideonline.com/professional.htm Jun 5, 2006 Comair President Fred Buttrell resigned last week and was replaced by CFO Don Bornhorst. The Delta Air Lines Regional affiliate said in a statement that Buttrell, who became Comair president in January 2005, had "weighed the needs of the company with those of his personal and family life and felt it was time to transition to new leadership." Bornhorst said his main focus is on Comair's emergence from Chapter 11 bankruptcy protection. Prior to Bornhorst's appointment to CFO in 2005, he was Comair's senior VP-customers. He joined the carrier in 1991. He "has the background, focus and determination needed to complete the carrier's restructuring, which is a vital step for Comair to be a viable enterprise going forward,'' Delta Executive VP-Operations Joe Kolshak said. He added that Delta understands Buttrell's "desire to be closer to his family and we wish him well." May 29, 2006 Delta Air Lines claimed last week that it has become the world's largest airline (across the Atlantic) in terms of destinations served, seat capacity and weekly flights. One wag suggested that it certainly is the world's largest in administration. With the introduction of new and expanded services between the US and Athens, Edinburgh, Venice and Kiev last week it is a strong claim which no doubt others will challenge regarding the normally accepted RPKs' (revenue passenger kilometers). Delta Air Lines' pilots have also ratified a new labor agreement that includes $280m in annual concessions the airline says are "crucial" to its effort to emerge from Chapter 11 bankruptcy protection. http://news.delta.com Jun 4, 2006 Delta Air Lines yesterday launched service from Atlanta to Aguadilla (four-times-weekly aboard CRJ700s operated by Atlantic Southeast Airlines) and Kingston (daily aboard a 737-800). The new routes are part of a previously announced expansion into Latin America and the Caribbean this month comprising nine new routes to seven destinations. Jun 2, 2006 Delta narrows April loss, reports profit excluding reorganization items. Delta Air Lines said yesterday that it lost $27 million in April, a significant improvement over a net loss of $163 million in the year-ago month.Net income excluding reorganization items was $22 million compared to a $163 million deficit in April 2005. The carrier has $3.4 billion in cash, cash equivalents and short-term investments, $2.5 billion of which is unrestricted. Mainline unit costs increased just 1.6% to 10.29 cents in April, and fell 3.8% to 7.26 cents excluding fuel. Consolidated passenger RASM climbed 17.1% to 10.97 cents. Jun 2, 2006 International expansion new revenue source for Delta. Delta Air Lines hopes its expansion into international markets will help it emerge from bankruptcy protection. "The second quarter will drop some people's jaws," Delta Executive Vice President Glen Hauenstein said. "It will change they way people think [about] how this airline is digging out from a $2 billion loss last year." Jun 2, 2006 Delta pilots approve cost-cutting agreement. Pilots at Delta Air Lines approved a $280-million-a-year pay-cut agreement that will lower their pay and help the carrier emerge from bankruptcy protection. A bankruptcy judge also approved the agreement Wednesday. "It was probably the most significant negotiation transaction we'll face as part of this bankruptcy process," Delta Chief Financial Officer Edward Bastian said. "It gives us the ability to put the past behind us and make Delta a success again." Jun 1, 2006 Delta Air Lines this week launched daily Atlanta-Athens and New York JFK-Kiev flights and next week will start daily services from ATL to Edinburgh and Venice, all aboard 767-300ERs. May 31, 2006 Delta Air Lines pilots union said last week it will "vigorously oppose" US Pension Benefit Guaranty Corp.'s effort to overturn the concessions agreement it reached with management of the bankrupt airline. PBGC, the federal pension insurer that would assume much of the pension obligation abandoned by Delta, said last week in a bankruptcy court filing that the agreement between Delta and the Air Line Pilots Assn. for $280 million in annual givebacks violates US bankruptcy law and should be blocked. But ALPA said it continues to "unequivocally" recommend that Delta pilots ratify the deal in voting that will close May 31. ALPA noted that PBGC claimed "the unsecured pilot notes and bankruptcy claim ALPA negotiated with Delta are compensation for the termination of the pilots' [pension plan] and may also be considered as replacements for a terminated pension plan, and they argue that such provisions would violate [US regulations]. ALPA strongly disagrees with this position." May 29, 2006