Company Watch - Delta Air Lines.

Oct 9, 2006

Delta, Retirees Reach Deal On Benefits. Delta Air Lines said on Thursday it reached agreements with retirees on medical benefits that would save the bankrupt carrier about USD$50 million annually and bring it closer to its cost cutting goals. The agreement clears another key hurdle for Atlanta-based Delta, which filed for bankruptcy protection in September 2005, and brings it closer to its plan to exit Chapter 11 next year. The airline reached agreements on benefit cuts with both its court-appointed pilot and non-pilot retiree committees, according to court documents. Delta has about 32,000 pilot and non-pilot retirees and survivors. In a separate statement, the non-pilot retiree committee said the deal preserves some key benefits. Oct 5, 2006

Delta Air Lines said it lost $11 million in August, which compared to a loss of $158 million in August 2005. The information was contained in its monthly operating report to the bankruptcy court. It said mainline nonfuel CASM was 6.66 cents, down 7.6% from August 2005, while consolidated passenger RASM climbed 12.8% to 10.64 cents. At the end of the month it had $3.9 billion in cash, of which $3 billion was unrestricted. Executive VP and CFO Edward Bastian called the results encouraging and said the carrier "is on track with our restructuring plan." Oct 2, 2006

Two Injured In Delta Flight Evacuation At Boston. Two people were injured when a Delta Air Lines flight to Boston was evacuated on Friday after the pilot detected smoke in the cabin upon landing, an airport official said. Delta flight 1908, with 40 passengers and five crew members, completed its trip from New York's LaGuardia Airport at 7:26 a.m. and was taxiing at Boston's Logan Airport when the pilot noticed the smoke, said Richard Walsh, a spokesman for Massport, which runs the airport. Walsh said one of the injured people was taken to hospital, but he did not know the extent of the injuries or how they were caused. All passengers have been evacuated and the plane is now being inspected, he said. Oct 2, 2006

Worldspan and Delta Air Lines completed a new long-term distribution agreement affirming "Worldspan's Super Access Product as a preferred distribution program for the airline through June 2013." Oct 2, 2006

Editor: Aram Gesar, eMail: [e-mail]

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Oct 2, 2006