Company Watch - Delta Air Lines.
Delta Air Lines is to cut capacity by 6-8% by 2009, the carrier announced. The airline said there would be an 8-10% cut in domestic capacity and a 3-5% drop in international capacity. The figures include the impact of previous cuts announced this year. The move is expected to create redundancies among the 75,000 strong workforce. A statement by Richard Anderson, the airline's ceo and Edward Bastion, its president, cited "the global economic recession and weaker demand for air travel" as the reason for the cut. The statement continued: Once again, Delta must take the necessary steps to adjust our business accordingly and make certain seat capacity meets customer demand. The airline, which merged with Northwest Airlines earlier this year to create the biggest carrier in the world, said it was now assessing the impact on staffing the capacity cut would make. It said it would offer voluntary redundancy programmes to "adjust staffing needs." www.delta.com Dec 3, 2008
Delta Air Lines plans to cut domestic and international capacity next year amid slowing demand for travel attributed to the global financial crisis. "We are evaluating our capacity plans for 2009 on both the domestic and international system and expect to reduce future capacity to better align supply with current levels of demand," Delta said in a Nov. 21 filing with the Securities and Exchange Commission. A Delta spokeswoman said the company still intends to begin 15 new international routes in the spring, as announced on Nov. 12. Dec 3, 2008
Delta Air Lines this morning announced that it will cut seating capacity by 6% to 8% in 2009. The carrier said that the system-wide cuts will be made in an attempt to further reduce costs amid a "global economic recession." Dec 2, 2008
Delta Air Lines, which bought Northwest Airlines in October, plans to seek significant changes to aircraft orders both carriers had placed individually with Boeing, The Wall Street Journal said. Delta is likely to scale back a Northwest order for Boeing's new, but delayed, 787 Dreamliner, and ask the manufacturer to expand a Delta order for the 777-200LR aircraft, the newspaper said, citing people familiar with Delta's plans. The 777-200LR is a long-range aircraft that carries at least 50 more passengers and would better enable the combined carrier to continue pursuing Delta's strategy to shift a greater percentage of its flights to long overseas routes, the paper said. The two companies could not be immediately reached for comment by Reuters. Dec 1, 2008
Delta Air Lines has filed a protest with the Department of Transportation, seeking to block Continental Airlines from gaining antitrust immunity for its planned alliance with United Airlines and Lufthansa. Delta claimed in its filing that the alliance would allow Continental to dominate routes to Brazil and China, but Continental insists that its application is based on a desire to deepen its relationship with the other two carriers. The application awaits DOT approval. Dec 1, 2008
Delta Air Lines and United Airlines have stopped charging for overweight bags at Tucson International Airport after inspectors found that all 14 of the airlines' baggage scales were faulty. A Delta spokesman said the company closed its scales and requested recalibration by a service company. "Over the summer, our scales were certified (by private technicians) and then checked again more recently," said a United spokesman. "Customers won't be charged for overweight bags until we recertify the scales." Dec 4, 2008
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