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DELTA AIR LINES REPORTS DECEMBER 1991 QUARTER, CALENDAR YEAR 1991 RESULTS

 DELTA AIR LINES REPORTS DECEMBER 1991 QUARTER,
 CALENDAR YEAR 1991 RESULTS
 ATLANTA, Jan. 23 /PRNewswire/ - Thomas J. Roeck Jr., Delta Air Lines' (NYSE: DAL) senior vice president and chief financial officer, announced today that Delta recorded an unaudited net loss of $187,611,000 ($3.89 primary and fully diluted loss per share, after preferred stock dividends) for the quarter ended Dec. 31, 1991, compared to a net loss of $207,813,000 ($5.01 primary and fully diluted loss per share, after preferred stock dividends) in the December 1990 quarter.
 The company's operating loss was $236,769,000 in the December 1991 quarter and $311,958,000 in the December 1990 quarter. The results for the current quarter, include the November and December operations of the international routes acquired from Pan American World Airways (Pan Am) and the operation of the Delta Shuttle for the entire quarter.
 For calendar year 1991, Delta's net loss was $239,476,000 ($5.44 primary and fully diluted loss per share, after preferred stock dividends), compared to a net loss of $154,033,000 ($3.77 primary and fully diluted loss per share, after preferred stock dividends) in calendar year 1990. Delta's fiscal year begins July 1 and concludes June 30.
 The December 1991 quarter and calendar year 1991 results include a $50,000,000 write-off ($43,000,000 in nonoperating and $7,000,000 in operating expenses) for costs related to Delta's participation in Pan Am's failed reorganization. The write-off accounts for approximately $0.65 of the primary and fully diluted loss per share.
 Commenting on the airlines' results, Roeck stated: "We are pleased with the company's revenue performance during the December 1991 quarter. Strong passenger traffic growth, which resulted in a positive load factor comparison from last year, a modest increase in the passenger mile yield, and gains in cargo revenues all contributed to 23 percent growth in operating revenues.
 "On November 1, 1991, Delta began service to 21 new transatlantic destinations," Roeck continued. "This aggressive growth in operations, along with additional expansion during the year, was a primary cause of increases in operating expenses for the quarter."
 Commenting on the calendar year results and current conditions, Roeck noted: "A weak economy, Desert Storm's effect on passenger traffic and aircraft fuel prices, and discount fare promotions were the main causes of the disappointing financial results in calendar 1991. We are encouraged by recent declines in fuel prices and a move toward a more rational industry pricing structure. However, continued soft economic conditions, unacceptably high unit cost growth plaguing the industry, and the cost of initiating service on the newly-acquired routes are expected to have a negative effect on Delta's fiscal 1992 results."
 For the December 1991 quarter, operating revenues, including those on the routes acquired from Pan Am, totaled $2.623 billion, an increase of 23 percent from the December 1990 quarter. Passenger revenues grew 23 percent to $2.446 billion, the result of a 20 percent increase in revenue passenger miles and a 2 percent increase in the passenger mile yield to 14.17 cents. Cargo revenues totaled $146.7 million, an increase of 24 percent, due to 21 percent growth in cargo ton miles and a 3 percent increase in the ton mile yield. All other revenues totaled $30.3 million.
 Total operating expenses in the December 1991 quarter increased 17 percent to $2.860 billion, including the expenses associated with the operation of the routes acquired from Pan Am. Operating capacity increased 18 percent to 30.186 billion available seat miles, and revenue plane miles grew 15 percent.
 The average cost per available seat mile in the December 1991 quarter was 9.47 cents, down slightly from 9.51 cents in the December 1990 quarter.
 Salaries and related costs increased 20 percent to $1.090 billion. The average level of employment rose 16 percent, including the hiring of approximately 7,800 people from Pan Am. Aircraft fuel expense declined $139.5 million, or 26 percent, to $394.8 million, as the average price per fuel gallon fell 37 percent to 67.34 cents, while fuel gallons consumed rose 16 percent.
 Depreciation and amortization expense was $153.2 million in the December 1991 quarter, compared to $127.0 million in the December 1990 quarter.
 All other expenses grew 40 percent to $1.222 billion, largely due to the company's strong growth in operations, traffic, and capacity. Aircraft rental expense rose 68 percent due to the addition of 76 leased aircraft to the fleet during the year. Facilities and other rentals increased 51 percent, primarily the result of additional facilities. Landing fees grew 32 percent. Aircraft maintenance materials and repairs expense was up 35 percent, reflecting Delta's growth in operations, higher engine materials costs, and increased overhaul activity. Travel agency commissions rose 32 percent, the result of strong passenger revenue growth and a higher percentage of international travel. Advertising expenses increased 79 percent, reflecting reduced advertising last year during the Middle East crisis and the company's aggressive promotion of its new destinations.
 The passenger load factor in the December 1991 quarter increased to 57.20 percent from 55.91 percent in the December 1990 quarter, while the break-even load factor declined to 62.73 percent from 64.69 percent.
 Nonoperating expense in the December 1991 quarter totaled $56.6 million, compared to a $15.5 million expense in the December 1990 quarter. Net interest expense increased $9.3 million in the current quarter, reflecting a higher level of outstanding debt. Miscellaneous income was a negative $27.0 million, the result of interest and other miscellaneous income being offset by $43.0 million of the $50.0 million write-off relating to Delta's participation in Pan Am's failed reorganization.
 The $293.4 million pretax loss was reduced by an income tax credit of $103.3 million and by the amortization of investment tax credits totaling $2.5 million, resulting in a net loss of $187.6 million. After providing $4.6 million in preferred stock dividends, the net loss to shareholders was $192.2 million.
 For the six months ended Dec. 31, 1991, the net loss was $174.5 million ($3.72 primary and fully diluted loss per share, after preferred stock dividends), compared to a net loss of $259.4 million ($6.19 primary and fully diluted loss per share, after preferred stock dividends) for the same period in 1990. Operating revenues were up 20 percent to $5.196 billion. Passenger revenues increased 19 percent to $4.857 billion, as revenue passenger miles grew 17 percent and the passenger mile yield rose two percent to 13.71 cents. Operating expenses rose 14 percent to $5.406 billion, and available seat miles totaled 58.670 billion, an increase of 14 percent.
 For calendar 1991, operating revenues totaled $10.020 billion, a 15 percent increase from calendar 1990. Passenger revenues grew 15 percent to $9.358 billion, the result of a 14 percent increase in revenue passenger miles and a slight increase in the passenger mile yield to 13.91 cents. Operating expenses rose 15 percent to $10.294 billion. The average cost per available seat mile was 9.24 cents, compared to 8.95 cents during the previous year.
 The board of directors declared the regular cash dividend of 30 cents per share payable March 1, 1992, to stockholders of record on Feb. 5, 1992.
 DELTA AIR LINES, INC.
 CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
 All dollar amounts in millions, except per share amounts
 3 mos. ended December 1991 1990
 Operating Revenues:
 Passenger $ 2,446.2 $ 1,984.8
 Cargo 146.7 118.0
 Other 30.3 26.8
 Total Operating Revenues 2,623.2 2,129.6
 Operating Expenses:
 Salaries and Related Costs 1,090.3 909.8
 Aircraft Fuel 394.8 534.3
 Aircraft Mtc Materials
 and Repairs 98.5 72.8
 Aircraft Rent 159.8 95.3
 Facilities and Other Rent 82.1 54.2
 Landing Fees 53.1 40.3
 Passenger Service 129.7 96.4
 Passenger Commissions 278.4 211.5
 Depreciation and Amortization 153.2 127.0
 Other 420.1 300.0
 Total Operating Expenses 2,860.0 2,441.6
 Operating Loss 236.8 312.0
 Other Income (Expense):
 Interest Expense (net) (29.6) (20.3)
 Gain on Disposition
 of Flight Equipment --- 0.2
 Other Income, Net (27.0) 4.6
 Total (56.6) (15.5)
 Loss Before Income Taxes 293.4 327.5
 Provision for Income Taxes:
 Income Taxes Credited 103.3 116.3
 Less: Investment Tax Credits 2.5 3.4
 Total 105.8 119.7
 Net Loss 187.6 207.8
 Preferred Stock Dividends
 Net of Tax Benefits 4.6 4.7
 Net Loss Available
 to Common Shareholders $ 192.2 $ 212.5
 Net Loss Per Share
 Primary $ 3.89 $ 5.01
 Fully Diluted $ 3.89 $ 5.01
 STATISTICAL SUMMARY:
 Revenue Plane Miles (000) 173,143 150,927
 Available Seat Miles (000) 30,186,078 25,663,609
 Revenue Passengers Enplaned 18,869,611 16,063,802
 Revenue Passenger Miles (000) 17,265,148 14,347,356
 Cargo Ton Miles (000) 275,253 227,699
 Passenger Load Factor (percent) 57.20 55.91
 Breakeven Load Factor (percent) 62.73 64.69
 Fuel Gallons Consumed (000) 586,358 503,652
 Avg. Price Per Fuel Gallon (cents) 67.34 106.09
 Cost Per Available Seat Mile (cents) 9.47 9.51
 Passenger Mile Yield (cents) 14.17 13.83
 DELTA AIR LINES, INC.
 CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
 All dollar amounts in millions, except per share amounts
 6 mos. ended December 1991 1990
 Operating Revenues:
 Passenger $ 4,857.4 $ 4,065.6
 Cargo 278.3 223.9
 Other 60.4 57.6
 Total Operating Revenues 5,196.1 4,347.1
 Operating Expenses:
 Salaries and Related Costs 2,091.0 1,833.6
 Aircraft Fuel 743.7 903.6
 Aircraft Mtc Materials/Repairs 179.4 146.4
 Aircraft Rent 292.4 184.0
 Facilities and Other Rent 156.0 113.9
 Landing Fees 102.1 81.1
 Passenger Service 248.0 198.8
 Passenger Commissions 559.0 437.9
 Depreciation and Amortization 293.8 254.2
 Other 740.9 579.2
 Total Operating Expenses 5,406.3 4,732.7
 Operating Loss 210.2 385.6
 Other Income (Expense):
 Interest Expense (net) (58.8) (38.7)
 Gain on Disposition Flt Eqpmnt 4.6 0.1
 Other Income, Net (6.7) 18.9
 Total (60.9) (19.7)
 Loss Before Income Taxes 271.1 405.3
 Provision for Income Taxes:
 Income Taxes Credited 91.2 138.9
 Less: Investment Tax Credits 5.4 7.0
 Total 96.6 145.9
 Net Loss 174.5 259.4
 Preferred Stock Dividends
 Net of Tax Benefits 9.3 9.3
 Net Loss Available
 to Common Shareholders $ 183.8 $ 268.7
 Net Loss Per Share
 Primary $ 3.72 $ 6.19
 Fully Diluted $ 3.72 $ 6.19
 STATISTICAL SUMMARY:
 Revenue Plane Miles (000) 337,430 303,515
 Available Seat Miles (000) 58,670,309 51,578,692
 Revenue Passengers Enplaned 38,187,941 33,032,805
 Revenue Passenger Miles (000) 35,419,196 30,236,155
 Cargo Ton Miles (000) 512,896 430,489
 Passenger Load Factor (percent) 60.37 58.62
 Breakeven Load Factor (percent) 62.98 64.18
 Fuel Gallons Consumed (000) 1,144,723 1,026,351
 Avg Price Per Fuel Gallon (cents) 64.96 88.04
 Cost Per Available Seat Mi.(cents) 9.21 9.18
 Passenger Mile Yield (cents) 13.71 13.45
 DELTA AIR LINES, INC.
 CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
 All dollar amounts in millions, except per share amounts
 12 mos. ended December 1991 1990
 Operating Revenues:
 Passenger $ 9,358.4 $ 8,150.8
 Cargo 530.1 432.5
 Other 131.1 124.1
 Total Operating Revenues 10,019.6 8,707.4
 Operating Expenses:
 Salaries and Related Costs 4,009.8 3,600.0
 Aircraft Fuel 1,439.2 1,544.3
 Aircraft Mtc Materials
 and Repairs 359.3 275.7
 Aircraft Rent 521.5 346.8
 Facilities and Other Rent 297.8 222.5
 Landing Fees 189.3 154.4
 Passenger Service 458.6 382.2
 Passenger Commissions 1,044.2 840.1
 Depreciation and Amortization 561.0 488.1
 Other 1,413.5 1,080.5
 Total Operating Expenses 10,294.2 8,934.6
 Operating Loss 274.6 227.2
 Other Income (Expense):
 Interest Expense (net) (117.6) (58.4)
 Gain on Disposition
 of Flight Equipment 21.4 4.7
 Other Income, Net 4.8 39.5
 Total (91.4) (14.2)
 Loss Before Income Taxes 366.0 241.4
 Provision for Income Taxes:
 Income Taxes Credited 115.0 71.1
 Less: Investment Tax Credits 11.5 16.3
 Total 126.5 87.4
 Net Loss 239.5 154.0
 Preferred Stock Dividends
 Net of Tax Benefits 18.6 18.6
 Net Loss Available
 to Common Shareholders $ 258.1 $ 172.6
 Net Loss Per Share
 Primary $ 5.44 $ 3.77
 Fully Diluted $ 5.44 $ 3.77
 STATISTICAL SUMMARY:
 Revenue Plane Miles (000) 645,667 589,565
 Available Seat Miles (000) 111,419,535 99,777,370
 Revenue Passengers Enplaned 74,282,385 65,871,280
 Revenue Passenger Miles (000) 67,269,345 58,981,412
 Cargo Ton Miles (000) 969,461 828,148
 Passenger Load Factor (percent) 60.37 59.11
 Breakeven Load Factor (percent) 62.15 60.76
 Fuel Gallons Consumed (000) 2,178,274 2,007,086
 Avg. Price Per Fuel Gallon (cents) 66.07 76.95
 Cost Per Available Seat Mi.(cents) 9.24 8.95
 Passenger Mile Yield (cents) 13.91 13.82
 DELTA AIR LINES, INC.
 Consolidated Statements of Income
 (Unaudited)
 Periods Ended
 December 31
 Quarters Ended December 31: 1991 1990
 Operating Revenues $ 2,623.2 mln $ 2,129.7 mln
 Net Loss After Taxes (A)187,611,000 (B)207,813,000
 Net Loss Available to
 Common Shareholders 192,256,000 212,461,000
 Loss per Common Share
 Primary $ 3.89 $ 5.01
 Fully Diluted $ 3.89 $ 5.01
 Weighted Average Number of
 Shares Used to Compute
 Loss Per Common Share
 Primary 49,415,576 42,371,697
 Fully Diluted 49,415,576 42,371,697
 Six Months Ended December 31:
 Operating Revenues $ 5,196.1 mln $ 4,347.1 mln
 Net Loss After Taxes (C)174,535,000 (D)259,440,000
 Net Loss Available to
 Common Shareholders 183,828,000 268,739,000
 Loss per Common Share
 Primary $ 3.72 $ 6.19
 Fully Diluted $ 3.72 $ 6.19
 Weighted Average Number of
 Shares Used to Compute
 Loss Per Common Share
 Primary 49,411,368 43,380,746
 Fully Diluted 49,411,368 43,380,746
 Note A - Includes a gain of $23,000 from the disposition of
 aircraft parts and a loss of $23,000 from foreign
 currency translation.
 Note B - Includes a gain of $125,000 from the disposition of
 aircraft parts and a loss of $72,000 from foreign
 currency translation.
 Note C - Includes a gain of $2,934,000 (earnings per common
 share, 6 cents primary and fully diluted) from the
 disposition of aircraft parts and a loss of $43,000
 from foreign currency translation.
 Note D - Includes a gain of $49,000 from the disposition of
 aircraft parts and a loss of $61,000 from foreign
 currency translation.
 -0- 1/23/92
 /CONTACT: Delta public relations, 404-715-2533/
 (DAL) CO: Delta Air Lines, Inc. ST: Georgia IN: AIR SU: ERN


BR-BN -- AT004 -- 2748 01/23/92 11:28 EST
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