General Lee
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Delta projects $800 million annual profit Memphis Business Journal
Date: Wednesday, December 14, 2011, 9:33am CST
Delta expects to earn an $800 million profit in 2011, it said at its 2011 Investor Day conference in New York .
Delta Airlines expects to earn an $800 million profit in 2011, it said at its 2011 Investor Day conference in New York Wednesday morning.
The Atlanta-based airline said in the presentation, which it filed to the it will generate the profit despite a $3 billion, or 30 percent, rise in annual fuel costs, lingering weakness in the world’s biggest economies, the ongoing effects of the tsunami and earthquake in Japan and war and unrest in the Arab world.
The guidance sent Delta's shares slightly higher as the stock price gained 1.25 percent and was trading at $8.09 by late morning Wednesday.
Looking ahead, Delta expects slow but positive Gross Domestic Product growth, a recession in Europe, fuel prices to stay at historically high levels and capacity reductions of 2 to 3 percent to recover its fuel costs. It also expects corporate travel to rise 6 to 8 percent.
In 2012, domestic capacity will dip 1 to 2 percent, and Delta (NYSE: DAL) will focus on right-sizing and trying to gain the top position in New York through growth at LaGuardia and JFK. Transatlantic capacity should be down 7 to 8 percent, with cancellation of underperforming routes. Latin capacity will be flat to up 2 percent, the airline predicted, with growth in Brazil and Central America. Its Pacific capacity will be up 1 to 2 percent, with a return to pre-earthquake Japan capacity.
Bye Bye---General Lee
Date: Wednesday, December 14, 2011, 9:33am CST
Delta expects to earn an $800 million profit in 2011, it said at its 2011 Investor Day conference in New York .
Delta Airlines expects to earn an $800 million profit in 2011, it said at its 2011 Investor Day conference in New York Wednesday morning.
The Atlanta-based airline said in the presentation, which it filed to the it will generate the profit despite a $3 billion, or 30 percent, rise in annual fuel costs, lingering weakness in the world’s biggest economies, the ongoing effects of the tsunami and earthquake in Japan and war and unrest in the Arab world.
The guidance sent Delta's shares slightly higher as the stock price gained 1.25 percent and was trading at $8.09 by late morning Wednesday.
Looking ahead, Delta expects slow but positive Gross Domestic Product growth, a recession in Europe, fuel prices to stay at historically high levels and capacity reductions of 2 to 3 percent to recover its fuel costs. It also expects corporate travel to rise 6 to 8 percent.
In 2012, domestic capacity will dip 1 to 2 percent, and Delta (NYSE: DAL) will focus on right-sizing and trying to gain the top position in New York through growth at LaGuardia and JFK. Transatlantic capacity should be down 7 to 8 percent, with cancellation of underperforming routes. Latin capacity will be flat to up 2 percent, the airline predicted, with growth in Brazil and Central America. Its Pacific capacity will be up 1 to 2 percent, with a return to pre-earthquake Japan capacity.
Bye Bye---General Lee