Tanker1497
Active member
- Joined
- Jul 30, 2007
- Posts
- 36
Follow along with the video below to see how to install our site as a web app on your home screen.
Note: This feature may not be available in some browsers.
Any news yet folks?
Thanks!
Rumor is mainly E-170s.
General, how did you like flying the 738? I know its no 757 but did you find the trips decent and the airplane ok in general (no pun intended)?That could be for Northwest. We are getting 9 MD90s in 08, plus 7 737-700s and at least 4 777LRs. But, you knew that....... Good try though.
Bye Bye--General Lee
So, when was the announcement about the 90's, Gen?
Gonna be funny when we end up flying together, haha.
General, how did you like flying the 738? I know its no 757 but did you find the trips decent and the airplane ok in general (no pun intended)?
Delta president says job cuts, freezes on horizon
Airline tightens belt to offset fuel prices
By RUSSELL GRANTHAM
The Atlanta Journal-Constitution
Published on: 12/04/07
Delta Air Lines plans some job cuts, a partial hiring freeze, fleet reductions and other steps to cut capacity in response to high fuel costs, the carrier's president said Tuesday.
[ Submit your comments below. ]
• More Delta/aviation news
• More Business news
Delta President Ed Bastian said the carrier has set a "$400 million productivity target" for next year to offset jet fuel costs that have soared in tandem with near-record crude oil prices, which reached almost $100 a barrel in recent weeks.
"We are pulling down domestic supply considerably," Bastian said during a Web cast of an investors conference.
In updated guidance to investors, Bastian said Delta now expects its operating profit margins in the final three months of the year to be flat or down 2 percent as a result of high fuel prices. The carrier had earlier projected operating margins of 3 percent to 5 percent in the fourth quarter.
The revised estimate means Delta will likely report a loss in the fourth quarter.
This year, airlines had been rebounding after years of losses as Delta and other carriers emerged from bankruptcy reorganizations with much leaner operations.
But Bastian said Delta is once again taking cost-cutting measures such as freezing new hires in "non-public-facing" job categories and targeting some unspecified positions for cuts. It is also parking aircraft and reducing its marketing budget in the face of a steep rise in fuel costs, its largest expense.
Delta now expects its average fuel price in the final three months of the year to be $2.60 per gallon, about 13 percent higher than previous projections. Jet fuel is Delta's largest expense.
Bastian said the carrier plans to freeze staff jobs that don't deal directly with customers. He said Delta has also "targeted some job cuts" but didn't offer specifics.
He said Delta has returned seven leased mainline jets and six smaller regional jets to reduce flying in the United States, and will cut 45 more jets next year.
"We'll take further steps to reduce supply" if fuel prices don't "stabilize," he said.
The carrier has more than 400 mainline jets in its fleet.
The reductions in Delta's domestic flying continue a strategy the airline has relied on during much of its turnaround efforts, as the growing competition from discount carriers has made many U.S. routes unprofitable for big network carriers.
Bastian said Delta will continue growing its more profitable overseas flying next year, where it is better able to pass higher fuel costs on to customers.
"We'll be growing international in relatively unabated terms," he said.
Anticipating questions about the airline industry's sagging stock performance, Bastian "we're also looking at the consolidation question" and taking other steps to boost Delta's market value.
He repeated an earlier announcement that a committee of its directors is looking at options ranging from acquiring another carrier to remaining an independent airline.
He said Delta will also take steps to more clearly report the financial performance of some of its operations that provide services to outside businesses, such as the maintenance division, its Delta Air Elite business jet unit, and its Comair regional carrier, which has previously said it is considering selling
Those job cuts were already announced---back office jobs. Pilot hiring and flight attendant hiring will continue. The planes that were given back to lessors were already known, a few MD88s and a couple 763s that we tried to negotiate for but never settled on the terms. The planes that will be parked (45) will be 50 seat RJs.
Bye Bye--General Lee
Um...the 4th quarter is generally always poor for airlines...I don't see how this is really news, especially in light of the retardedly volatile oil prices lately. I don't think we'll be the only ones with a bad 4th quarter.
Things are good here at DAL, with lots of good stuff on the horizon, so the newhires should not worry.
Now if we could just get a 60% raise...
Let's hope you are right and FUZZO is wrong.
Fuel prices have hurt all airlines, even Southwest, and even they are slowing down a bit.
Bye Bye--General Lee
Hey General,
Not being a cheerleader for SWA, but they are hedged at the 50-60 dollar range. As oil prices climb, they actually make out better.....
Now if we could just get a 60% raise...