Delta AE

[Acey]

Thanks for the info, Jester. That's pretty encouraging about the growth and bookings. Also nice to have a date in mind for the AE.

 

[ACL65PILOT]

Marketing wants a 15%+ bump in block hrs. We may get through the glut of training prior to hiring. Either way we will need at least 300-400 if they do a 7% uptick. More means more guys sitting reserve in DTW on the 88 and that will make a lof of ppl happy.

The PWA is the PWA and they will pay accordingly. For the junior folks that means that they may just keep ya where you are and let newbies fill the void.

Also the hint at other base realignments is in refernce to the NRT/JAL deal and 330 sim time. It is what it is, so sit back and enjoy the ride. If we actually get this right we should have a few good years ahead of us.

Was in the school house and they are bringing all of the PCP's back to start ramping up for the training that is coming. I will let the other "rumors" filter out.

 

[General Lee]

Delta executive urges restraint on capacity

Delta Air Lines executive urges industry to not increase capacity before rebound takes hold

By Harry R. Weber, AP Airlines Writer

• On 9:23 am EST, Wednesday December 2, 2009

ATLANTA (AP) -- A Delta Airlines Inc. executive urged other carriers Wednesday to be careful not to increase the amount of flying they do too quickly.

Chief Financial Officer Hank Halter said at a New York investor conference that was broadcast on the Internet that even if a modest recovery occurs in 2010, the world's biggest airline hopes the industry maintains flat capacity.


Capacity is measured by the amount of available seats a carrier offers, times the miles flown.
Halter said Delta could eventually increase capacity 1 percent to 2 percent once demand shows strong signs of coming back. He says demand won't really gain steam until passengers feel that the recession is firmly in the rearview mirror and it is safe to spend.
"People are holding onto their money still," Halter said in his presentation during the Morgan Stanley Transportation Corporate Access Day. "When they are flying, they are flying in the back of the aircraft."
Many carriers have shed capacity over the last 18 months. The impact of the recession on business travel has been especially painful for airlines, which rely on sales of premium seats to boost revenue.

"The challenge for the industry is to make sure we don't come back and start flooding the market with more capacity ... when the demand isn't there," Halter said.
The comments came as Delta, based in Atlanta, continues its efforts to lure struggling Japan Airlines away from its partnership with American Airlines and into an alliance with Delta and its SkyTeam partners. Executives from Delta and American were scheduled to be in Tokyo on Thursday to meet with reporters.

Delta and its alliance partners have said a billion-dollar offer is on the table to lure JAL from its affiliation with American. JAL President Haruka Nishimatsu has said he will make a decision on the offer by the end of the year.
American is working aggressively to try to keep Japan Airlines in its oneworld alliance. American, a unit of AMR Corp., which is based in Fort Worth, Texas, has said that if JAL switches from the oneworld alliance it will cost JAL up to $500 million in lost revenue in the first two years after the changeover.
That figure assumes Delta initially will only be able to replace about half the revenue-sharing and other money that JAL currently gets from its oneworld partners, including American.
During the investor conference Wednesday, Halter did not address the status of Delta's talks with JAL, saying only, "All of SkyTeam would benefit, as would JAL, if JAL would come into the SkyTeam alliance."





I hope it does happen---the 7% increase. It could be "compared to last year" I guess. Maybe that is still flat overall.... And, maybe he wants everyone ELSE to stay "flat" while we add capacity. Yeah, that's the ticket....you never know...



Bye Bye--General Lee

 

[GogglesPisano]

How does the NYC 7ER look in this upcoming AE? Growth or displacements?

 

[ACL65PILOT]

I have not heard that they will displace, but with the 777 going away, I would be we will see a little of this and that. It depends on how ppl bid. What will save you is the fact that the 765 is a new base and category up there so lots of NWA and senior FO's will jump to it.
It is on my MD preference at about 75%

 

[ACL65PILOT]

Delta executive urges restraint on capacity

Delta Air Lines executive urges industry to not increase capacity before rebound takes hold

By Harry R. Weber, AP Airlines Writer

• On 9:23 am EST, Wednesday December 2, 2009

ATLANTA (AP) -- A Delta Airlines Inc. executive urged other carriers Wednesday to be careful not to increase the amount of flying they do too quickly.

Chief Financial Officer Hank Halter said at a New York investor conference that was broadcast on the Internet that even if a modest recovery occurs in 2010, the world's biggest airline hopes the industry maintains flat capacity.


Capacity is measured by the amount of available seats a carrier offers, times the miles flown.
Halter said Delta could eventually increase capacity 1 percent to 2 percent once demand shows strong signs of coming back. He says demand won't really gain steam until passengers feel that the recession is firmly in the rearview mirror and it is safe to spend.
"People are holding onto their money still," Halter said in his presentation during the Morgan Stanley Transportation Corporate Access Day. "When they are flying, they are flying in the back of the aircraft."
Many carriers have shed capacity over the last 18 months. The impact of the recession on business travel has been especially painful for airlines, which rely on sales of premium seats to boost revenue.

"The challenge for the industry is to make sure we don't come back and start flooding the market with more capacity ... when the demand isn't there," Halter said.
The comments came as Delta, based in Atlanta, continues its efforts to lure struggling Japan Airlines away from its partnership with American Airlines and into an alliance with Delta and its SkyTeam partners. Executives from Delta and American were scheduled to be in Tokyo on Thursday to meet with reporters.

Delta and its alliance partners have said a billion-dollar offer is on the table to lure JAL from its affiliation with American. JAL President Haruka Nishimatsu has said he will make a decision on the offer by the end of the year.
American is working aggressively to try to keep Japan Airlines in its oneworld alliance. American, a unit of AMR Corp., which is based in Fort Worth, Texas, has said that if JAL switches from the oneworld alliance it will cost JAL up to $500 million in lost revenue in the first two years after the changeover.
That figure assumes Delta initially will only be able to replace about half the revenue-sharing and other money that JAL currently gets from its oneworld partners, including American.
During the investor conference Wednesday, Halter did not address the status of Delta's talks with JAL, saying only, "All of SkyTeam would benefit, as would JAL, if JAL would come into the SkyTeam alliance."





I hope it does happen---the 7% increase. It could be "compared to last year" I guess. Maybe that is still flat overall.... And, maybe he wants everyone ELSE to stay "flat" while we add capacity. Yeah, that's the ticket....you never know...



Bye Bye--General Lee

General. Those the the numbers they were spouting in the crew room. Nothing super secret there.

Also a 7% bump over 2009 is not earth shattering. It is still restrained capacity. A 7% bump of 2008/07 numbers would be huge.

 

[maxblast72]

I hope it does happen---the 7% increase. It could be "compared to last year" I guess. Maybe that is still flat overall.... And, maybe he wants everyone ELSE to stay "flat" while we add capacity. Yeah, that's the ticket....you never know...



Bye Bye--General Lee

Could be more block hours with smaller airframes thus keeping ASMs flat for 2010 (reduced utilization of 747s in this weak economy?). Didn't the post start with 7% increase in block hours. Flight operations care more about block hours. Marketing/financial guys deal more in ASMs.

 

[ACL65PILOT]

There will be more block hrs, and we are growing domestic not international.

I think it was a 4-6% bump domestic and a 2% bump international, but I did not write it down.

 

[GogglesPisano]

Delta cites improving revenue trends
On 11:03 am EST, Wednesday December 2, 2009

ATLANTA (Reuters) - Delta Air Lines Inc (NYSEAL - News) said on Wednesday that revenue was showing month-to-month improvement despite a persistent reduction in premium class demand.



Chief Financial Officer Hank Halter said that while the carrier still expects unit revenue to be down in the fourth quarter, the magnitude of the decline was softening from earlier this year.

Delta's unit revenue was off about 23 percent in June, he told a Morgan Stanley transportation conference.

"By October, we were down in the 11-12 percent range and for the fourth quarter, our previous guidance was unit revenue down about 8 percent and we're tracking to that," Halter said.

Still, Halter said the majority of its bookings were still for seats at the rear of an aircraft as opposed to pricier upfront cabins.

He also said corporate sales, which represent about 20 percent of Delta's passenger revenue, were still down but the declines have moderated to the single-digit percentage range from a drop of as much as 35 percent in April/May.

"The key is that demand is there, the key is that revenue is coming back on a sequential basis but it's taking time," Halter said.

The finance chief also reiterated that Delta expects total liquidity of $5 billion by the end of the year, and was still taking cost-cutting steps that include exiting the freighter business.

Shares of airlines were stronger on Wednesday as Morgan Stanley boosted its view of the sector. The Arca Airline index (AMEX:^XAL - News) was up 3 percent.

"If you're a believer in a recovery, you can argue for a fair amount of upside from here," Morgan Stanley analyst William Greene said before Halter spoke. Greene said his firm felt better about recommending airlines in the wake of last week's news from US Airways Group, which announced on November 24 that it was postponing some plane deliveries to cut spending and planned to extend certain debt maturities.

Airlines have been hampered this year by reduced travel spending, a drop in trade and rising oil prices. But the International Air Transport Association said earlier this week that passenger demand for air travel rose in October even as freight demand continued to fall, boosting optimism that the industry could be on its way to a recovery.

Among carriers, United parent UAL Corp (NasdaqGS:UAUA - News) was up more than 10 percent on Wednesday and Continental Airlines Inc (NYSE:CAL - News) and American parent AMR Corp (NYSE:AMR - News) gained 6 percent. Delta shares were up 50 cents, or 5.8 percent, to $9.12.

 

[GogglesPisano]

I have not heard that they will displace, but with the 777 going away, I would be we will see a little of this and that. It depends on how ppl bid. What will save you is the fact that the 765 is a new base and category up there so lots of NWA and senior FO's will jump to it.
It is on my MD preference at about 75%

I predict 120 765 positions in NYC (half the 765 positions at the company now.) Most NYC 777 guys commute so they will chase the airplane to DTW, maybe 15% will bid down to the 765. I predict a small number of ATL guys will chase the airplane to NYC for the pay -- but most won't want to commute. Maybe 75 NYC 7ER FO's will bid the 765 for the pay. I will bid it to sit at home on reserve take home almost 7ER "hustle pay." I doubt I would hold even reserve, however.