Delta Air Lines Announces $549 Million Profit Excluding Special Items

[BILL LUMBERG]

So what you two guys are telling Mach is that corporate America is better off using the government's "crutches". I don't buy that either. The sooner you take government meddling out of the equation, the sooner you'd see a healthy corporate America. All I see is this industry sinking into a morass of quick sand. Mach...thanks for the clarity...someone has to have the guts to say it.

OK Prussian,

You guys and your low wages and no retirement and crap schedules were around which forced EVERYBODY to spiral down your toilet. Sure, you get paid now, but after EVERYBODY had to match your super productivity and Luv.

That "crutch" you cry about helped you at Love Field, did it not?

I'm just sayn....

 

[General Lee]

In a way you do. When a company who doesn't use bankruptcy as a way to compete has to compete with companies who do, it costs money for the non-bankrupt airline be it from employees who now have to negotiate their contract with the comparative effect of shredded contracts with employees from airlines who went thru bankruptcy or the more difficult position of having to compete with a competitor who was able to blissfully dump debt from the mismanagement of carrying too much debt or operating costs. The U.S. bankruptcy laws have destroyed the concept of Darwinism within business. To celebrate profits after dumping huge debt loads and shredding contracts and retirements is almost ludicrus and yes, it does harm to employees at truly succesful airlines.

If you want to be shot after going into BK, move to North Korea. If you want to live in the States, then you will abide by the rules here, which allow for BK. Anyone can go BK and recover. But, there are limits to the number of times, and BK judges can also close the door if the business doesn't have a viable chance to succeed. It is an equal opportunity law. In the meantime, why don't you go to Greatclips and ask for a Hitler haircut.


Bye Bye--General Lee

 

[800Dog]

In a way you do. When a company who doesn't use bankruptcy as a way to compete has to compete with companies who do, it costs money for the non-bankrupt airline be it from employees who now have to negotiate their contract with the comparative effect of shredded contracts with employees from airlines who went thru bankruptcy or the more difficult position of having to compete with a competitor who was able to blissfully dump debt from the mismanagement of carrying too much debt or operating costs. The U.S. bankruptcy laws have destroyed the concept of Darwinism within business. To celebrate profits after dumping huge debt loads and shredding contracts and retirements is almost ludicrus and yes, it does harm to employees at truly succesful airlines.

Interesting. I said the same thing years ago before Delta filed for bankruptcy. Since deregulation, Delta has had to compete against many airlines operating under chapter 11. Just one of many reasons for Delta's trip through chapter 11.

 

[jonjuan]

Interesting. I said the same thing years ago before Delta filed for bankruptcy. Since deregulation, Delta has had to compete against many airlines operating under chapter 11. Just one of many reasons for Delta's trip through chapter 11.

And of course we'll never get the list of "truly successful airlines" from him anytime soon.

 

[ACL65PILOT]

It is simple, it is law, the law has been tweaked since DAL and NWA went in, but creditors KNOW what they are getting in to with airlines. Like I said, we pay interest on our credit. That is a fee or risk scale that the banks assign debt based on collateral that the note is back by, risk of default, and overall confidence in the corporation. These same credit institutions were trading DAL stock with it was worth nothing just to make a quick buck. They know the risk. Make no mistake banks and financial institutions make a ton of money off the airlines. Many times the initial capital outlay is peanuts versus what they get in fees and interest. DAL opted to make many of its creditors whole, many more did head and shoulders better than they did with the UAUA or LLC filings.

Who fails in the process is labor, because we do not have any collateral against the corporation or the capital in this instance. We are collateral, and a line item that the creditors want reduced. The last decade has proven that we have in the past been willing to take 50%+ hits in overall compensation and still show up to work and perform as professionals. Going forward, that may change, but last time there really was no upside for labor except to keep whatever paycheck they could maintain still getting deposited twice a month.

As for using the government, well, CH11 is one of many tools that corporations use to historically keep costs in check. With the law changes it will not be as liberally used.

 

[jonjuan]

I didn't realize pilots managed the airline. Mach 80 must be at the one where pilots come in on days off to make strategic management decisions.

 

[Voice Of Reason]

Great news!

So I guess Anderson will leave soon?

Listen to the earnings call.

RA has stated he is not going anywhere.

Yeeeah.... riiiiight....
:erm: