Delta Chap 11 Rumor

[bart]

Heard on WSB 750 AM (Atlanta News Station) driving home tonight that Delta is rumored to file Chap 11 in the coming weeks. Anyone else hear anything of this?

 

[bart]

Looking at the rest of the board, I guess I should have made this a poll...

 

[Vladimir Lenin]

shoulda posted on our cousin network, The 700 Club of Flight Info, also known as "My airline can beat up your airline" forum

none other than the Majors

 

[DaveGriffin]

How good at playing a serious game of "chicken" is the DMEC?

The senior guys have more to lose in a Chapter 11 filing than negotiations. I bet they end up negotiating the concessions that DL will accept to avert bankrupty.

 

[bart]

Yeah that would be a good idea, we could all hear about "hold the line" and "it is just a ploy".

The fact is they will run out of cash, it is just a matter of when. They are earnings and cash flow negative and have been for a couple of years. The trend line does not look good without cutting some overhead and operating cost or boosting revenue by 15 or 20 %.

 

[bart]

I don't know if just getting wage concessions from the pilots is going to do it.

 

[JJJ]

Ask a Hawaiian pilot about taking consessions in order to avoid BK.