Delta PERP out

[ACL65PILOT]

No he is actually very well spoken and fairly well connected.

I know that there is some very bad info out there. I am just not sure of the validity of it. It comes from a good source, but not one that knows everything that is going on. Picture will change here shortly.

 

[propdog]

I know that there is some very bad info out there. I am just not sure of the validity of it. It comes from a good source, but not one that knows everything that is going on. Picture will change here shortly.

So is the good news (ref: July 15th "announcement") going to be replaced by some bad news now?

 

[ACL65PILOT]

Nope, that is not what I was saying. I am saying that there is some bad news out there. As has been stated they cannot take furloughs off the table. He is connected and I know where this bad news came from. My next statement is that not everyone was privy to the other "good" information, hence his statement that the bad news will be on its way shortly.

The news that was leaked to come out, was not necessarily planned for the 15th. If you know DAL we will be happy to see it by the end of summer. Most are saying the end of the month, but the fact is that the deal is almost done, and it will be good for the pilots of Delta Air Line, Inc.
Does this mean that we will not furlough, NO!!!!!

I still think that long term DAL will shrink and we will see around a 11K pilot group. For you of those that are counting, that is about 1000 less than we will have after all of those retire. I do not think that they will furlough to get to this, if in fact that is their desire.

There are a few forks in the road ahead. If we choose one path, it will mean shrinking, but if we choose the other, it will be mean growth and hiring. Which one Delta chooses, all depends on the next 18 months and which players are left.
There is growth out there, but making that growth possible depends on who continues to limp along with a mortal wound.

As stated no furlough plans are immanent. Next fall maybe if we do not see any kind of recovery. The added benefit is that if the contractual layers remain, the penalties for the company furloughing make it very difficult to do so for under three if not four years. The dead break even with out cositng out the loss of six seats in each 76 seat jet is 22 months. If you add that to it, that number goes up greatly, as those seats make more money for DAL than what they pay each of those pilots. Hence the decision not to furlough.

 

[propdog]

Thank you for the detailed response. You are right. With the industry about to shake itself out, we'll all have to wait to see where this road leads. I wonder if Larry stepped down at CAL to make way for a merger?!

 

[Superpilot92]

http://www.marketwatch.com/story/delta-gets-an-outperform-rating-at-raymond-james

Delta gets an outperform rating at Raymond JamesExplore related topics
Airlines Delta Air Lines Inc Story

NEW YORK (MarketWatch) -- Brokerage firm Raymond James initiated coverage of Delta Air Lines Inc. /quotes/comstock/13*!dal/quotes/nls/dal (DAL 6.09, -0.03, -0.50%) on Friday with an outperform rating, citing the company's recent merger with Northwest, its equity and a potential industry-wide recovery next year. "We are now 20 months into the current recession, and fuel prices, while volatile, remain substantially lower year-over-year," the firm said in a note. "We are inclined to be positive on airline stocks with sufficient liquidity, with an eye toward recovery in 2010." Raymond James gave Delta stock a 12-month target price of $8. Shares of Delta last traded at $6.08, down a fraction