Delta Q3 profit

[GogglesPisano]

Cha ching!



Delta posts 3Q profit on international strength


NEW YORK (AP) -- Delta Air Lines Inc. said Wednesday it posted a profit in the third quarter and expects to repeat that in the last three months of the year, as the global travel recovery is driven by international growth.

Delta, the leading U.S. carrier to Asia, made 54 percent more money from passengers on flights to and through Asia this summer than a year ago. It has added 12 new nonstop trans-Pacific routes since 2008. Sales from flights over the Atlantic jumped by 25 percent. Domestic and regional flight revenue grew the least, at 12 percent apiece.

The Atlanta company had net income of $363 million, or 43 cents per share, for the quarter. That compares with a year-earlier loss of $161 million, or 19 cents a share. Not counting one-time items, it recorded an adjusted profit of $929 million, or $1.10 a share.

Revenue rose 18 percent to $8.95 billion.

Thomson Reuters says analysts expected a profit of 94 cents per share on revenue of $8.82 billion.

Passenger revenue rose 19 percent on higher demand and ticket prices, while revenue from cargo shipments surged 28 percent on higher volume and prices. Higher baggage fees also drove results.

In premarket trading Wednesday, Delta shares were up 40 cents, or 3.4 percent, to $12.10.

 

[islandhoper]

Awesome! Congrats. It gives me a warm fuzzy feeling to see airlines using the black ink again.

 

[hockeypilot44]

Awesome! Congrats. It gives me a warm fuzzy feeling to see airlines using the black ink again.

Now we just need our pay rates and work rules again.

 

[Hamfighter]

How many years of "merger-related expenses" are there, and does it all go toward executive bonuses?
On another note...those RJs are really paying for themselves.


Special Items
Delta recorded special items totaling a $566 million charge in the September 2010 quarter, including:

• $360 million in primarily non-cash loss on extinguishment of debt;
• $153 million in costs related to the Comair fleet reduction; and
• $53 million in merger-related expenses.

 

[Hamfighter]

My bad, big bonuses were last year.



Delta recorded special items totaling a $212 million charge in the September 2009 quarter, including:

• $83 million in non-cash loss on extinguishment of debt;
• $78 million in merger-related expenses; and
• $51 million in severance and related costs.

 

[a10hogplt]

What a great job our newly elected ALPA President did for delta huh? Their contract sucks and they made almost a billion bucks. I guess being friendly to management really worked out well.......for management!!!

 

[Ex737Driver]

Doesn't it always?

 

[Baze]

Now Delta definitely has enough money to buy Alaska!

 

[FDJ2]

What a great job our newly elected ALPA President did for delta huh? Their contract sucks and they made almost a billion bucks. I guess being friendly to management really worked out well.......for management!!!

Yeah, $550M in equity for pilots, pay rate increases due to the merger (minimum of 18% by 2012), increases in DC funding, a relatively smooth merger and profit sharing based on the first dollar of pre tax income (note: not profit). All outside of section 6.

Childs play really. I'm sure USAPA can do better.

Still waiting on CAL/UAL. Hopefully they'll do well.

APA: How many years in section 6?

Few MEC Chairman have faced the same challenges Moak has. He entered office 2 weeks after DAL declared BK, 2 weeks later the company filed an 1113c to reject the contract, the Delta pilots fought hard to get a $2.1B claim (netted over $1.1B in cash for the pilots) for a 3 year concessionary contract valued at $325M/year. He inherited a gravely underfunded pension ($4.6B in liabilities w/ only $1.6B in assets), which was ultimately terminated, but the pilots received a $650M note (paid as cash) and the PBGC received a $2.2B claim (which increased PBGC payments through PC5 redistribution to all covered pilots), He led the fight to thwart Doug Parker's hostile takeover and he ensured that the pilots had a seat at the table during the DAL/NWA merger. He also engineered the first Joint Venture Protocol which is light years ahead of what anyone else is doing to protect the pilot's interests as globalization hits the industry through ever increasing open skies agreements and anti trust immunity.

Yeah, I think he's done relatively well given the challenges the Delta pilots have faced since October 2005.

 

[JohnQ]

What a great job our newly elected ALPA President did for delta huh? Their contract sucks and they made almost a billion bucks. I guess being friendly to management really worked out well.......for management!!!

Our contract blows away your no-duty-rigs-or-trip-rigs-since 1983 contract.