Delta Air Lines Exits Chapter 11 Stronger and Better Positioned for New Era of Competition
Monday April 30, 5:00 am ET
Lenders support Delta's emergence with $2.5 billion in financing
ATLANTA, April 30, 2007 (PRIME NEWSWIRE) -- Delta Air Lines (DAL - News) today is emerging from Chapter 11 positioned to compete aggressively around the globe with a best-in-class cost structure and balance sheet, a diversified global network, a renewed focus on the customer experience, and a workforce with a substantial financial stake in the company's future.
Following a successful and efficient 19-month restructuring, Delta has fundamentally transformed its business and is positioned to emerge as a top-tier performer financially and operationally. Among the company's restructuring accomplishments, Delta:
* Completed a comprehensive transformation plan one year ahead of
schedule, delivering $3 billion in annual financial improvements;
* Reported four consecutive quarters of operating profits, with $155
million in operating profit in the first quarter of 2007;
* Achieved the lowest mainline non-fuel CASM (excluding special items)
of the network carriers in 2006;
* Reduced the revenue gap with the industry - Delta's length of haul
adjusted PRASM was 95 percent of the industry average in the first
quarter of 2007 -- up from 87 percent for the same quarter in 2005;
and
* Is projected to reduce net debt by more than 50 percent, from $16.9
billion at June 30, 2005, to a projected $7.6 billion at the end of
2007.
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