Good news for Delta - but I've gotta wonder what this cost them. Nothing in life is free. From a Delta press release:
http://biz.yahoo.com/pz/060327/96251.html
Delta Air Lines Receives Lender Approvals for Amendments to Debtor-In-Possession Credit Facility
Monday March 27, 3:50 pm ET
Will Lower Annual Interest Expense By More Than $30 Million
ATLANTA, March 27, 2006 (PRIMEZONE) -- Delta Air Lines (Other OTCALRQ) today announced that it has received approval from the lenders of its $1.9 billion debtor-in-possession (DIP) credit facility to amend certain aspects of that facility. The amendments, among other things, will reduce Delta's interest rate on the three term loans making up this facility, resulting in annual savings of more than $30 million and will result in a reduction in the interest rate in Delta's post-petition financing from American Express Travel Related Services Company, Incorporated.
"We are pleased that our lenders have agreed to reduce the interest rate for our debtor-in-possession credit facility, which will result in significant cost savings for Delta going forward," said Edward H. Bastian, Delta's executive vice president and chief financial officer. "Another benefit of the revised DIP agreement is that it will provide us with additional flexibility to expand our fuel hedging program, which has already yielded tangible savings since reinstatement of the program in February 2006. We will continue to aggressively pursue opportunities to reduce costs as we seek to achieve the $3 billion in annual cost savings and revenue enhancements in our business plan."
http://biz.yahoo.com/pz/060327/96251.html
