Delta Air Lines (OTC Pink Sheets: DALRQ) is a major U.S. airline headquartered in Atlanta, Georgia, operating a large domestic and international network that spans North America, South America, Europe, Asia, the Middle East and the Caribbean. Although North American Airlines operates some scheduled services to Africa, when non-stop Delta flights begin in December 2006 to Dakar, Senegal (from where direct flights will continue to Johannesburg, South Africa) and Accra, Ghana, Delta will become the only major U.S. airline to serve that continent.
Delta operates hubs at Atlanta (the world's busiest airport)Cincinnati, New York-JFK, and Salt Lake City. Delta also has large operations in many other cities, including Boston, Fort Lauderdale, Los Angeles, New York-LaGuardia, Orlando, and Washington-Reagan. Delta is also the leading carrier in Florida. Its major international gateways are Atlanta, Cincinnati, Los Angeles, and New York-JFK[http://www.delta.com/about_delta/corporate_information/delta_stats_facts/index.jsp.
Delta currently has the largest route network "footprint" of any airline In terms of passengers carried (approximately 119 million in 2005)American Airlines). In terms of total operating revenues, Delta is the fourth-largest airline in the world (behind Air France-KLM, American Airlines, and United Airlines) Effective June 29, 2006, Delta (including its wholly owned subsidiary Comair, Inc.), served 240 domestic cities and became the first airline to host operations in all 50 U.S. states[http://news.delta.com/article_display.cfm?article_id=10142" target="_blank" >*. The airline also serves Puerto Rico, and the U.S. Virgin Islands, in addition to 95 countries.
Delta awards the annual Delta Prize for Global Understanding in conjunction with the University of Georgia.
As of 2006, the directors of Delta Air Lines are:
As of July, 2006, Delta employees numbered approximately 47,000.*
Separate regional airlines operate feeder flights, under brand-marketing and code share agreements, primarily to Delta hub cities under the Delta Connection banner. These airlines include wholly-owned subsidiary Comair, as well as independent carriers Chautauqua Airlines, Shuttle America (both subsidiaries of Republic Airways Holdings), SkyWest (a subsidiary of SkyWest, Inc.), Atlantic Southeast Airlines (a former Delta wholly-owned subsidiary acquired by SkyWest, Inc. in 2005), and Freedom Airlines (a subsidiary of Mesa Airlines). American Eagle, the regional subsidiary of American Airlines, operates some flights in southern California codeshared as Delta Connection flights.
In 1941, Delta moved its headquarters from Monroe to Atlanta, Georgia, to center itself along its new route network that connected Chicago and New Orleans to Florida and Ohio which would later become a Delta hub. In the 1950s, Delta began flights from New Orleans to the Caribbean and Venezuela, becoming the number 2 U.S. carrier in the region after Pan Am and Braniff. On May 1, 1953, Delta merged with Chicago and Southern to expand routes in the midwestern United States. In 1955 Delta introduced the "hub and spoke system" whereby flights are routed to a central point then sent out to other cities. By the early 1960s, Delta's route network stretched to the West Coast, and Dallas was emerging as its second hub city.
Delta was the launch operator of the DC-8, which began service in 1959, and the Convair CV-880 in 1960. The DC-8's graceful swept-wing design inspired Delta to come up with a new logo which incorporated a new red, white, and blue triangle logo (the "widget"). Just a few years later, Delta became the launch operator of the DC-9. By 1970, Delta was an all jet aircraft airline.
Delta purchased Northeast Airlines in 1972 to strengthen its market share in the northeastern United States. Through the purchase, Delta began its long Boeing 727 operation.
In 1973 the Lockheed TriStar entered service for Delta. Delta placed these aircraft in international service from Atlanta to London in 1978; Frankfurt was added the following year. Delta's fast growth showed in August 1979 when it became the first airline in the world to board one million passengers in one city in one month (Atlanta).
Delta launched its first frequent flyer program in 1981 which became the SkyMiles program in 1995. In 1982, Delta took delivery of their first 767-200, named the Spirit of Delta, which was paid for "by voluntary contributions from employees, retirees and Delta's community partners." The effort, called Project 767, was spearheaded by three Delta flight attendants to show the employees' appreciation to Delta for solid management and strong leadership during the first years following airline deregulation." The airplane remained the flagship of the Delta fleet until 2006, and was repainted in a commemorative paint scheme and toured the country to celebrate the airline's 75th anniversary in 2004. [http://www.bizjournals.com/atlanta/stories/2004/04/19/daily67.html
In 1984 the company established its Delta Connection partnership linking local "feeder" airlines that served mid-size population areas to Delta nodes. The same year, Delta began its first flight to Hawaii (Honolulu International Airport) with L-1011 aircraft. Also in 1984, Delta began to offer the nation's first public air-to-ground telephone system with Airfone, on the L-1011. Delta was named 'Official Airline of Walt Disney World' in 1986, and their official ride in the Magic Kingdom was Delta Dreamflight.
In 1987, Delta merged with Western Airlines of Los Angeles and absorbed its large hubs at Salt Lake City and Los Angeles. Through these acquisitions and expansions Delta became the fourth largest U.S. carrier and fifth largest world carrier.
In 1993 Delta established a codesharing arrangement among other airlines, giving the company access to more destinations. By 1997 Delta began large expansions into Latin America and in 1999 introduced the Boeing 777 into its fleet, greatly increasing possibilities to longer non-stop services.
Throughout the 1990s, Delta maintained a secondary hub at Portland for its Asia operations. In addition to regularly scheduled flights to Delta's primary hubs during this time (Atlanta, Cincinnati, Dallas, and Salt Lake City), several of Delta's flights to Asia were routed from Portland, using L-1011 and MD-11 aircraft. Destinations included Bangkok, Fukuoka, Nagoya, Seoul, Taipei, and Tokyo. Delta was one of the airlines targeted in the failed Operation Bojinka plot: the conspirators planned to bomb a Delta MD-11 flying from Seoul to Bangkok via Taipei on January 21, 1995. Today, all Asia operations from Portland have ceased, and Delta's Asia service is provided via Los Angeles and Atlanta.
In 1996, Delta carried the Olympic Torch from Athens, Greece where it was lit, to Los Angeles, CA for its traditional circuit to the Olympic Stadium in Atlanta, GA for the 1996 Summer Olympic Games. The torch was lit in Athens and was carried to L.A. still lit.
In 1999, Delta was a founding partner of the online travel agency Orbitz, which was purchased by Cendant in 2004.
2000 saw the creation of SkyTeam, a global alliance, initially partnering Delta with AeroMéxico, Air France and Korean Air. Three years later, Delta implemented the largest domestic codeshare alliance with Continental Airlines and Northwest Airlines, and SkyTeam is now the second largest airline alliance in the world. Currently, membership is made up of Aeroflot, Aeroméxico, Air France-KLM, Alitalia, Continental Airlines, Czech Airlines, Delta Air Lines, Korean Air, and Northwest Airlines. Delta also has codesharing agreements with Aeroflot, Air Jamaica, Avianca, China Airlines, China Southern, El Al Israel Airlines, Royal Air Maroc, South African Airways, and domestic partners Alaska Airlines, American Eagle, Continental Airlines, ExpressJet Airlines, Horizon Air, Mesaba Airlines, Northwest Airlines, and Pinnacle Airlines.
Delta's entire active fleet is now comprised of twinjets, and the airline is the world's largest operator of 767 aircraft.
Continuing Delta's fleet transformation efforts, the airline plans to retire four more aircraft types. According to a report by Aviation DailyDelta is planning to retire its Boeing 737-200, -300, 767-200, and MD-90 fleet. A more recent report by Dow Jones Newswires (article at [http://money.iwon.com/jsp/nw/nwdt_rt.jsp?section=news&news_id=dji-00078120050217&feed=dji&date=20050217&cat=INDUSTRY) states that Delta's previous CFO Michael Palumbo aimed to drop the Boeing 737-200, -300, and 767-200, with the fourth type undecided, being either the MD-88 or MD-90.
Replacement aircraft are currently unknown, although it is expected that the MD-88 or MD-90 will be replaced by a Boeing 737 family aircraft, probably the 737-800. However, in August 2005, Delta announced the 737-300s operating their Delta Shuttle services would be replaced by nine MD-88s from their discontinued Dallas hub and from Salt Lake City, with a consequent rise in capacity (14 seats per aircraft) and provision of premium services on those routes.
On September 7, 2005, Delta announced that it had struck a deal whereby Ohio-based ABX Air Inc. will purchase 11 Boeing 767-200 aircraft from Delta, adding to the one previously purchased through a similar arrangement made in July 2005. The new agreement calls for ABX Air to take delivery of six of the eleven aircraft in calendar year 2006, two in 2007 and three in 2008, with payment due upon the delivery of each aircraft. The total deal is worth $190 million. Delta donated the company's first 767-200, The Spirit of Delta to the Delta Heritage Museum. The Spirt of Delta was retired on March 3, 2006 after a farewell tour around the United States. After 2008, when through these arrangements all other 767-200 aircraft will have been sold, the two remaining 767-200s will be sent to the same desert storage location where the majority of the company's L-1011's are located.
On July 13, 2006, Delta signed an agreement with International Lease Finance Corporation to lease ten Boeing 757s currently operated by American Airlines and formerly by Trans World Airlines, which American Airlines intends to drop once the leases expire due to the fact that they use Pratt & Whitney PW2000 engines instead of Rolls-Royce RB211 engines *. Unlike most of Delta's 757s, the ex-TWA 757s are ETOPS-rated, which means that they can be used on routes such as from the West Coast to Hawaii, or on low-yielding transatlantic routes from John F. Kennedy International Airport in New York City.
On January 5, 2005, Delta introduced SimpliFares, a radical transformation of its fare structure, which cut its most expensive fares by as much as 50 percent nationwide and capped one-way domestic fares at $499 in coach class and $599 first class. However, due to continued high fuel costs, the company was forced to raise these fare caps by $100 in July, 2005, to $599 in coach class and $699 in first class. It also launched a system of "same-day confirmed" whereby for $25, a passenger is able to confirm a seat on a different flight instead of standing-by.
Also in 2005, Delta applied to serve a daily non-stop flight from Atlanta to Beijing, China starting in March, 2006, but rights were instead awarded to American Airlines operating from Chicago, and Continental Airlines out of Newark.
On August 15, 2005, in an SEC filing, Delta announced that it had finalized a deal to sell Delta Connection carrier Atlantic Southeast Airlines for $425 million in cash to SkyWest Airlines in an effort to obtain money to avoid bankruptcy. Analysts called the move a desperate one, estimating ASA's worth at around $700-$800 million — a price which SkyWest would not have been willing to pay.
On September 7, 2005, Delta announced that it would cut 26% of its flights at its Cincinnati hub and redeploy aircraft to its hubs in Atlanta and Salt Lake City. The move will ultimately eliminate up to 1,000 jobs in Cincinnati. In addition and in hopes of increasing profit yields, the airline announced further international expansion into Europe and Latin America.
As for its route network, Delta plans to alter its structure by reinforcing hub presence in Atlanta, Cincinnati, New York, and Salt Lake City, while at the same time increasing point-to-point routes, reducing domestic capacity by up to 20% while growing more profitable international route capacity up to 25%.
However, on February 24, 2006 Delta, along with Continental Airlines and FedEx, saw future operations to Venezuela severely affected by President Hugo Chávez's decision to restrict flights coming into that South American country from the United States *. As of March 23, 2006, U.S. and Venezuelan aviation authorities were able to negotiate a solution to their dispute, likely ensuring that Delta's operations to Venezuela will not be curtailed in the future.
On March 7, 2006, Delta announced expanded service from its prominent hub at New York-JFK. In addition to the expansion of mainline service at the airport, Delta will partner with Mesa Air Group to provide regional flights throughout the northeast under the Delta Connection banner. At the same time the airline announced an expansion to a number of new cities from its Salt Lake City hub like Bellingham, WA and Victoria, British Columbia among others.
On June 16, 2006, the airline announced that it would seek in bankruptcy court permission to terminate its pilot pension plan, a move similar to that taken by both United Airlines and US Airways as those airlines struggled to reorganize under bankruptcy protection.
Based on all of these new initiatives, Delta projects a return to profitability by late 2007, based on a crude oil price model of $66 per barrel, in contrast to other bankrupt carriers' restructuring modeled on $55 per barrel.
Former secondary hub:
Delta operates 1,632 flights per day*. Including pending and confirmed routes to Mexico, Central America, Africa and South America, Delta expects a 124% growth in the Latin American market, positioning the airline solidly as the #3 US carrier to and from Latin America.
In one of its more ambitious initiatives, on February 9, 2006, Delta announced its intention to expand to Africa, with non-stop flights from Atlanta to Dakar, Senegal and from Dakar to Johannesburg, South Africa *, and non-stop flights from New York JFK Airport to Accra, Ghana on June 19, 2006. This routing was approved by the United States government, making Delta the only major U.S. airline to offer non-stop service to Africa. In addition, by the end of 2006, Delta will be the only U.S. airline to serve Ghana, Greece, Hungary, Russia, Senegal, South Africa, Turkey, and Ukraine.
The average age of Delta's fleet, as of March 2006, was 13.1 years. However, this average age reflects the fact that Delta still flies one of the original Boeing 737 models (737-200); these aircraft are in the process of being retired and replaced with next-generation 737 aircraft (Delta's 737-832 fleet including orders and options). Excluding the 737-232 fleet, the average age of the airline's fleet is 11 years.
Among all airlines, Delta has the largest fleet of Boeing 767 aircraft. Delta is also the second largest operator of the McDonnell Douglas MD-80 (behind American Airlines) and the Boeing 757 (also behind American Airlines).
The Delta fleet below does not include Delta Connection aircraft. (However, the Delta Web Site states that CRJ aircraft is part of the Delta fleet.)
The Delta fleet as of March 31, 2006 from the Delta Web Site: *
| Type | Number | Seats | Routes |
|---|---|---|---|
| Boeing 737-200 | 24 | 100 (8/92) | Low capacity short-range domestic routes |
| Boeing 737-800 | 71 (50 on order) | 150 (16/134) | Medium- to long-range domestic routes, Caribbean |
| Boeing 757-200 | 121 | 183 (24/159) or 199 (0/199, ex-Song) | Medium- to long-range domestic routes Carribbean, Latin America, Atlanta-Florida routes |
| Boeing 767-300 | 24 | 252 (24/228) | High-capacity medium- to long-haul domestic routes, Latin America, San Juan, Puerto Rico, Atlanta-Florida routes |
| Boeing 767-300ER | 59 | 204 (36/168) | Most transatlantic routes, South America, Some domestic routes |
| Boeing 767-400ER | 21 | 285 (36/249) | High-capacity medium- to long-haul domestic routes, Hawaii, Some high-capacity transatlantic routes, Atlanta-Florida routes |
| Boeing 777-200ER | 8 (5 on order) | 268 (50/218) | High-capacity and long-range transatlantic routes, Transpacific routes, Occasionally on domestic routes |
| McDonnell Douglas MD-88 | 120 | 142 (14/128) or 134 (0/134, Shuttle) | Short- to medium-range domestic routes, Delta Shuttle |
| McDonnell Douglas MD-90 | 16 | 150 (12/138) | Short- to medium-range domestic routes (mostly out of SLC) |
Delta Air Lines was one of three carriers (American Airlines and Continental Airlines being the other two) to sign an exclusivity agreement with Boeing in the late 1990s. When Boeing acquired McDonnell Douglas, the European Union forced Boeing to void the contracts. However, both parties have been adhering to and intend to adhere to the terms under a gentlemen's agreement.
| Type | Year Retired | Replacement |
| Convair CV-880 | 1973 | Boeing 727-200 |
| Boeing 747-100 | 1976 | Lockheed L-1011 |
| Boeing 727-95 | 1977 | Boeing 727-200 |
| McDonnell Douglas DC-10-10 | 1977/1989* | Lockheed L-1011 / McDonnell Douglas MD-11 |
| Douglas DC-8 | 1988 | Boeing 757-200 |
| McDonnell Douglas DC-9-30 | 1992 | McDonnell Douglas MD-80 |
| Airbus A310-200/300 | 1994-96** | Boeing 767-300ER |
| Lockheed L-1011 | 2001 | Boeing 767-400ER |
| Boeing 727-200 | 2003 | Boeing 737-800 and, partially, Boeing 757-200 |
| McDonnell Douglas MD-11 | 2004 | Boeing 777-200ER and Boeing 767-400ER |
| Boeing 767-200 | 2006 | indirectly by Boeing 757-200 and Boeing 767-300 |
| Boeing 737-300 | 2006 | indirectly by McDonnell Douglas MD-88 |
Information on the Convair CV-880, Douglas DC-9-10, and McDonnell Douglas DC-10-10 were found in archives at the Delta Heritage Museum in Atlanta, Georgia.
Up until the late 1960s, Delta Air Lines operated a fleet of propeller operated aircraft, including among others, the Convair 340, Convair 440, Curtiss C-46 Commando, Douglas DC-3, Douglas DC-4, Douglas DC-6, Douglas DC-7, Fairchild Hiller FH-227, Lockheed Constellation, and Lockheed L-100 Hercules. The Curtiss C-46 Commando and Lockheed L-100 Hercules aircraft were operated as cargo aircraft.
Delta also is an airline partner of Skywards, the frequent flyer program for Emirates and Sri Lankan Airlines. Skywards members can earn miles for flying Delta, and vice versa.
On July 13, 1973, Flight 173, operated on a DC-9 airplane, crashed into a seawall at Boston's Logan International Airport, causing the deaths of all 83 passengers and 6 crew members on board. One of the passengers initially survived the accident but died in a hospital.
On the afternoon of August 2, 1985, Flight 191, on a Fort Lauderdale-Dallas/Fort Worth-Los Angeles route, crashed at Dallas-Fort Worth International Airport, killing 133 of the 167 passengers and crew on board due to severe microburst induced wind shear. The crash would later become the subject of a television movie. (Voice recorder)
On August 31, 1988, Flight 1141, bound from Dallas-Fort Worth International Airport to Salt Lake City International Airport, crashed after take-off due to improper configuration of flaps and leading edge slats. (Voice recorder)
On July 6, 1996, Flight 1288, experienced an uncontained engine failure during the initial part of its takeoff roll at Pensacola Regional Airport in Pensacola, Florida, causing pieces of the engine to penetrate the cabin, killing two of the 137 passengers.
Delta has not had a major incident since then.
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