delta air lines

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United and Delta Discussing Big Discounted Mileage Sales to Chase And American Express

by Gary Leff on April 13, 2020

Apr 13 2020

In the years following 9/11, as airlines struggled, and again during the financial crisis airlines pre-sold miles to their credit card partners at a discount in order to raise cash quickly. United and Delta each pre-sold miles, the former for about $500 million and the latter twice totaling about $1 billion. American did it too with Citibank. These ‘cheap miles’ paved the way for banks to offer big bonuses to consumers both for acquisition and for ongoing spend.

These conversations have started again as a way to raise cash.

Delta Wants Employees To Keep Virus Test Results Secret, While American Crew Raid Planes For PPE

by Gary Leff on April 10, 2020

Apr 10 2020

Delta Air Lines has instructed flight attendants testing positive for COVID-19 to “refrain from notifying” people they’ve worked with, and not to post to social media about it. Now they say they won’t punish anyone who violates their directive.

Meanwhile American Airlines flight attendants are reportedly resorting to raiding catering carts and emergency kits for masks and gloves.

How The Government Bailout Could Wind Up Unionizing Delta Air Lines

by Gary Leff on April 7, 2020

Apr 07 2020

Delta can’t take government money and furlough pilots. Without the ability to furlough pilots they can’t get pilots to agree to cuts. And pilots getting full pay while everyone else suffers is going to make it hard for Delta to make the case to other work groups to remain non-union.

Delta Sky Magazine Lays Off Its Entire Staff

by Gary Leff on March 30, 2020

Delta’s current inflight magazine Delta Sky launched in 2009. The magazine was outsourced, published by MSP Communications. It used Delta’s brand, was distributed on Delta aircraft, and Delta’s media team promotes it on the Delta.com website. It’s always been presented as Delta’s.

However writers were not Delta employees. Now they’ve lost their jobs.

Delta Reduces Ground Employee Pay 25% Through June, Places 17,000 Employees On Voluntary Leave

by Gary Leff on March 25, 2020

Mar 25 2020

Delta CEO Ed Bastian sent an internal memo to employees outlining the seriousness of the situation faced by the airline and the steps they’ve taken to date – and informing non-flying personnel that they’ll have their work days refused 20% – 40% through June, resulting “in a 25 percent savings in payroll over the next 90 days.”

Currently 17,000 employees – including 7000 flight attendants – are taking unpaid leave with benefits. This helps scale down the operation by “over 70 percent; parking more than 600 aircraft.”

Delta Eliminating Europe Flights, Parking 300 Aircraft, and Asking For Government Subsidies

by Gary Leff on March 13, 2020

Mar 13 2020

At the beginning of the week airlines knew the novel coronavirus impact on their business could be large, but no one was taking this as seriously as United. That’s changed. Delta has sent a memo to employees outlining unprecedented changes to their business in light of drying up revenue.

Delta’s CEO Ed Bastian says that they’re receiving more cancellations than new bookings, and that “the demand fall-off is unlike anything we’ve seen” as a result they are “moving quickly to preserve cash and protect” the airline.

How Delta Is Cutting Back As Travel Dries Up In The Current Environment

by Gary Leff on March 10, 2020

Mar 10 2020

Delta has suspended share buybacks and is reducing pension contributions. They have instituted a hiring freeze and are offering voluntary leave to employees with an eye towards reducing staff count through retirement. They are “[p]arking aircraft, and evaluating early retirements of older aircraft.”

They’re also starting to implement $500 million in capital expense reductions, and they’re cutting flights.

Delta Fires Back At Alaska-American Airlines Partnership With New Seattle Service

by Gary Leff on March 2, 2020

Mar 02 2020

Delta has announced new routes and flights out of Seattle showing that they aren’t going to take American’s re-invigorated partnership with Alaska Airlines lying down.

Competition is good, and has been great for Seattle residents since Delta and Alaska began their breakup and Delta built up their own hub at the Pacific Northwest airport. Delta will grow their Seattle service to 190 peak daily departures to 56 destinations for summer 2020, with new service coming beyond that as well.

Delta Will Start Offer Mileage Earning And Redemption On LATAM Starting April 1

by Gary Leff on February 27, 2020

Feb 27 2020

LATAM is the largest airline in South America. With Delta’s move to acquire 20% of the airline, LATAM is leaving oneworld and its planned joint venture with American Airlines to align itself with the Atlanta-based carrier.

News of Delta’s plan only came out in the fall, and they’re already launching reciprocal mileage-earning and redemption starting April 1.

Delta Air Lines Offers Reason To Be Optimistic About Coronavirus