 |
| Delta Air Lines |
| Annual revenues: | $19,154m | | Annual operating profit: | $1,096m | | Annual net profit: | $418m | | Operating profit margin: | 6% |
(Figures are from the period of JAN07-DEC07 in U.S. dollars.)
| Fleet: | | | Type | Number in Fleet | | B737-700 | 6 | | B737-800 | 73 | | B757-200 | 137 | | B767-300 | 80 | | B767-400 | 21 | | B777-200 | 16 | | DC-9-90 | 16 | | MD-88 | 120 | |
For more detailed fleet information, visit www.ch-aviation.ch
Strengths and opportunities:
- Atlanta arguably the best hub in America... and Southwest not even on the property
- Merging with Northwest to create the world's largest airline
- Northwest's route network will provide access to broader Asia and a Tokyo hub
- Managed to significantly lower its cost structure and debt while in bankruptcy; terminated pilot pension plan
- Key SkyTeam member with strong links to Air France/KLM
- Deep European network from both New York JFK and Atlanta; adding longhaul routes to underserved regions like Africa and the Middle East
- Pilots the only major unionized work group; relatively good employee relations
- Lowering distribution costs
- Large frequent flier plan with big base of corporate traffic
- Salt Lake City hub situated in fast-growing region
Weaknesses and threats:
- Merger-related headaches could include higher labor costs; already promised higher compensation to unions
- Cincinnati hub under pressure given its small relative size and competing Midwest hubs
- New York JFK hub hurt by limited domestic feed, high airport costs, competition from Newark and aging facilities
- Exposed to a longhaul downturn
- Has large fleet of older gas-thirsty planes like B767s and MD-80s
- Tough competition from AirTran in Atlanta
- Many of its workers earning at high ends of the seniority-based wage scales
- Atlanta not much of tourist draw; local market growing fast but smaller than Chicago and Dallas
Financial data is sourced from company reports. The strengths and weaknesses are based on an analysis by Airline Weekly's editors. Information provided on airlineweekly.com is for general informational purposes only and should not be construed as investment advice.
|
|
|
|
|
------ advertisements ------ 
|
|
