Category Archives: Delta Air Lines

Delta reimagines its main cabin service

Delta Air Lines has made this announcement:

Delta is raising the bar on hospitality as its reinvented international Main Cabin service officially takes flight. Designed to delight, the new service launching today worldwide* features thoughtful touches like welcome cocktails, hot towel service, bistro-style dining and more.

“How we make every customer feel across their travel journey is extremely important to us,” said Allison Ausband, Delta’s Senior Vice President — In-Flight Service. “That’s why our team designed this new service through the eyes of our customers – putting their ideas into action and giving them a delightful experience that exceeds their expectations. We want every customer, no matter where they sit on the flight, to know how much they’re appreciated.”

There’s more to the new service than meets the eye

Since the beginning, Delta has had a design team comprised of more than 20 flight attendants who’ve been leading the charge, rigorously testing and refining the service along the way to get it just right. The airline tested this service on more than 1,200 flights – making it the longest-tested service in Delta’s history.

The flagship service includes a multitude of thoughtful enhancements that are sure to delight customers throughout their long-haul flights, including:

  • A welcome cocktail to help settle in: Shortly after reaching cruising altitude, Main Cabin customers will be presented with a welcome cocktail to kick off the experience. For its first welcome cocktail, the airline landed on an Italian classic: the Bellini, a combination of sparkling wine and peach nectar. It’s globally known, fit for a celebration, and offers a subtle nod to Delta’s Georgia roots.
  • Bistro-style dining and elevated serviceware: During meal service, customers can select their choice of upgraded appetizers and larger entrees – mixing and matching much like they would while dining out. Standard meal trays will be replaced with more elegant, custom-designed serviceware made with 30 percent bio-based materials, featuring upgraded cutlery that ditches the plastic wrapper in favor of a new, sleek placemat for use on the tray table.
  • On-demand snacks, available for the long haul: In addition to the welcome cocktail and refreshed dining options, Delta is debuting a new anytime snack basket that will be available for guests after meal service. The basket will include a rotating variety of sweet and savory snacks, such as Cheez-It crackers, Tillamook cheese, OREOs, KIND Bars and the airline’s beloved signature Biscoff cookies.

“This is about rethinking the entire Main Cabin experience to wow our customers,” said Ron Walk, a Portland-based flight attendant and design team member who’s been involved in the service since the very beginning. “The thoughtful touches we’ve incorporated throughout are aimed at making connections with customers to show them how much they’re valued.”

Delta’s reinvented Main Cabin experience has already received rave reviews from customers – with increased customer satisfaction scores on the routes it’s been tested on over the past year.

*Including international flights scheduled for 6.5 hours or longer, plus select shorter international flights where Delta One or Delta Premium Select is offered.

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Delta’s first new concourse at LaGuardia opens; a milestone in $8B airport rebuild

Delta Air Lines has made this announcement:

Ten years ago, the idea of building a new LaGuardia – while keeping the existing airport running – seemed nearly impossible. But today, Delta unveiled its first new concourse at the airport, a 105,000-square-foot showpiece that signals the airline’s exciting future in New York.

On Monday, customers will walk for the first time into the bright and spacious concourse in what will become Delta’s Terminal C, marking a major milestone in the $8 billion transformation of the airport.

The opening of the first new concourse and seven gates at Delta’s new terminal, on the far eastern side of the airport, was celebrated at an event attended by New York Gov. Andrew Cuomo, Queens Borough President Melinda Katz, and representatives of the Port Authority of New York and New Jersey. Read the Port Authority’s press release.

Delta CEO Ed Bastian said, “Two years ago, we set out to build a state-of-the-art facility at LaGuardia Airport, an airport that our customers and the people of New York deserve. Thanks to the commitment and hard work of the Delta team and our many partners, today marks the beginning of a new era for millions of Delta customers at LaGuardia. The excitement that is building here is palpable and contagious, and we are already looking ahead to many more milestones to come.”

Gov. Cuomo praised Delta’s vision. “I remember when I got off the phone (with Bastian), I said I understood why this man is the CEO of Delta. This is a leader, this is a man with a vision, this is a man of courage, and he stepped up to the plate with one hand.

After cutting the ribbon at LaGuardia, the Delta team led by Chief Operating Officer Gil West marked the occasion by ringing the closing bell at the New York Stock Exchange.

This opening is the latest milestone in the complete rebuild of LaGuardia, which will provide a world-class passenger experience featuring modern customer amenities, state-of-the-art architecture, more spacious gate areas and a connected terminal system.

Customers will be welcomed into the new concourse by an open and airy entrance with innovative backlit 3D Delta supergraphic and floor-to-ceiling views of Citi Field, home of the New York Mets, and Flushing Bay.

“The opening of this concourse at LaGuardia represents not only a major milestone for Delta’s new terminal but also our continued commitment to our employees, our customers and our facilities here in this great state,” said Ryan Marzullo, Delta’s Managing Director – New York Construction. “We’re leaving our mark on an exceptionally high-profile project that millions of people will experience and enjoy as they travel to and from New York City for decades to come.”

Delta’s state-of-the-art concourse will feature dining from hospitality group OTG inspired by local favorites including H&H Bagels, Rossi Pizzeria (from Chef Mark Iacono of Lucali), Flatiron Tavern & Provisions (from chefs Jess Shadbolt and Clare de Boer of King), Birch Coffee, and Juice Press. The new gate areas provide more seating and ample outlets for charging devices, and respite spaces for passengers to rest.

When complete, the new terminal will feature 37 gates across four concourses connected by a centralized and streamlined check-in lobby, security checkpoint, and baggage claim; dual taxiways that will help reduce hold outs and taxi times; a new, larger Delta Sky Club with a Sky Deck; larger gate areas and more concessions space; and more efficient airport roadways.

At the new concourse, Delta has incorporated digital wayfinding signs to provide customers guidance and added hearing loop technology.

Delta at LGA

Delta operates more than 275 peak-day departures from its LGA hub and began construction on the $4 billion replacement of Terminals C and D in 2017, building on the airline’s extensive investment in New York airports over the past decade.

Delta Cargo partners with Roadie to become first U.S. airline to offer door-to-door parcel delivery nationwide

Delta Air Lines has made this announcement:

Shipping a parcel from your own front door could not be easier as Delta Cargo partners with Roadie, an Atlanta-based same-day delivery service, to launch DASH® Door-to-Door – an industry-first for a U.S. passenger airline. The 24/7 pick-up and delivery service, from your business or home, is now available from Atlanta to over 55 cities in the United States. The companies plan to expand the service to dozens more cities before the end of the year.

DASH Door-to-Door pairs TSA-approved drivers with air cargo to create the fastest cross-country door-to-door service available in the U.S., with competitive prices.
DASH Door-to-Door was created for time-critical shipments in industries including medical, manufacturing, automotive, industrial parts and more. When booking DASH Door-to-Door on deltacargo.com, customers can easily get a dynamic price quote, with a single booking for flights with pick-up/delivery, as well as end-to-end tracking and real-time status updates to provide customers with full peace of mind throughout the parcel journey.

With more than 150,000 verified drivers nationwide, Roadie already has the largest local same-day delivery footprint in the nation and reaches 89% of all U.S. households. Expanding that same-day footprint coast-to-coast is the next milestone in the company’s growth.

DASH Door-to-Door is for packages less than 100 pounds and less than 90 linear inches and is available to all customers. TSA Known Shipper status is required to ship packages over 16 ounces and a streamlined registration is available directly on deltacargo.com. DASH Door-to-Door is available 24/7 and has a limited money back service guarantee.

Since 2015, Roadie has been servicing Delta and its customers by expediting the delivery of delayed baggage, without sacrificing its high level of service for Delta customers. Since then, Roadie has expanded its service from 12 cities in 2016 to more than 70 this year, in major metros like San Francisco to smaller markets like Fort Lauderdale.

Delta Air Lines reports a third quarter profit

  • September quarter 2019 GAAP pre-tax income of $1.9 billion, net income of $1.5 billion and earnings per diluted share of $2.31 on record total revenue of $12.6 billion.
  • September quarter 2019 adjusted pre-tax income of $2.0 billion, adjusted net income of $1.5 billion and adjusted earnings per diluted share of $2.32, a 29 percent increase year over year.
  • Delta returned $468 million to shareholders through dividends and share repurchases.
  • Board of Directors declares company’s 26th consecutive quarterly dividend.

Delta Air Lines today reported financial results for the September quarter 2019 and provided its outlook for the December quarter 2019. Highlights of the September quarter 2019 results, including both GAAP and adjusted metrics, start on page four and are incorporated here.

September Quarter Financial Highlights

  • Adjusted pre-tax income increased $361 million, or 22 percent versus prior year.
  • Adjusted earnings per share were $2.32, a 29 percent increase year over year; Earnings per share and adjusted earnings per share reflect 6.5 percent top-line growth, 2.5 points of operating margin expansion and $1.4 billion of free cash flow.
  • Total adjusted revenue, which excludes refinery sales, grew 6.5 percent to $12.6 billion; Total revenue and adjusted total revenue are a new quarterly record, as the company served a record 55.2 million passengers in the quarter.
  • Total unit revenue, adjusted, increased 2.5 percent; Total unit revenue and total unit revenue adjusted increases were driven by healthy leisure and corporate demand and an approximate one point benefit from the amended American Express agreement.
  • Consolidated operating cost per available seat mile (“CASM”) decreased 2.1 percent compared to the September 2018 quarter, primarily due to lower fuel costs and higher capacity.  Non-fuel unit cost (CASM-Ex) increased 2.4 percent compared to the prior year period, driven by employee costs, record passenger volumes and weather.
  • Returned $468 million to shareholders, comprised of $208 million of share repurchases and $260 million in dividends.
  • Generated $7.5 billion of operating cash flow and $4.0 billion of free cash flow on a year-to-date basis, after investing $3.5 billion into the business, primarily for aircraft purchases and modifications.

“Our powerful brand and competitive strengths drove another quarter of great results for our people, customers and owners. Our people bring our brand to life on every flight and I’m pleased to recognize their outstanding efforts with over $1 billion in profit sharing accrued so far this year,” said Ed Bastian, Delta’s Chief Executive Officer. “Demand for the Delta product remains healthy, positioning the company for a strong close to 2019 with expectations for more than 20% earnings growth, over $4 billion in free cash flow and a 5th year of pre-tax earnings over $5 billion.”

December Quarter 2019 Outlook

For the December quarter, Delta expects to deliver solid top-line growth and operating margin expansion.  Year-over-year pre-tax margin is impacted by the one-time $91 million gain from the sale of the DAL Global Services business in the December 2018 quarter.

Revenue Environment

Delta’s adjusted operating revenue of $12.6 billion for the September quarter improved 6.5 percent, $771 million higher than prior year quarter. This revenue result marks a quarterly record for the company, driven by improvements across Delta’s business, including a nine percent increase in premium product ticket revenue and strong percentage increases in loyalty and third-party maintenance revenue.  Cargo revenue during the quarter declined 17 percent driven by lower volumes and yield.  Other revenue increased by $30 million as growth in loyalty and third-party maintenance was offset by $102 million lower third-party refinery sales. Premium products and non-ticket sources now comprise 52 percent of Delta’s total revenue.

Passenger Revenue by Geographic Region:

  • Domestic revenues grew 7.8% in the quarter on 3.2% higher passenger unit revenue (PRASM) and 4.5% higher capacity.  Domestic premium product revenue grew 11% and corporate revenue grew 8%, consistent with growth in the first half of the year.
  • Atlantic revenues grew 3.2% in the quarter on 4.9% higher capacity and a 1.6% decline in PRASM, driven almost entirely by foreign exchange rates.  Premium cabin performance continues to outpace main cabin, where non-U.S. point of sale demand has been impacted by uncertain economic outlook in the region.
  • Latin revenues grew 1.2% on a 3.6% increase in unit revenue and 2.3% lower capacity.  This revenue improvement was driven by continued double-digit unit revenue growth in Brazil and Mexican beach markets offsetting demand pressure from Hurricane Dorian.
  • Pacific revenues declined 4.6% in the quarter on 3.3% higher capacity and a 7.6% decline in unit revenues.  Unit revenue performance was pressured by weaker macroeconomics, trade uncertainty and a nearly one point currency headwind.

“With our outstanding operations and unmatched service, more customers are choosing to fly Delta every day.  Increased customer satisfaction is driving solid top-line performance — September quarter revenues grew to a record $12.6 billion and we expect December quarter revenues to grow more than five percent versus prior year,” said Glen Hauenstein, Delta’s President. “Strong demand and our customer-focused commercial initiatives are putting us on track to achieve a $3 billion increase in revenues this year, a pace of growth well in excess of GDP.”

Cost Performance

Total adjusted operating expense for the September quarter increased $345 million versus the prior year quarter, with 35% due to higher profit sharing expense.  CASM-Ex was up 2.4 percent for the September quarter compared to the prior year quarter.  This performance was driven by employee costs, record passenger volumes and the compounding effect of weather on the operation.

Adjusted fuel expense decreased $249 million, down ten percent relative to September quarter 2018.  Delta’s adjusted fuel price per gallon for the September quarter was $1.96, which includes a $49 million benefit from the refinery.

Adjusted non-operating expense for the quarter was $65 million higher versus the prior year quarter, driven primarily by pension headwind.

“We are making important investments in our people and facilities to drive sustainable growth in our business.  Unit cost performance in 2019 of approximately two percent is consistent with our long-term target,” said Paul Jacobson, Delta’s Chief Financial Officer.

Cash Flow and Shareholder Returns

Delta generated $2.2 billion of operating cash flow and $1.4 billion of free cash flow during the quarter after the investment of $814 million into the business primarily for aircraft purchases and improvements, and $150 million to support our strategic alliance with LATAM.  Year to date, the company has generated $7.5 billion of operating cash flow and $4.0 billion of free cash flow.

For the September quarter, Delta returned $468 million to shareholders, comprised of $208 million of share repurchases and $260 million in dividends.

The Board of Directors has declared Delta’s 26th consecutive quarterly dividend. The dividend of $0.4025 per share will be payable to shareholders of record as of the close of business on October 24, 2019, to be paid on November 14, 2019.

“With $7.5 billion in operating cash flow year-to-date, our strong cash generation sets Delta apart in the industry, and allows us to maintain consistent reinvestment in our business, an investment grade balance sheet and substantial cash returns to shareholders,” added Paul Jacobson, Delta’s Chief Financial Officer.

LATAM Airlines Strategic Partnership

On September 26, 2019, Delta announced plans to enter into a strategic partnership with LATAM Airlines.  Subject to customary conditions including regulatory approval, the company will invest $1.9 billion for up to 20 percent of the common shares of LATAM through a public tender offer at $16 per share, to be funded with newly issued debt and available cash.  In addition, Delta will invest $350 million to support the establishment of the strategic partnership, $150 million of which was paid in the September quarter.  Delta will also acquire four A350 aircraft from LATAM, and has agreed to assume LATAM’s commitment to purchase 10 additional A350 aircraft.

Delta expects that the transaction will be accretive to earnings per share over the next two years and that the transaction will not impact the company’s existing financial commitments to shareholders, including free cash flow and shareholder returns.

Strategic Highlights

In the September quarter, Delta achieved a number of milestones across its five key strategic pillars.

Culture and People

  • Rewarded Delta people through an additional $517 million in profit sharing accrual and paid $12 million in Shared Rewards, recognizing the performance of Delta’s more than 80,000 employees through a busy summer.
  • Certified as a Great Place to Work for the fourth consecutive year, with 92% of respondents proud to work at Delta and 90% wanting to work at Delta for a long time, emphasizing the importance of culture as a competitive advantage.
  • Announced a 4% base pay increase for eligible ground and flight attendant employees, rewarding the best people in the business for industry-leading performance.

Operational Reliability

  • Delivered 202 days of zero mainline cancellations and 115 days of zero system cancellations through the first nine months of the year, an improvement of 12% and 19% respectively versus 2018 (based on Delta internal reporting for flights scheduled systemwide).
  • Reached record completion factor through the September quarter on a system and mainline basis, with mainline completion factor of 99.79%.
  • Carried an all-time record 55.2 million customers in the September quarter, 6% more than prior year.

Network and Partnerships

  • Announced plans for a strategic alliance with LATAM Airlines, combining the strengths of the leading airlines in North and South America that together will be the strongest competitor in five of the top six Latin American markets from the U.S. and serve 435 destinations worldwide.
  • Increased equity investment in Hanjin-KAL, the largest shareholder of Korean Air, to 10% demonstrating the airline’s commitment to the success of its joint venture with Korean Air, which provides customers with seamless access to a robust trans-Pacific network.
  • Announced expanded trans-Atlantic service in 2020, including Boston to Rome, London-Gatwick and Manchester, broadening travel choices for customers across the Atlantic and offering the Delta One experience to customers on trans-Atlantic flights over six and a half hours in 2020.
  • Relocated to the new Satellite Terminal at Shanghai Pudong International Airport, creating a more seamless and convenient experience for customers, flying over 1,350 codeshare domestic flights per week to more than 40 cities across China.

Customer Experience and Loyalty

  • Debuted a refreshed portfolio of Delta SkyMiles American Express Cards, rewarding our customers in new and innovative ways to elevate the travel experience, with a variety of benefits ranging from double miles on restaurants worldwide, to Delta Sky Club access and one-time guest passes, to earning Medallion status faster.
  • Released the latest version of the Fly Delta app, providing customers with an improved travel experience through integrated security wait times in select markets, the option to pre-select meals in Delta One and domestic First Class, seat maps for all Delta and Delta Connection aircraft, and the auto-check-in feature on certain international routes.
  • Extended business traveler benefits for customers flying Virgin Atlantic and Aeromexico through Corporate Priority benefits, allowing better seat choice, priority boarding and priority service recovery, further removing seams in the travel experience.

Investment Grade Balance Sheet

  • Reported a 1.7x adjusted debt to EBITDAR ratio in line with our long-term leverage ratio target of 1.5x to 2.5x adjusted debt to EBITDAR, which is expected to allow Delta to maintain investment grade ratings through a business cycle.

September Quarter Results

Adjusted results primarily exclude the impact of unrealized gains/losses on investments.


 

Delta to launch nonstop Seattle/Tacoma – Tampa service

Delta Air Lines Boeing 737-832 WL N3739P (msn 30541) SEA (Michael B. Ing). Image: 947831.

Delta Air Lines has announced it will launch new daily service from Seattle-Tacoma International Airport to Tampa International Airport on March 11, 2020. ​

The flight will be operated on a Boeing 737-800 aircraft, featuring First Class, Delta Comfort+ and Main Cabin seating; free entertainment on seatback screens or a personal device through Delta Studio; Wi-Fi for purchase; and power accessible from every seat.

Seattle-Tampa service will operate on the following schedule:

Flight​ ​Departure Time ​Arrival Time
​SEA-TPA 7:40 a.m. ​ ​4 p.m.
​TPA-SEA ​4:45 p.m. ​8:15 p.m.

Delta’s overall winter service from Seattle to leisure destinations includes:

  • Larger Boeing 737-800 aircraft on flights to Las Vegas and Phoenix, offering 160 seats with seat-back entertainment on each flight with 16 first class seats, 36 Delta Comfort+ seats, and 108 Main Cabin seats
  • Five daily flights to four destinations in Hawaii, including Honolulu, Maui, Kona and Lihue
  • 11 flights each week to Orlando
  • Convenient flights to Mexico beach resorts, with daily service to Los Cabos, and four weekly flights each to Puerto Vallarta and Cancun
  • Expanded access to popular destinations in the southwest, with additional departures to Palm Springs, Calif., San Diego, and Tucson, Ariz.
  • New year-round service to Bozeman, Mont.*, with daily service from Dec. 21 through Jan. 5 and twice daily service starting January 6
  • New daily service to Tampa beginning on March 11

The winter and spring growth continue a trend for Delta in Seattle, where the airline grew by five percent this summer, primarily through larger aircraft on existing routes. Service from Seattle to destinations in the West region expanded through additional seats, with peak-day seats to Las Vegas, Los Angeles, Phoenix, San Diego and San Jose up 23 percent on average over summer 2018. Delta also launched its popular Airbus A220 aircraft on the Seattle-San Jose route and launched additional A220 routes this fall, while the new Airbus A330-900neo, featuring the airline’s next-generation Delta One Suite and Delta Premium Select cabin, debuted on Seattle-Shanghai in July and has since expanded to the Seoul-Incheon and Tokyo-Narita routes.

Delta continues to be Seattle’s fastest-growing carrier, having added nearly 100 new departures and more than doubled the number of peak-day seats offered since 2014. The airline launched service in April from Seattle to Osaka, its fifth destination in Asia and a significant addition to the Delta and Korean Air trans-Pacific joint venture partnership. The U.S. Department of Transportation recently reached a decision to award Delta five more slots at Tokyo’s Haneda Airport, with service from Seattle expected to begin in summer 2020.

Top Copyright Photo: Delta Air Lines Boeing 737-832 WL N3739P (msn 30541) SEA (Michael B. Ing). Image: 947831.

Delta Air Lines aircraft slide show:

Delta contributes to Global Citizen movement to end extreme poverty by 2030

Delta Air Lines has also made this announcement:

The multi-million dollar contribution will help power the movement to bridge the funding gap in the 59 poorest countries to reach the 2030 United Nations Global Goals for Sustainable Development.

Delta’s partnership with Global Citizen illustrates the airline’s commitment to connecting the world while making it better through environmental stewardship, diversity and inclusion, and community development.

The Delta Air Lines Foundation has made a generous multi-million dollar commitment to international advocacy organization Global Citizen‘s Global Goal Live, a year-long campaign to mobilize resources to end extreme poverty, address climate change and reduce inequality by 2030 as outlined by the 2015 United Nations Global Goals.

“Our commitment to the Global Citizen movement is born out of our determination to make the world better and more connected,” said Delta CEO Ed Bastian. “We’re looking forward to the opportunity to be part of this remarkable effort to end extreme poverty and improve the world around us.”

Bastian will co-chair Global Citizen’s private sector CEO Coalition, which also includes CEOs Chuck Robbins of Cisco, Hans Vestberg of Verizon, Alex Gorsky of Johnson & Johnson and Chief Marketing Officer Marc Prichard of P&G.

In addition to The Delta Air Lines Foundation’s contribution, Delta announced its partnership today at a press conference in New York City with representation from the worlds of entertainment, private sector, policy and philanthropy. Leaders from each sector promised increased efforts to mobilize the next generation of concerned global citizens and demand the attention of and secure commitments from world leaders, policymakers, NGOs and socially conscious corporations.

Delta’s partnership with Global Citizen illustrates the company’s commitment to connecting the world while making it better through environmental stewardship, diversity and inclusion, and community development. Delta and Global Citizen will join forces to activate the leading voices on the world’s most significant social and economic challenges while climbing toward a more sustainable future.

Global Goal Live is campaigning to bridge the $350 billion funding gap in the 59 poorest countries in time to reach the Global Goals through three focus areas: sustainability, gender equality and human capital. Delta has contributed significantly in these areas through its own work.

Delta to buy 20% of LATAM and form a new airline partnership throughout the Americas

Delta Air Lines has made this announcement:

  • Partnership brings together the leading airlines in North America and Latin America, connecting the Americas to the world as never before.
  • Together, Delta and LATAM will hold the leading position in five of the top six Latin American markets from the U.S.
  • Together, the partners will serve 435 destinations worldwide and carry more passengers between North America and Latin America than any other partnership.
  • Customers will benefit from significantly expanded travel choices across the Americas and an industry leading customer experience.

Delta and LATAM Airlines Group S.A. have announced that they have entered into a strategic partnership that for the first time combines the strengths of the leading airlines in North and Latin America.

The strategic partnership will unlock new growth opportunities, building upon Delta’s and LATAM’s global footprint and joint ventures worldwide, including Delta’s existing partnership with Aeroméxico. With their complementary networks, Delta, LATAM and their partners will be able to offer access to a greatly expanded array of worldwide destinations. Together, the partnership will provide greater customer convenience, a more seamless travel experience and better connect customers with the rest of the world.

LATAM's PR-XTG leased to Qatar Airways as A7-AMA on February 21, 2017

Above Copyright Photo: LATAM Airlines (Brazil) Airbus A350-941 A7-AMA (PR-XTG) (msn 079) MUC (Arnd Wolf). Image: 937262.

Additional details of the partnership include:

  • Delta will invest $1.9 billion for a 20 percent stake in LATAM through a public tender offer at $16 per share, to be funded principally with newly issued debt and available cash.
  • Delta will also invest $350 million to support the establishment of the strategic partnership.
  • Delta will acquire four A350 aircraft from LATAM and has agreed to assume LATAM’s commitment to purchase 10 additional A350 aircraft to be delivered beginning in 2020 through 2025, supporting Delta’s ongoing fleet transformation.
  • Delta will be represented on LATAM’s Board of Directors, further strengthening the relationship.
  • The tender offer and the strategic partnership are subject to customary closing conditions and all required governmental and regulatory approvals, including anti-trust immunity.

Delta expects that the transaction will be accretive to EPS over the next two years. In addition, the transaction will not impact the company’s existing financial commitments to shareholders, including free cash flow and shareholder returns. Delta also expects to remain within targeted leverage ratios.

For LATAM, the transaction will improve free cash flow generation, reduce forecasted debt by over $2 billion by 2025 and improve LATAM’s capital structure, enhancing its ability to execute its long-term strategy.

LATAM (Brazil) aircraft photo gallery: