Tag Archives: Airbus A220-100 (CS100 BD-500-1A10)

Delta to operate over 300 total daily departures from New York’s John F. Kennedy Airport (JFK) and LaGuardia Airport (LGA) this summer

Delta Air Lines made this announcement about New York City:

It’s been more than a year since COVID-19 brought New York City to a halt. Now, with vaccination rates on the rise and capacity restrictions for most public gathering spots lifting on May 19, the Big Apple is taking major steps toward recovery – and no airline is more ready than Delta to welcome customers back. Beginning this summer, the airline will operate more than 300 total daily departures from its hubs at New York’s John F. Kennedy Airport (JFK) and LaGuardia Airport (LGA) – more than any other airline*.

Delta’s domestic and international schedule at New York-JFK has rebounded significantly in 2021, with reinstated service to seven domestic markets including Charlotte, N.C.; Dallas/Ft., Worth, Texas; Cincinnati, Ohio; Indianapolis, Ind.; and Washington-Dulles, Va., all resuming within the past month. The airline also restarted flights from JFK to Iceland’s Keflavik International Airport on May 1.

Following the recent lift of entry restrictions into Italy, Delta will operate COVID-tested flights from JFK daily to Milan; three times per week to Rome, increasing to daily July 1; and daily to Venice beginning July 2. Daily nonstop flights to Athens, Greece, will resume May 28, and new nonstop service four times per week from JFK to Dubrovnik, Croatia, will begin July 2 for fully vaccinated travelers or customers who meet testing requirements. This is the first time Delta will operate flights to Croatia.

At New York-LGA, Delta will be the first airline to reinstate service to a number of key business markets including recently added Louisville, Ky. and Milwaukee, Wis. and growing to include Greensboro, N.C., Greenville, S.C., Omaha, Neb., and Birmingham, Ala. in June. New twice-daily flights to Toronto, Canada, will commence Aug. 5, with plans to boost to six times per day this fall as travel restrictions lift and transborder demand returns.

The future of travel through NYC

While the pandemic may have slowed travel, Delta’s work on major infrastructure projects in New York and elsewhere around the U.S. has sped up. At New York-LGA, construction on Delta’s brand-new, state-of-the-art terminal has progressed so quickly that the new arrivals and departures hall, the new roadway network and the second concourse will now open to customers next spring, followed by half of the third concourse next summer. This acceleration will now see the entire four-concourse terminal fully complete by the end of 2024, eighteen months earlier than originally planned.

A reimagined JFK is not far behind, as Delta recently agreed to revised plans with the Port Authority of New York & New Jersey and JFK International Air Terminal, the operator of JFK Terminal 4, to expand Terminal 4 and consolidate Delta’s operations there – a key step in the transformation of Delta’s global gateway at that airport.

*Based on May and June 2021 flights scheduled to depart JFK, LGA, and EWR, including flights operated by regional carriers.

Top Copyright Photo: Delta Air Lines Airbus A220-100 (CS100 BD-500-1A10) N124DU (msn 50043) IAD (Brian McDonough). Image: 950567.

Delta aircraft slide show:

Delta to launch nonstop service between New York-JFK and Houston on Airbus A220

Delta Air Lines is launching its state-of-the-art Airbus A220 aircraft on new flights between New York’s JFK International Airport and Houston’s Bush Intercontinental Airport this October, with customers enjoying best-in-class service on two daily flights connecting two of the largest business markets in the U.S.

For Houston customers connecting through JFK, the new service will provide one-stop access to international destinations such as Lagos, Nigeria; Dakar, Senegal; Accra, Ghana; and Tel Aviv, Israel.

Service will begin on Oct. 27, 2019, and will operate on the following schedule:

IAH

Departs IAH at 11:58 a.m. and arrives JFK at 4:22 p.m.
Departs IAH at 6:22 p.m. and arrives JFK at 10:45 p.m.

JFK

Departs JFK at 8:00 a.m. and arrives IAH at 11:19 a.m.
Departs JFK at 2:55 p.m. and arrives IAH at 6:14 p.m.

Delta has grown its presence in New York City by over 65 percent in the last 10 years and today operates more than 520 peak-day departures from its hubs at LaGuardia and JFK. The airline is JFK’s No. 1 carrier, offering more than 240 peak daily departures to nearly 100 worldwide destinations. The airline first unveiled its $1.4 billion, state-of-the-art international gateway at JFK’s Terminal 4 in 2013. Delta also continues to make significant investments to provide more consistency, comfort and convenience in the travel experience throughout all cabins of service on its flights to and from New York.

Service to Houston from JFK complements the five daily flights Delta currently offers between Houston and Delta’s other New York hub at LaGuardia. Those flights also are operated on the A220, which features a modern and spacious interior, and an elevated, customer-friendly onboard experience including:

Thoughtful innovations like high-capacity overhead bins, extra-large windows and full-spectrum LED ambient lighting.
The widest Main Cabin seats in Delta’s entire fleet in a two-by-three layout, with personal power ports and complimentary premium entertainment on individual seat-back screens.
A new First Class seat design in a two-by-two layout, featuring the largest IFE screens of any Delta domestic First Class seat.

Delta’s A220 debuted in February to rave reviews; Business Insider called the A220 “an absolute triumph.” The airline plans to add a total of 95 A220s to its aircraft fleet over the next four years.

Top Copyright Photo: Delta Air Lines Airbus A220-100 (CS100 BD-500-1A10) N113DQ (msn 50032) YMX (Gilbert Hechema). Image: 946573.

Delta aircraft slide show (Airbus):

Airbus celebrates delivery of its 12,000th aircraft – an A220-100 to Delta Air Lines

Airbus celebrated the delivery of its 12,000^th aircraft ever in its 50-year history. The aircraft was an A220-100, assembled in Mirabel, Canada and handed over to U.S.-based Delta Air Lines.

The aircraft is the 12^th A220 delivered to date to Delta Air Lines since the carrier received its first A220 in October 2018. The A220 started scheduled service with Delta in February 2019. Delta is the first U.S. airline to operate the A220 and is the largest A220 customer, with a firm order for 90 aircraft.

This milestone delivery of a Canadian-made Airbus aircraft to a U.S.-based airline highlights the growing presence of Airbus in North America. Since Airbus’ leadership of the A220 program became effective on July 1, 2018, ground was broken in January this year in Mobile, Alabama for the construction of a second A220 final assembly line, set to start deliveries to U.S. customers in 2020.

Airbus delivered its first aircraft, an A300B2 to Air France, back in 1974. Fast forward to 2010, Airbus handed over its 6,000^th aircraft, 36 years after its first. The pace continued to accelerate, taking Airbus just nine years to double that number, reaching 12,000^th Airbus aircraft delivery on May 20, 2019.

Above Copyright Photo: Delta Air Lines Airbus A220-100 (CS100 BD-500-1A10) N113DQ (msn 50032) YMX (Gilbert Hechema). Image: 946573.

Delta aircraft slide show (Airbus):

Delta inaugurates Airbus A220 service this morning

Delta Air Lines, Airbus and United Technologies Corporation this morning (February 7) celebrated the entry into service (EIS) of the airline’s first Airbus A220 aircraft powered by Pratt & Whitney GTF™ engines. The momentous occasion makes Delta the first A220 operator in North America. The event was commemorated with a gate celebration at LaGuardia Airport in New York.

In April 2016, Delta announced its order of 75 firm Airbus A220 aircraft with options for up to 50 additional aircraft powered by Pratt & Whitney GTF engines.

In January, Delta added 15 firm aircraft, increasing its total firm order to 90 A220 aircraft.

Delta also announced selection of the GTF engine to power its order of 100 firm A321neo aircraft in December 2017 with options for up to 100 additional aircraft. Additionally, Delta TechOps joined Pratt & Whitney’s growing MRO network which supports the GTF engine fleet and Pratt & Whitney customers worldwide.

The A220, exclusively powered by the GTF engine, offers double-digit improvement in operating costs compared to current generation aircraft. It’s 20% more fuel efficient and provides a 75% reduction in noise footprint and NOx emissions 50% below the ICAO CAEP 6 regulation.

Later Delta made this announcement:

PHOTO BY NOAM GALAI

Delta’s Airbus A220 has made its official debut — a moment years in the making for customers and employees across the airline.

In the early hours this morning, Delta flight 744 pushed back from the gate at New York’s LaGuardia Airport carrying customers for the first time on board Delta’s newest narrow body jet, the state-of-the-art A220-100.

(Photo by Noam Galai/Getty Images for Delta)

Terminal C was bustling with excitement as customers, employees and aviation enthusiasts gathered to celebrate the first flight’s departure.

(Cooper Neill / Getty Images for Delta)

Likewise, gatehouse festivities were underway this morning in Texas, where customers and employees eagerly awaited the morning’s first A220 departure from Dallas/Ft. Worth.

Outfitted with a state-of-the art interior, Delta’s A220 brings elements of international widebody travel to domestic routes for customers to enjoy at home.

Highlights of Delta’s A220 include:

109 seats total, including seating for 12 in First Class, 15 in Delta Comfort+ and 82 in Main Cabin
State-of-the-art interior featuring seat-back screens, 2Ku Wi-Fi and among the widest seats of any narrowbody aircraft
Thoughtful innovations like high-capacity overhead bins, extra-large windows and full-spectrum LED ambient lighting

Delta’s A220, which takes advantage of advanced technology and composite materials designed to deliver considerable improvements in fuel efficiency, is the latest investment in a fleet modernization program that aims to replace 20 percent of older, less-efficient aircraft by 2020.

Delta took delivery of its first A220 in October 2018, and recently announced an order for 15 additional A220s, extending its order book to 90 total aircraft.

Photo: United Technologies Corporation and Delta.

Delta reports fourth quarter and 2018 financial results

Delta Air Lines today reported financial results for the fourth quarter and full year 2018.

Highlights of those results, including both GAAP and adjusted metrics, are below and incorporated here.

Adjusted pre-tax income for the fourth quarter 2018 was $1.2 billion driven by over $700 million of revenue growth, allowing the company to fully recapture the $508 million increase in adjusted fuel expense and produce an 11 percent adjusted pre-tax margin. Adjusted earnings per share increased by 42 percent year over year to $1.30.

For the full year, adjusted pre-tax income was $5.1 billion, a $137 million decrease relative to 2017 as the company overcame approximately 90 percent of the $2 billion increase in fuel expense. Full year adjusted earnings per share were $5.65, up 19 percent compared to the prior year as the company recognized benefits from tax reform and a four percent lower share count.

“2018 was a successful year for Delta with record operational reliability, increasing customer satisfaction, and solid financial results in the face of higher fuel costs. Delta people are the foundation of our success and I am honored to recognize their efforts with $1.3 billion in profit sharing for 2018,” said Ed Bastian, Delta’s chief executive officer. “As we move into 2019, we expect to drive double-digit earnings growth through higher revenues, maintaining a cost trajectory below inflation, and the modest benefit from lower fuel costs. Margin expansion is a business imperative and we remain confident in our full-year earnings guidance of $6 to $7 per share.”

Revenue Environment

Delta’s adjusted operating revenue of $10.7 billion for the December quarter improved 7.5 percent, or $747 million versus the prior year. Total unit revenues excluding refinery sales (TRASM, adjusted) increased 3.2 percent during the period driven by healthy leisure and corporate demand offsetting an approximately 0.5 point headwind from unfavorable foreign exchange rates.

For the full year, adjusted operating revenue grew to nearly $44 billion, up eight percent versus prior year on an increasingly diverse revenue base, with 52 percent of revenues from premium products and non-ticket sources. Premium product ticket revenues increased 14 percent along with double-digit percentage increases from cargo, loyalty, and Maintenance, Repair and Overhaul revenue.

“Delta’s strong brand momentum was evident across the business with positive unit revenue growth in all geographic entities for the full year, a record revenue premium to the industry, and double-digit revenue growth from premium products and non-ticket sources,” said Glen Hauenstein, Delta’s president. “Our first quarter adjusted unit revenue growth is expected to be flat to up two percent including impacts from the timing of Easter, increasing currency headwinds, and the ongoing government shutdown.”

March Quarter 2019 Guidance

For the March quarter, Delta expects to deliver four to six percent total adjusted revenue growth and non-fuel unit cost growth below inflation.

Cost Performance

Total adjusted operating expenses for the December quarter increased $803 million versus the prior year quarter, with more than half of the increase driven by higher fuel prices and profit sharing.

CASM-Ex was down 0.5 percent for the December quarter 2018 compared to the prior year period, the strongest cost performance for the year. For the full year, CASM-Ex increased 1.4 percent, marking an important inflection in the company’s cost trajectory with increasing benefits from efficiency initiatives, Delta’s fleet transformation and strong performance from operating units.

Adjusted fuel expense increased $508 million, or 27 percent, relative to December quarter 2017. Delta’s adjusted fuel price per gallon for the December quarter was $2.42 which includes a 16 cent headwind from the Monroe refinery and inventory pre-purchases. For the full year, adjusted fuel expense increased $2.1 billion, or 29 percent versus prior year.

Adjusted non-operating expense for the quarter improved by $258 million versus the prior year, driven primarily by pension expense favorability and the DAL Global Services transaction (see below for more detail). For the full year, adjusted non-operating expense improved by $360 million versus the prior year.

“In 2018, we successfully returned to our long-term target of keeping non-fuel unit cost growth below two percent, with December quarter non-fuel unit costs declining 0.5 percent,” said Paul Jacobson, Delta’s chief financial officer. “With solid momentum from our fleet transformation and One Delta efforts, we have confidence in our path to one percent non-fuel unit cost growth in 2019.”

Cash Flow and Shareholder Returns

Delta generated $1.3 billion of adjusted operating cash flow and $45 million of free cash flow during the quarter. For the full year, Delta generated $6.9 billion of adjusted operating cash flow and $2.3 billion of free cash flow.

The company invested $4.7 billion into the business in 2018 including $1.3 billion in the December quarter.

This enabled delivery of 68 new aircraft in 2018, including five Airbus A350s and four Airbus A220s (below). The company’s ongoing fleet transformation is driving higher customer satisfaction, premium seat growth, and improved cost efficiency.

Above Copyright Photo: Delta Air Lines Airbus A220-100 (CS100 BD-500-1A10) N103DU (msn 50022) DFW (Brian Peters). Image: 944925.

Delta aircraft slide show (Airbus):

During the December quarter, Delta returned $563 million to shareholders, comprised of $325 million of share repurchases and $238 million in dividends. For the full year, Delta returned $2.5 billion to shareholders, comprised of $1.6 billion of share repurchases and $909 million in dividends.

Strategic Highlights

In 2018, Delta achieved a number of milestones across its five key strategic pillars.

Culture and People

• Received the Glassdoor Employee’s Choice Award for the fourth consecutive year, based entirely on input provided by employees, reiterating the importance of the Delta culture.

• Announced sustainability improvements including removal of a variety of single-use plastic items from Delta’s aircraft and clubs, eliminating more than 300,000 pounds in plastic waste annually.

• Contributed over $50 million to the communities we serve as part of Delta’s commitment to give back at least 1% of net profits to charitable organizations.

Operational Reliability

• Delivered 143 days of zero system cancellations across the combined mainline and Delta Connection operations on a full year basis, up from 90 days in 2017.

• Achieved industry-leading operational performance with mainline on-time performance (A14) of 85.7 percent for the year; and top legacy carrier baggage performance as measured in the latest Department of Transportation report.

• Recognized by FlightGlobal as the ‘Most On-time North American Mainline Airline,’ ‘Most On-time North American Network Airline,’ and ‘Most On-time International Mainline Airline.’

Network and Partnerships

• Continued Delta’s global and domestic expansion with the announcement of new routes in the December quarter including Boston-Edinburgh, Boston-Lisbon, Minneapolis/St. Paul-Mexico City, and Minneapolis/St. Paul-Shanghai, pending governmental approvals.

Customer Experience and Loyalty

• Debuted the first U.S. biometric airport terminal at the Maynard H. Jackson International Terminal in Atlanta, allowing customers flying direct to an international destination on Delta, Aeromexico, Air France-KLM, or Virgin Atlantic Airways to use facial recognition technology from curb to gate.

• Ranked as the No. 1 U.S. airline by the corporate travel community in the Business Travel News Airline Survey for a historic eighth consecutive year, sweeping all 10 categories.

• Experienced double-digit growth in co-brand spend, helping drive $3.4 billion of incremental value from Delta’s American Express relationship for the full year. New card acquisitions reached 1 million for the second year in a row and Delta expanded new SkyMiles Members by a record number in one year.

Investment Grade Balance Sheet

• Established a long-term leverage ratio target of 1.5x to 2.5x adjusted debt to EBITDAR, which should allow Delta to maintain investment grade ratings through a business cycle. At year end 2018, Delta achieved a 1.9x adjusted debt to EBITDAR ratio.

DAL Global Services Transaction

On December 21, 2018, Delta completed a transaction combining DAL Global Services (DGS) with a subsidiary of Argenbright Holdings. Delta retained a 49 percent equity stake in the combined company. As a result of the transaction, Delta recognized an approximately $90 million gain in non-operating expense in the December quarter.

For the full year 2018, DGS operations contributed four cents to Delta’s earnings per share, after adjusting for profit sharing. In 2019, Delta will recognize 49 percent of the combined entity’s income in operating expense. The year over year impact on earnings, margins, and non-fuel unit costs are expected to be immaterial. For guidance purposes, DGS revenues will be excluded in year-over-year calculations for unit and total revenue to reflect core revenue trends in the business. In 2018, DGS contributed approximately $60 million in revenue per quarter.

Lease Accounting

In the December quarter, Delta early adopted the new lease accounting standard. The new standard requires leases to be recorded on the balance sheet as lease liabilities with corresponding right-of-use assets. The effects of the new standard will be reflected as of January 1, 2018 by recasting prior quarters in the company’s 2018 Form 10-K. This adoption resulted in the recognition of approximately $6 billion in incremental lease liabilities and right-of-use assets on the balance sheet.

In addition, the adoption increased full year 2018 pre-tax income by approximately $50 million after adjusting for profit sharing, a six cent impact to full year earnings per share. The impact on the December quarter was immaterial and there is no year over year impact on 2019.

December Quarter and Full Year Results

Adjusted results were primarily impacted by unrealized gains/losses on investments.