Delta books first loss in more than five years and plans to halve $100 million-a-day cash burn amid coronavirus travel slump

Delta said it plans to halve its cash burn rate to $50 million a day by the end of the second quarter.Financial results of Delta and other carriers are expected to worsen in the second quarter.

The Atlanta-based carrier's revenues plunged 18% in the first three months of the year to $8.6 billion. CEO Ed Bastian said second-quarter revenue will likely fall 90% from the same period of 2019 and forecast a long recovery, telling employees that the airline will be smaller in the future. The carrier burned through $100 million a day at the end of March, a rate it expects to halve by the end of the second quarter.

"The decade of work we put into the balance sheet to lower debt and build unencumbered assets has been critical to our success in raising capital and we expect to end the June quarter with approximately $10 billion in liquidity," Delta's CFO Paul Jacobson said in a release.

That's ok. To everything there is a season

Air lines should be Halted

The airlines had better start taking half the seats out of each plane if they ever want anyone to fly again

Waaaa, capitalism is great! Maybe should have saved a few bucks Richy!?! Where’d all my checked bag fees go?

Karma for the way the airlines treated the economy class.

No kidding. If a planes flys over head you would think it is Aliens. Have not heard one in over a month 👍

You see? The earth defends itself. We were hurting it and it created a virus.

SirChandlerBlog diazpez

More cleanliness on airlines please

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Delta books first-quarter loss after burning $100 million in cash a day during coronavirus travel slumpAir travel demand has plummeted during the coronavirus pandemic. “We’re operating right now at less than 5% of a normal passenger load,” Delta CEO Ed Bastian says. We could be following the Swedish model and avoiding all of this.... Look up flights , more expensive now There is a bit of karmic payback for the industry after years of removing capacity artificially to increase price + adding ever more seats. Now, 5%.
Source: CNBC - 🏆 12. / 72 Read more »