Top News
India invited to OIC meet, Sushma Swaraj to attend  ||   RSS has now changed its stand from Ram temple to Kashmir: Sena  ||   Blast in Nepal's capital kills 1, injures 2  ||   Former NFL player travels cross-country with his dog  ||   Amazing way high schoolers embrace the new girl  ||   Oscars 2019: 'Green Book' shows Hollywood's blatant contempt for Italian-Americans  ||   BJP govt functioning in an 'autocratic' manner: Akhilesh in Allahabad  ||   Academy Awards, R. Kelly case, Warren Buffett letter: 5 things to know this weekend  ||   Modi govt doesn't want to accept there is 'job crisis': Rahul Gandhi  ||   Bengaluru: 100 cars gutted in fire near venue of Aero India show; display suspended  ||   Delhi court defers hearing on separatist leader's bail plea till April 2  ||   'Abused' Saudi sisters trapped in Hong Kong risk deportation  ||   Journalist from Kashmir beaten up; one arrested  ||   Meeting with Xi on cards, says Trump amid high-level trade negotiations  ||   100 cars gutted in fire near venue of Aero India show; display suspended  ||   Razzies 2019: 'Holmes & Watson' wins worst picture, Donald Trump gets multiple awards  ||   Siena freshman guard Jalen Pickett excelling in MAAC  ||   George hits winner, scores 45 as Thunder beat Jazz in 2OT  ||   Burke helps UCLA rally from 22-down to stun No. 2 Oregon  ||   Laine scores 2 goals, Jets beat Golden Knights 6-3  ||            

Delta: $2B higher fuel cost this year forces more expensive fares, less service  7 Months ago

Source:   USA Today  

Bracing for $2 billion in higher fuel costs this year, Delta Air Lines expects to raise fares and trim service, executives said Thursday.

The airline has already offset two-thirds of the nearly $600 million in higher fuel cost during the second quarter, CEO Ed Bastian told investment analysts during an earnings call. Average fares are up 4 percent from 2017, he said.

“While this is good progress, there is still more to be done,” Bastian said.

The carrier plans to reduce its capacity up to 1 percentage point through the end of the year, according to President Glen Hauenstein.

About 70 percent of capacity growth this year has come through the larger planes, such as Boeing 737-900 and Airbus A321 planes replacing MD-88 aircraft, and the length of flights, executives said. Delta may be the only major carrier whose total departures will be lower this year than last, Bastian said.

“I think we’re very prudent as to how we’re thinking about capacity,” Bastian said. “We are continuing to look for opportunities to reduce marginal flying in a higher fuel environment.”

But executives were cagey about where service would be reduced.

“Well, I have a dart board in my office,” Hauenstein said to laughter on the call.

Actually, teams of analysts work every day to scrutinize competitive dynamics of markets, opportunity costs of flights and even the times of day, Hauenstein said.

More News
About Us Terms & Conditions Disclaimer
Advertise Contact
register and win

NRIS.COM is one of the premier NRI website that provides a range of resourceful services to Indian expats residing in the USA. Visiting the site you will find comprehensive information related to restaurants, casinos, pubs, temples, carpool, movies, education, real estate, and forums. The simple and easy to navigate format allows NRIs to gain information within a fraction of a second. Moreover, advertising through its column of Indian free classifieds in USA allow businesses to improve visibility of their brand.

PA NRI's Chat (0 Users Online)