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Ezra
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What is Delta Doing?

Tue Mar 30, 2021 3:38 pm

In the year+ of pandemic, we've seen almost all of the large US airlines make some big strategic moves: America, United, JetBlue, and Southwest have all announced new services, foci, partnerships, etc. Yet Delta has been relatively quite throughout all of this, save some adds from hubs to outdoor/leisure destinations. I'm guessing this is a strategy and that they're keeping their powder dry for something they must see coming, but at this point the differences between tactical approaches are becoming apparent and I'm wondering what others on this board suspect regarding DL's strategic intentions?
 
Antarius
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Re: What is Delta Doing?

Tue Mar 30, 2021 4:05 pm

DL managed to destroy billions due to unfortunate timing and COVID. They were flying high after the coup with LATAM, but due to COVID and bankruptcies, all their investment partners AM, VS, LA etc. Are bankrupt.

They were on a dominant path, but COVID has completely changed that outlook.
Militant Centrist
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ContinentalEWR
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Re: What is Delta Doing?

Tue Mar 30, 2021 4:13 pm

Antarius wrote:
DL managed to destroy billions due to unfortunate timing and COVID. They were flying high after the coup with LATAM, but due to COVID and bankruptcies, all their investment partners AM, VS, LA etc. Are bankrupt.

They were on a dominant path, but COVID has completely changed that outlook.


I'm not sure I'd agree (and I am not a DL fanboy). They certainly had bad timing (the LATAM investment could actually have been pushed off) and they've not made too much of a focus on building up focus cities except for AUS and RDU. They have smartly blocked the middle seat for a long time, and that was a strategic move that allowed them to charge a premium and firm up yields (it wasn't done to make Delta look like it cared about their customer's health). Their focus seems to be on building out and preserving where they want to continue to grow, which is NYC (JFK/LGA), LAX, BOS, SLC, and SEA, plus the two focus cities. MIA seems to be a bit less of a priority for now given the diluted yields on the domestic routes they'd want to fly amid everyone from the ULCCs, WN, and B6 trying to nip at AA's fortress there.

I wouldn't count them out. Just because they're not making the bold moves that AA, UA, WN, and B6 are (and all the noise that comes with it), does not mean that they're not being strategic. DL remains the best managed US carrier by a long shot and likely will continue to be the industry's bell weather through the pandemic and beyond.
 
ScottB
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Re: What is Delta Doing?

Tue Mar 30, 2021 4:19 pm

I suspect that DL management was fairly happy with the direction of its strategic plan prior to the pandemic and is waiting to see where the chips fall. They're dominant in ATL/DTW/MSP/SLC, and these hubs print money in normal economic times. They were well-positioned in NYC and have accelerated their terminal projects at both LGA and LAX.

Delta is going to be somewhat constrained by fleet in the medium term as they retired the MD-80s, MD-90s, 777s, and 73Gs in 2020 and currently plan to eliminate the 763s, 717s, and CR2s by YE 2025. That can probably be stretched out if need be, but they're still going to be a much smaller airline than they were in 2019 unless they go on a big buying/hiring spree.
 
Antarius
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Re: What is Delta Doing?

Tue Mar 30, 2021 4:30 pm

ContinentalEWR wrote:
Antarius wrote:
DL managed to destroy billions due to unfortunate timing and COVID. They were flying high after the coup with LATAM, but due to COVID and bankruptcies, all their investment partners AM, VS, LA etc. Are bankrupt.

They were on a dominant path, but COVID has completely changed that outlook.


I'm not sure I'd agree (and I am not a DL fanboy). They certainly had bad timing (the LATAM investment could actually have been pushed off) and they've not made too much of a focus on building up focus cities except for AUS and RDU. They have smartly blocked the middle seat for a long time, and that was a strategic move that allowed them to charge a premium and firm up yields (it wasn't done to make Delta look like it cared about their customer's health). Their focus seems to be on building out and preserving where they want to continue to grow, which is NYC (JFK/LGA), LAX, BOS, SLC, and SEA, plus the two focus cities. MIA seems to be a bit less of a priority for now given the diluted yields on the domestic routes they'd want to fly amid everyone from the ULCCs, WN, and B6 trying to nip at AA's fortress there.

I wouldn't count them out. Just because they're not making the bold moves that AA, UA, WN, and B6 are (and all the noise that comes with it), does not mean that they're not being strategic. DL remains the best managed US carrier by a long shot and likely will continue to be the industry's bell weather through the pandemic and beyond.


I dont mean to imply that I'm counting them out. Just that they took a big hit on their plans due to the bankruptcies and planned reliance on these partners.

They're still extremely well run
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Rajahdhani
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Re: What is Delta Doing?

Tue Mar 30, 2021 5:22 pm

To Delta's credit, and yours (in the last question):

https://www.marketwatch.com/story/this-is-the-one-airline-thats-still-blocking-middle-seatswhy-it-matters-11616776599
Delta is now the only major airline blocking middle seats on all domestic flights through the spring. It’s led the charge in promoting health-conscious policies and has offered some of the most generous change and cancellation policies in the industry. In short: Delta clearly prioritized customer satisfaction over short-term profits.

Now, as travel optimism begins to return, the questions loom. Were airline passengers paying attention to Delta’s friendly policies? And will they return the favor with their airfare dollars?
 
PHLspecial
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Re: What is Delta Doing?

Tue Mar 30, 2021 5:29 pm

I mean isn't Delta suppose to stick to Hub and Spoke flying? That is their main strategy. Hey they got lucky bailed out for there investments into Latam so yeah. Why change the formula, since half of Anet thinks point to point flying won't last. I mean Delta biggest asset is ATL so they will use it, I guess its has more benefits to route through their hubs instead of point to point flying.
 
Tiredofhumanity
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Re: What is Delta Doing?

Tue Mar 30, 2021 5:50 pm

ContinentalEWR wrote:
MIflyer12 wrote:
Bold moves by AA? What would those be? Here's my list:

- parting out BOS and JFK flying to the country's # 6 carrier, an LCC with premium cabins on just ~20 planes. That'll be good for the AA brand.

- shrinking in LAX leaving DL #1, the country's 2nd largest O&D market (see LAWA stats for Jan + Feb '21)

- letting AS handle domestic at SEA, about the country's 10th largest O&D market, and announcing a few long-haul flights, some of which don't even have start dates

That's retreat, not growth. Ask UA veteran execs how 'shrink to profitability' worked for them in the 200xs.

DL needs to demonstrate it can still operate on-time, with reliability and good baggage handling. It needs to show it can still earn a fare premium. DL has announced the fleet moves to be an airline with F or J, Y+ and Y on every DL and DL Connection flight. No other U.S. carrier has announced that path.


Well, for now, AA retains the top spot in terms of market share at LAX and that's only likely to grow with AS in OW. AA isn't parting out flying to B6 in BOS or JFK. It is simply leaning on a partner airline to do the flying it cannot do on its own given slots and cost issues. AA doesn't need to get big in SEA to be relevant. The start date of the LHR, BLR, and PVG routes, though dubious, are changing due to COVID and that's to be expected.

DL is a very well run airline and will remain the industry's leader. They will have to look at some things though including JFK to LAX/SFO which are being flown on increasingly dated planes with dated cabins and will be less competitive than B6/AA and UA on soft product.

AA hasn't been shrinking. If anything, they've been growing throughout COVID (whether that is smart or not is still debatable) but by May 1, the entire fleet that remains will be back in service, so that doesn't suggest shrinking.


To be fair - didn't they move the D1 752's to JFK-SFO to replace the 763's?

These are sone of the youngest 757's out there.
 
PSU.DTW.SCE
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Re: What is Delta Doing?

Tue Mar 30, 2021 5:55 pm

A few things come to mind, and I know I'm going to miss a few things, but here are my thoughts:

AA has arguably been the most bold during the past 12 months with some of the various partnerships / codeshares. They've also been the most vocal / splashy about what they are doing. I suspect many of these were in the works or preliminary phases pre-COVID, but like a lot of things, the business case and catalyst for changes was accelerated.

B6 & AS stuff has been really more or less tied to the partnerships with AA. B6 is really still struggling since the core of its network (NYC & BOS) is in areas that have been the slowest to see demand recovery so far during the pandemic.

WN has really been interesting more or less for their rapid entry into new markets, and markets they may not typically have entered in the past. But, you have to realize many of these were likely to happen at some point, or they would've liked to have gotten into them sooner but have been fleet constrained.

UA really hasn't done a ton other than re-enter JFK.

Everyone to some extent has announced new routes (and in some cases new markets) in how they perceive were demand recovery is most likely to occur in 2021. Some of this really only possible because they have so many idle resources to throw at these markets with business and international travel down for most of the year. Some of it is purely dart-board stuff, some of it is so minor (like Sat-only service for a 6 week period in peak summer), some of it would never meet the hurdle rate in normal times. But these aren't normal times. I am skepitcal of many of these seasonal summer leisure adds in some markets particularly places like JAC that are highly constrained by lodging in peak summer and its not like throwing a bunch of new air service into these places changes that dynamic.

I think DL's strategy has been a bit different.
1) Preserving their core hubs and coastal gateways
ATL, MSP, DTW, SLC as the core hubs were they have a commanding control over the O&D, will control corporate travel when it recovers, and they own the traffic willing to pay a revenue premium. These markets, and disproporately ATL are what fund the airline.
NYC, SEA, LAX, and to a lesser extent BOS were they want to maintain the prescence both domestically and for their Skyteam JV partners.

All of this stuff is table-stakes, not going anywhere and DL is going to rebuild capacity in these markets at demand recovers

2) Using the pandemic as a way to take structural cost out of the airline
- Fleet reduction/retirements/simplification - removing the MD88, MD90, 77E, 77L, 73G and all the complexities (e.g., pilot training, parts, engine types) associated with sub-fleets
- Early out retirements

3) Trying to maintain yield premiums and costs during the pandemic
- Middle seat blocking
- Aggressive cost-reduction efforts (e.g., reduction in in-flight service)
- Aggressive at parking a massive number of airplanes, and arguably the slowest and bringing them back into service
- Relying upon future aircraft deliveries to rebuild capacity that was structurally removed over the past year

If anything, it seemed that DL was taking a bit of the opposite approach than AA and using the pandemic as a way to drive cost out of the business and "circle-the-wagons".

It will be interesting to see what the longer term implications are for everyone based on their longer-term cost structure, debt obligations, and competitive landscape.

I do think a.net over-emphasizes the notion of airline X or Y "dominating" markets like LAX, SEA, or NYC. These markets are so big, so diverse, so competitive, that no one particular airlines is ever going to "dominate" the market in the sense of either being everyone to everything or controlling the pricing in the market.
 
PSU.DTW.SCE
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Re: What is Delta Doing?

Tue Mar 30, 2021 6:03 pm

Yep....flying in F with no seat mate has been an awesome experience. In a strange way going to miss it.
 
chonetsao
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Re: What is Delta Doing?

Tue Mar 30, 2021 6:12 pm

I feel the new battle ground between DL and AA will be Austin.
 
Runway765
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Re: What is Delta Doing?

Tue Mar 30, 2021 6:13 pm

chonetsao wrote:
I feel the new battle ground between DL and AA will be Austin.


Why? DL has shown no actual intent on doing anything there.
 
tphuang
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Re: What is Delta Doing?

Tue Mar 30, 2021 6:30 pm

There is absolutely nothing wrong with what DL is doing.

A lot of the airlines have scheduled much larger schedules than they intend to actually fly. So just because they have announced them and scheduled in, that doesn't mean they will actually fly them. You could argue that what DL (and also WN) are doing are much more customer friendly.

Just to put things into perspective:

JetBlue is probably up over 30% ASM domestically over 2019. There is no chance they will run that much capacity this summer or even next 2 summers. And they've added those routes due to weaknesses out of NYC/Boston as much as anything else. They've made some good moves like EWR and LAX, but DL is already the largest carrier in NYC and building up LAX.

AS is scheduling in around +5 to 10% ASM vs 2019. There is no chance they will be able to run that level of capacity until summer of 2023 if you just look at their airbus fleet retirement schedule and when the MAX replacement will come in. Sure, they've added a bunch of routes out of LAX and continue to build at SEA, but DL has also recovered those 2 hubs faster than most of their other ones.

AA is scheduling in close to +20% ASM domestically vs 2019. There is no chance they will run anything close to that level of capacity in this summer or the next 4 or 5 summers. In fact, they are bringing out all the available aircraft out of storage for this summer. What you see them running by June is basically all they are capable of flying with the fleet and head count that they have. So they announced a couple of new routes. Let's see how long those last or if they will even start up. I'd bet DFW and CLT would get vast majority of the actual flown capacity.

The only airline that publishing a realistic schedule and making real moves is WN. The reality is that WN's network is not as well developed as DL's network. It is also has much lower cost than DL so it can be more nimble.

DL is making all the right moves. They are strengthening their core hubs (especially SLC) and building out LAX. Where else should they add right now? If they announced a bunch of AUS routes in the middle of the pandemic, it would just be flushing money down the drain.
 
WidebodyPTV
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Re: What is Delta Doing?

Tue Mar 30, 2021 6:48 pm

It really isn't a head scratcher: airlines are speculating that Americans will be eager to travel later this year. They know business travel isn't likely to bounce back, and because of generous government handouts, they have oodles of capacity to deploy. Thus, some carriers are betting hard on any and every leisure destination they can think of. (Heck, I wouldn't be surprised to see AA schedule 77W into CLE for summer Rock-n-Roll Hall of Fame traffic....)

Let's be realistic: domestic carriers lost tens of billions in the past year, and just to survive took on crushing debt loads that will handicap decision making in the future. Industry leaders largely agree that it'll take years for business revenues -- which account for more than half the carriers' revenues -- to recover.

And yet a.net believes that the airlines should've been tossing more zombie capacity at each other to defend their turf? Scary...
 
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NWAESC
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Re: What is Delta Doing?

Tue Mar 30, 2021 6:53 pm

Runway765 wrote:
I think if AA can go through another Chapter 11 and restructure their debt, they'll be in the best position long-term coming out of this.


Hoping a company goes BK as strategic play is an interesting take.
"Nothing ever happens here, " I said. "I just wait."
 
Vicenza
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Re: What is Delta Doing?

Tue Mar 30, 2021 7:05 pm

NWAESC wrote:
Runway765 wrote:
I think if AA can go through another Chapter 11 and restructure their debt, they'll be in the best position long-term coming out of this.


Hoping a company goes BK as strategic play is an interesting take.


US carriers use this as a strategy on a pretty regular basis.
 
Runway765
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Re: What is Delta Doing?

Tue Mar 30, 2021 7:07 pm

NWAESC wrote:
Runway765 wrote:
I think if AA can go through another Chapter 11 and restructure their debt, they'll be in the best position long-term coming out of this.


Hoping a company goes BK as strategic play is an interesting take.


So they can restructure and reduce their debt, which, along with firing their senior management, is their biggest need right now.
 
Osubuckeyes
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Re: What is Delta Doing?

Tue Mar 30, 2021 7:32 pm

What was DL doing? DL was slashing costs in case reductions in business travel become more permanent. DL has basically bet that they are able to retain their market dominance in their highly profitable markets at a lower cost basis to accommodate a higher percentage of leisure travel in the short/med term. As business travel increases they can return to higher service levels, and shift strategy as needed. DL evaluated COVID from a cost perspective mostly as opposed to a revenue perspective since the revenue mix was highly uncertain at the time these decisions were made.

To add to that I think A.net frequently overvalues doing something versus doing nothing. Sometimes the best strategy in a highly uncertain business environments is to be flexible until a higher level of certainty becomes apparent. This can be seen in DL's latest route expansions to KEF, Southeast US, and MT that DL sees lower levels of uncertainty in ability to travel to these places so they are responding accordingly. Is there risk to DL's strategy absolutely, however I'd contend they are evaluating the overall business landscape exactly how a market leader would (that's not to say they will continue to do so).

Contrasting DL to AA is somewhat of a futile effort since the issues that each carrier faced are remarkably different. AA has large presence in markets that air travel wasn't as depressed (DFW, PHX, MIA, CLT), completely different fleet structure (higher percentage of newer aircraft that need to be flying), a huge amount of debt relative to assets, and a revenue generation problem that dates back to pre-covid. So AA evaluates the marketplace in the context of revenue opportunities since their current financial position dictates that. Short term (increased seasonal destinations, capacity/connections flowing away from more restrictive markets), med term (AUS expansion, seasonal destinations again), and longer term (B6/AS deals, NYC/LAX/BOS strategies) strategies that try to create a revenue advantage that can move them into a better market position moving forward and presumably become less financially leveraged. Its certainly a more risky strategy than Delta's however, AA's financial position dictates that.
 
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ElroyJetson
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Re: What is Delta Doing?

Tue Mar 30, 2021 10:17 pm

One thing that has not been mentioned is DL's fleet strategy, which imho is the best in the airline industry. DL has managed to keep their capex under control and make smart decisions regarding fleet replacement.

Their understanding of the TPAC market fragmentation and acquiring the A359 to replace the fuel guzzling 744 and slightly down gauge was spot on. Ditto acquiring the A339 for TATL service. They got a large fleet of end of the line 739ER's from Boeing for what some reports indicated was at a 70% discount.

It is easy to criticize the JV's with VS and LATAM in a post COVID environment, but the VS hookup got them invaluable slots at LHR, and the LATAM JV got them a much greater access to South America where AA has been dominant for years.

I think DL is well positioned in a post Covid environment. I also applaud UA in building out their DEN hub which I think strategically has been an excellent move. DL will be okay. Not to worry.
 
TTailedTiger
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Re: What is Delta Doing?

Tue Mar 30, 2021 11:31 pm

ElroyJetson wrote:
One thing that has not been mentioned is DL's fleet strategy, which imho is the best in the airline industry. DL has managed to keep their capex under control and make smart decisions regarding fleet replacement.

Their understanding of the TPAC market fragmentation and acquiring the A359 to replace the fuel guzzling 744 and slightly down gauge was spot on. Ditto acquiring the A339 for TATL service. They got a large fleet of end of the line 739ER's from Boeing for what some reports indicated was at a 70% discount.

It is easy to criticize the JV's with VS and LATAM in a post COVID environment, but the VS hookup got them invaluable slots at LHR, and the LATAM JV got them a much greater access to South America where AA has been dominant for years.

I think DL is well positioned in a post Covid environment. I also applaud UA in building out their DEN hub which I think strategically has been an excellent move. DL will be okay. Not to worry.


I'd be very sceptical of anyone claiming a 70% discount on any airplane. Neither Boeing or Airbus is going to build planes at a loss.
 
Atlwarrior
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Re: What is Delta Doing?

Tue Mar 30, 2021 11:46 pm

Delta is clearly laying low and taking advantage of not having to negotiate pilot's contracts, and pending attempts to unionize Flight Attendants. I think Delta was smart to focus on hard assets like the LAX construction, and other capital projects upgrades. With the stock market breaking all-time records, their premium pax out of the NYC market should be just fine once travel gets back to normal.
 
freakyrat
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Re: What is Delta Doing?

Tue Mar 30, 2021 11:50 pm

On the regional front, DL has removed CRJ2's from the SBN-ATL route and replaced them with Endeavor CRJ-900 aircraft as was planned pre-pandemic. They also will resume MSP flights in May with CRJ900's. DTW the shortest stage length flight is still being operated with CRJ200's with a CRJ900 ocassionally thrown in. DL has a 6 or 7 year open RFP for a flight SBN-JFK and just maybe they will spring it when business traffic returns. Probably on an Endeavor CRJ900. Using wholly owned Endeavor for most of these flights during the pandemic has saved DL a ton of money. Flying is starting to return and DL is ready.
 
usflyer msp
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Re: What is Delta Doing?

Wed Mar 31, 2021 12:36 am

ElroyJetson wrote:
One thing that has not been mentioned is DL's fleet strategy, which imho is the best in the airline industry. DL has managed to keep their capex under control and make smart decisions regarding fleet replacement.

Their understanding of the TPAC market fragmentation and acquiring the A359 to replace the fuel guzzling 744 and slightly down gauge was spot on. Ditto acquiring the A339 for TATL service. They got a large fleet of end of the line 739ER's from Boeing for what some reports indicated was at a 70% discount.

It is easy to criticize the JV's with VS and LATAM in a post COVID environment, but the VS hookup got them invaluable slots at LHR, and the LATAM JV got them a much greater access to South America where AA has been dominant for years.

I think DL is well positioned in a post Covid environment. I also applaud UA in building out their DEN hub which I think strategically has been an excellent move. DL will be okay. Not to worry.


DL did the same thing every other carrier has done, what is so groundbreaking and smart about that?
 
LawAndOrder
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Re: What is Delta Doing?

Wed Mar 31, 2021 2:41 am

usflyer msp wrote:
ElroyJetson wrote:
One thing that has not been mentioned is DL's fleet strategy, which imho is the best in the airline industry. DL has managed to keep their capex under control and make smart decisions regarding fleet replacement.

Their understanding of the TPAC market fragmentation and acquiring the A359 to replace the fuel guzzling 744 and slightly down gauge was spot on. Ditto acquiring the A339 for TATL service. They got a large fleet of end of the line 739ER's from Boeing for what some reports indicated was at a 70% discount.

It is easy to criticize the JV's with VS and LATAM in a post COVID environment, but the VS hookup got them invaluable slots at LHR, and the LATAM JV got them a much greater access to South America where AA has been dominant for years.

I think DL is well positioned in a post Covid environment. I also applaud UA in building out their DEN hub which I think strategically has been an excellent move. DL will be okay. Not to worry.


DL did the same thing every other carrier has done, what is so groundbreaking and smart about that?


We get it you don’t like DL. All of that and your response is every carrier did the same. Are you kidding me?
 
mpdpilot
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Re: What is Delta Doing?

Wed Mar 31, 2021 3:30 am

usflyer msp wrote:
ElroyJetson wrote:
One thing that has not been mentioned is DL's fleet strategy, which imho is the best in the airline industry. DL has managed to keep their capex under control and make smart decisions regarding fleet replacement.

Their understanding of the TPAC market fragmentation and acquiring the A359 to replace the fuel guzzling 744 and slightly down gauge was spot on. Ditto acquiring the A339 for TATL service. They got a large fleet of end of the line 739ER's from Boeing for what some reports indicated was at a 70% discount.

It is easy to criticize the JV's with VS and LATAM in a post COVID environment, but the VS hookup got them invaluable slots at LHR, and the LATAM JV got them a much greater access to South America where AA has been dominant for years.

I think DL is well positioned in a post Covid environment. I also applaud UA in building out their DEN hub which I think strategically has been an excellent move. DL will be okay. Not to worry.


DL did the same thing every other carrier has done, what is so groundbreaking and smart about that?


Interesting take, in that United the only other 744 operator in the US ordered the 77W which is practically the same size, and American who didn't even operate the 744, thought it best to grow to the 77W. Yes I would say replacing the 744 with the 359 was definitely not what every other airline has done.

I agree with ElroyJetson it is easy to criticize the JVs now, but those moves are long term, while it is not impossible that those airlines shut down, anything short of that will still be a long term benefit for DL.

I keep thinking that DL is waiting for the dust to settle. They aren't adding anything right now, but any hint that AA is backing down at AUS or I don't know any number of other things, DL will be the one in a position to act.

While I don't think AA is in dire straights, it was relatively easy to make money in 2018-2019, their debt could be a real problem in 2021-2023.
One mile of highway gets you one mile, one mile of runway gets you anywhere.
 
slcdeltarumd11
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Re: What is Delta Doing?

Wed Mar 31, 2021 4:36 am

The pandemic is not over. A thread like this might be appropriate after but we don't know whats the most successful strategy.

I can tell you delta is sitting in a much better spot then AA so they don't need to be as desperate . Those airlines other routes you speak of are all temporary. They are looking for routes to fly to use aircraft and staff while business demand is low and people are shying away from cities. Those are filler routes, and will have to be very successful to survive. It's not the airlines being all creative , it's survival mode and they do plan on going back to the business routes those planes were on when business travel returns. Your original post has some major flaws and delta has jumped on the leisure outdoor demand for this summer with increased service and a hub in SLC a major destination for the outdoors crowd.
 
usflyer msp
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Re: What is Delta Doing?

Wed Mar 31, 2021 5:05 am

mpdpilot wrote:
usflyer msp wrote:
ElroyJetson wrote:
One thing that has not been mentioned is DL's fleet strategy, which imho is the best in the airline industry. DL has managed to keep their capex under control and make smart decisions regarding fleet replacement.

Their understanding of the TPAC market fragmentation and acquiring the A359 to replace the fuel guzzling 744 and slightly down gauge was spot on. Ditto acquiring the A339 for TATL service. They got a large fleet of end of the line 739ER's from Boeing for what some reports indicated was at a 70% discount.

It is easy to criticize the JV's with VS and LATAM in a post COVID environment, but the VS hookup got them invaluable slots at LHR, and the LATAM JV got them a much greater access to South America where AA has been dominant for years.

I think DL is well positioned in a post Covid environment. I also applaud UA in building out their DEN hub which I think strategically has been an excellent move. DL will be okay. Not to worry.


DL did the same thing every other carrier has done, what is so groundbreaking and smart about that?


Interesting take, in that United the only other 744 operator in the US ordered the 77W which is practically the same size, and American who didn't even operate the 744, thought it best to grow to the 77W. Yes I would say replacing the 744 with the 359 was definitely not what every other airline has done.

I agree with ElroyJetson it is easy to criticize the JVs now, but those moves are long term, while it is not impossible that those airlines shut down, anything short of that will still be a long term benefit for DL.

I keep thinking that DL is waiting for the dust to settle. They aren't adding anything right now, but any hint that AA is backing down at AUS or I don't know any number of other things, DL will be the one in a position to act.

While I don't think AA is in dire straights, it was relatively easy to make money in 2018-2019, their debt could be a real problem in 2021-2023.


UA's 77W fleet did not directly replace the 744's. Pre-COVID they were mostly used for growth in capacity constrained EWR - which never saw 744's.
Transpacific UA did the same thing DL did but they didn't need to order a new fleet type to do it. UA downsized to 772's and 787's but increased frequency. The only 744 routes that saw 77W's are SFO-NRT/TPE.

DL's management is not clairvoyant or special.
 
usflyer msp
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Re: What is Delta Doing?

Wed Mar 31, 2021 5:08 am

LawAndOrder wrote:
usflyer msp wrote:
ElroyJetson wrote:
One thing that has not been mentioned is DL's fleet strategy, which imho is the best in the airline industry. DL has managed to keep their capex under control and make smart decisions regarding fleet replacement.

Their understanding of the TPAC market fragmentation and acquiring the A359 to replace the fuel guzzling 744 and slightly down gauge was spot on. Ditto acquiring the A339 for TATL service. They got a large fleet of end of the line 739ER's from Boeing for what some reports indicated was at a 70% discount.

It is easy to criticize the JV's with VS and LATAM in a post COVID environment, but the VS hookup got them invaluable slots at LHR, and the LATAM JV got them a much greater access to South America where AA has been dominant for years.

I think DL is well positioned in a post Covid environment. I also applaud UA in building out their DEN hub which I think strategically has been an excellent move. DL will be okay. Not to worry.


DL did the same thing every other carrier has done, what is so groundbreaking and smart about that?


We get it you don’t like DL. All of that and your response is every carrier did the same. Are you kidding me?


They did. They just didn't need to order a new fleet type to do it.
 
Josh76040
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Re: What is Delta Doing?

Wed Mar 31, 2021 6:01 am

slcdeltarumd11 wrote:
The pandemic is not over. A thread like this might be appropriate after but we don't know whats the most successful strategy.

I can tell you delta is sitting in a much better spot then AA so they don't need to be as desperate . Those airlines other routes you speak of are all temporary. They are looking for routes to fly to use aircraft and staff while business demand is low and people are shying away from cities. Those are filler routes, and will have to be very successful to survive. It's not the airlines being all creative , it's survival mode and they do plan on going back to the business routes those planes were on when business travel returns. Your original post has some major flaws and delta has jumped on the leisure outdoor demand for this summer with increased service and a hub in SLC a major destination for the outdoors crowd.


“Much better position” is debatable. DL’s debt is still high; their JVs are nothing but a money pit and their short-term (and long-term) JV strategy is in tatters.

DL is in trouble on a number of fronts, and, arguably, new strategies unleashed by other carriers like AA, UA, WN, NK, AS, B6 etc. are likely to make their problems worse.
 
Lootess
Posts: 594
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Re: What is Delta Doing?

Wed Mar 31, 2021 6:23 am

I do believe Delta made smart fleet decisions last year to keep afloat, basically fast-forwarded their the retirement schedule they already had planned. The 777s were a bit earlier but in a way they planned it out with the two A359s delivered last year, along with inheriting the LATAM A350 order for future plans.

Fast-forwarding capital investments like LAX is likely to pay off too when everything rebounds. Kind of like BOS when they were in Chapter 11.

Delta COO Gil West was a major turnover during the pandemic, he took the same COO job at GM's Cruise. I do think we all believe Ed Bastian has done an excellent job with the chips he had to play with.
 
LawAndOrder
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Re: What is Delta Doing?

Wed Mar 31, 2021 9:27 am

usflyer msp wrote:
mpdpilot wrote:
usflyer msp wrote:

DL did the same thing every other carrier has done, what is so groundbreaking and smart about that?


Interesting take, in that United the only other 744 operator in the US ordered the 77W which is practically the same size, and American who didn't even operate the 744, thought it best to grow to the 77W. Yes I would say replacing the 744 with the 359 was definitely not what every other airline has done.

I agree with ElroyJetson it is easy to criticize the JVs now, but those moves are long term, while it is not impossible that those airlines shut down, anything short of that will still be a long term benefit for DL.

I keep thinking that DL is waiting for the dust to settle. They aren't adding anything right now, but any hint that AA is backing down at AUS or I don't know any number of other things, DL will be the one in a position to act.

While I don't think AA is in dire straights, it was relatively easy to make money in 2018-2019, their debt could be a real problem in 2021-2023.


UA's 77W fleet did not directly replace the 744's. Pre-COVID they were mostly used for growth in capacity constrained EWR - which never saw 744's.
Transpacific UA did the same thing DL did but they didn't need to order a new fleet type to do it. UA downsized to 772's and 787's but increased frequency. The only 744 routes that saw 77W's are SFO-NRT/TPE.

DL's management is not clairvoyant or special.


Their management isn’t special are u kidding me. Created arguably the best operated and fiscal responsible airline before COVID. How do we know that they aren’t doing anything. When a person goes through something bad they learn form it they make a playbook that takes into account what was successful last time and what they did wrong. How do we know they didn’t dust that playbook off and are doing exactly what they planned to do in a major recession? We act as if DL has a larger amount of debt or taking more losses then their counterparts. They seem well positioned to me and their JVs aren’t going anywhere!
 
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NCAD95
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Re: What is Delta Doing?

Wed Mar 31, 2021 10:03 am

Delta is doing what it always does. It is restricting capacity to drive up fares as high as it can in it's captive markets to pay for it's follies in other markets where they just want to show presences. It is keeping it's Atlanta hub up to force as much traffic as it can over that hub directing traffic away from it's other hubs. It has stated it's investing in it's core hubs which is still not the case. It's only investing in SLC and ATL right now while surrendering the Midwest and plains traffic to AA and UA. But that's a good thing because by Delta shrinking in those area it opens up more choice to customers. For instance if where I once had nonstop service or capacity is so restricted from a hub and I am now forced to connect over ATL I now have options because if I am now forced into a connection I no longer need to stay loyal to Delta because of that fact.
 
dfw88
Posts: 157
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Re: What is Delta Doing?

Wed Mar 31, 2021 1:32 pm

This thread has been fascinating, with posters jumping in on all sides. I think it's been a microcosm of A.net, highlighting allegiances and biases. Due to the fact that none of us actually know all of the conversations happening in upper management at any of the airlines that have been discussed in this thread, we're all just guessing based on the external moves we're seeing. While those are informative, without the overarching view of the complete strategy we're left to our own devices to divine what's happening. This results in a scenario where it's possible to defend all sides.

Some say that AA (or another airline) is doing well by making moves, while others say that DL is doing well by not making as many. However, if the roles were reversed, I guarantee, based on several years of reading this website, that many posters would be defending AA for doing nothing while the others would be defending DL for making moves. It's possible to view this however you like, based on your own bias toward your preferred airline. Those with no preference or who support both will come to other conclusions as well. The reality is that, like the vast majority of the threads on this site, we simply don't have enough information. Time will tell who made the right moves. Of course, it's possible that both or neither are making the correct moves for their respective airlines, but we can't know that yet.

While our lack of knowledge doesn't preclude the possibility of having a conversation, we'd do well to remember we only know a fraction of what's happening at any airline.
 
Lootess
Posts: 594
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Re: What is Delta Doing?

Wed Mar 31, 2021 3:24 pm

I don't mind the perception, the other day I defended Southwest on the MAX deal, even if I'm not privy to any inside info on WN, I can admit Gary and company have done well with pivoting their business plan and opening the vault on new routes.

Some were defending AA in weird ways just before bankruptcy saying they made the most revenue per passenger, yet their cost structure was the highest in the industry. Then Doug Parker buys the airline, and poof LAA.

LawAndOrder wrote:
usflyer msp wrote:
mpdpilot wrote:

Interesting take, in that United the only other 744 operator in the US ordered the 77W which is practically the same size, and American who didn't even operate the 744, thought it best to grow to the 77W. Yes I would say replacing the 744 with the 359 was definitely not what every other airline has done.

I agree with ElroyJetson it is easy to criticize the JVs now, but those moves are long term, while it is not impossible that those airlines shut down, anything short of that will still be a long term benefit for DL.

I keep thinking that DL is waiting for the dust to settle. They aren't adding anything right now, but any hint that AA is backing down at AUS or I don't know any number of other things, DL will be the one in a position to act.

While I don't think AA is in dire straights, it was relatively easy to make money in 2018-2019, their debt could be a real problem in 2021-2023.


UA's 77W fleet did not directly replace the 744's. Pre-COVID they were mostly used for growth in capacity constrained EWR - which never saw 744's.
Transpacific UA did the same thing DL did but they didn't need to order a new fleet type to do it. UA downsized to 772's and 787's but increased frequency. The only 744 routes that saw 77W's are SFO-NRT/TPE.

DL's management is not clairvoyant or special.


Their management isn’t special are u kidding me. Created arguably the best operated and fiscal responsible airline before COVID. How do we know that they aren’t doing anything. When a person goes through something bad they learn form it they make a playbook that takes into account what was successful last time and what they did wrong. How do we know they didn’t dust that playbook off and are doing exactly what they planned to do in a major recession? We act as if DL has a larger amount of debt or taking more losses then their counterparts. They seem well positioned to me and their JVs aren’t going anywhere!


Kind of hilarious in a way when they made that management isn't special comment. Yet today Delta announces award tickets earn MQMs towards medallion status, when no one else does. Ed has always ran the most fiscally responsible airline. Sure they made us take sips of water in the back instead of sodas in 2020, and we all know why, but those are coming back now.
 
freakyrat
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Re: What is Delta Doing?

Wed Mar 31, 2021 3:58 pm

NCAD95 wrote:
Delta is doing what it always does. It is restricting capacity to drive up fares as high as it can in it's captive markets to pay for it's follies in other markets where they just want to show presences. It is keeping it's Atlanta hub up to force as much traffic as it can over that hub directing traffic away from it's other hubs. It has stated it's investing in it's core hubs which is still not the case. It's only investing in SLC and ATL right now while surrendering the Midwest and plains traffic to AA and UA. But that's a good thing because by Delta shrinking in those area it opens up more choice to customers. For instance if where I once had nonstop service or capacity is so restricted from a hub and I am now forced to connect over ATL I now have options because if I am now forced into a connection I no longer need to stay loyal to Delta because of that fact.


Perfect example is when AA returned to SBN. Sure it was just Regional Jets but CRJ700's to DFW and CRJ900's to CLT. With competitive fares that are lower than Delta's. What did Delta have CRJ200's to DTW and ATL with higher fares and no First Class seating. With the DFW and Austin areas being the number 2 and 3 business markets from SBN AA captured the traffic plus offered better airplanes.

Delta finally got the hint and moved Endeavor CRJ900's in on all the ATL flights however AA's fares are better. A case of surrendering the Midwest to AA and UA is Delta's slow rebuilding of MSP. They are finally bringing SBN-MSP back with a CRJ900 in May. Traffic is rebounding in the Midwest. UA still has plans to offer hourly service from SBN-ORD which will cut into Delta's revenue. We will see if that eventually comes by summer.
Last edited by freakyrat on Wed Mar 31, 2021 4:20 pm, edited 1 time in total.
 
AZORMP
Posts: 137
Joined: Thu Aug 01, 2019 5:08 pm

Re: What is Delta Doing?

Wed Mar 31, 2021 4:10 pm

freakyrat wrote:
NCAD95 wrote:
Delta is doing what it always does. It is restricting capacity to drive up fares as high as it can in it's captive markets to pay for it's follies in other markets where they just want to show presences. It is keeping it's Atlanta hub up to force as much traffic as it can over that hub directing traffic away from it's other hubs. It has stated it's investing in it's core hubs which is still not the case. It's only investing in SLC and ATL right now while surrendering the Midwest and plains traffic to AA and UA. But that's a good thing because by Delta shrinking in those area it opens up more choice to customers. For instance if where I once had nonstop service or capacity is so restricted from a hub and I am now forced to connect over ATL I now have options because if I am now forced into a connection I no longer need to stay loyal to Delta because of that fact.


Perfect example is when AA returned to SBN. Sure it was just Regional Jets but CRJ700's to DFW and CRJ900's to CLT. With competitive fares that are lower than Delta's. What did Delta have CRJ200's to DTW and ATL with higher fares and no First Class seating. With the DFW and Austin areas being the number 2 and 3 business markets from SBN AA captured the traffic plus offered better airplanes.

Delta finally got the hint and moved Endeavor CRJ900's in on all the ATL flights however AA's fares are better. A case of surrendering the Midwest to AA and UA is Delta's slow rebuilding of MSP. They are finally bringing SBN-MSP back with a CRJ900 in May and have brought AZO-MSP back. Traffic is rebounding in the Midwest. UA still has plans to offer hourly service from SBN-ORD which will cut into Delta's revenue. We will see if that eventually comes by summer.



AZO-MSP is not on the schedule and from what I’ve been told it will not be back on their schedule for quite some time.
Kalamazoo’s Radio Man

The RJ2 sucks.
 
jeffrey0032j
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Re: What is Delta Doing?

Wed Mar 31, 2021 4:11 pm

LawAndOrder wrote:
usflyer msp wrote:
mpdpilot wrote:

Interesting take, in that United the only other 744 operator in the US ordered the 77W which is practically the same size, and American who didn't even operate the 744, thought it best to grow to the 77W. Yes I would say replacing the 744 with the 359 was definitely not what every other airline has done.

I agree with ElroyJetson it is easy to criticize the JVs now, but those moves are long term, while it is not impossible that those airlines shut down, anything short of that will still be a long term benefit for DL.

I keep thinking that DL is waiting for the dust to settle. They aren't adding anything right now, but any hint that AA is backing down at AUS or I don't know any number of other things, DL will be the one in a position to act.

While I don't think AA is in dire straights, it was relatively easy to make money in 2018-2019, their debt could be a real problem in 2021-2023.


UA's 77W fleet did not directly replace the 744's. Pre-COVID they were mostly used for growth in capacity constrained EWR - which never saw 744's.
Transpacific UA did the same thing DL did but they didn't need to order a new fleet type to do it. UA downsized to 772's and 787's but increased frequency. The only 744 routes that saw 77W's are SFO-NRT/TPE.

DL's management is not clairvoyant or special.


Their management isn’t special are u kidding me. Created arguably the best operated and fiscal responsible airline before COVID. How do we know that they aren’t doing anything. When a person goes through something bad they learn form it they make a playbook that takes into account what was successful last time and what they did wrong. How do we know they didn’t dust that playbook off and are doing exactly what they planned to do in a major recession? We act as if DL has a larger amount of debt or taking more losses then their counterparts. They seem well positioned to me and their JVs aren’t going anywhere!

Unfortunately for them, they haven't been performing up to the high expectations that some on anet has touted them for. The two holiday operational meltdowns are examples of this, of course people will say "but but but....because they were streamlining their fleet", but lets face it, that was just apologists not wanting to face the truth that DL has mucked it up. Covid has upended things, its time to move on from 2019 and into 2021.
 
freakyrat
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Joined: Fri Aug 22, 2008 1:04 pm

Re: What is Delta Doing?

Wed Mar 31, 2021 4:18 pm

Delta just announced they will stop blocking middle seats in May.

Thanks for correcting me on AZO-MSP.
 
sxf24
Posts: 1089
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Re: What is Delta Doing?

Wed Mar 31, 2021 4:25 pm

Delta continues to aggressively self-promote while acting conservatively. All of the other competitors are being aggressive. It’s too early to tell which strategy pays off.
 
dcaproducer
Posts: 390
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Re: What is Delta Doing?

Wed Mar 31, 2021 4:45 pm

There was another DL thread on the ending of middle seats being blocked, but it looks like it's gone.

Also this morning, DL sent an email to SkyMiles members. They're giving a 50% MQM and MQD boost on all main cabin tickets and 75% MQM/MQD boost on all premium cabin tickets through end of 2021. This is to help prop up 2022 status. The email also announced premium food/drinks are coming back April 14.
 
AZORMP
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Re: What is Delta Doing?

Wed Mar 31, 2021 4:46 pm

freakyrat wrote:
Delta just announced they will stop blocking middle seats in May.

Thanks for correcting me on AZO-MSP.


Situation’s fluid. Supposedly they’re getting a fourth flight back but there’s nothing on any schedule about it. It might come back for the summer.

DL still seems to be the primary carrier in AZO and near the top in GRR. They recently upgauged their mainline RONs from 319s to 321s. MSP is still Connection.
Kalamazoo’s Radio Man

The RJ2 sucks.
 
panamair
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Re: What is Delta Doing?

Wed Mar 31, 2021 5:07 pm

jeffrey0032j wrote:
Unfortunately for them, they haven't been performing up to the high expectations that some on anet has touted them for. The two holiday operational meltdowns are examples of this, of course people will say "but but but....because they were streamlining their fleet", but lets face it, that was just apologists not wanting to face the truth that DL has mucked it up. Covid has upended things, its time to move on from 2019 and into 2021.


Some facts may help. Despite the two holiday operational meltdowns, Delta still ended 2020 as the #2 most on-time carrier (behind HA), and the #3 in completion factor (behind NK and AS) for Jan-Dec 2020:

https://www.transportation.gov/sites/do ... 20ATCR.pdf

On time:
1. HA - 87.5%
2. DL - 87.2%
3. NK - 86.6%
4. AS - 86.3%
5. WN - 86.0%
6. F9 - 83.9%
7. UA - 83.7%
8. AA - 82.3%
9. B6 - 82.1%
10. Allegiant - 71.3%



% of flights cancelled (Jan - Dec 20):
1. NK - 2.19
2. AS - 3.71
3. DL - 4.24
4. F9 - 5.15
5. HA - 5.47
6. B6 - 5.54
7. UA - 6.04
8. AA - 6.23
9. WN - 8.1
10. Allegiant - 14.52
 
jfern022
Posts: 190
Joined: Sun Aug 21, 2016 9:24 pm

Re: What is Delta Doing?

Wed Mar 31, 2021 5:50 pm

panamair wrote:
jeffrey0032j wrote:
Unfortunately for them, they haven't been performing up to the high expectations that some on anet has touted them for. The two holiday operational meltdowns are examples of this, of course people will say "but but but....because they were streamlining their fleet", but lets face it, that was just apologists not wanting to face the truth that DL has mucked it up. Covid has upended things, its time to move on from 2019 and into 2021.


Some facts may help. Despite the two holiday operational meltdowns, Delta still ended 2020 as the #2 most on-time carrier (behind HA), and the #3 in completion factor (behind NK and AS) for Jan-Dec 2020:

https://www.transportation.gov/sites/do ... 20ATCR.pdf

On time:
1. HA - 87.5%
2. DL - 87.2%
3. NK - 86.6%
4. AS - 86.3%
5. WN - 86.0%
6. F9 - 83.9%
7. UA - 83.7%
8. AA - 82.3%
9. B6 - 82.1%
10. Allegiant - 71.3%



% of flights cancelled (Jan - Dec 20):
1. NK - 2.19
2. AS - 3.71
3. DL - 4.24
4. F9 - 5.15
5. HA - 5.47
6. B6 - 5.54
7. UA - 6.04
8. AA - 6.23
9. WN - 8.1
10. Allegiant - 14.52


Thank you for posting this information.

It’s too bad people on here don’t like facts though!
 
airtechy
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Re: What is Delta Doing?

Wed Mar 31, 2021 6:15 pm

I find what is more interesting is the permanent elimination of change fees. That will make a lot of people happy .. starting with me.
 
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NCAD95
Posts: 238
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Re: What is Delta Doing?

Wed Mar 31, 2021 7:25 pm

jfern022 wrote:
panamair wrote:
jeffrey0032j wrote:
Unfortunately for them, they haven't been performing up to the high expectations that some on anet has touted them for. The two holiday operational meltdowns are examples of this, of course people will say "but but but....because they were streamlining their fleet", but lets face it, that was just apologists not wanting to face the truth that DL has mucked it up. Covid has upended things, its time to move on from 2019 and into 2021.


Some facts may help. Despite the two holiday operational meltdowns, Delta still ended 2020 as the #2 most on-time carrier (behind HA), and the #3 in completion factor (behind NK and AS) for Jan-Dec 2020:

https://www.transportation.gov/sites/do ... 20ATCR.pdf

On time:
1. HA - 87.5%
2. DL - 87.2%
3. NK - 86.6%
4. AS - 86.3%
5. WN - 86.0%
6. F9 - 83.9%
7. UA - 83.7%
8. AA - 82.3%
9. B6 - 82.1%
10. Allegiant - 71.3%



% of flights cancelled (Jan - Dec 20):
1. NK - 2.19
2. AS - 3.71
3. DL - 4.24
4. F9 - 5.15
5. HA - 5.47
6. B6 - 5.54
7. UA - 6.04
8. AA - 6.23
9. WN - 8.1
10. Allegiant - 14.52


Thank you for posting this information.

It’s too bad people on here don’t like facts though!


People here love the facts but they should be shown ALL the facts not just the facts that support the narrative being put forth.
 
freakyrat
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Re: What is Delta Doing?

Wed Mar 31, 2021 8:34 pm

AZORMP wrote:
freakyrat wrote:
Delta just announced they will stop blocking middle seats in May.

Thanks for correcting me on AZO-MSP.


Situation’s fluid. Supposedly they’re getting a fourth flight back but there’s nothing on any schedule about it. It might come back for the summer.

DL still seems to be the primary carrier in AZO and near the top in GRR. They recently upgauged their mainline RONs from 319s to 321s. MSP is still Connection.


SBN-ATL upgraded to all CRJ900's and SBN-DTW occasionaly has had a CRJ900 substitution on the noon flight. Pre Pandemic One of Delta's morning flights to ATL was being planned for a mainline 717. I guess they will be all CRJ900 for now and maybe the 4th flight will come back. The SBN ramp is going to get a complete rebuild with all the slopes taken out. They may gain enough sill height on the jetbridges to legally allow A320's at all gates. Delta also want's new jetbridges similar to the Allegiant jetbridge on Gate 9 which can be stretched out to 150 feet and is fully computer controlled.
 
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ElroyJetson
Posts: 906
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Re: What is Delta Doing?

Wed Mar 31, 2021 8:37 pm

Josh76040 wrote:
slcdeltarumd11 wrote:
The pandemic is not over. A thread like this might be appropriate after but we don't know whats the most successful strategy.

I can tell you delta is sitting in a much better spot then AA so they don't need to be as desperate . Those airlines other routes you speak of are all temporary. They are looking for routes to fly to use aircraft and staff while business demand is low and people are shying away from cities. Those are filler routes, and will have to be very successful to survive. It's not the airlines being all creative , it's survival mode and they do plan on going back to the business routes those planes were on when business travel returns. Your original post has some major flaws and delta has jumped on the leisure outdoor demand for this summer with increased service and a hub in SLC a major destination for the outdoors crowd.


“Much better position” is debatable. DL’s debt is still high; their JVs are nothing but a money pit and their short-term (and long-term) JV strategy is in tatters.

DL is in trouble on a number of fronts, and, arguably, new strategies unleashed by other carriers like AA, UA, WN, NK, AS, B6 etc. are likely to make their problems worse.


I do not think anyone would consider Delta's JV with KE is "in tatters." Virtually every airline is hurting. Piling on DL during a pandemic might make some DL haters feel good, but attempting to pass final judgement on JV's signed a few years ago is more than a little premature and unfair. Particularly in the current pandemic environment.
 
VictorKilo
Posts: 265
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Re: What is Delta Doing?

Wed Mar 31, 2021 8:52 pm

Zooming out for a second, each of DL AA UA and WN were in a different situation prior to the pandemic, and what they all are doing is the logical thing to do with the cards each one has in their hand.

The airline with older unique sub fleets retired them from their fleet. The airline with the newest fleet and the debt that goes along with it is taking the most chances and keeping mode of their fleet flying. The airline that has been more focused on traditional business centers is redeploying capacity to their major connecting hub in the Rocky Mountains (DEN). The carrier that had the most fleet constraints due to the MAX situation is taking advantage of spare capacity to enter markets like EUG and MYR.

Let’s appreciate that every airline is different and that the right strategy for one isn’t the right strategy for another.
 
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ElroyJetson
Posts: 906
Joined: Fri May 26, 2017 5:04 am

Re: What is Delta Doing?

Wed Mar 31, 2021 11:30 pm

VictorKilo wrote:
Zooming out for a second, each of DL AA UA and WN were in a different situation prior to the pandemic, and what they all are doing is the logical thing to do with the cards each one has in their hand.

The airline with older unique sub fleets retired them from their fleet. The airline with the newest fleet and the debt that goes along with it is taking the most chances and keeping mode of their fleet flying. The airline that has been more focused on traditional business centers is redeploying capacity to their major connecting hub in the Rocky Mountains (DEN). The carrier that had the most fleet constraints due to the MAX situation is taking advantage of spare capacity to enter markets like EUG and MYR.

Let’s appreciate that every airline is different and that the right strategy for one isn’t the right strategy for another.


Well said. Every airline is in survival mode and making decisions specific to their unique strengths and weaknesses. Has DL made strategic mistakes? Maybe. Right now I think it is way too soon to make any final judgements, particularly regarding JV's.
 
MLIAA
Posts: 208
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Re: What is Delta Doing?

Thu Apr 01, 2021 1:10 am

VictorKilo wrote:
Zooming out for a second, each of DL AA UA and WN were in a different situation prior to the pandemic, and what they all are doing is the logical thing to do with the cards each one has in their hand.

The airline with older unique sub fleets retired them from their fleet. The airline with the newest fleet and the debt that goes along with it is taking the most chances and keeping mode of their fleet flying. The airline that has been more focused on traditional business centers is redeploying capacity to their major connecting hub in the Rocky Mountains (DEN). The carrier that had the most fleet constraints due to the MAX situation is taking advantage of spare capacity to enter markets like EUG and MYR.

Let’s appreciate that every airline is different and that the right strategy for one isn’t the right strategy for another.


Agreed but also remember that American also retired a huge chunk of its fleet too; all the A330s, 757s, 767s, and E190s. AA is now down to only 4 types in its entire fleet, which will be a big cost and flexibility advantage over competitors.
A319 A320 A321 A332 B712 B722 B737 B738 B739 B744 B752 B763 B764 B772 B788 B789 MD80 S340 E140 E145 E170 E175 E195 CRJ2 CRJ7 CRJ9

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Blimps / Airships Everything from the Goodyear blimp to the Zeppelin

Night Photos Beautiful shots taken while the sun is below the horizon

Accidents Accident, incident and crash related photos

Air to Air Photos taken by airborne photographers of airborne aircraft

Special Paint Schemes Aircraft painted in beautiful and original liveries

Airport Overviews Airport overviews from the air or ground

Tails and Winglets Tail and Winglet closeups with beautiful airline logos