KarlB737
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Delta Records $55 Million Profit In February

Thu Mar 29, 2007 10:47 pm

Courtesy: Associated Press

Delta Records $55 Million Profit In February

http://biz.yahoo.com/ap/070329/delta_bankruptcy.html?.v=5
 
tonytifao
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RE: Delta Records $55 Million Profit In February

Thu Mar 29, 2007 10:58 pm

They better make a profit after paying $1000+ for MLB-BWI every week of Feb  Smile

Good job Delta! Now please, get some new first class seats on those 757 or MD80  Smile
 
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SLCUT2777
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RE: Delta Records $55 Million Profit In February

Thu Mar 29, 2007 11:15 pm

Quoting KarlB737 (Thread starter):
Delta Records $55 Million Profit In February

And they didn't need a single dime of HP+US stock from Doug Parker or his shenanigans!  biggrin 
DELTA Air Lines; The Only Way To Fly from Salt Lake City; Let the Western Heritage always be with Delta!
 
panamair
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RE: Delta Records $55 Million Profit In February

Thu Mar 29, 2007 11:55 pm

Actually, it's skewed by Reorg. Items. The Net Loss (excl. Reorg. items) for Feb. was $43 million, which still compares very favorably to last year's $138 million net loss (excl. Reorg. items). On an operating level, Operating Loss for Feb was $5 million (including a $5 million negative impact of fuel hedges), compared to an Operating Loss same time last year of $71 million.

March should see a healthy Operating Profit and a Net Profit (excl. Reorg. Items). The projection is for a Net Loss (excl. Reorg. Items) for Q1 2007 of about $25-$50 million range, compared to last year's $356 million loss. To get to that $25-$50 million loss, there would have to be a net profit (excl. Reorg. Items) of around $100 million for March.
 
DAL767400ER
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 12:14 am

What IMHO is the best point about the news this month is the reduction of CASM by 4.5%.

As for the profit being skewed by reorg costs, why is it that now WITH reorg costs numbers are better, compared to a few months ago it was the numbers WITHOUT reorg costs that were better. I still can't understand the logic behind those numbers.
 
steeler83
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 12:26 am

Quoting Panamair (Reply 4):
Actually, it's skewed by Reorg. Items. The Net Loss (excl. Reorg. items) for Feb. was $43 million, which still compares very favorably to last year's $138 million net loss (excl. Reorg. items). On an operating level, Operating Loss for Feb was $5 million (including a $5 million negative impact of fuel hedges), compared to an Operating Loss same time last year of $71 million.

Well, still, it looks like DL is headed in the right direction. When the US/HP merger went thru, they still posted a loss of 100-or-so million, like 130 million, but that was due to merger costs. I think that DL should be very profitable in the future.

You see, US Airways and Parker, DL does not need your help... I think they will be fine  Smile

US still has a merger to complete, but let's not make this another "why US should've left DL alone," or a "US bashing" thread, please. This was just a generalization and nothing more!
Do not bring stranger girt into your room. The stranger girt is dangerous, it will hurt your life.
 
ikramerica
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 12:51 am

Quoting Steeler83 (Reply 6):
Well, still, it looks like DL is headed in the right direction.

Yep, that's true. And one would hope that's true considering the amount of help they are getting under CH11 to head that direction.

It'll be interested to see what kind of plane order they make after April 30.
Of all the things to worry about... the Wookie has no pants.
 
flyorski
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 1:06 am

Great News for DL! I hope to see the 773ER in the fleet, and the 789 soon  Wink

Also some more 738s to get those MD88s out of the fleet would be nice, and Winglets on the 757s!

I am excited for the new paint scheme as well......
"None are more hopelessly enslaved, than those who falsly believe they are free" -Goethe
 
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SLCUT2777
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 1:59 am

Quoting DAL767400ER (Reply 5):
What IMHO is the best point about the news this month is the reduction of CASM by 4.5%.

As for the profit being skewed by reorg costs, why is it that now WITH reorg costs numbers are better, compared to a few months ago it was the numbers WITHOUT reorg costs that were better. I still can't understand the logic behind those numbers.

I think the Atlanta Journal/Constitution summed it up quite well: http://www.ajc.com/business/content/...eltaprofit.html?cxntnid=biz032907e
In short, DL is now at the break-even point with all of the BK charges, and should zoom into high profitability during the second quarter and do VERY well during the high travel third quarter. This is something all DL employees should be VERY proud of.
DELTA Air Lines; The Only Way To Fly from Salt Lake City; Let the Western Heritage always be with Delta!
 
transatlantic
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 2:02 am

If everything is turning good for Delta, why are there shares becomming worthless?
 
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SLCUT2777
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 2:10 am

Quoting Transatlantic (Reply 10):
If everything is turning good for Delta, why are there shares becomming worthless?

Under U.S. Bankruptcy Code for Chapter 11 reorganizations, all the previous stock issued is cancelled. The major creditors are awarded stock in the newly reorganized company.
DELTA Air Lines; The Only Way To Fly from Salt Lake City; Let the Western Heritage always be with Delta!
 
tommytoyz
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 2:10 am

Quoting Transatlantic (Reply 10):
If everything is turning good for Delta, why are there shares becomming worthless?

Securities are almost always canceled when the BK is completed. New securities with a new trade symbol are issued. It's not the old company anymore.

Also when looking at earnings and such, only pay attention to GAAP numbers. Not the proforma numbers airlines come up with to make their numbers say whatever they want them to say. "One time" expenses, "non recurring" expenses, "reorganization expenses" etc., are mostly bull.

It's like saying, well the BK filing is a one time event. Material events are important, even if they happen only once. And I'd like to know how many times over the past Quarters DL has used that "reorganize" expense excuse already.

You have to factor it all in I'm afraid. The one earnings statement I examined, UA pulled the same crap to make their numbers come up rosy.

Just look at the GAAP numbers see what's really going on.
 
transatlantic
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 2:40 am

Thanks for the information.

Would it be possible, that the DL shares will rise again before the leave Chpt. 11? ( maybe because of speculation?)

How was the situation at other companies shortly before they left Chpt. 11? I'm wondering if it would make sense, now to buy Delta shares for a few cents and wait tilll the day before DL will leave Chpt. 11?

[Edited 2007-03-29 19:50:22]
 
okie73
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 2:43 am

Quoting Tommytoyz (Reply 12):
New securities with a new trade symbol are issued. It's not the old company anymore.

Hmm, Delta is going to reissue stock under the old symbol DAL.
 
Lono
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 3:54 am

Quoting SLCUT2777 (Reply 9):
In short, DL is now at the break-even point with all of the BK charges, and should zoom into high profitability during the second quarter and do VERY well during the high travel third quarter.

Interesting thing is these projections are based on $65 a barrel oil prices (DL webcast)....... however oil prices were at $70 yesterday.... I wonder what the higher oil prices will do to the projections...???
Wally Bird Ruled the Skys!
 
aircanada014
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 5:48 am

what is the profit for whole 3 months.. 1 month is nothing to compare 3 months or 6 or 9 or 12 months. still not satisfy with their profit on one month instead of 3 months..
 
DAL767400ER
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 6:10 am

Quoting Okie73 (Reply 14):
Hmm, Delta is going to reissue stock under the old symbol DAL.

True, but that's their old pre-CH11 ticker symbol. Now it is DALRQ, so even if DL is more less just closing a circle, shares will still be worthless.
 
dutchjet
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 6:50 am

Quoting Panamair (Reply 4):
The Net Loss (excl. Reorg. items) for Feb. was $43 million

Its gonna be tough once all of those reorg items go away......just teasing, this is good news for DL and a confirmation that their turn-around plan has been a huge success.

Quoting Lono (Reply 15):

Interesting thing is these projections are based on $65 a barrel oil prices (DL webcast)....... however oil prices were at $70 yesterday.... I wonder what the higher oil prices will do to the projections...???

Thats something that all of the airlnes are going to have to deal with, DL included......hopefully the tense Iranian situation will calm down in the coming days and oil prices will fall back a bit. That being said, the volatile oil price is a huge problem for the airlines to address and cope with, you must give DL credit for using the a $65/bbl figure which was rather high and cautious until just a few days ago, and now DL's very conservative and well though out plans are impacted by a spike in the oil price. Its a tough business.

Quoting Transatlantic (Reply 13):

Would it be possible, that the DL shares will rise again before the leave Chpt. 11? ( maybe because of speculation?)

Probably not.....DL's current outstanding shares will become worthless and be cancelled.
 
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SLCUT2777
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 7:58 am

Quoting Lono (Reply 14):
Interesting thing is these projections are based on $65 a barrel oil prices (DL webcast)....... however oil prices were at $70 yesterday.... I wonder what the higher oil prices will do to the projections...???

As Dutchjet pointed out in his post above, how long is the price of oil sustainable at $70.00 (USD) per barrel? It usually hasn't stayed there very long, despite all of the OPEC manipulating efforts and the destabilizing efforts of countries like Iran and Venezuela.
DELTA Air Lines; The Only Way To Fly from Salt Lake City; Let the Western Heritage always be with Delta!
 
steeler83
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 11:16 am

Quoting Ikramerica (Reply 6):
It'll be interested to see what kind of plane order they make after April 30.

I'd like to see them start to replace some of their older MD80 aircraft. As much as I hate seeing more T-tails phased out, the 737s are better aircraft to use economically IMO. They consume less fuel, and do not have the tail-mounted engines. The A320 would also work, but let's not kid ourselves...  Smile
Do not bring stranger girt into your room. The stranger girt is dangerous, it will hurt your life.
 
flyingchoirboy
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 12:45 pm

Huzzah for Delta! They are coming back to profitability and kicking butt, too! They are my favorite US Domestic airline by FAR!

Scott
 
MCIGuy
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 2:17 pm

Yeah, that 787 order will be coming any time now.  Smile
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fxramper
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 2:20 pm

What does this mean?

Gotta love that $.30/share stock price.  rotfl 
 
BN727
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RE: Delta Records $55 Million Profit In February

Fri Mar 30, 2007 2:49 pm

Oh Yeah, If Delta competitors didn't have to hide in bankruptvy and not pay bills they could turn higher profits too. Delta would have never been in this mess if they focused on Delta rather than Airtran and Jetblue..Delta has wasted millions attempting to stomp the new kids in town..AKA Song...."Song Sung Blue" JetBlue. Song was a really dumb finacial nightmare. A costley mistake in attempting to kill JetBlue....Perhaps Delta should be more concerned with Southwest..Soon to attack ATL as they have DEN.....Laughing out loud....
 
tommytoyz
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RE: Delta Records $55 Million Profit In February

Mon Apr 02, 2007 8:37 pm

Delta Had A $43 Million Loss For The Month

The loss is the true number. They even had an operating loss of $5
million while enjoying the benefits of operating while in BK, excluding the BK costs.

Management wants to earn a nice bonus once exiting BK and are trying tp
paint this picture to look better than it really is.

In order to make the $55 profit figure, they are excluding
reorganization items of $98 million just in February. There is a reason why there
are accounting standards and they are called GAAP. On that basis,
DL lost $43 Million in February.

Don't buy the hype. They can't even make an operating profit yet they are congratulating themselves.

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