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Delta Reports Financial and Operating Performance for July 2016

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ATLANTA, Aug. 2, 2016 /PRNewswire/ -- Delta Air Lines (NYSE: DAL) today reported financial and operating performance for July 2016.

Delta Air Lines and the Delta Connection carriers offer service to nearly 370 destinations on six continents. For more information visit news.delta.com. (PRNewsFoto/Delta Air Lines)

Consolidated passenger unit revenue (PRASM) for the month of July declined 7.0% year over year, consistent with the company's expectations for the quarter.  This result was driven by continued close-in domestic yield weakness, the ongoing supply-demand imbalance in the Transatlantic, and headwinds from the company's Yen hedge positions.

The company's financial and operating performance is detailed below.    

Preliminary Financial and Operating Results

 

July consolidated PRASM change year over year

(7.0)%

July mainline completion factor

99.7%

July on-time performance (preliminary DOT A14)

81.6%

Delta Air Lines serves nearly 180 million customers each year. In 2016, Delta was named to Fortune's top 50 Most Admired Companies in addition to being named the most admired airline for the fifth time in six years. Additionally, Delta has ranked No.1 in the Business Travel News Annual Airline survey for an unprecedented five consecutive years. With an industry-leading global network, Delta and the Delta Connection carriers offer service to 335 destinations in 61 countries on six continents. Headquartered in Atlanta, Delta employs more than 80,000 employees worldwide and operates a mainline fleet of more than 800 aircraft. The airline is a founding member of the SkyTeam global alliance and participates in the industry's leading transatlantic joint venture with Air France-KLM and Alitalia as well as a joint venture with Virgin Atlantic. Including its worldwide alliance partners, Delta offers customers more than 15,000 daily flights, with key hubs and markets including Amsterdam, Atlanta, Boston, Detroit, Los Angeles, Minneapolis/St. Paul, New York-JFK and LaGuardia, London-Heathrow, Paris-Charles de Gaulle, Salt Lake City, Seattle and Tokyo-Narita. Delta has invested billions of dollars in airport facilities, global products and services, and technology to enhance the customer experience in the air and on the ground. Additional information is available on the Delta News Hub, as well as delta.com, Twitter @DeltaNewsHub, Google.com/+Delta, and Facebook.com/delta.

Forward Looking Statements
Statements in this press release that are not historical facts, including statements regarding our estimates, expectations, beliefs, intentions, projections or strategies for the future, may be "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. All forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from the estimates, expectations, beliefs, intentions, projections and strategies reflected in or suggested by the forward-looking statements.  These risks and uncertainties include, but are not limited to, the cost of aircraft fuel; the impact of rebalancing our hedge portfolio, recording mark-to-market adjustments or posting collateral in connection with our fuel hedge contracts; the availability of aircraft fuel; the effects of terrorist attacks or geopolitical conflict; the possible effects of accidents involving our aircraft; the restrictions that financial covenants in our financing agreements will have on our financial and business operations; labor issues; interruptions or disruptions in service at one of our hub or gateway airports; disruptions or security breaches of our information technology infrastructure; our dependence on technology in our operations; the effects of weather, natural disasters and seasonality on our business; the effects of an extended disruption in services provided by third party regional carriers; failure or inability of insurance to cover a significant liability at Monroe's Trainer refinery; the impact of environmental regulation on the Trainer refinery, including costs related to renewable fuel standard regulations; our ability to retain management and key employees; competitive conditions in the airline industry; the effects of extensive government regulation on our business; the sensitivity of the airline industry to prolonged periods of stagnant or weak economic conditions; uncertainty in economic conditions and regulatory environment in the United Kingdom related to the likely exit of the United Kingdom from the European Union; and the effects of the rapid spread of contagious illnesses. 

Additional information concerning risks and uncertainties that could cause differences between actual results and forward-looking statements is contained in our Securities and Exchange Commission filings, including our Annual Report on Form 10-K for the fiscal year ended Dec. 31, 2015 and our Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2016.  Caution should be taken not to place undue reliance on our forward-looking statements, which represent our views only as of Aug. 2, 2016, and which we have no current intention to update.

  




Monthly Traffic Results (a)


Year to Date Traffic Results (a)



































July 2016


July 2015


Change


July 2016


July 2015


Change

















RPMs (000):















Domestic

12,427,419


12,203,104


1.8%


76,272,256


73,052,397


4.4%




Delta Mainline

10,572,602


10,291,665


2.7%


64,211,382


60,961,185


5.3%




Regional

1,854,817


1,911,439


(3.0%)


12,060,874


12,091,212


(0.3%)



International

8,726,177


8,702,193


0.3%


49,010,342


48,828,728


0.4%




Latin America

1,831,957


1,805,937


1.4%


12,468,954


11,803,174


5.6%




Delta Mainline

1,781,201


1,770,720


0.6%


12,122,750


11,579,977


4.7%




       Regional

50,756


35,217


44.1%


346,203


223,197


55.1%




Atlantic

4,743,845


4,637,013


2.3%


22,976,541


22,975,377


0.0%




Pacific

2,150,375


2,259,243


(4.8%)


13,564,848


14,050,177


(3.5%)



Total System

21,153,597


20,905,297


1.2%


125,282,599


121,881,125


2.8%
































ASMs (000):















Domestic

14,350,955


13,777,995


4.2%


89,675,606


85,075,138


5.4%




Delta Mainline

12,109,575


11,498,826


5.3%


74,568,491


70,021,319


6.5%




Regional

2,241,380


2,279,169


(1.7%)


15,107,116


15,053,819


0.4%



International

9,925,419


9,994,532


(0.7%)


58,718,380


59,231,340


(0.9%)




Latin America

2,025,063


2,038,284


(0.6%)


14,751,975


14,290,935


3.2%




Delta Mainline

1,967,299


1,998,394


(1.6%)


14,322,257


14,003,946


2.3%




       Regional

57,764


39,890


44.8%


429,717


286,989


49.7%




Atlantic

5,526,327


5,407,534


2.2%


28,513,506


28,451,556


0.2%




Pacific

2,374,029


2,548,714


(6.9%)


15,452,899


16,488,849


(6.3%)



Total System

24,276,374


23,772,527


2.1%


148,393,986


144,306,478


2.8%
































Load Factor:















Domestic

86.6%


88.6%


(2.0)

pts

85.1%


85.9%


(0.8)

pts



Delta Mainline

87.3%


89.5%


(2.2)

pts

86.1%


87.1%


(1.0)

pts



Regional

82.8%


83.9%


(1.1)

pts

79.8%


80.3%


(0.5)

pts


International

87.9%


87.1%


0.8

pts

83.5%


82.4%


1.1

pts



Latin America

90.5%


88.6%


1.9

pts

84.5%


82.6%


1.9

pts



Delta Mainline

90.5%


88.6%


1.9

pts

84.6%


82.7%


1.9

pts



       Regional

87.9%


88.3%


(0.4)

pts

80.6%


77.8%


2.8

pts



Atlantic

85.8%


85.8%


0.0

pts

80.6%


80.8%


(0.2)

pts



Pacific

90.6%


88.6%


2.0

pts

87.8%


85.2%


2.6

pts


Total System

87.1%


87.9%


(0.8)

pts

84.4%


84.5%


(0.1)

pts
















Mainline Completion Factor

99.7%


99.9%


(0.2)

pts






















Passengers Boarded

17,109,491


17,103,034


0.0%


107,372,749


103,754,353


3.5%
































Cargo Ton Miles (000):

170,014


192,859


(11.8%)


1,140,096


1,285,696


(11.3%)

















aResults include flights operated under contract carrier arrangements























































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SOURCE Delta Air Lines

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