Delta Posts Profit, Will Recall Attendants

November 9, 2006

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Delta Air Lines on Thursday posted a profit in the third quarter, after a year-ago loss.

Atlanta-based Delta, which has been reorganizing operations under bankruptcy protection since September 2005, reported a net profit in the quarter of USD$52 million, compared with a net loss of USD$1.13 billion in the same quarter a year ago.

Excluding one-time items and reorganization costs the carrier lost USD$46 million, compared with a year-ago loss of USD$438 million.

Delta said it plans to recall an additional 1,000 flight attendants in 2007, with 500 recalls planned in January.

The company also continues to recall maintenance personnel and is hiring in its Airport Customer Service and Reservation divisions, the carrier said in a statement.

Delta, the third largest US carrier, has said it is on track to meet its target of USD$3 billion in revenue increases and cost cuts and expects to emerge from bankruptcy protection in the first half of 2007.

Total operating revenue in the quarter increased 8.1 percent to USD$4.66 billion. Fuel costs increased 3.2 percent to USD$1.24 billion.

Delta said it had USD$3.9 billion in cash, cash equivalents and short-term investments, of which USD$2.8 billion was unrestricted.