Delta Expects To Take USD$103 Mln In Charges In Q2

June 7, 2008

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Delta Air Lines expects to take a USD$95 million charge in the current quarter for its voluntary employee buyout, the company disclosed on Friday.

The development comes on top of a USD$16 million charge the company took in the first quarter related to work force reduction efforts, Delta said in a filing with the Securities and Exchange Commission. Delta has accepted buyouts from more than 3,000 employees.

Delta is also taking an USD$8 million charge this quarter to close certain airport clubs.

In addition, Delta said other cost-saving efforts would result in other expenses.

"Additional charges are expected to be incurred in future quarters in connection with other announced initiatives," the company said.