Originally Posted by
nene
Completely different situation at Delta then. Company has only been constrained by lack of planes and personnel for the last 18 months. If they had those our pax numbers would’ve exceeded 2019 #s much sooner.
Delta and others didn’t have to pay back the feds anything because they never furloughed. That was the string that Congress put on the money. VEOP quickly reduced headcount right before surging demand but they had parked the 777s and 88/90 fleet so constrained by physical plane availability as well as personnel.
This debate all started cause I said all the mgmt look smart when the conditions are ripe for a profit. Right now all the companies should be making a great margin. Mgmt gets touch when conditions sour, that will be the true test of mgmt strategies.
Personally hope to see AA prosper as it helps everyone if all the companies are decently managed.
Delta absolutely took the government money:
U.S. Treasury starts distributing $15 billion in payroll aid to airlines | Reuters.
Delta Air Lines said it expects to receive $2.9 billion in total aid this round, with $830 million in the form of an unsecured loan. The airline said it received the first installment of $1.4 billion on Friday.
You are mixing things up. Payback of loans wasn't a contingency of not furloughing, it was an contingency of getting the first couple rounds of government free money. Remember, there were a total of 3 (?) rounds of government funding.
AA furloughed after all the government money stopped, and APA refused to reduce obligation hours/pay like UAL and DAL did.