Originally Posted by
Model Citezen
Slo,
I believe we went from a 30 Billion dollar company to 24 billion during 2009..... that about a 20% drop in revenue (not 45%). The Amex deal is to provide 2 Billion over the course of the contract. We got a check for 1 Billion at the start of 2009. We should have another 500 million this year and 500 million next year. Although we might have experienced a "short term" 45% downturn, the worst financial numbers I have read about show a 25% drop over the summer quarter and we are ending the year off just about 20% for 2009. I am not picking on you, just want to make sure facts and figures don't start becoming urban legends.
You're correct on the Amex cash. Only $1.5 billion has been delivered so far. $500 million remains to be paid.
Take a look at Delta's Investor Day presentation (it's on Delta.com under Investor Relations). You'll see that June corporate revenue was down 45% YOY. The trend line is encouraging, but that's because the YOY comparables are so bad (Oct-Dec 2008 was awful as well). We're still down about 10.5% full year comparing 2009 with 2007. Those are SEC disclosed facts, not urban legends. Oh, our peak annual revenue was $34 billion in 2008, falling to less than $28 billion this year. While some of that decline (about 30%) was mitigated by lower average fuel prices and lower operating costs due to reduced capacity, the net effect was $4 billion less in cash flow for debt service, fleet renewal, and payraises. Put any of those facts into the premerger standalone Delta/NWA business plans and tell me what they look like.
