gloopy

We desperately need more investment in infrastructure. We've obviously done some, and that's great. But until we get high volume widebody air with new hoses at every single gate at every station we fly to, 6B in "shareholder return" is a collosal waste. Until we get ample (which means a few more than we need) tugs and tow bars, 6B in peak value buybacks are a waste. Until we either replace the 88s or find a realistic nav solution 6B in peak value buybacks are ridiculous. Jetways that clearly need maintenance more often because they break frequently. Better food especially for domestic first class. Power at every seat. Agreessive response to the endless growth mode airlines that barf capacity all over us while they grow. We could dominate the biggest 2 domestic threats and wage one heck of a response to ME3 for 6B dollars (in addition to whatever we're spending) and the return would be far superior than the nothing we get from peak value buybacks over time.

I'm not objected to rewarding investors. I think the best way to do that is with a higher share price over the long term, not junk economics like short term peak value buybacks that do nothing long term. I'm in favor of a reasonable dividend and slowly increasing it. I'm in favor of paying down debt and think we should do a bit more right now. Lighting 4B in fire while paying down an extra 2B in debt would do much more to promote a sustainable engine of shareholder value than lighting 6B in fire right now.

To any extent that we do buyback shares, it should be during the dips inherent to an irrational market and analcyst fits of panic. That would do more to have the shareholder's backs long term than what we're doing right now.

While I'm not objected to keeping "paid for" 88's around, how much fuel could we save by replacing them with zero debt free and clear A320's or 737s? Because you can buy a lot of those for the 6B you're lighting on fire in front of labor just to say nah nanny nah nah.

There are far superior ways to blow 6B in a few years that would build an even healthier and more sustainable company, and provide far greater shareholder return for the long haul, than lighting it on fire just to keep it away from labor.

UGBSM

Ha ha. Leo the Cee-o wasted 2.5 billion in stock buy backs that all got flushed down the toilet in bankruptcy.

Now Richard the rich-nerd is trying to prop up the stock price with 6B in dividends and buy backs.

Ok, start paying me in delta stock and options if you are going to do this. Forget 8/0/3/3. Give me a one share per hour raise instead. (Or something like that). That way I can sell my shares later at capital gains tax rate of 20% like our executives do.

texavia

Does this ring any bells with you?


When they see 25% of the profits being paid in bonus monies, they are thinking "that's more than enough, where's my ROI?" True. DAL has been printing money this year and last year. Why do you think you and I are more "entitled" to that than the owners?

BenderRodriguez

And I stick to that statement. Calm down a little and try to follow the debate. You seem very spring loaded to shoot at me. It is just a discussion.

Dose anybody know if/where the information would be concerning the amounts spent and number of shares repurchased at any given time? Is that done in the 10K filings or is there another mechanism where that is accounted for? I would think that they are buying shares on the dips, but I would love to know for sure.

ghilis101

They have to report trading of their own stock within 48 hours to the sec, and that's public record for anyone to view of course. They can also set up a predetermined trading schedule, sec 10b5-1.

You can find insider trading info directly from the sec EDGAR database or using msnbc or yahoo finance or something like that and checking out the specific stock, there should be a link that reports legal insider trading.

http://finance.yahoo.com/q/it?s=DAL+...r+Transactions

RA sure gets a lot of stock wow.

BenderRodriguez

Thanks. I was specifically referring to the stock buybacks that are done with the $5 billion.

ghilis101

Stock buybacks are flexible:

"Repurchases under Delta's program may be made through a variety of methods, which may include open market purchases, privately negotiated transactions, block trades, or accelerated share repurchase transactions in compliance with applicable regulatory guidelines, including Securities and Exchange Commission Rule 10b-18. Purchases will be made subject to market and economic conditions, applicable legal requirements, and other relevant factors."

They are reported in the quarterly earnings and in the annual report. So the Q2 earnings is July 15th I think? It will be listed as treasury stock in the form 10-Q under the balance sheet, shareholder equity.

2015 Q1 treasury stock: $365 million

Also in case you were wondering:

2015 Q1 profit sharing withheld: $136 million
2014 Q1 profit sharing withheld: $99 million

That's right, 40 percent more profit sharing earned in this years q1 than last year. 40 percent! Wow. I think we should hold on to our profit sharing. Can't wait to see the Q2 comparison this year.


http://ir.delta.com/m/#/SEC_Filings

Hrkdrivr

On my last 3 trips, 2 Captains solid "no." One Captain on the fence --> tafacts.com --> became a solid "no."

3 jumpseaters, all Captains, all "no."

scambo1

I'm clapping...inside.

Pilotfo64

Whats your base?