Hate to be a wet blanket to the prospective new hires at the new Delta, but the conference call today was not at all up beat regarding growth. This was said today on the call:
"It's probably an understatement to say it's been a challenging year with record fuel prices," Chief Executive Richard Anderson told analysts during a conference call. "And now we face economic uncertainty in the global markets."
President and Chief Financial Officer Ed Bastian said Delta is looking hard at its capacity given the economic downturn. He said that in the fourth quarter, Delta's international capacity growth will be about 2 percentage points less than previously expected.
Bastian said that Delta expects to experience a decline in demand in 2009 due to the economic environment, and the airline is prepared to act accordingly on the capacity front if that happens.
"There's no doubt we face challenges with the credit crisis," he said.
My opinion is that all growth plans and capacity plans are already being revised sharply downward, or the plans are already set to do so. The damage done to the domestic and world economy is real, and it will take some time for the patient to heal.
Carl