DELTA AIR LINES, busy celebrating its 75th anniversary, is yet another American airline struggling to survive. Last Wednesday Delta reported losses of $646m for the quarter and it was in good company. Moreover, its unrestricted cash levels have slumped to $1.45bn from $2bn at the end of June, a psychological level that most analysts see as the minimum to successfully finance a bankruptcy restructuring. In order of size American Airlines, presently the world”s largest carrier, says its losses for the third quarter are $214m, United are yet to report, followed by Delta. Next up Northwest, an airline that does operate into Heathrow but has little visibility, lost $46m, whilst the nation”s fifth largest carrier Continental was only $16m down. And in sixth place is US Airways (which we reported on last week). Not a rosy picture with soaring oil prices but a presidential election imminent. Airline number ten in the pecking order, ATA, now a budget carrier is said to be within days of Chapter 11.
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