Delta is to drop capacity on its US-UK routes this winter, blaming a fall in the value of the pound and economic uncertainty.
The US carrier says it will cut capacity by six percentage points for the 2016 winter schedules, which will in turn result in a one per cent drop in Delta’s system capacity for the quarter to December 2016.
In a statement the carrier cited “foreign currency under heightened pressure from the steep drop in the British Pound”, and “the economic uncertainty from the United Kingdom’s decision to exit the European Union” for the decision.
Only last month Delta and joint venture partner Virgin Atlantic announced a boost to their US-UK network, with new flights and greater frequencies starting in spring 2017.
The news came as Delta reported a second quarter pre-tax profit of $1.7 billion, up from $1.6 billion in 2015, despite a decrease in unit revenues (the amount collected for every mile each seat is flown).
Commenting on the figures CEO Ed Bastian said:
““As we look to the remainder of the year, the large year-on-year savings driven by lower fuel are largely behind us.
“It is important to achieving our long-term financial targets that we get unit revenues back to a positive trajectory.”