Delta Air Lines is expected to post another huge quarterly loss this week that would push its red ink to nearly seven (b) billion dollars since 2001.
Analysts say it will take several more months to determine if Delta's transformation plan is working. If it does, Delta could turn a quarterly profit by the fall. Wild cards that remain are fuel prices, the economy and the company's recent fare overhaul.
A cut in pilots' pay by a third did not take effect until December first, so not much of those benefits will be realized in the fourth-quarter 2004 results. And the financing agreements that Delta secured around the same time called for some of the money to be provided in installments.
For the three months ending December 31st, analysts expect Delta
to post a loss of almost 645 (m) million dollars -- excluding one-time items. That loss expected to be posted tomorrow would push Delta's losses to six-point-nine-five (b) billion since 2001.