"Delta says it will file unless it can cut substantial costs"

Tuesday, August 10, 2004

Delta spent $744M of cash since year began  
The Associated Press

  
ATLANTA (AP) - Delta Air Lines Inc. said Monday it burned through $744
million in cash in the first six months of the year and again warned
that it could be forced into bankruptcy without deep concessions from
pilots.

The carrier said in a filing with the Securities and Exchange Commission
that it had begun dipping into cash reserves due to high fuel prices and
lower than expected passenger revenues, but that such spending was
"unsustainable."

"If we cannot make substantial progress in the near term toward
achieving a competitive cost structure that will permit us to regain
sustained profitability and access the capital markets on acceptable
terms, we will need to restructure our costs under Chapter 11," the
filing said.


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