DELTA AIR LINES, INC.
~ - 1959 ANNUAL REPORT
COMPARATIVE
SUMMARY
OF
OPERAT IONS
Dolum expressed in thousands
except per share figures
Operating Revenues ..................... .
Operating Expenses (excluding depreciation).
Operating Income (excluding depreciation) ..
Depreciation expense .................. .
Operating Income after depreciation ....... .
Net Income from Operations, after Taxes
and other charges .................... .
Total Earnings .......................... .
Shares Outstanding ...................... .
Earnings per Share ...................... .
Total Stockholder Equity ................ .
Stockholder Equity per Share ............. .
1959
l 03,805
S 85,5.SO
$ 18,255
$ 8,870
$ 9,385
S 4,062
S 4,062
1,122,221
$3.62
$ 37,4 10
$33.34
Revenue Passengers Carried. . . . . . . . . . . . . . . 2,988,241
Available Seat Miles (000)................. 2,622,740
Revenue Passenger Miles (000). . . . . . . . . . . . . 1,554,630
Passenger Load Factor. . . . . . . . . . . . . . . . . . . . 59.28%
Years ended June 30
195 8 1957
$ 88,173 $ 78,596
$ 76,277 $ 65,782
$ 11,896 $ 12,814
$ 9,354 $ 6,729
$ 2,542 $ 6,085
$ 932 $ 2,539
$ 1,063 $ 2,622
1,122,045 1,121,944
$ .95 $2.34
$ 34,020 $ 33,966
$30.32 $30.27
2,728,220 2,572,982
2,479,428 2,206,408
1,408,857 1,299,482
56.82% 58.90%
1959 u L REPORT
CONTENTS
Page
Report from the President
and General Manager . . . . 2 - 9
Financial Results. . . . . . . . . . . 2 - 3
Services Rendered . . . . . . . . . 4 - 5
Equipment and Facilities. . . . 6
Personnel. . . . . . . . . . . . . . . . . 6
Regulatory Matters. . . . . . . . 6 - 7
Capitalization and Financing. 8
The Future Outlook. . . . . . . . 9
The Delta Jetliners ........... 10 - 11
Financial Statements .......... 12 - 16
Balance Sheets ............. 12 - 13
Statements of Income....... 14
Statements of Capital Surplus
and Retamed Earnings.... 15
Auditors' Certificate........ 15
Notes to Financial Statements 16
Ten Y car Summary of
Operations ................ 18 - 19
Ticket Offices. . . . . . . . . . . . . . . 20
Directors and Officers ....... . 21
System Route Map ......... Fold out
Back Cover
1
2
FINANCIAL
RESULTS
ANNUAL REPORT TO THE STOCKHOLDERS
The 1959 fiscal year wa an important period for Delta Air Lines, as we extended the volume and
quality of the services offered to the public, establish d identification in new markets, and intensified
our preparations for jet operation . In keeping with th g neral improvement in busin ss activity,
significant gains in all categories of traffic were achieved. Net arnings after all charges and taxes
amounted to 4,062,222, equal to 3.62 per share and marking a sharp recovery over the previous
fiscal year. Financing wa arranged for the outstanding commitments for 16 jet aircraft, without
present or future potential dilution of stockholder quity.
Revenues - Total operating r venues reached a new high of $103,805,000, a gain of $15,633,000 or
17. 73% over the 1958 period. The major portion of this increase ($13,844,000) was registered in
passenger revenues, which increased 17.26% to $94,062,000. The principal factors contributing to
this larger revenue volume were (1) the temporary interruption of certain competitive services be-
cause oflabor difficulties, (2) the effect of passenger fare increases authorized by the Civil Aeronautics
Board in February and October, 1958, (3) the general recovery from the 1958 recession, and ( 4) the
excellent passenger acceptance of the new luxury "Royal Service" inaugurated during the year over
your Company's major routes.
The volume of service operated was expanded, and available seat miles rose 5. 78 % to 2,623
million. The 2,988,000 passengers carried by Delta generated revenue passenger miles ofl,555 million
(up 10.35%) and developed a passenger load factor of 59.28 %, a substantial improvement over the
56.82 % passenger load factor of the preceding year.
Revenues received from cargo operations (mail, freight and express) amounted to $7,238,000,
a significant 26.90% increase over the preceding year. Total cargo revenue ton miles were up 24.04%
to 25,786,000 for the year. Major progress was made in the development of markets served by the
C-46 all-cargo airplane fleet operated by your Company. The growth in the volume of freight
moving by air has been remarkable, and the future potential is promising.
Expenses - Operating expenses totalled $94,420,000 for the year, representing a 10.26% in-
crease, and were incurred in achieving a 11. 90 % increase in total revenue ton miles.
The largest dollar expense increase was experienced in payments to or for the benefit of em-
ployees which rose $5,413,000 to $42,741,000. The number of employees at year-end was 665
greater than at the beginning of the year, as a result of staffing the new cities added to Delta's system
and in preparation for jet service. General wage and salary levels were adjusted upward during the
year in keeping with the industry trend.
Expenditures of $3,318,000 for food and supplies for passengers were 30% higher, occasioned
by greater passenger volume and the addition of "Royal Service" flights, and the provision of meal
service on daycoach flights. The additional investment in providing the very finest service to our
passengers has paid handsome dividends in customer satisfaction and patronage.
Net depreciation expense of $8,870,000 did not vary significantly from the previous year, as no
new aircraft were added to the fleet.
Unit operating costs increased slightly. The cost of producing a seat mile for sale rose from
3.45 to 3.60, and the cost of an available ton mile produced was 29.14 compared to 28.44 the
preceding year.
Earnings and Dividends - Net earnings for the year ended June 30, 1959, after all charges and
taxes, were $4,062,222, equivalent to $3.62 for each of the 1,122,221 shares outstanding. This com-
pares to the $1,063,155 (including $131,409 in net profits from flight equipment sales) earned in the
preceding year. There were no sales of aircraft during the 1959 fiscal year.
Serving Royal Jet dinner at "unitized" seat in deluxe section of Delta's new DC-8 Jetlirn
1959 1958 1957
Over 20 years ............ 94 82 67
15 - 20 years ............ 367 329 233
10-15 years ............ 1,282 1,184 1,137
5-10 years ............ 1,237 1,226 1,199
As of June 30 1- 5 years ............ 2,465 2,381 1,923
Less than 1 year .......... 1,278 856 1,283
Total .................. . 6,058 5,842
SERVICES
RENDERED
Int re t e f '629 0 and ther n n- peratin item re ulted in net 11 11- perating
har 55 htl 1 than in th car b fi re. A in the 195 fi al year, intere t applicable to
njet flight equipment a apitalizcd t be me part f the st f the equipment
up ; intcre apitalized in th 195 fi al y ar am unted t $ 07,000. a h earnings
(n t after ta e plu d pre iati n) wer 12, 0 equivalent t '11.52 per hare f
1
n .
P liti al unre t in the aribb an ntinued t depre s bu inc and t uri t travel t that area
and a in urr d in ur internati nal pcrati n .
f 30 a shar were paid t t kh lder n March 2, 1959 and June 1, 1959,
utiv ear f divid nd payment and making y ur ompany' dividend
f the ut tandino- in the indu try. in e 1949, dividend payments have aggregated
7 92 equal t 9.55 per har and 29.36 ft tal arning . In additi n, a ca h dividend of 30
a hare a de lar d n July 25 1959 payable eptembcr 1, 1959 to t ckh lders of record at the
cl e fbuine onAugut14 1959.
Royal ervice Fli hts - The intr ducti n f Delta's " R oyal ervice" Right with Douglas DC-7 and
D -7B equipment wa ne f th ervicc highlight of the year. Offering the very fin est in luxury
r 1ce, ith c mplimentar hampagne, choice of meal entree and cabin service with three stew-
arde e the uperi r quality Right (at n extra fa re) quickly 6 came highly popular with the
tra eling publi . The additional patronage of these flights i making a ignificant c ntribution to
r venue and earnings.
Aircoach - The volume f reduced-fare airc ach service was further expanded, and passenger
load factor on coach Rights were slightly above the average fo r total operation . The growth and
up ard trend of aircoach operation i indicated in thi tabulation, which shows the relationship of
aircoach and first class service fi r the past five years:
Years ended June 30th
AVAILABLE 1955 1956 1957 1958 1959
EAT MILE Aircoach ......... . .... 22% 30% 38% 38% 41 %
First Class ...... . . . .. . . 78 70 62 62 59
Total ......... . ... 100% 100% 100% 100% 100%
In terms of passenger miles, the growth of aircoach is particularly impressive:
Years ended ]11ne 30th
REVENUE 1955 1956 1957 1958 1959
PASSENGER Aircoach . . ...... .. .... 234,897 334,999 479,842 540,680 624,425
MILES (000) First Class ... . .. ... .. . . 717,529 745,268 819,640 868,177 930,205
Total. ... ... .. .... 952,426 1,080,267 1,299,482 1,408,857 1,554,630
Each power unit of the DC-8 develops 13,000 lbs. thrust.
1959 REVENUE DOLLAR
SOURCES
Mall 2,151,953
2.07~
Other 1,015,832
.98
Twelve 111011/hs ended Ju11e 30, 1959
Passenger and Excess
Baggage S95,552,087
92 .05
Employees' salaries and
related costs* S-1-2,740,8-1-6
41.17
DISTRIBUTION
epreclatlon and
ence of Property
uipment 58,870,785
8.55
nd Oil 513,474,175
12.98
Materials and outside
Food and supplies for
Passengers $3,318,117
3.20
Advertising 53,073,117
2.98
Other operating costs
$12,290,134
11.84
Capital Costs
{Interest and Dividends)
51,301,973
1.25
' - - - - - - - - - - - - - - - - - Taxes $6,801,861
8 .55
'---- - -- - - - - - - -- - -Retained for use in
Total I liar R evenue 103,805,445 * Salaries, travel, employee tll('!{are a11d payroll taxes
Airfreight - Accompanied by an aggressive sales and promotion program, Delta's airfreight
servi es are generating a constantly-increasing volume of traffic and revenue. The Company's five
-46 all-carg planes provide service to major cities and, coupled with the cargo service available
on regular passenger flights, offer distinct benefits to the shipping public. Available capacity for air
cargo will be substantially augmented when Delta's DC-8 jet fleet is placed in service this fall.
onsideration is being given to operating, in conj unction with American Airlines, through-
plane all-cargo flights between the Southeast and California, utilizing Douglas DC-6A aircraft.
Your Company is following with much interest the major attention now being focused upon
the development of cargo airplanes which will permit the high speed movement of large volumes
of freight at lower rates than are now feasible.
Air Mail - A record volum of air mail was carried in the 1959 fiscal year, and the 5,397,000ton
miles of air mail produced $2,152,000 of air mail revenue at an average compensatory yield of 39.88
a ton mile, pursuant to a multi-element rate established for the industry by the CAB in 1954.
This compares with 38.96 a ton mile in the 1958 fiscal year and 51.43 a ton mile five years ago.
In addition, your Company continued its cooperation with the Post Office Department in the
movement of first class mail between northern points and Florida cities on an experimental basis.
In July, 1959 the Postmaster General submitted to Congress proposed legislation which would permit
the use of air carriers for the movement of all classes of mail when he finds it to be in the public
intere t. This proposal, which is generally endorsed by the airlines, further emphasizes the growing
imp rtance of the airline industry to the Nation's commerce.
No new aircraft were added to the fleet during this fiscal year, and all orders for piston-engined
equipment have been filled. The operating fleet at June 30, 1959 consisted of the following aircraft:
Manufacturer Model
Douglas .. .. ... . . ..... DC-3
Douglas ......... ... .. DC-6 (owned)
Douglas ..... ... ...... DC-6 (leased)
Douglas ... ... ....... . DC-7 / DC-7B
Convair. ... ... . .. .. .. 340 / 440
Curtiss. . . . . ... ...... C-46
* Includes two all-cargo planes
Number
12*
7
5
21
28
5
Seating
Con.figuration
25
76
60
69/90
44
Cargo
business S3,388,952
3.27
5
6
EQUIPMENT AND
FACILITIES
PERSONNEL
REGULATORY
MATTERS
In mid-July, 1959, sh rtly after the 1 se f the fiscal year, the first of six Douglas DC-8 Jetliners
a delivered, clo ely D 11 wing the 30th anniversary of Delta's passenger service. Delta will inaugu-
rate DC- jet ervice over it major r utes in the fall of 1959, initially serving New York, Atlanta,
Chicag , Miami, Detr it, New Orlean , and Dallas.
Earl placement of rders D r a $74 milli n fleet of jet aircraft, plus advance planning and a two
year training program, have enabled your Company to be in the vanguard of domestic carriers to
intr due the first jets expre sly de igned for ommercial use.
Th D uglas DC- , rated at nearly 600 miles per hour, seating 119 passengers, is powered by the
mmer ial version of the militarily proved and tested Pratt & Whitney J-57 jet engine. Both in
app arance and performance the DC-8 truly ranks as the Queen of a long dynasty of distinguished
D uglas commercial planes.
F 11 wing the DC-8 closely will come delivery of Delta's 10 Convair 880 jetliners, beginning in
Januar , 1960. The smaller but slightly faster "880" seats 84 passengers and is powered by General
Electric's CJ- 05 jet engine, commercial version of the J-79 which powers the B-58 Hustler bomber
and other operational military aircraft. It is designed to operate over medium ranges and to land on
somewhat shorter runways than the DC-8. Present plans call for the inauguration of Convair 880
service in the early spring of 1960.
Expenditures for ground facilities and equipment were $1,269,000, approximately the same as
the previous year. Delta's principal Jet Overhaul Base, centrally located at the Atlanta Airport,
Atlanta, Georgia, is scheduled for completion in early 1960.
The joint efforts of Delta employees through the years have established for your Company an envi-
able reputation. Their experience, their skills, and courtesy and loyalty constitute your Company's
greatest asset.
Delta's personnel are well prepared for the advent of the jet age; more than 100,000 man hours
have already been devoted to specialized training for jet operations, and chis program will be a con-
tinuing one. Employees with five years of service or more now number almost 3,000, some 40%
of the total.
Decisions in New Route Cases -A year ago it was reported that the Civil Aeronautics Board had
announced decisions in several major route cases involving Delta. Since the issuance of last year's
Annual R eport these announcements have been confirmed by formal Board orders and your Com-
pany has inaugurated service between Detroit, Toledo, Columbus, Dayton, Indianapolis, Louisville
and the Southeast and has added Orlando, Tampa and St. Petersburg to its Florida service pattern.
(Detroit, Toledo and Indianapolis were previously served only on routes oriented toward N ew
Orleans and Houston.) Service to W est Palm Beach will be inaugurated as soon as expanded terminal
facilities have been completed.
Authorization for direct operations between Birmingham and Memphis has also made possible
new services between Kansas City, Springfield, Little Rock, Memphis and the Southeast.
In these same cases, the Civil Aeronautics Board extended a third carrier from Chicago to
Atlanta and Florida, and also a third, fourth and fifth carrier between Atlanta and Miami. These
awards, when fully activated, will substantially diminish the benefits that would otherwise accrue
from the new Delta operating authority.
The northward extension sought by Delta in the Chicago-Milwaukee-Twin Cities Case has been
denied by the Board.
Pending R oute Proceedings - Two proceedings now before the Civil Aeronautics Board are of
great interest to your Company:
The Southern Transcontinental Service Case - This proceeding, begun in March, 1958, will
determine the need for single-carrier service between the Florida-Georgia area and California via the
Houston and Dallas/ Ft. Worth gateways and numerous other cities.
New DC-8 stewardess uniform designed by
Edith Head, Fashion Chief of Paramount Pictures.
Following civic appearances in Houston, Los Angeles, Miami and Washington, the presenta-
tions of the nine carrier applicants opened in Washington on July 9, 1959. As a pioneer in the develop-
ment of trans-southern traffic, Delta is a leading contender for a transcontinental award in this
pr ceedjng. Currently your Company participates in the transportation of 75 percent of the passen-
gers traveling between the Southeastern States and the Southwestern States. A final decision in this
case is not expected before late in 1960.
Domestic Cargo - Mail Services Case - This proceeding, a general investigation of the special-
ized all-cargo air carriers, including the question of whether these specialty carriers shall receive
subsidy for the carriage of freight, will have an important effect upon the future of Delta's cargo
ervices. Delta, as an applicant in this proceeding, seeks to add nine additional Florida points to its
carg services with a view to correcting the existing imbalance of directional cargo traffic. In addi-
tion, the question of whether any or all of the existing all-cargo carriers should be replaced by all-
cargo services provided by the domestic trunkline combination carriers, such as Delta, will be
decided by the Board.
Net Book Value Depreciation
Net Book Value Depreciation
Net Book Value Depreciation
MILLIONS OF DOLLARS 10 20 30 40 50 60 70 80 90
Other Proceedings - Two other proceedings, not involving routes, are also of great importance
to the Company:
General Passenger Fare Investigation - An Examiner's Initial Decision in this important proceed-
ing, a gen ral investigation of the passenger fare levels of the domestic trunk.line carriers, was issued
n May 27, 1959. The Examiner recommended that domestic passenger fares should be increased to
a point approximately 12 % above the pre-February, 1958 levels (an interim fare increase approxi-
mating 6.6 0
was authorized effective February 10, 1958 and a second interim increase approxi-
mating 3.5 was authorized in mid-October, 1958).
The case was argued before the Civil Aeronautics Board during the latter part ofJuly, with the
trunk airlines generally supporting the Examiner's recommendations. The Board's final decision is
expected before the end of the year.
Mail Rate O.ff"-- et Issue - On February 18, 1959, the Civil Aeronautics Board issued a decision
in thi matter, ruling that Delta should repay to the U. S. Post Office Department $1,795,000 in
mail pay r ceived by Chicago and Southern Air Lines, Inc. in the 1946-1952 period, subject to
certain tax adjustments. The Company has filed a petition for reconsideration with the Board, which
has not et been acted upon, and also has filed a protective appeal with the U. S. Circuit Court of
Appeals for the District of Columbia.
7
8
SOURCES AND
D I SPOSITION
O F FU NDS
(All amounts i11 thottsands)
CAPITALIZATION
AND FINANCING
FUND PR VIDEO BY:
Fiscal Years ended June 30 Total for
1959 1958 1957 1956 4 Years
Net earnings, e eluding equipment sales ........... ... .......... $ 4,062 $ 932 $ 2,539 $ 3,369 $10,902
Equipment sales proceed , le s taxes .... ..... .. ... .. ... . .... ... . 158 93 2,499 2,750
Deferred income taxes, net, payable in later years . . ....... .... . . 2,120 2,817 1,420 1,109 7,466
Depreciation accruals ...... . ...................... . ...... .. .. 9,637 9,873 7,239 6,983 33,732
ale fc 111111011 tock ....................................... 4,329 4,329
B rrowings under credit agreements . . .. ..... . ........ ...... ... 5,000 12,600 6,000 23,600
Miscellane us, principally expenses not requiring cash expenditures . 16 71 283 370
FUND U ED FOR:
$20,819 $26,396 $21,691 $14,243 $83,149
Flight equipment additions . ........................ . ........ . $ 2,453 $20,452 $12,058 $ 7,029 $41,992
Advances for flight equipment on order (net) ................... 11,507 3,404 4,310 4,008 23,229
Ground facility and equipment additions ....................... 1,269 1,298 1,240 1,181 4,988
Debt reduction:
Redemption of 5 2,- % convertible debentures ................ 1,111 1,111
Repayment of bank borrowings ........................... 2,425 2,425
ash dividends . . .......... . ................................. 673 1,010 1,346 923 3,952
All other purposes ... .............. ...... ................. . .. 406 161 542 156 1,265
S16,308 $26,325 $19,496 $16,833 $78,962
et change in Working Capital. .. . ........... . ....... . ......... +$ 4,511 +$ 71 +$ 2,195 - $ 2,590 +$ 4,187
Working Capital at beginning of period . . . . . . . . . . . . . . . . . . . . . . . . . 5,752 5,681 3,486 6,076 6,076
Working Capital at end of period. ......................... . ... . $10,263 $ 5,752 $ 5,681 $ 3,486 $10,263
The amount of the mail pay refund, if any, which the Company ultimately may be required to
make cannot now be determined and, by consent of all parties, the effectiveness of the Board's order
has been stayed by the Circuit Court pending judicial review. Further detail is contained in Note 3
to the financial statements.
Credit Agreements - Arrangements for the financing of the jet flight equipment on order have been
completed by an amendment of the 1956 Bank Credit Agreement and the execution of a Note
Purchase Agreement with a group of four insurance companies.
The bank credit agreement, negotiated in early 1956, provided for a maximum credit of
$30,000,000. By appropriate amendment to this Agreement the amount of the credit available at any
one time was increased to $35,000,000. Borrowings thereunder bear interest at the rate of 4 % per
annum and are evidenced by unsecured notes maturing December 30, 1960, at which time the out-
standing balance is to be consolidated into one note repayable in quarterly installments beginning in
March,1961, and ending in December,1967. As of June 30, 1959, $30,000,000 had been taken down
under this agreement, replacing borrowings in the same amount under the superseded agreement.
1------5
-Y-EA
_
R
_T_
O
_T-
A
L-[.;.
Act11al Ear11i11gs
Adj11stcd Ear11i11gs
Cash Di11
id'11ds
Including Pro.fits from Sale of Equipment
'55 '56 '57 '58 '59
EARNINGS AND DIVIDENDS PER SHARE
DOLLA RS PER SH AR E
'50 '51 '52 '53 '54 '55 '56 '57 '58 '59
STOCKHOLDER EQUITY PER SHARE *
Adjusted to Reflect 25% Stock Divide11d Paid ],me 29, 1956
34
32
30
28
26
24
22
20
18
16
14
12
10
A '""~""'' n '"""~""'""' om
,l~ DELT,\ .\IR ER\"ICE. lnc.
C. E. Woolman, President and General Manager, contrasts scale model of DC-8 with Travelaire featured in company's first passenger service advertising.
In November, 1958, the Company concluded a credit agreement with four insurance com-
panies (The Prudential Insurance Company of America, The Mutual Life Insurance Company of
N ew York, Connecticut General Life Insurance Company, and The Connecticut Mutual Life
Insurance Company) providing for their purchase of $25,000,000 of unsecured notes in 1959 and
1960, bearing interest at the rate of 6 %. Repayments to the insurance companies are to be made
semi-annually in required amounts of $1,250,000 beginning on April 1, 1968 with final maturity
October 1, 1974. As of June 30, 1959, $5,000,000 had been borrowed under this agreement.
In both agreements, dividends are limited to 70 % of net earnings after June 30, 1958 plus
$1,000,000; as indicated on the June 30, 1959 balance sheet, accumulated earnings on that date of
$3,170,000 were unrestricted. The agreements, which provide for accelerated repayment privileges
subject to certain qualifications, contain additional provisions governing maintenance of working
capital and creation of additional debt that are not considered onerous.
Advance Payments - Advances of $11,507,000 were made to the aircraft manufacturers during
the year against the commitments for the jet fleet, bringing the total of such payments to $23,229,000
at year-end.
Stockholder Equity - The book value of each of the 1,122,221 shares of common stock out-
standing increased by $3.02 during the year to $33.34. Total stockholder equity at June 30, 1959
was 37,410,000.
Each of the many forward steps in aviation which have occurred since your Company first began
passenger service 30 years ago has been accompanied by its own unique problems, and the forth-
coming jet era will be no exception. Delta personnel, experience, and equipment enable us to face
the future with confidence, and we look forward to continuing full participation in this new chapter
in aviation history.
September 9, 1959 PRESIDENT A D GENERAL MANAGER
THE FUTURE
OUTLOOK
9
10
~ The inauguration of DC-8 jet service in September, coming within weeks of the
30th anniversary of Delta's pioneering of scheduled passenger service across the South,
is an aviation event of historic significance. It means new and higher standards of speed
and comfort and even safer, more luxurious, vibration-free flight. It means faster air
freight and air express service, swifter delivery of the mails. Most importantly, it means
new opportunities for continued growth and service and an improved competitive posi-
tion in the industry for your Company.
The jets are destined to add a new dimension to Delta's reputation for hospitality
and to make possible a degree of comfort never before attainable. Passengers on Delta's
Royal Jet Service flights will be quick to recognize this new standard, beginning with
streamlined baggage handling techniques and the swift and orderly dispatch with which
ground crews service the huge airliner with specially designed equipment developed
for the Jet Age.
Inside the Douglas DC-8 the rich harmony of color, texture and indirect lighting,
together with striking murals and other features of the custom-designed interiors con-
tribute to a pleasant, relaxing atmosphere. The broad ceilinged, wide-aisled cabin is
completely air-conditioned on the ground as well as aloft. For dining aloft, the DC-8
is equipped with four electronic kitchens in two separate galley areas, one forward and
the other aft. There are two convenient lavatories for each of the two cabins.
New "unitized" seats offer full-stretch leg room, lights for reading plus others for
dining or writing on the substantial fold-out tables, individual air vents, service call-
buttons and other accessories, all within the seat unit. The first class section contains 40
seats, featuring 8-inch arm rests and foot hassocks, and also includes a spacious 7-passen-
gcr lounge area. The 72-seat supercoach compartment also features "unitized" seat-
ing and shows the same deft touch of the decorator.
THE DELTA JETLINERS
A In six months of extensive flight testing at the Convair plant in San Dieg , Calif.
the new Convair 880 jet transport has met or exceeded all performance estimate . Delta
will receive the first of a fleet of ten 880' s in January, 1960.
Speed, luxury and versatility distinguish chis medium-range 84-passenger jetliner
whose short takeoff and landing requirements will enable Delta to bring Royal Jet
Service to a still larger portion of the area served.
The Convair 880 will be the world's fastest commercial airliner with a cruising
speed of more than 600 miles-an-hour. It can cruise at 35,000 feet, and at this height
the cabin is pressurized to the equivalent of a 6,000-foot altitude.
Luxury is designed into the 880. Extra-spacious aisles and 72 over-size scats in pairs
on each side plus a 12-passenger club compartment will establish new standards in
air travel. Delta 880's will have four large buffets for preparing and serving hot food and
beverages. Three lavatories are ea ily accessible in the 880 cabin.
Built for medium-range operation, the Convair 880 incorporates the extra strength
and rugged airframe required for frequent landings and takeoffs that are characteristic
of service on shorter trip lengths.
11
ASSETS
12
DELTA AIR LINES. INC.
CURRENT ASSETS:
Cash .. .. . .............. . . ........ ................. . . . . ... . ... ...... .
Accounts receivable -
Traffic (net) ............................. ........... . ....... . . ... . .
Other ................. ..... ... . . . . ...... .. . . . . . .. . ... ..... . . . . . .. .
Federal income tax refund ... ... .. . . .... . .. .. . . . . .. . . . . .... ........... .
Maintenance and operating supplies, at average cost. ........... ....... . . . .
Other current assets ............... ......... . . . .. . . .... . ...... . ... ... . .
Total current assets ... .... .................. . . . . . .......... .
OTHER ASSETS (Net assets of dusting division and
other investments) ......................................... . . .... . . .. .
PROPERTY AND EQUIPMENT:
Cost
Flight
Equipment
1959 ................................... ... $86,424,713
1958........... . . . ........ . ... .. .... . ..... 83,951,218
R eserves for depreciation
1959 ..................................... .
1958 .............. .. ....... ....... .. . .... .
44,784,235
35,988,677
Other
Property and
Equipment
$11,249,565
10,000,870
5,593,616
4,815,370
Advance payments for new flight equipment .... .. .. . . ........... ... . . .. .
DEFERRED CHARGES, ETC.:
Advances for leased facilities, being amortized .......................... . .
Preparatory co t for jet operations, to be amortized ........ . .. ... ... ... . . .
Other deferred charge ............ .. .... ........ ... .. . . .... ..... ..... .
A
1 959
$15,227,334
4,099,292
3,694,472
816,593
110,188
$23,947,879
$ 388,270
$97,674,278
50,377,851
$47,296,427
23,228,615
$70,525,042
$ 133,665
349,642
82,402
$ 565,709
$95,426,900
195B
$ 7,278,455
3,106,529
2,281,505
1,665,000
823,736
298,375
$15,453,600
$ 410,497
$93,952,088
40,804,047
$53,148,041
11,721,900
$64,869,941
$ 124,712
82,557
$ 207,269
$80,941,307
BA LAN C E S H E E TS June 30, 1959 and 1958
CURRENT LIABILITIES:
Accounts payable and accrued liabilities . .. . ...... .. .. ... .. .. ... ... . ... .. .
Tickets outstanding subject to refund or use .... . ... .. .. ... . . . . . . . . .. . .. . .
Accrned Federal and state taxes on income ... . .............. . ... . ....... .
Air travel plan deposits .. . .. . . . .. . .. .. ... . .. ... ........... . . . ... . . . ... .
Total current liabilities ... . . .. . .. ... . ... ... . . . . ..... . ... .. .. .
LONG-TERM NOTES PAYABLE (Note 2) ... .. ...... .. .. . .......... . . .
RESERVES AND DEFERRED CREDITS:
Deferred Federal income taxes ...... . . . . . ... . ... . ...... . .. ... . . ... . .. .. .
Reserve for contingencies (Note 3) . . .. . ... .. ... . .. .. .. .......... .. .... .
Other . .. .. . . . ..................................... ... . ..... .. .. .... .
STOCKHOLDER EQUITY:
Common stock, par value $3.00 per share -
Authorized 1,500,000 shares
[ssued and outstanding 1,122,221 shares at June 30, 1959,
and 1,122,045 shares at June 30, 1958 ........... .. .................. .
Capital surplus . . .. . . ... .. . .. . . ... ..... ... ............... ... . . .... ... .
Retained earnings (of which $14,910,539 is not presently available
for cash dividends under terms of credit agreements) .. . ... . ......... . .. .
PURCHASE COMMITMENTS (Note 1)
The accompa11ying notes are a11 inte,1;ral part of these statements.
1959
$ 8,158,931
1,521 ,916
2,878,747
1,125,400
$13,684,994
$35,000,000
$ 8,791,000
500,000
41,330
$ 9,332,330
$ 3,366,663
15,962,088
18,080,825
$37,409,576
$95,426,900
1 9 5 B
$ 7,420,630
1,209,782
1,071,425
$ 9,701,837
$30,000,000
$ 6,671,400
500,000
48,352
$ 7,219,752
$ 3,366,135
15,961,710
14,691,873
$34,019,718
$80,941,307
LIAS I LITI ES
13
s TS 0 NCOME
For t/ie Years ended ]1111e 30, 19 59 and 19 5
REVE U
Pa enger .... .... . . ................................................ .
U .. Mail .... ..... ..... . . . ... ..... . ........... ... . ..... ..... . .... . .
Freight ................................... . ........ . ... . ..... . ..... .
E pres ............................................................ .
E 'ces baggage ....... . ... . ... . ................... . . . .. . .. .. ........ .
cher operating revenue - net ....................................... .
Total operating r venues ... . ............. . ...... . ......... .
OPERATI EXPEN
Flying operation ...................................... . .......... . . .
Maintenance . ... . ... ... ... . ... ..... .... .. . ..... ..... . . ... . . .. .. . ... .
Aircraft and traffic servicing . ..... . ..... .. . . .. .. .. ............ . ... . ... .
Promotion and sale ........... ........ . . . .. .. . . . ... ....... . .. ...... .
Pa senger ervice . .. ............. ... . ... ..... .... .. . . .. .. .. . ......... .
eneral and adrnini trati ve ..................... . ..... . ....... .. .. . ... .
Operating expenses before
depreciation and amortization . .... . ...... .. ...... . .. .... .
Depreciation and amortization -
Flight equipment owned ...... . .. ... . . .............. .. ....... . .... .
Less - Net depreciation credits ari ing from equipment
interchange agreements . . ...... . . .. . .... . . . ... . ... . ... . ...... . . .
Ground property and equipment ................................... .
Depreciation and amortization .................... . .... .... .
Total operating expenses .. . ............................... .
Income from operations before income taxes ............... .
OTHER EXPEN E (INCOME):
Interest expense (less capitalized interest on advances for flight equipment -
807,000 in 1959 and $395,000 in 1958) .. . ..... . ........... .. ........ .
O ther- net . .... . .. ...... . .. .. .......... . . .... ... ... . . .. ...... . ... .
Total ocher expen e . . . ... . . . .. . . . ...... . . . . ... . . .. ...... .
Income before income taxes ....... . .............. . .. ..... . .
PR O VISION FO R T AXES O N INCOME:
Current Federal and state income taxes .. . ..... . .. .. ... . . . . . ... .. .... . . .
Deferred Federal income taxes ...... .. . . . ...... . ..... . .. . .... ... ...... .
Federal income tax refund arising from
1958 tax loss carry-back . ... .... ... . ...... . .... . ..... . . . . . . . ..... .. .
Net inco1ne . . .. .. . . . . ..... .. .. . . . . . ....... . .... . .. . . . . . . .
SPECIAL ITEM - Profit on disposition of flight equipment,
less applicable income taxes of $142,000 ........ . . .. . ...... . ... . . . . . ... .
N et income (and special item in 1958) . .... .. .. . . ..... ... . . . .
A
1959
$ 94,061,577
2,151,953
3,879,389
1,206, 184
1,490,5 IO
1,015,832
$103, 05,445
$ 27,969,920
20,909,722
15,151,804
11,797,470
6,850,847
2,870,063
$ 85,549,826
$ 8,801,536
(766,058)
835,307
$ 8,870,785
$ 94,420,611
$
$
$
9,384,834
628,703
(75,091)
553,612
$ 8,831,222
$ 2,649,400
2,119,600
$ 4,769,000
$ 4,062,222
$ 4,062,222
1958
$80,217,086
1,795,885
2,954,896
952,510
1,384,331
867,987
88,172,695
$26,269,023
18,468,191
13,255,327
10,210,394
5,597,201
2,476,590
76,276,726
$ 9,133,832
(538,499)
759,025
$ 9,354,358
$85,631,084
$ 2,541,611
$ 612,575
(12,710)
$ 599,865
$ 1,941,746
$
2,817,000
(1,807,000)
$ 1,010,000
$ 931,746
131,409
$ 1,063,155
14 The accompa11 yi11g notes are an integral part of these statements.
S A EME TS OF CAPITAL SURPLUS
AND RETAIN ED EARNINGS For the Yearended]une30, 1959
Balance at beginning of year ....................... . ............ . . .. ... . .
Add:
Net inco1ne . ..... ...... ... ............ ... ... ........... ..... ... .... . .
Excess of proceeds over par value of 176 shares of conunon stock issued during
year in exchange for scrip ................ ... ........... . . .......... .
Deduct:
Cash dividends on common stock - $.60 per share .......... . . .......... .
Balance at end of year ($14,910,539 of retained earnings is restricted as indicated
on balance sheet) .................................. ............ . ... .
The acco111panyi11g notes are an integral part of these statements.
To the B
oard of D
irectors
Delta Air L. ,
llles, Inc.:
Capital
Surplus
$15,961,710
378
$15,962,088
$15,962,088
Retai11ed
Earni11gs
$14,691,873
4,062,222
$18,754,095
673,270
$18,080,825
15
NOTES TO FINANCIAL STATEMENTS
1. FLEET
EXPANSION
PROGRAM:
2. LONG-TERM
NOTES PAYABLE:
3. CONTINGENT
LIABILITY
16
]11ne 30, 1959
The Company has outstanding commitments fo r the purchase of flight equipment listed below, which together
with related spare parts and acce cries, will require the outlay of approximately $50,771,385. T he Company
accepted delivery of one DC-8 aircraft on July 22, 1959, and the remaining five DC-8 aircraft are scheduled for
delivery in August, September and O ctober, 1959. Present commitments are:
umber and
Type of Aircraft
6 Douglas DC-8 (jet) . . ..... . ........................... .
10 Convair Model 880 (jet) .... .... . ....... ... .. . .. . ...... .
Approximate
Cost
$34,000,000
40,000,000
$74,000,000
Advance payments on above flight equipment.. . . . . . . . . . . . . . . 23,228,615
$50,771,385
Date of
Delivery
1959
1960
The Company has entered into a credit agreement with a group of twenty-four banks under which the borrow-
ing of a maximum of$35,000,000 is permitted on 4% unsecured notes maturing December 30, 1960, at which
time the outstanding aggregate balances on such notes will be consolidated into one 4% note repayable in 28
equal quarterly installments beginning on March 31, 1961. As of June 30, 1959, $30,000,000 had been borrowed
thereunder replacing borrowings in the same amount under an earlier, superseded agreement.
The Company has also concluded an agreement with four insurance companies calling for their purchase
of $25,000,000 of 6 % unsecured notes to be issued by the Company in 1959 and 1960. Repayments under this
agreement are to be made on a semi-annual basis beginning on April 1, 1968, with final maturity in 1974. As
required by this agreement, $5,000,000 of unsecured notes had been issued as of June 30, 1959.
The Supreme Court of the United States in a 1954 decision sustained the Post Office Department's objection to
a Chicago and Southern Air Lines, Inc. (C & S) international mail rate order issued by the Civil Aeronautics
Board (CAB) in 1951 (the so-called "offset" case). This decision required the CAB to review its original order
and to redetermine the C & S international mail pay requirements for the period involved in accordance with
the "offset" principles established therein. In 1956, the CAB ordered that, in addition to a determination in
accordance with "offset" principles, the record be reopened for further hearing on the question of the proper
mail rate level for international operations of C & S for the period December 16, 1950, through July 31, 1952.
By order dated February 18, 1959, the CAB held that C & S had received excessive international mail pay of
(1) $729,000 based on "offset" principles and (2) $1,066,000 during the reopened period of December 16, 1950,
through July 31, 1952. Delta, as successor to C & S, feels that the CAB has erred in several respects in its determi-
nations under the "offset" principles and that the CAB was incorrect in reopening the question of mail rate levels.
Delta has appealed the CAB order and on May 4, 1959, the United States Court of Appeals for the District of
Columbia, upon petition by Delta and without objection by the CAB or the Post Office Department, granted
a stay of the CAB order pending completion of judicial review. The amount of mail pay refund, if any, that
Delta may ultimately be required to pay cannot now be determined. The Company has provided a $500,000
reserve in connection with this contingent liability.
DELTAs STORY TO THE PUBLIC
THIS WINTER IT'S
Delta
FORTNE MOST
Magnificent
WAY TO
Miami
1
-f ~ -
li ~
- > . '
", . if it wasn't for the
.'.j
fore you wouldn't know ~ '
it was a coach!"
~ -
~ -
New Non-stop - - -_'"'""""
flights to . __ ,.:;_
ATLANTA ,.._, ---
and to
BIRMINGHAM "' _..=;-::
--~ --.-- ~
-
------ -09'---.. -
During 1958-59 Delta inaugurated deluxe DC-7 Royal Service Flights, opened
numerous routes to newly authorized cities, and announced the coming of the DC-8 jets.
Extra hands assure
extra(!!) luxuries
tf/1'
.l\
.
on Delta , _
__ -
----
----~
---;...-~
~d'o~~c9Z=
z~-----~
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:.--=.-~ ::-~~~~-. ~:: ::.:::
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........ -- _,,,.
-
Only $33ao90
NEWYORK
--,~
':'.t!'.~-~
=:~ i
-~-:
-
-
~
-
~----~~~
on DELTA
DELTA
Air Freight
costs less ~
than you think!
~ "" -
... _
'
... "' ,,, ....... ..,
... . -- - ...,.., ,_,
Woshin9ton .. ~ 4u Miarni , .. .'271
'
Chitogo ........ 2 8"1 Dallas .......... 40
New 0,le an.s. 22n Jack1onville .. 13..,
Housfon ....... 34 Detroit .......... 30'"
lam.po/St. Ptlfnhrg 19'"---
Lfil
~
2:=~~--~!~~~
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How Delta's new Routes
serve Atlanta ~- -:.~----
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Detroit
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-.. ix. .,.,,,...._..i),)d
Tampa/
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ndianapolis
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NiW YORK WASH INGTON IAlTIMORI! , PHILADELPHIA
CHICAGO DALLAS tfOUSTON ,ow ORUANS Ml4MI
~
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DELTA
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1,600
1,500
1,400
1,300
1,200
1 ,1()()
1,000
900
800
700
600
500
400
300
200
LIONS
'50 '51 '52 '53 '54 '55 '56 '57 '58 '59
REVENUE PASSENGER MILES
-
-.____ .____ >-
-
-
- ,__ ,__ ._
-
,__ .,_ ,__ .____ .____ >-
-- - ,__ .____ ,__ ,__ ._
-
-
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- - - - - -
Ml LLIONS
REVENUE PASSENGERS CARRIED
.
~
,/
.<1 1111il,1ble To,i fi1iles
,,
(Af,t/1011s)-.... ~
I '-.....__
,,
,___ t-- Rr11tm1r TM Aldrs
(A111/1<111J),
.........._....,r
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(M1//i,11u) '\. i,"" -
\ J
' I I'\.
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~
---......... \
- \ I
I - ~
--- 1
TON MILES AND PLANE MILES
340
320
300
200
260
240
220
200
180
160
140
1ro
100
80
60
40
20
A DECADE OF GROWTH
A
Years ended June 30 1959 1958 1957
Total assets ............................ . ......... $ 95,426,900 $80,941,307 $66,931,027
Current assets . ... . ... . .................. ... ...... 23,947,879 15,453,600 16,773,180
Current liabilities . . ........... . . . ..... . . . .. . ...... 13,684,994 9,701,837 11,092,231
Net working capital ... . ... .. . . . ... ... $ 10,262,885 $ 5,751,763 $ 5,680,949
Stockholder equity . . .. . .............. . ... . .... . .. $ 37,409,576 $34,019,718 $33,965,765
Stockholder equity per share* .. .. .. . ... . . . ...... .. . $33.34 $30.32 $30.27
Shares of common stock outstanding* .. . . . ... .. ... . . 1,122,221 1,122,045 1,121,944
Operating revenues
Passenger ..... . . . ....................... . ..... $ 94,061,577 $80,217,086 $71,873,125
Mail. . . . . . ... . ... . ............ . .. ... ..... .. .. 2,151,953 1,795,885 1,636,218
Express ... . ........ .. .. . ... . ................. 1,206,184 952,510 1,015,947
Freight ................................. . ..... 3,879,389 2,954,896 2,230,512
All other ......... . ............. . ............. 2,506,342 2,252,318 1,840,201
Total revenues . . .... .. .. . .. . .. . ....... $103,805,445 $88,172,695 $78,596,003
Operating expenses (excluding depreciation) ......... $ 85,549,826 $76,276,726 $65,782,059
Depreciation . . . . ..... . ........................... 8,870,785 9,354,358 6,728,875
Total expenses .................... . .. $ 94,420,611 $85,631,084 $72,510,934
Operating ratio .. . . . ... .. ..................... 90.96% 97.12% 92.26%
Net non-operating revenue or (expense) ............. $ (553,612) $ (599,865) $ (556,423)
Net income before taxes .. . ... .... ..... .. .. . ....... $ 8,831,222 $ 1,941,746 $ 5,528,646
Taxes on income ................ .. .. . . ...... .. . .. 4,769,000 1,010,000 2,990,000
Net income . .. ............ . ...... . .. . $ 4,062,222 $ 931,746 $ 2,538,646
Net income as % of revenues ......... 3.91% 1.06% 3.23%
Special item - profits from major flight
equipment sales (after taxes) .. . .......... . ...... $ $ 131,409 $ 82,939
Total income and special item . .......... . .......... $ 4,062,222 $ 1,063,155 $ 2,621,585
Per share of stock outstanding* .......... . . . ..... $3.62 $.95 $2.34
Revenue plane miles (000) ................... . .... . 46,022 44,972 41,671
Available seat miles (000) . . ... ........... . . .. ...... 2,622,740 2,479,428 2,206,408
Revenue passenger miles (000) ........... .. ........ 1,554,630 1,408,857 1,299,482
Passenger load factor ......... . ........ . ........ 59.28% 56.82% 58.90%
Available ton miles (000) . ... ... ...... . ...... . .... . 324,018 301,105 260,431
Revenue ton miles (000) ... . ..................... 174,936 156,332 141,861
Overall load factor .. . . ................. . ...... 53.99% 51.92% 54.47%
Percent of scheduled miles flown . . ... . .. .. .. .. .... . 97.04% 97.40% 97.62%
*Adj11sted to reflect 25 % stock dividend paid June 29, 1956.
1956 1955 1954 1953 1952 1951 1950
$54,638,388 $54,049,882 $48,089,997 $37,966,469 $16,836,905 $14,402,050 $12,371,851
15,140,819 18,762,696 15,888,546 14,706,498 7,186,793 6,093,494 4,262,201
11,654,690 12,686,444 8,861,111 9,192,041 6,618,627 4,541,282 2,950,443
$ 3,486,129 $ 6,076,252 $ 7,027,435 $ 5,514,457 $ 568,166 $ 1,552,212 $ 1,311,758
$28,357,864 $19,845,898 $16,233,227 $15,647,278 $ 9,808,493 $ 8,658,043 $ 7,401,245
$28.47 $23.99 $21.64 $20.86 $15.69 $13.85 $1 l.84
996,219 827,391 750,000 750,000 625,000 625,000 625,000
$60,557,924 $53,966,525 $45,144,949 $28,946,479 $23,995,938 $19,006,936 $13,761,453
1,468,247 1,462,684 1,723,703 1,131,578 1,035,599 1,306,752 2,373,213
1,045,567 917,609 844,483 550,305 431,240 374,480 238,441
2,020,061 1,844,168 1,766,266 1,044,338 827,927 720,719 478,537
1,712,827 996,975 854,481 665,102 727,417 812,112 333,651
$66,804,626 $59,187,961 $50,333,882 $32,337,802 $27,018,121 $22,220,999 $17,185,295
$53,168,806 $47,047,051 $43,021,159 $26,641,944 $21,155,513 $17,499,480 $14,568,386
5,661,358 6,444,981 5,275,152 2,259,784 1,485,556 1,389,721 1,206,755
$58,830,164 $53,492,032 $48,296,311 $28,901,728 $22,641,069 $18,889,201 $15,775,141
88.06% 90.38% 95.95% 89.37% 83.80% 85.01 % 91.79%
$ (536,266) $ (1,376,754) $ (1,359,987) $ (1,345,957) $ 12,398 $ (75,000) $ (5,403)
$ 7,438,196 $ 4,319,175 $ 677,584 $ 2,090,117 $ 4,389,450 $ 3,256,798 $ 1,404,751
4,069,000 2,412,000 394,000 688,000 2,739,000 1,625,000 589,000
$ 3,369,196 $ 1,907,175 $ 283,584 $ 1,402,117 $ 1,650,450 $ 1,631,798 $ 815,751
5.04% 3.22% .56% 4.34% 6.11% 7.34% 4.75%
$ 1,308,770 $ 258,850 $ 1,022,365 $ 2,756,561 $ $ $
$ 4,677,966 $ 2,166,025 $ 1,305,949 $ 4,158,678 $ 1,650,450 $ 1,631,79 $ 815,751
$4.70 $2.62 $1.74 $5.54 $2.64 $2.61 $1.31
33,962 31,579 31,916 20,672 17,531 15,698 13,804
1,726,941 1,517,891 1,344,069 776,157 653,121 541,038 437,209
1,080,267 952,426 769,653 507,713 427,534 345,246 238,335
62.55% 62.75% 57.26% 65.41% 65.46% 63.81% 54.51%
207,416 182,997 162,345 94,045 80,089 71,987 59,532
118,544 104,927 87,251 57,565 48,093 40,480 27,259
57.15% 57.34% 53.74% 61 .21% 60.05% 56.23% 45.79%
98.39% 98.79% 98.29% 98.83% 98.98% 98.91% 97.90%
These data reflect operations of Delta Air Lines, Inc., and do not include the C&S system prior to May 1, 1953.
19
DELTA TICKET OFFICES:
Tl KET OFFICE RESERVATI NS TELEPHONE
ALEXA DRIA Bentley Hotel. . .. ......... . ..... . . . . . . . ... .. ........ . .. .... . . 4471
ILLE Battery Park Hotel. . . ....... .... ................. . . . . .. ALPINE 2-7601
TA Fulton N ational Bank Bldg. , Piedm nt and Biltmore Hotels JACKSON 4-3242
AUG T Riehm ndHotel . ..... . . .. . . ... . . . . . . ..... . .... .... . . . .. . PARK 2-8811
BAL TIM RE Lord Baltim re H tel. . . . .. . . .. . .. . . . .. . . ...... . . . . SO UTHFIELD 6-2100
BATO RO GE apitol House H tel. . . .. . .. . . .. .. . ... .. ... . ...... ... ELGIN 5-4491
BEA MO T Jeffers n ounty Airport . . ... .. . ... . . ..... . ...... . .. RA DOLPH 2-3471
BlRMI HAM 2002 Fifth Ave., N ... . . . ............ . ... . ... .... . . ... . LYRIC 2-9601
BRU WI K M ale Im-McKinnon Airport ............ . .......... . . MELROSE 8-2531
ARA A , VE EZ. Edifici Paris, Plaza andclaria .. ........... . . ... .. . . . . . .. 55-8488
HARLE TON Francis Marion H tel ... . . .. .. . . . .... . . .. . . .. . . . . . SHERWOOD 4-2567
HARLOTTE Lobby, elwyn H tel. . . ...... . ..... . .......... . . ..... EXPRESS 9-0481
CHATTA OOGA Hotel Patten .... . . . . ... . ... .... . ............. ... . MADISON 2-8336
CHICAGO 67 East Monr e, onrad Hilton Hotel,
1649 rrington, Evanston, Illinois .. . . . . .............. .. .. . .. . FINAN IAL 6-5300
INCi A
T! heraton-Gibson and N etherland-Hilton Hotels .. . .... .. l U NBAR 1-3232
r DAD TRUJILLO, DOM. REP. El C nde 79 . . . . ..... . ... .. ........ ... . . . ... . . . . 5350
LEARWATER t. Petersburg- learwater lnternati nal Airport .... . .. . . . ... . . .. 3-8318
COL MB
IA H tel W ade Hampton . .......... . . . . . . .. ... . ....... . .. . ALPINE 4-3186
OLUMBUS, GA. R alston Hotel. .... . . .. ......... . .... . . .. ... . ..... FAIRFAX 7-7458
OLUMBUS, OHIO Deshler H ilton Hotel . .............. . ...... . . . . . BELMONT 7-2571
DALLA 212 . Akard St. (Baker Hotel) . . . ... ... .. . ...... . .... . . FLEETWOOD 7-6161
Jacksonville, Fla.
DAYTO Biltmore H tel. ....... . . . .... . ... . ...... ... .. . ...... TWIN OAKS 8-3651
DETROIT 1205 Washington Blvd. and
Lobby, eneral Motors Bldg ... . . . . . . . ... .. ... . ...... ... .. W ODWARD 5-3000
EVA VILLE Mc urdy Hotel ....... . ......... . . .. ... .. . . ... . . . . . HARRISON 5-9023
FORT LAUDERDALE 10 S. Federal H wy .. . . . . ... . .. . ...... .. ... ... . . . JA CKSON 4-5595
fORT WAY E Van Orman H tel. . . .. . . . ..... .. ... .. . . . . .... . . .. . . SHERWOOD 4191
FORT WORTH Hotel Texas . . ... . ........ . . . .. .... . . ... ... . . . . . . . .. EDrsoN 5-5425
GREE VILLE Municipal Airport . .... ..... .. . .. ... . . . . .. . . .... . ...... CEDAR 2-8213
HATTIESBURG Municipal Airport. ... . ..... . ...... ... ... . ... ..... .. . JUNIPER 2-1643
HAVA A, CUBA Prad 301 . . . .. . . . .. . .... . ............. . .. . .... . ... .. . .. . . 6-8224
HE DERSONVILLE Asheville-Hendersonville Airport .. . ... . .. .. ..... .. O XFORD 3-7211
HOT PRINGS Hot Springs Memorial Airport . .. . ... ... .... . .. ..... NATIONAL 3-1671
HO STO Rice and Shamrock-Hilton Hotels . .... . . . . . . . . . . . . . . . . . . APITOL 5-1361
1 DIA APOLIS Lobby, Claypool Hotel. . . . . . ... . ... . . . ... . . .... . ... MELROSE 7-1554
JACKSON Heidel berg H otel . . ........ . .................... . ... . FLEETWOOD 2-0861
JACK o VILLE Hotel R obert Meyer. .. ... .... . . . .. . . . . . .. .. ...... .. . ELG
IN 3-3171
KA SAS CITY Muehlebach H otel ... . .. . . ..... ... . . . . . . .. .. . . . . .... . GRAND 1-7733
KNOXVILLE Farragut Hotel . ..... . .. . ......... .. .. .. ..... . ... ...... .. ... . . 7-6611
LEXINGTO Blue Grass Airport . . ... . . . .. .. ... .. .. . . . .. . . . .. . . . . . . ... . .... 4-5569
LITTLE ROCK apitol at Ferry St. (Coachman's Inn) .. .. . . .... . .. . . . FRANKLIN 5-9111
LOS A GELES 530 W est Sixth St . ... . . . .. .... . ... .. .. .... .. . . .. .. . MADISON 7-9669
LO I VILLE Shop 102, Starks Bldg . . . . . . .. . . .. .... .. . . . . .. . ... . . . .. J UNIPER 2-2681
Washington, D. C. MACO Hotel Dempsey ... . . . . . ..... .. ... . . .. . . . .... . . .... . . . . SH ERWOOD 3-6731
MARACAIBO, VE . Edificio T ropical, Ave. 5 de Julio a Santa Rita . .. . . .... ..... 70-283
MEMPHIS Peabody Hotel. . . .. .. ...... . ... ... ... . . . . .. .. ... . . . . WHITEHALL 8-2641
MERIDIAN Key Field . . . . . ..... .. . . . . . . . . .. . . .. . . . . .. . . . . ...... . . . ...... . . 2-3141
MIAMI 300 N . E. First St. (Columbus Hotel) . . . . .. . .. . .. .. . . . . . .. . FRANKLIN 3-0441
MIAMI BEACH 1632 Collins Ave. and 230 71st. St ... . .. ... . . . . . .... . FRANKLIN 3-0441
MONROE Frances Hotel . . .. . . . . .. . ..... ... . . .. . .... .. ... . ... .. . . . FAIRFAX 3-5116
MONTEGO BAY, JAMAICA Casa Montego Hotel. .. . . . ...... . .. .. . .. . . . . . . . ... . . 2811
MO TGOMERY Jefferson Davis Hotel. ... .. . . .. . .. . .......... .. . . .. AMHERST 4-7313
NEW ORLEANS St. Charles and R oosevelt Hotels . . . . . .. . ... . .. . . . . .. . . . TULANE 8592
NEW YORK R ockefeller Center, 5 West 49th St .... . . . . ... ..... . ... . .
Airlines Building, 80 East 42nd St ....... .. ..... ... .... . . . . ... .. .
100 Broadway . .... . . . .. .. .. ... . . . . . . . .. .. . . ... .. .... . . ..... .
Lobby, Statler Hotel, 7th Ave. and 33rd St .......... . .. . .. . . . . . . .
East Side Terminal, First Ave., 37-38 Sts.... .. .. . ..... . . . ..... .. . PLAZJ\ 1-6600
W est Side Terminal, 42nd St. and 10th Ave ... .. . . .. . . .. . . . .. .. . .
200 Livingston St., Brooklyn ... .. . .. ... .. . .. . . ..... . . ... . . ... .
35 Mamaroneck Ave., White Plains ...... . . ... . . . ... . ........ . .
635 Madison Avenue, 15th Floor ... . . .. . . . . ... ... . ....... .. .. .
EWARK 13 Commerce Street . . . .... . ... . . . ..... . .. . .. . .. . ... . .. MITCHELL 2-2228
ORLANDO San Juan Hotel .. . . . .. . ... . .. . . . . .. .. .... . .... . .... . . . . C HERRY 1-4531
PAD CAH Barkley Field ... ... .. . . . . .. . .... .... .. . . ... . ...... . . .. ... ...... 3-1732
PHILADELPHIA Bellevue-Stratford Hotel (Broad St. Entrance) . . . . . ... SARATOGA 7-9900
PORT ARTHUR Jefferson aunty Airport . ... . ... . ... . .. . . . ... . ... RA NDOLPH 2-3471
PORT-AU-PRINCE, HAITI c/ o N adal & Co .. . . .......... . ... . ..... . . .. . .. . .... . . 3313
SAN JUAN, PUERTO R
ICO Hotel La Concha . .. . . . ... . .. . . . .. . . . . .. . . . . ...... . 9-0045
SAVANNAH Manger Hotel. .. . ..... . ... . . . . .. . . . .. . . . ..... . . ....... ADAMS 3-0267
SELMA Selfield Airport. . . . . ... . . . .. . . . ... . ... . ... . .. . . . . .. ... . . . TRINITY 4-7581
SHREVEPOR
T aptain Shreve Hotel . . . ... .. ... .. ........... . . .... . . .. ...... 5-3232
SPARTANBURG Memorial Airport . .. ... . . . .. .. .. . . . . . .... . .... . .. . .... . . .. . . . 7131
SPRINGFIELD Municipal Airport ... . . . . . .. . ........ . . ..... . . . . .. UNIVERSITY 4-7353
ST. LOUIS Lobby, Statler Hotel. . . ... . . .. . . .... . . . . . . .. . .. . . .. . ..... . MA1 1-7.580
ST. PETERSBURG St. Petersburg- learwater International Airport ..... . ORANGE 1-7141
TAMPA 500 Florida Ave. (Hillsboro Hotel) ...... .. .. .. . . . .... . ..... . ....... 2-29 11
TOLEDO ommodore Perry Arcade . . . .. . . ... . . .. . . .... . .. . . .. U NIVERSITY 5-2366
TUL
SA Alvin Hotel, 627 So. Main. . . . . ..... . .. .. . . . .. .. . . . .. . . . .. C HERRY 2-0202
WASHINGTON 1605 K. St., N .W . and W ashington Hotel ... . .... . . ... DI TRICT 7-9600
TODD G. OLE
Atlanta, Georgia
R. W. COURT
Atlanta, Georgia
. H. DOLSON
Atlanta, Georgia
EDWARD H. GERRY
New York, New York
TODD G. OLE
Executive Vice President - Administration
and Assistant ecretary
DIRECTORS
R. W. FREEMAN, CHAIRMAN
New Orleans, Louisiana
JOHN R. LONGMIRE
St. Louis, Missouri
R. S. MAURER
Atlanta, Georgia
C. H. McHENRY
Monroe, Louisiana
WINSHIP NUNNALLY
Atlanta, Georgia
LAlGH C. PARKER
Atlanta, Georgia
OFFICERS
C. E. WOOLMAN
President and General Manager
. H. DOLSON
Executive Vice President-
Operations
CARLETON PUTNAM
Washington, 0. C.
R. J. REYNOLDS
Sapelo Island, Georgia
J. WOODALL RODGERS
Dallas, Texas
C. E. WOOLMAN
Atlanta, Georgia
LAIGH C. PARKER
Senior Vice President and Assistant
to the President
W. T. BEEBE ERLE CO KE, JR.
Vice President - Personnel Vice President - Civic Affairs
ROBERT L. GRIFFITH
Vice President
R. S. MAURER
Vice President - Legal
T. M. MILLER
Vice President - Traffic and Sales
Administration
C. H. McHENRY
Secretary-Treasurer
ROBERT OPPENLANDER
Comptroller
HARLES P. KNECHT
Assistant Vice President -
Sales
PAUL W. PATE
Assistant Vice President -
Properties
R. H. WHARTON
Assistant Vice President -
Personnel
C. BOYCE W ILDER
Assistant Vice President
Operations - Technical
CA THERINE FITZGERALD
Assistant Treasurer
J. R. HOWELL
Assistant Treasurer
HUGH H. SAXON
Assistant Treasurer
TRANSFER AGENTS
The Citizens and Southern National Bank, Atlanta, Georgia
The First National City Bank of New York, New York, New York
REGISTRARS
Trust Company of Georgia, Atlanta, Georgia
Morgan Guaranty Trust Company of New York, New York, New York
COMMON STOCK
Listed on the New York Stock Exchange
AUDITORS
Arthur Andersen & Co.
~
OPEN HERE FOR DELTA SYSTEM ROUTE MAP
ANNUAL MEETING
October 20, 1959, Monroe, Louisiana
21
HOT
THE DELTA ROUTES
onnecting the indu tri, land di tribut111g
area f the reat Lake , the M1d-W c t
and the New Y rk-Wa hi11i,.,t n regi n
with the outhcrn tier of state fr m e 'a
to Florida and the aribbcan, elta now
serves more than 60 cities in 20 tatc and
seven countrie .
The Delta route y tem now include
the seven new cities added in recent
CAB awards - olumbu , I ayton,
Louisville, Orlando, Tampa, t. Peter -
burg and West Palm Beach.
The map also hows the new service
from Kansas ity, pringfield, Little
Rock, Memphi , Detroit and Indianapoli
to the Southeast.
From a trans-southern route in 1929,
Delta has grown to a compact system ex-
tending over 11,000 route miles, bring-
ing the finest in air transportation to over
three million passengers annually and con-
stituting a vital component of the natioh' s
commerce.
- DELTA AIR LINES ROUTES
- - INTERLI E THROUGH PLA E SERVICES
A
DELTA
Al R LINES
G ENERA L OFFICES ATLANTA AIRPORT
ATLANTA . GEORGIA