DELTA AIR LINES, INC. 
1980 ANNUAL REPORT 
 At June 30, 1980, Delta provided scheduled air transportation 
to 81 domestic cities and six foreign cities in 32 states, the 
District of Columbia, and six foreign countries. During fiscal 
1980, Delta initiated service to Daytona Beach, Fort Myers, 
Description of Business 
Delta Air Lines, Inc., is a certificated trunk air carrier pro- 
viding scheduled air transportation for passengers, freight and 
mail over a network of routes throughout the United States and 
abroad. Delta's route structure connects the Northeast and 
Midwest with the Southern States from Texas to Florida; the 
-Southeast to the Midwest, West, Northwest, and California; 
and Sarasota/ Bradenton, Florida; Seattle/Tacoma, 
Washington; Portland, Oregon; and Salt Lake City, Utah. In 
addition, during fiscal 1980, Delta added 16,597 route miles in 
some 25 markets. 
and the East Coast to Florida. In addition, Delta operates 
flights to Canada, Bermuda, the Bahamas, Puerto Rico, 
England and Germany. Service over nearly all of Delta's routes 
is highly competitive. As an air carrier, Delta is subject to 
federal regulation pursuant to the Federal Aviation Act of 1958, 
as amended, as well as many other federal and state statutes. 
 Highlights of the Year 
The following comparative summary highlights the 
accomplishments of the past year in a number of major 
categories. Dollars are expressed in thousands, except 
per share figures. 
Operating Revenues ..... ... . ... .. .. ...................... . 
Operating Expenses ..... ... . ... ..... ... .................. . 
Net Income ..... . .. ... . ...  
.. .. .......................... . 
Earnings Per Share ... ......... .. .. .... .... .. ... . .. ....... . 
Revenue Passengers Enplaned .... ..... .. .. .. ...... ... ...... . 
Available Seat Miles (000) ................. .... ............ . 
Revenue Passenger Miles (000) ....................... . ...... . 
Passenger Load Factor ......... ....... ..... ... ... . .. .. .. ... . 
Contents 
Highlights of the Year . . . . . . . . . . . . . . . . . . . . . . . . . . 1 
Report to the Stockholders . . . . . . . . . . . . . . . . . . . . . . 3 
Earnings and Dividends . . . . . . . . . . . . . . . . . . . . . . . . 5 
Operating Revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 
Operating Expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 
Fares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 
Fuel Matters . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 
Capitalization and Financing ..... ..... .......... 10 
Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 
Flight Equipment and Purchase Commitments . . . . . . 12 
Personnel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 
Marketing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 
Regulatory Matters . ................... .... .... 14 
Financial Statements- 
Balance Sheets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 
Statements oflncome ...... .. ........ .... .... 18 
Statements of Retained'Earnings .. .. .. ...... ... 19 
Auditors' Report . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 
Statements of Changes in Financial Position . ..... 20 
N ates to Financial Statements. . . . . . . . . . . . . . . . . . 21 
Report of Management . . . . . . . . . . . . . . . . . . . . . . . 25 
Management's Analysis and Discussion 
of Summary of Operations . . . . . . . . . . . . . . . . . . . . 25 
Summary of Operations . . . . . . . . . . . . . . . . . . . . . . . . 26 
Other Financial and Statistical Data ............... 26 
Board of Directors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 
Officers ................. ........ ...... . . . ... 27 
1980 
$ 2,956,960 
$ 2,864,323 
$ 93,158 
$ 4.69 
39,713,904 
43,217,372 
26,171,197 
60.56% 
1979 
$ 2,427,846 
$ 2,218,814 
$ 136,744 
$ 6.88 
39,360,368 
39,826,891 
25,518,520 
64.07% 
Per Cent 
Change 
+22% 
+29 
-32 
-32 
+ 1 
+ 9 
+ 3 
5 
1 
 Delta Air Lines' senior management has a combined total of 268 years of airline experience, all of it with Delta. Shown left to right seated: 
R. S. Maurer, Vice Chairman of the Board and Secretary; David C. Garrett, Jr. , President and Chief Executive Officer; W. T. Beebe, Chairman 
of the Board. Standing left to right: Robert Oppenlander, Senior Vice President-Finance; Hollis L. Harris, Senior Vice President-Passenger 
Service; R. W. Allen, Senior Vice President-Administration and Personnel; J. W. Callison, Senior Vice President-General Counsel; 
D. P. Hettermann, Senior Vice President-Technical Operations; J. A . Cooper, Senior Vice President- Marketing; and Frank F. Rox, 
Senior Vice President- Flight Operations. 
2 
 Report to Stockholders 
It is my pleasure to report to you that fiscal 1980 was a 
year of significant achievement for Delta Air Lines. 
Earnings for the year totaled $93,158,000, $4.69 per share, 
the third highest level of earnings in Delta's history. 
Although the 1980 results were down 32% from the 
record earnings of $136,744,000 in fiscal 1979, they repre- 
sent an outstanding accomplishment in view of the fact 
that the nation's other trunk airlines reported losses 
totaling approximately $487 million for the same 
12-month period. 
During much of the year, the airline industry, 
including Delta, suffered from softening traffic growth, 
double-digit inflation including huge increases in fuel 
costs, and the failure of the passenger mile yield to keep 
pace with increases in operating expenses. Delta was able 
to overcome many of these adverse circumstances with 
careful expansion of its route system, strong cost control 
measures, and the hard work and dedicated support of 
the more than 36,000 professional airline people who 
make up the Delta family. 
Operating revenues for the fiscal year increased 22 % 
to $2. 96 billion. Passenger traffic, which was affected 
by the developing recession during much of the year, 
increased 3% over fiscal 1979 when traffic was inflated 
by a strike against United Airlines and by the grounding 
of certain aircraft operated by other airlines. Average 
revenue per passenger mile rose 21% to 10.45cc. Through- 
out the year, the Civil Aeronautics Board granted fare 
increases in an effort to allow the airlines to keep up with 
rising costs, especially fuel. The inevitable time lag 
between the cost increases and the collection of the 
increased fares, however, cost the airlines many millions 
of dollars in needed revenue. Late in the year the CAB 
provided relief from the regulatory lag problem by giving 
the airlines substantial flexibility to increase fares without 
prior CAB approval. Throughout the year, heightened 
competition among the airlines resulted in many new 
discount fares as carriers sought to buy their way into 
new markets or hold their share of existing markets. As 
increasing numbers of passengers took advantage of the 
discount fares, a substantial percentage of the fare 
increases was nullified. 
Operating expenses for the year totaled $2.86 billion, 
an increase of $645.5 million or 29% over fiscal 1979. 
Increased fuel costs accounted for 59% of the growth in 
operating expenses, as the average price per gallon rose 
81 % to 75.07cc. We were able to offset some of this in- 
crease through the Company's redoubled efforts to 
increase our efficient use of fuel. Delta increased revenue 
plane miles 3% and available seat miles 9% while using 
2. 9 million fewer gallons than in fiscal 1979. Tight control 
over the level of employment held the increase in salaries 
and related costs to 15%. Substantially all of the 6% 
increase in personnel in the current year was related to 
Delta's entry into new cities or new routes. 
Delta's financial strength was demonstrated during 
the year as the Company issued commercial paper for 
the first time in its history. Delta's commercial paper re- 
ceived the highest possible ratings, A-1 and P-1, from two 
major rating agencies. In addition, the Company nego- 
tiated a credit agreement with a group of 30 banks, which 
provides for unsecured borrowings up to $150 million 
at the prime rate. On June 30, 1980, the Company made 
an initial borrowing of $60 million under the new agree- 
ment and simultaneously prepaid the remaining 
$57.7 million principal outstanding under the 1973 
Bank Credit Agreement. 
Early in the year the Company borrowed $35 million 
from the Development Authority of Clayton County, 
Georgia under a 6%% unsecured loan agreement. The 
proceeds of the loan were used to construct Delta's 
catering and cargo facilities at the Atlanta airport. 
Long-term debt at year-end totaled $163.1 million, 
including $15.2 million in current maturities. Debt was 
equal to 18% of stockholder equity, one of the lowest 
debt-to-equity ratios in the airline industry. During the 
year, Delta financed more than 85% of its $356 million 
capital expenditures with internally generated funds. 
Delta's already strong route system was further 
strengthened by the addition of eight new cities including 
Daytona Beach, Fort Myers, Portland, Oregon, Salt Lake 
City, Sarasota/ Bradenton and Seattle/Tacoma. How- 
ever, most of our route development activity involved 
implementing non-stop flights between cities which 
Delta was already serving including Denver, St.Louis, 
Orlando, Cleveland, Louisville, Reno, Ft.Wayne, and 
Nassau. Subsequent to the end of the year, new nonstop 
service was added between Atlanta and Bermuda. While 
Delta has expanded its competitive position by moving 
into markets served by other carriers, our system has 
likewise been subjected to increased competition, partic- 
ularly on routes from the East Coast to Florida and the 
Midwest to Florida. Those carriers who entered our 
markets have found that Delta's reputation for hard 
competition is well founded. Already, some of them have 
either abandoned or curtailed their initial operations. 
3 
 Delta's aircraft fleet, one of the youngest and most 
efficient in the airline industry, was further improved 
by the addition of 13 new aircraft during the year, in- 
cluding 10 Boeing B-727-200's, two Lockheed L-1011-l's 
and one Lockheed L-1011-500. The Company sold six 
Douglas DC-9-32's and two Douglas DC-8-Sl's, resulting 
in a gain of $1.06 per share. 
While fiscal 1980 was a satisfying year of solid 
accomplishment for Delta, we look forward to the future 
with great anticipation. Even though the country is now 
in the midst of an economic recession and the rate of 
inflation will likely continue at a high level for the coming 
year, we believe that fiscal 1981 will show good results. 
When the national economy stabilizes and begins to 
grow, which we anticipate in fiscal 1981, Delta will be 
able to take maximum advantage of its opportunities. 
We can now plan and implement decisions as to what 
domestic markets we want to serve, what fares we will 
charge, and the level of service we will provide our 
customers-all without substantial interference from the 
CAB. Our success will depend upon our skill and hard 
work and not upon the decisions of a government agency. 
During the coming year, we expect traffic growth 
to continue to be soft with some improvement late in the 
year. Delta will continue careful expansion of its route 
system. We expect to move into several major new 
markets during the year and will continue to develop the 
new markets added during 1980. 
In the new environment of a free market, a number 
of trunk airlines have restructured their route systems to 
exclude service to all cities except major traffic centers. 
Delta will continue to serve smaller markets through our 
efficient "hub and spoke" system of aircraft scheduling. 
We believe that such service is a major source of our 
marketing strength and expect to continue to develop 
such operations around the country. 
To provide the additional capacity for our route 
expansion program, we will take delivery of 12 new air- 
craft during the coming year, including eight Boeing 
B-727-200's, three Lockheed L-1011-l's and one Lockheed 
L-1011-500. Early in the year we will move into the new 
Atlanta terminal complex, the world's largest airline 
passenger terminal. It will provide much needed addi- 
tional space as well as the means for increased operating 
flexibility. 
The Company will continue to exercise strong cost 
controls, especially in the areas of productivity and fuel 
conservation, in order to maintain Delta's financial 
position and to keep fares and rates at reasonable levels. 
4 
These efforts, however, will not detract from our con- 
tinued recognition that a consistently high level of service 
will be even more critical to success as competition 
intensifies. 
While we are optimistic about the future, we do 
not minimize the obstacles in front of us. A free market 
environment demands careful planning, efficient imple- 
mentation, and the ability to react rapidly to changing 
events. All the people who make up the Delta family are 
committed to maintaining Delta's position of leadership 
in the airline industry throughout the decade ahead. 
J)~(!__~ 
DAVID C. GARRETT, JR. 
President and Chief Executive Officer 
August 20, 1980 
 Earnings and Dividends 
Fiscal 1980 earnings were $93.2 million ($4.69 per 
share), a decrease of 32% from the record earnings of 
$136.7 million ($6.88 per share) reported in 1979. The 
following table compares operating results for fiscal 
1980 and 1979. 
Per Cent 
1980 1979 Change 
(in Th ousands) 
Operating Income . ........ $ 92,637 $209,032 56% 
Other Expense (Income): 
Interest Expense ....... 21,852 16,178 + 35 
Less-Interest 
Capitalized ... . . .. . ... 10,790 6,717 + 61 
11,062 9,461 + 17 
Gain on Disposition 
of Aircraft . . ... . . (36,091) (20,514) + 76 
Realized/ Unrealized 
Loss on Foreign 
CurrencyTranslation. 3,735 7,110 47 
Miscellaneous Income, 
Net ...... . (10,687) (9, 069) + 18 
(31,981) (13, 012) +146 
Income Before Taxes. 124,618 222,044 44 
Provision for Income Taxes: 
Income Taxes Provided 54,433 104,429 . 48 
Amortization of 
Investment Tax 
Credits . .. (22,973) (19,129) + 20 
31,460 85,300 63 
Net Income .. . . . . . . 
. . $ 93,158 $136,744 32% 
Net Income Per Share . . ... . . $4.69 $6.88 32% 
Operating income in fiscal 1980 totaled $92.6 million, 
a decline of 56% from last year, as the combined effects 
of general inflation and spiraling fuel prices caused oper- 
ating expenses to increase 29% to $2.86 billion while 
operating revenues grew only 22% to $2.96 billion. 
Other income was up $19 million, due principally to 
increased gains on the sale of aircraft and a reduction in 
the loss on foreign currency translation. Net interest 
expense increased $1.6 million, the result of a higher level 
of debt and record high interest rates, partially offset by 
a $4.1 million increase in interest capitalized. 
Income taxes were provided on book income at a 
rate of approximately 44% in fiscal 1980 and 47% in 1979. 
The lower rate in 1980 reflects the full-year reduction in 
the Federal corporate income tax rate to 46% and the 
application of long-term capital gains tax on qualifying 
aircraft sales. The provisions for income taxes were 
reduced by investment tax credit amortization of 
$23.0 million in 1980 and $19.1 million in 1979. 
The Company made dividend payments totaling 
$23.9 million during the year, equal to $1.20 per share, 
a 14% increase over the $20.9 million, $1.05 per share, 
paid last year. 
Fiscal 1980 was the 31st consecutive year in which 
Delta has made cash dividend payments. 
Earnings per Share 
In Dollars 
'80 
'79 
'78 
'77 
'76 
'75 
'74 
'73 
1 2 
Dividends per Share 
In Dollars 
'80 
'79 
'78 
'77 
'76 
'75 
'74 
'73 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I I 
I I 
I I 
I I 
I I 
I I 
I I 
I I 
I I 
.25 
3 4 5 6 
I 
I 
I 
I 
I 
I 
I 
I 
I 
.50 .75 1.00 
7 
1.25 
5 
 Operating Revenues 
Operating revenues for fiscal 1980 and 1979 are compared 
by major revenue categories in the following table: 
Scheduled Passenger ..... . . 
Cargo ............. . .... . 
Charter ... . ........... . . . 
Other, Net ....... .. ... . . . 
Total .... ........... . 
1980 1979 
(In Th ousands) 
$2,733,820 $2,213,024 
190,490 167,904 
5,344 24,691 
27,306 22,227 
$2,956,960 $2,427,846 
Per Cent 
Change 
+24% 
+13 
-78 
+23 
+22 % 
Total operating revenues in 1980 increased by 
$529 .1 million to $2. 96 billion from the $2.43 billion re- 
ported last year. Both passenger and cargo traffic were 
adversely impacted by the developing recession in fiscal 
1980, while traffic in fiscal 1979 was inflated by a strike 
against United Airlines and the temporary grounding of 
certain aircraft operated by other airlines. 
Passenger revenues from scheduled operations grew 
24% or $520.8 million to $2.73 billion. Revenue passenger 
miles (RPM's) totaled 26.17 billion, a 3% gain over the 
previous year. During the year, Delta implemented 
domestic fare increases totaling 48%. However, the pas- 
senger mile yield increased only 21% to 10.45 due to a 
significant increase in the use of discount fares. Revenue 
passenger miles from discount traffic amounted to 45% 
of domestic RPM's compared to 37% in 1979 and 27% 
in 1978. Discount traffic in Delta's operations to Europe 
amounted to 79% of total European RPM's. 
Cargo revenues grew 13% to $190.5 million. Cargo 
ton miles were essentially the same as last year while the 
average ton mile yield rose 13%. Delta freight operations 
continue to be affected by increased competition as the 
result of deregulation of cargo services. 
In response to the continued proliferation of dis- 
count travel and the Company's desire to maximize 
scheduled services, charter operations were reduced 
significantly in 1980, resulting in a $19.3 million reduction 
in charter revenue to $5.3 million. Other net revenues 
were up $5.1 million. 
Per Cent 
Revenue Statistics 1980 1979 Change 
Revenue Passenger 
Miles ( 000) .. .... 26,171,197 25,518,520 + 3% 
Revenue Passengers 
Enplaned .............. 39,713,904 39,360,368 + 1 
Passenger Load Factor . . .... 60.56% 64.07% 5 
Passenger Mile Yield ... . .. . 10.45(): 8.67(): +21 
Cargo Ton Miles ( 000) . . .... 310,406 309,518 
Cargo Ton Mile Yield 61.37(): 54.25ct +13 
6 
Serving meals is just one of many duties of a flight attendant 
to insure our passengers a pleasant trip. 
Average Passenger Mile Yield 
Cents per Mile 
I I I I I I 
'80 
I I I I I I 
'79 
I I I I I I 
'78 
I I I I I I 
'77 
I I I I I I 
'76 
I I I I ! I 
'75 
I I I I I I 
'74 
I I I I I I 
'73 
I I I I I I 
2 4 
I I 
I I 
I I 
I I 
I I 
I I 
I I 
I 
I 
I 
6 8 10 12 
 Operating Expenses 
Total operating expenses for the year increased 
$645.5 million or 29% while cash expenses were up 31 % . 
Operating capacity increased 9% to 43.22 billion avail- 
able seat miles as revenue plane miles were up 3%. By far 
the most significant factor affecting Delta's operating 
expenses was the continuing increase in the price of fuel. 
Other factors were the accelerated spiral of general 
inflation and the fully expensed start-up costs for new 
cities and routes. 
The following table compares operating expenses 
by major expense category for fiscal 1980 with 1979. 
Salaries and Related Costs .. 
Aircraft Fuel .. .. ... . . ... . 
Aircraft Maintenance 
Materials and Repairs . . . . 
Aircraft Rentals . .. . . ... .. . 
Other Rentals .. . . . .... . . . 
Landing Fees . .. . .. . .. . . . . 
Passenger Food and 
Related Supplies .. ..... . 
Agency Commissions .. . .. . 
Advertising .... . ... . 
Other Cash Costs . . .. . . .. . 
Total Cash Costs . . 
Depreciation and 
Amortization ... . ..... . 
Total Operating 
Expenses . .. .. . 
1980 1979 
(In Th ousands) 
$1,161,487 $1,014,144 
857,165 475,683 
64,325 52,689 
6,501 7,369 
38,245 33,819 
45,014 41,446 
100,003 92,223 
114,304 79,183 
39,385 32,760 
243,800 206,211 
$2,670,229 $2,035,527 
194,094 183,287 
$2,864,323 $2,218,814 
Per Cent 
Change 
+15 % 
+80 
+22 
-12 
+13 
+ 9 
+ 8 
+44 
+20 
+18 
+31 % 
+ 6 
+29 % 
Increases in fuel costs alone accounted for 60% of 
the increase in Delta's cash costs. While fuel conservation 
efforts produced a reduction of 2. 9 million gallons from 
the 1979 consumption total, the average price per gallon 
rose 81 % to 75. 07 . During the June, 1980 quarter, fuel 
price increases moderated somewhat, but the average 
price for the month of June, 1980 was 87.63 per gallon. 
Salaries and related costs rose 15% as the result of 
wage increases, payroll tax increases and a 6% growth in 
the level of employment. 
Aircraft maintenance materials and repairs expense 
was up 22% reflecting inflation, the increase in the fleet 
size and the cost of various programs to increase the effi- 
ciency and service life of the aircraft fleet. Aircraft rental 
expense decreased 12% as two leased L-1011-200 aircraft 
were returned to the lessor late in fiscal 1980. 
Increased passenger revenue and the growing 
percentage of revenue generated by travel agency sales 
accounted for the 44% growth in agency commissions. 
Landing fees increased 9%, due mainly to rate increases. 
The 20% growth in advertising expense reflects the 
added promotional costs for the new cities, routes and 
fares. Other cash costs increased 18%. Depreciation and 
amortization expense increased 6% due to the continued 
introduction of new aircraft. 
For the current year, the breakeven load factor 
increased slightly to 58.51 % from 58.02% in fiscal 1979. 
Per Cent 
O perating Statistics 1980 1979 Change 
Revenue Plane Miles (000) .. 269,972 262,115 + 3% 
Available Seat Miles (000) . . 43,217,372 39,826,891 + 9 
AvailableTonMiles(000) .. . 5,748,143 5,357,995 + 7 
Fuel Gallons Consumed (000) 1,141,885 1,144,823 
Average Price Per 
Fuel Gallon . . . .. . .. . ... 75.07(!: 41.55(!: +81 
Passenger Load Factor . . ... 60.56% 64.07% 5 
Breakeven Load Factor ... . . 58.51 % 58.02% + 1 
Average Price of Jet Fuel 
In Dollars per Gallon 
I l 
'80 
I 1 
'79 
r I 
'78 
I I 
'77 
I I 
'76 
I I 
'75 
r 
-, 
'74 
I I 
'73 
I I 
.20 .40 .60 
Actual and Breakeven Load Factors 
.80 
70% . - - - - - - - - - - - - - - - - - -- - - - - ~ 
 Actual 
 Breakeven 
60% ~ - - , - - - - - - - - - - - - - - - 
50% 
40% 
30% 
7 
 Fares 
In response to the rapid escalation of costs, especially 
fuel costs, the CAB allowed the airlines to implement a 
number of fare increases during the year. Delta's in- 
creases in basic domestic fares totaled 48%. In addition, 
several increases in international fares were implemented. 
The increase in the average yield per revenue passenger 
mile, however, did not keep pace with either the cost in- 
creases or the increases in fares. The average yield for the 
year was 10.45<t, 21 % above the average for fiscal 1979. 
While the CAB recognized the need for fare in- 
creases, its procedures for approving increases caused 
a considerable delay from the time costs went up until the 
time carriers could begin collecting the higher fares. The 
CAB responded to this situation by shortening the time 
for periodic review of the carriers' need for fare increases, 
from every six months to every three months, and then 
two months. Such frequent changes in the fare resulted 
in the confusion of passengers, travel agencies, and car- 
riers alike. Finally, the CAB resolved both problems 
by issuing an interim policy which allows the carriers 
substantial flexibility to raise and complete freedom to 
lower fares from the standard industry fare level without 
prior CAB approval. This new policy gives the carriers 
flexibility to adjust fares to meet their individual needs as 
well as to reduce the frequency with which fares are 
changed. Since the new fare flexibility policy was issued, 
Delta has raised its domestic fares 9% while other carriers 
raised their fares by a substantially larger percentage. In 
markets where they are directly competitive with Delta, 
however, other carriers generally have reduced their 
fares to match Delta's lower fare. 
In addition to the confusing situation involving 
basic fares, the industry was beset by a growing number 
of deep discount fares as carriers tried to establish posi- 
tions in new markets and protect historical shares of 
old markets. 
The result has been substantial diversion from full 
fares to discounts. For Delta, discount fares accounted 
for 45% of domestic revenue passenger miles, up from 
37% in fiscal 1979. In Delta's operations to Europe, 
discount fares were used on 79% of the revenue pas- 
senger miles. 
The Distribution of Passenger Traffic by Fare Type 
Revenue Passenger Miles in Billions 
'80 
'79 
'78 
'77 
'76 
- 
- 
- 
- 
-- T 
5 10 
i - 
I l 
I ,1 
15 20 
 First Class-Full Fare  Coach-Full Fare  Discount 
I 
25 
International 
Service ~s his ~iddle na11:e- th.e passenger service agent- always there to help the Delta passenger, whether it's giving directions to a 
connecting flight or helping a little girl find her lost doll. 
8 
30 
 Fuel Matters 
During fiscal year 1980, Delta's fuel cost continued the 
unprecedented climb that began late in fiscal 1979. The 
average price per gallon soared from 41.55 to 75.07, an 
increase of 81 % . The average price for the month of June, 
1980, was 87.63. Aircraft fuel accounted for 30% of 
Delta's total operating expenses in fiscal 1980 compared 
with 21% in 1979. The impact of the enormous increases 
in the price of fuel was softened by tight cost control 
measures aimed at holding down the average price of 
fuel and making the Company's use of fuel as efficient 
as possible. 
The Company has taken action on a number of 
fronts to offset the continued escalation of fuel prices. 
These measures include the expansion of Delta's fuel 
storage capabilities across the country, developing new 
fuel suppliers, contracting for the exclusive use of barges, 
becoming a direct shipper on a number of pipeline 
systems, developing new through-put arrangements, 
and participating in exchanges of fuel between cities. 
The Company has continued its efforts toward 
achieving greater conservation in the use of fuel. Delta's 
fuel conservation measures taken during the past year 
include a reduction in aircraft cruise speeds, improved 
coordination of maintenance activities to reduce the 
number of test flights, more efficient aircraft procedures 
for ground operations, improved aircraft aerodynamic 
cleanliness, and increased use of flight simulators to 
reduce aircraft training flights. These actions produced a 
9% improvement in the seat mile productivity per fuel 
gallon consumed.  
Delta will achieve additional fuel efficiency in the . 
coming year as part of its fleet is equipped with sophisti- 
cated devices which will provide optimum fuel usage for  
every flight condition. 
Revenue Passenger Miles per Fuel Gallon 
'80 
'79 
'78 
'77 
'76 
'75 
'74 
'73 
. 
~ 
I 
15 
I 
] 
I 
I 
20 
j . 
I_ 
25 
Delta's reservation agents answer the telephone more than 180,000 
times each day of the year, making reservations as well as providing 
information about schedules, fares, tickets, and a host of other 
helpful travel information. 
Fuel Consumption 
Millions of Gallons 
'80 
'79 
'78 
'77 
'76 
'75 
'74 
'73 
250 
I 
I 
500 750 
I 
I 
I 
I 
I 
I 
1000 1250 
9 
 Capitalization and Financing 
At June 30, 1980, long-term debt totaled $163.1 million, 
including current maturities, up from $140.3 million for 
the previous year. Early in the year, the Company bor- 
rowed $35 million from the Development Authority of 
Clayton County, Georgia to finance a flight kitchen and 
a cargo terminal at the new Atlanta Airport Terminal 
Complex. The loan, which carries an interest rate of 
6% % , provides for interest-only payments through 1999 
and interest and principal payments from the year 2000 
through 2011. 
Late in the year, the Company negotiated a credit 
agreement with a group of 30 banks which provides for 
unsecured borrowings up to $150 million, at prime inter- 
est rate, on a revolving basis through June, 1982. At that 
time, the outstanding principal will be converted to a 
one-year term loan. On June 30, 1980, the Company bor- 
rowed $60 million under the new agreement. On the same 
date, Delta prepaid the remaining $57.7 million principal 
outstanding under the 1973 Bank Credit Agreement. 
During the year, the Company issued commercial 
paper for the first time in its history to provide an 
alternative source of short-term funds at interest rates 
substantially below the prime rate. At June 30, 1980, the 
outstanding balance was $30. 9 million with various 
maturity dates to August 4, 1980, at interest rates 
ranging from 8.25% to 9.625%. 
Stockholder Equity per Share 
In Dollars 
'80 
'79 
'78 
'77 
'76 
'75 
'74 
'73 
10 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I 
I I I 
I I I 
I I I 
I I I 
I I I 
I I I 
I I I 
I I 
I 
I I 
10 20 30 40 so 
Also during the year, the Company acquired 
$3.3 million of the 6 % Convertible Subordinated 
Debentures for future sinking fund requirements. 
Outstanding purchase commitments at year-end for 
new aircraft, related spare engines, and modification of 
the DC-8-61 fleet will require future expenditures of 
approximately $1.2 billion. Mandatory repayments of 
long-term debt due in fiscal 1981 total $15.2 million. 
Total stockholder equity at June 30, 1980, was 
$922 million or $46.38 per share, an increase of 8% over 
the $42.89 per share last year. 
Passengers seldom see Delta's mechanics, but their skill and 
dedication insure that every Delta aircraft is both safe and efficient. 
 Facilities 
In the fall of 1980, Delta will move its Atlanta operations 
into the $400 million Central Passenger Terminal 
Complex. Designed to accommodate up to 60 million 
passengers annually, it will be the largest facility of its 
kind in the world. The terminal complex will be made up 
of four areas: two landside terminal buildings and their 
connecting bridge areas; the people mover and pedes- 
trian mall connecting the terminals and concourse 
buildings; four concourse buildings containing the flight 
arrival and departure areas; and a special facility for 
international flights. The new terminal complex contains 
2.6 million square feet of usable space. 
Delta's ability to serve its passengers in Atlanta will 
be greatly enhanced at the new terminal with features 
which include: over 300 linear feet of ticket counter space; 
50 all-weather passenger loading positions; a baggage 
claim area 10 times larger than presently available; and 
sophisticated equipment designed to make the pas- 
senger's journey as comfortable and troublefree as 
possible. Delta's annual rental and operating costs in the 
new terminal will be approximately $20 million. 
In addition to the passenger terminal complex, 
Delta's new Atlanta facilities will include an air cargo 
terminal and a flight kitchen which will be the largest ca- 
tering facility serving a single airline in the United States. 
To support Delta's growing system, new terminal 
facilities have been occupied in the Florida cities of Fort 
Myers, Sarasota/ Bradenton, and Daytona Beach, and 
in the Northwest cities of Seattle/Tacoma, Portland, 
Oregon and Salt Lake City. Delta opened a reservations 
facility in San Juan, and other reservations offices were 
enlarged during the year. Subsequent to the end of the fis- 
cal year, a new reservations office was opened in Denver. 
The Company has also begun architectural and 
engineering work for a major expansion of its mainte- 
nance and overhaul base and for construction of a new 
flight training building to house flight simulators, instruc- 
tors and support personnel to be located at Hartsfield 
Atlanta International Airport. 
The Company has sold its Greenbriar office complex 
in Atlanta. The terms of the sale include options for Delta 
to lease the facilities from the purchaser for periods up 
to 19years. 
Workmen put the finishing touches to the new midfield terminal at Hartsfield Atlanta International Airport, the world's largest airline 
passenger terminal complex. Designed to meet the demands of the air traveler well into the future, this new facility is capable of serving 
60 million passengers annually. Delta will operate SO all-weather passenger loading positions at the new terminal.  
11 
 Flight Equipment and Purchase 
Commitments 
During the past fiscal year, Delta accepted delivery of 
10 advanced model Boeing B-727-200 aircraft, two 
Lockheed L-1011-laircraft and one long-range L-1011-500 
aircraft. The fleet was reduced by the sale of six DC-9-32 
aircraft and two DC-8-51 aircraft and the return of two 
leased L-1011-200 aircraft to the lessor. At June 30, 1980, 
Delta's fleet consisted of the following aircraft: 
Type of 
O w ned 
A ircraft Seats Leased Total 
L-1011-500 . .. . . . . . 241 
L-1011-1/ 200 . . . . . 
. 293 
DC-8-61 . . . ... .... 198 
DC-8-51 .. .... . . .. 142/152 
B-727-200 .. .. . . . . . 137 
DC-9-32 ....... . .. 88 
Total . . . .... .. . . . .. .. . . .. 
2 
29 
13 
7 
113 
41 
205 
7 
2 
29 
13 
7 
120 
41 
7 212 
At the end of the fiscal year, arrangements had been 
finalized for the sale of one DC-9-32 aircraft which is to 
be delivered in December, 1980. 
The following table shows Delta's aircraft purchase 
commitments for fiscal 1981 through 1985: 
Years Ending Lockheed Lockheed Boeing Boeing 
June 30: L-1011-500 L-1011-1 B-727-200 B-767-200 
1981 . . . ... . . . 1 3 8 
1982 . . . . .. . . . 4 
1983 .. . . .. ... 11 
1984 . .. . . . ... 7 
1985 ..... . .. . 2 
Total .... 1 7 8 20 
During fiscal 1980, Delta reached agreement with 
the lessor to purchase two B-727-200 aircraft which are 
currently being leased from GATX Leasing Corporation. 
The purchases are scheduled to be completed in the 
September, 1980, and March, 1981, quarters. Subsequent 
to the fiscal year end, Delta exercised one option to pur- 
chase an additional B-727-200 with delivery scheduled 
for the December, 1981 quarter, and three options were 
allowed to expire. 
At June 30, 1980, Delta had an agreement providing 
for options of up to 12 additional Lockheed L-1011-1 air- 
craft with tentative deliveries in fiscal years 1982 through 
1985. Delta also had an agreement providing for options 
of up to 22 additional Boeing B-767-200 aircraft with 
tentative deliveries in fiscal years 1984 through 1987. 
The Company has finalized arrangements for the 
re-engining of the DC-8-61 fleet. The program will begin 
in November, 1981, with completion scheduled in August, 
1983. Also, the Company has begun retrofitting the 
DC-9-32 fleet with engine noise suppression kits, and the 
modification will be completed by February, 1982. 
12 
Delta operates the largest fleet of Boeing B-727-200 aircraft in the 
world, providing efficient service to millions of passengers from 
Maine to California. 
The Douglas DC-9-32 aircraft provides frequent and convenient 
flight schedules to millions of passengers on Delta's medium and 
short-haul routes. 
Delta's Lockheed L-1011 TriStars provide our passengers 
with unsurpassed comfort and luxury on both domestic and 
international flights. 
 Personnel 
At June 30, 1980, the team of Delta Professionals 
numbered 36,883 (includingl,840 temporary and part- 
time employees), compared to the June 30, 1979, total of 
36,546 (including 2,038 temporary and part-time em- 
ployees). Direct salaries totaled $936.5 million, a 14% 
increase over last year, and related fringe benefits 
increased 17% to $225.0 million. Expenditures for salaries 
and fringe benefits equalled 39 of each revenue dollar 
versus 42<!: in fiscal 1979. 
During the year, Mr. W. T. Beebe, Chairman of the 
Board, retired as an employee of the Company after 32 
years of service. Subsequently, the Board of Directors re- 
elected Mr. Beebe to the Board as an outside director and 
elected him Chairman of the Board, a newly created posi- 
tion as an officer of the Board. Mr. David C. Garrett, Jr. 
continues in his position as Delta's President and Chief 
Executive Officer. 
Delta's strong leadership was further developed by 
the promotion of six officers to positions of increased 
responsibility and by the election of eight new officers. 
Those officers receiving promotions during the year 
include John P. Davis, Vice President-Maintenance; 
Lamar Durrett, Vice President-Facilities and Technical 
Operations Administration; C. J. May, Vice President- 
Engineering; and R. A. McKinnon, Vice President- 
Marketing Administration. Subsequent to the end of the 
year, Jeanette Easley was promoted to Vice President- 
In-Flight Service and C. A. Thompson was promoted to 
Vice President-Stations Administration. The newly 
elected officers are: Don M. Adams, Assistant Vice 
President-Law; R. G. Caldwell, Assistant Vice 
President-Personnel Administration; Susan Q. Downer, 
Assistant Secretary; Robert S. Harkey, Assistant Vice 
President-Law; W.W. Hawkins, Assistant Vice 
President-Marketing; Dickey C. Lee, Assistant Vice 
President-Internal Auditing; W. Allen Reed, Assistant 
Treasurer-Investment Management; and Lawson Rollins, 
Assistant Comptroller-Revenue Accounting. In addition 
to Mr. Beebe's retirement, J. T. Maples, Assistant Vice 
President-Marketing Planning, retired following 37 
years of service; Charles P. Knecht, Vice President- 
Marketing Programs, retired after 44 years of service; 
and J. A. York, Vice President-Personnel Programs, 
retired after 33 years of service. Each of these men made 
many outstanding contributions to Delta and the airline 
industry during their long and distinguished careers. 
Every passenger is given attentive service at Delta's conveniently 
located City Ticket Offices, whether it's for ticket purchases, 
reservations or just for information. 
Marketing 
Delta expanded its operations into eight new cities 
during the year including Daytona Beach, Fort Myers, 
and Sarasota/ Bradenton, Florida; Seattle/ Tacoma, 
Washington; Portland, Oregon; and Salt Lake City, Utah. 
In addition a number of new nonstop routes were added 
between cities the Company was already serving includ- 
ing Atlanta to Nassau and St.Louis; Dallas/ Fort Worth 
to Denver, Little Rock, San Antonio, and Houston; 
Orlando to Cleveland, Philadelphia, and Boston; New 
York City to West Palm Beach; Ft.Wayne to Louisville 
and Atlanta; and Phoenix to San Diego. In total, Delta 
added 16,600 new route miles to its system in fiscal 1980. 
On July 19, 1980, nonstop service was added between 
Atlanta and Bermuda. 
In fiscal 1980, while other carriers relied heavily on 
discount coupons, games, lotteries, and various other 
giveaway promotions, Delta chose to invest its mar- 
keting resources in lasting improvements in its customer 
services. The Company completed the automation of all 
its ticket offices and began a program to automate 
certain travel agencies. Improvements were made to 
Delta's automated reservations system. New and more 
efficient rnmmunications systems were added to Delta's 
reservations offices. Additional ticket offices were added . 
at locations convenient to customers in major cities 
across the country.  
Delta is committed to further improvements to its 
already highly regarded customer service in all aspects- 
reservations, ticketing, in-flight service, baggage handling 
and convenient flight schedules. During the coming year, 
a computerized fare system will be introduced which will 
quickly calculate fares for the most difficult and involved 
itinerary and produce for the customer a printed report 1 
showing each flight, date and fare for each planned trip. 
13 
 Regulatory Matters 
The Civil Aeronautics Board (CAB) continues to admin- 
ister an uneven transition to deregulation of the industry, 
with rapid deregulation in some areas, but with slow 
progress, or no progress at all, toward deregulation 
in other areas. 
With regard to market entry, the CAB has rapidly 
removed regulatory restraints. Thus, air carriers are free 
(with only minor exceptions) to enter domestic markets 
of their choice, and this has been accomplished within 
less than two years after the Airline Deregulation Act of 
1978 was passed, rather than the three years contem- 
plated by that Act. Also, where foreign governments 
have been willing to negotiate liberal bilateral agreements 
so as to permit multiple designations of each country's 
carriers, the CAB has used expedited show cause pro- 
cedures to grant authority to all interested U.S. carriers, 
and President Carter has routinely approved these 
decisions. With other, more restrictive bilateral agree- 
ments, the CAB has been required to engage in carrier 
selection among competing applicants, and the pre- 
vailing policy in making these selections has been to 
choose the carrier or carriers proposing the lowest fare 
and most varied quality of service options, with emphasis 
on enhancing competition among U.S. flag carriers- 
particularly over the North Atlantic. 
The CAB's administration of route exit (suspen- 
sions, terminations and reductions of service) has been 
generally consistent with the Congressional intent that 
carriers should have greater flexibility to shift resources 
from one market to another, so long as an individual 
community is not deprived of a minimum level of service 
(defined in the law as "essential air service") required to 
tie the area into the national air transportation system. 
Fare deregulation has not proceeded as rapidly as 
decontrol of market entry or relaxation of exit con- 
straints. Throughout 1979 and until May of 1980, the 
CAB permitted domestic fares to exceed the "standard 
industry fare level" (the SIFL, defined by the Airline 
Deregulation Act of 1978 as the fares in effect on July 1, 
1977, as adjusted for subsequent cost changes) by not 
more than 10%, although fares as much as 50% to 70% 
below the SIFL have been permitted. 
In May of 1980, the Board adopted an "interim" 
policy, which grants total freedom to set fares below the 
SIFL, and the following expanded flexibility above the 
SIFL: unlimited pricing flexibility in markets of 200 miles 
length or less; a 50% upward pricing zone in 200-400 mile 
markets; and 30% upward flexibility in markets over 
400 miles. Shortly after adopting this interim policy, the 
Board modified its procedure for adjusting the SIFL: 
during the latter half of 1979 and the first six months of 
1980, the CAB adjusted the SIFL for rapidly escalating 
fuel and other costs as often as every two months. The 
14 
Each flight crew thoroughly prepares for every flight, checking 
the weather conditions along the flight route as well as airport 
conditions at each destination. 
The constant study of local and en route weather conditions 
by Delta's staff of meteorologists assures passenger comfort 
on every flight. 
new procedure under the interim policy will revert to 
adjustment of the SIFL for all cost changes every six 
months, which is the period prescribed by the Airline 
Deregulation Act. The Board has also recently decided to 
extend the domestic zone of flexibility to Puerto Rican, 
Hawaiian, Virgin Island and Alaskan routes. 
 Delta's gate agents, in addition to boarding passengers, take care 
of all the last minute details necessary to insure passengers have 
an enjoyable flight. 
Delta's customer service agents know that fast baggage service is 
a vital part of our professional service to every passenger. 
This interim fare flexibility policy is under review 
by the CAB for further modification. The policy has also 
been challenged by the Aviation Consumer Action 
Project (ACAP) a consumerist organization, in the 
Federal Court of Appeals for the District of Columbia 
Circuit. The Court has denied an ACAP motion for stay 
of the interim policy, pending full review of the 
ACAP appeal. 
CAB regulation of international fares has also 
changed because of the passage in early 1980 of the 
International Air Transportation Competition Act of 
1979. This law transposes the procompetitive domestic 
policies to international markets, including the establish- 
ment of zones of flexibility in the pricing of international 
fares. The International Act establishes a "standard 
foreign fare level" (SFFL), which is based upon fares in 
effect on October 1, 1979, except that the CAB has dis- 
cretion to establish a different SFFL for markets with as 
much as 25% of total traffic carried by U.S. carriers in 
foreign air transportation. The SFFL must be adjusted 
every 60 days for fuel cost changes, and at least semi- 
annually for other cost changes. Within a zone of 5% 
above the SFFL and 50% below, carriers are free to adjust 
international fares with only limited provision for 
suspension of such fares by the CAB. 
Although in the foregoing areas the CAB has been 
generally faithful to the Congressional mandate to place 
maximum reliance upon market forces and competition 
(rather than governmental regulation) to shape air 
transportation, other CAB activities remain highly 
inconsistent with the economic principles underlying 
deregulation. The major area of inconsistency involves 
efforts by the CAB's Bureau of Consumer Protection to 
interfere with the day-to-day relations between carriers 
and their customers. Such interference includes detailed 
regulation of carrier advertising, seating accommoda- 
tions (smoking vs. nonsmoking preferences), reserva- 
tions procedures and denied boarding rules. In other 
areas, the CAB is particularly rigid and out of tune with 
the spirit of deregulation: for example, the Board has 
promulgated rules requiring burdensome and expensive 
notice of routine schedule revisions. 
Under these circumstances, Delta believes that it is 
highly desirable for the Congress to accelerate the sunset 
of the Civil Aeronautics Board so that pressures will 
not build to extend the life of the agency beyond the 
currently-slated expiration date of January 1, 1985; and 
so that artificial governmental constraints and wasteful 
regulations can be quickly eliminated. Only then will 
the industry have the opportunity to function as the 
openly competitive, free enterprise system the Congress 
called for in the Airline Deregulation Act. 
Presently certain members of the Congress are 
actively pursuing legislation that would significantly 
modify the role of the FAA iri the fostering and regula- 
tion of commercial air transportation and would change 
the existing aircraft certification procedures. It is Delta's 
opinion that the existing system of certification pro- 
cedures and operational policies has developed one of the 
safest and best air transportation systems in the world. 
Delta Air Lines recommends against a major overhaul of 
the certification/ continuing airworthiness process but 
endorses only fine tuning of those procedures. 
15 
 DELTA AIR LINES, INC. 
Balance Sheets June 30, 1980andl979 
ASSETS 
Current Assets: 
Cash . ............ ...... . .. .. .. ... ...... .. ... .. . .... . ......... . . . . . 
Short-term cash investments, at cost . . .. ... . . . .... ... . . ... .. ... ...... .. . 
Accounts receivable, net . . . . ...... .. . .. .. .. ... .. ... ...... ... ........ . 
Maintenance and operating supplies, at average cost .. .. .. ..... .. .. ..... . . . 
Prepaid expenses, etc . .. .. .... . . ... . .. . ... ..... . .... . ............ .. .. . 
Total current assets .. .... ... .. .. ... ... ......... .. .... . ...... . ... . 
Property and Equipment (Notes 2 and 4): 
Flight Ground Property 
Equipment and Equipment 
Cost- 
1980 . .. . . .... . .. .. . . ... ....... . ... .. . $2,388,808 $ 372,793 
1979 ... . ... . ... . .. ... .. . ... . .... .... . 2,164,422 315,900 
Accumulated depreciation- 
1980 ............. ... . . ...... ....... . . $1,031,681 $ 177,091 
1979 . . . ... . .. .. ............. . ....... . 895,532 165,397 
Advance payments for new equipment (Note 2) .. . ...... . ........ . ... . .. . 
Other Assets: 
Funds held by bond trustee (Note 3) .............. . ... ... .. . .. ..... .. . . . 
Other assets . . .. . . . .. . . .. . ...... .... . .... . ... . .. . ..... . .. . ........ . . 
16 
1980 1979 
(In Thousands) 
$ 37,963 
101 
38,064 
283,039 
37,836 
10,558 
369,497 
2,761,601 
1,208,772 
1,552,829 
90,952 
1,643,781 
18,120 
11,141 
29,261 
$2,042,539 
$ 25,712 
3,216 
28,928 
229,284 
16,275 
9,696 
284,183 
2,480,322 
1,060,929 
1,419,393 
78,420 
1,497,813 
6,329 
6,329 
$1,788,325 
 LIABILITIES AND STOCKHOLDER EQUITY 
Current Liabilities: 
Current maturities of long-term debt .... . .. ... .. . .. . . . . . ......... . ..... . 
Note payable . ... . ............ . ...... .. .... ... ........ .. . .. ........ . 
Commercial paper outstanding (Note 7) .. . ................. .. . . ........ . 
Accounts payable and accrued liabilities .......... ... ........ . ....... . . . . 
Air traffic liability ... .... ... . . . . . . ...... .... .. . .. ..... ... . ..... ..... . 
Accrued income taxes .... ..... . .... .... .. . .... ... ...... . ... ... ... .. . . 
Total current liabilities ...... . . .. . ... ...... .... ... . ............ . . . 
Long-Term Debt (Note 3) .. ...... . .. . .. .. ......... . ............. . . .. ... . . . 
Deferred Credits: 
Deferred income taxes 
Unamortized investment tax credits . ... .. . .......... ....... .. . ... . . ... . 
Other . ... .... . ... . . . . . .... . ...... ... ....... . ... . . . ... ... : .. . .. ... . 
Commitments and Contingencies (Notes 2, 4 and 8) 
Stockholder Equity (Note 6): 
Common stock, par value $3.00 per share- 
Authorized 25,000,000 shares; outstanding 
19,880,577 shares .. . .... .. .. . .......................... . ........ . 
Additional paid-in capital . ...... .. . .. ............. .. ... . .......... .. . 
Retained earnings ....... . ...... . ..... ... ....... . . .. ........ . .. . .... . 
The accompanying notes are an integral part of these balance sheets. 
DELTA AIR LINES, INC. 
1980 1979 
(in Thousands) 
$ 15,225 
30,934 
237,349 
263,831 
3,225 
550,564 
147,901 
329,142 
87,953 
5,010 
422,105 
59,642 
80,088 
782,239 
921,969 
$2,042,539 
$ 14,832 
30,104 
198,117 
148,060 
17,276 
408,389 
125,483 
314,126 
81,927 
5,732 
401,785 
59,642 
80,088 
712,938 
852,668 
$1,788,325 
17 
 DELTA AIR LINES, INC. 
Statements of Income For the years ended June 30, 1980 and 1979 
1980 1979 
(In Thousands) 
Operating Revenues: 
Passenger ........................................................ . $2,733,820 $2,213,024 
Cargo ... . .. . .. .. . .. .... . .. . . .. . ... ... ... ... ..... ........ ........ . 190,490 167,904 
Other, net ....................................................... . 32,650 46,918 
Total operating revenues 2,956,960 2,427,846 
Operating Expenses: 
Salaries and related costs ........................................... . 1,161,487 1,014,144 
Aircraft fuel .... . ....... ....... ........... ...... ..... ...... .. ..... . 857,165 475,683 
Aircraft maintenance materials and repairs ............................ . 64,325 52,689 
Rentals and landing fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 89,760 82,634 
Passenger service . ....... .... .... .... ...... .... . . . ...... . .......... . 115,996 106,088 
Agency commissions . . . . . . . . . . . . . . . . . . . . . . ....................... . 114,304 79,183 
Other cash costs .................................................. . 267,192 225,106 
Depreciation and amortization ........ .............. .. .... ........ .. . 194,094 183,287 
Total operating expenses ........... ....................... . . . . 2,864,323 2,218,814 
Operating Income . .. ..... ... .............. . ........ . .. .. ... .. ....... . . . 92,637 209,032 
Other Expense (Income): 
Interest expense .................................................... . 21,852 16,178 
Less-Interest capitalized ............................ . ....... .. .. . 10,790 6,717 
11,062 9,461 
Gain on disposition of aircraft ....................................... . (36,091) (20,514) 
Realized and unrealized loss on foreign currency translation, net ... . ... . . . . . 3,735 7,110 
Miscellaneous income, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (10,687) (9,069) 
(31,981) (13,012) 
Income Before Income Taxes . . .. ........ . ........ . .... . ................. . 124,618 222,044 
Provision for Income Taxes (Note 5): 
Income taxes provided ... .. ... . ....... ....... .......... . . ... ... .. .. . 54,433 104,429 
Amortization of investment tax credits ................................ . (22,973) (19,129) 
31,460 85,300 
Net Income .......................................................... . $ 93,158 $ 136,744 
Net Income Per Common Share .. ......... .. . . .... ............ . ... ....... . $4.69 $6.88 
The accompanying notes are an integral part of these statements. 
18 
 DELTA AIR LINES, INC 
Statements of Retained Earnings For the years ended Ju ne 30, 1980 and 1979 
1980 1979 
(In Thousands) 
Balance at Beginning of Year . ... . ... .. . . . .... .. .... . .. . .. .... . .. . ...... . . . . $712,938 $597,069 
Add (Deduct): 
Net income . . ..... . . . ....... ... . .. . ......... . .. .... ..... . .. . .. .... . 
Cash dividends- $1.20 per share in 1980 and $1.05 per share in 1979 .. .. . ... . . 
93,158 
(23,857) 
136,744 
(20,875) 
Balance at End of Year . . ..... ..... .. . ...... . ... . ..... ..... . .. .. .. . .. . . ... . 
The accompanying notes are an integral part of these statements. 
Auditors' Report 
ARTHUR ANDERSEN & Co. 
ATLANTA, GEORGIA 
To the Stockholders and the Board of Directors of 
Delta Air Lines, Inc.: 
$782,239 
We have examined the balance sheets of DELTA AIR LINES, INC. (a Delaware corporation) as of 
$712,938 
June 30, 198Oand 1979; and tne'related statements of income, retained earnings and- 
changes in financial position for 
the years then ended. Our examinations were made in accordance with generally accepted auditing standards 
and, accordingly, included such tests of the accounting records and such other auditing procedures as we considered 
necessary in the circumstances. 
In our opinion, the financial statements referred to above present fairly the financial position of 
Delta Air Lines, Inc. as of June 30, 1980 and 1979, and the results of its operations and the changes in its financial 
position for the years then ended, in conformity with generally accepted accounting principles applied 
on a consistent basis. 
Atlanta, Georgia, 
August 20, 1980. 
19 
 DEL 
TA AIR LINES, INC. 
Statements of Changes in Financial Position For the years ended June 30, 1980 and 1979 
1980 1979 
(In Thousands) 
Funds Provided By: 
Net income .. . . ... ........ . . . ..... .. ... . .... ... ................... . $ 93,158 $136,744 
Add (deduct) items not affecting working capital- 
Depreciation and amortization .. .. .......... ... .. ... ... . .... . .... . 194,132 183,325 
Deferred income taxes .. ... . ... . ... ... .. .. ..... . . .. ... .. ..... ... . 15,016 17,886 
Unrealized loss on translation of long-term portion of debt 
payable in pounds sterling ..... . ...... . . . ........... . ........ . 2,868 6,076 
Investment tax credits, net of amortization . . .. ... . . .............. . .. . 6,026 . 13,833 
Other .... ..... . .. .... .... . .... .. . . ... . ........ . .. . . ... ..... . . . (517) (319) 
Total from operations . . . . ........... .. . ... . .. . .... .. .. . . . . . 310,683 357,545 
Obligations under capitalized leases (Note 4) . .... ........ ....... . .... ... . 13,510 
Long-term financing (Note 3) ..... . ... . ...... . ... . ....... ..... ........ . 95,000 
Funds held by bond trustee (Note 3) . .... . . . ...... .. ... . . . . . . . .. . ... . .. . (18,120) 
Disposition of property and equipment (book value) ...... . . ...... ..... . . . 16,036 3,799 
Other ... . ..... .. . .. ...... . ..... . . . ...... ... ... .. ..... .... .. . .. . .. . 1,275 2,807 
404,874 377,661 
Funds Used For: 
Property and equipment additions- 
Flight equipment, including advances . ............... .. .... ... .. . . . . 276,751 334,466 
Ground property and equipment .. .. .. . . .. . .. ...... . ........ . .... . 79,088 36,716 
355,839 371,182 
Reduction of long-term debt, net of unrealized foreign currency 
gains and losses .. .. .... .. .. . .. . .. . ... . ... ... ....... . ... .. . . .... . 75,450 61,434 
Cash dividends ... . ...... . ....... . .... ... ....... .. . ... . . . . . ... . ... . . 23,857 20,875 
Increase in long-term notes receivable ..... ... .......... .. . . ... . ... .. . .. . 6,464 
Other . . . . . .. ...... .. . .... .. ..... ... ... . ... .. .... ... . .. . ...... . ... . 125 712 
461,735 454,203 
Decrease in Working Capital .......... .... . . . . . .... ..... .. . . . . .... . ... .. . . $ 56,861" $ 76,542 
Changes in Working Capital Components: 
Increase (decrease) in- 
Cash and short-term investments $ 9,136 $(95,183) 
Accounts receivable, net ...... . ....... . .. . ............... .. .. . .. . 53,755 48,265 
Other current assets . .. . ...... . . ..... ..... . . . .. ... ... . . .. . ...... . 22,423 5,971 
Decrease (increase) in- 
Current maturities of long-term debt .. ..... . . .. . . . ... . ..... .... . . .. . (393) (5,101) 
Note payable . ......... .. .. . ... ... . . .. .. ..... . .. . . ..... ... . .. .. . 30,104 (30,104) 
Commercial paper outstanding (Note 7) .. .. ... . .. .. ... ...... .. .. .. . . (30,934) 
Accounts payable and accrued liabilities . . ... . ... ... .. . .. . .. . .... . . . (39,232) (31,151) 
Air traffic liability ..... .. ..... . . . .. .. . .. . . .. . ... . . . .. . . ....... . . . (115,771) (18,453) 
Accrued income taxes .. .. ......... . .. . ... . .. . ...... . . . . . . ... ... . . 14,051 49,214 
Decrease in Working Capital .... .. ......... . ...... . ......... ... ... . . . ... . . $ 56,861 $ 76,542 
The accompanying notes are an integral part of these statements. 
20 
 Notes to Financial Statements 
June 30, 1980 and 1979 
1. Summary of Accounting Policies: 
Passenger Revenue-Passenger ticket sales are recorded 
as revenue when the transportation is used. The value of 
unused tickets is included in current liabilities in the 
financial statements. 
Depreciation and Amortization-Substantially all of the 
Company's flight equipment is being depreciated on a straight- 
line basis to residual values (10% of cost) over a IO-year period 
from dates placed in service. Ground property and equipment 
is depreciated on a straight-line basis over its estimated service 
life (various lives ranging from three to 30 years). Leased prop- 
erties under capital leases are amortized on a straight-line basis 
over the life of the lease. 
Maintenance and Repairs-All maintenance and repair 
costs, including engine and airframe overhauls, are charged to 
maintenance expense when incurred. Major replacements and 
betterments are capitalized. 
Interest Capitalized-Interest attributable to funds used 
to finance the acquisition of new aircraft and construction of 
major ground facilities is capitalized as an additional cost of 
the related asset. Interest is capitalized at the Company's 
average interest rate on long-term debt or, where applicable, 
the interest rate related to specific borrowings. Capitalization 
of interest ceases when the property or equipment is placed 
in service. 
Foreign Currency Transactions-Realized and unrealized 
foreign exchange adjustments are included in income on a 
current basis. 
Retirement Plans-All of the Company's permanent 
employees are covered under its noncontributory trusteed 
plans providing for retireg1 
g[lt, disability and survivor bene- 
fits. The total expense under these plans amounted to approx- 
imately $88,941,000 in 1980 and $75,897,000 in 1979. The 
Company's policy is to fund each year's accrued costs under 
the plans, which costs include amortization of prior service 
costs over varying periods up to 30 years. 
As of June 30, 1979 (date of most recent actuarial study), 
the actuarial present value of accumulated plan benefits and 
the plan net assets available for benefits under the Company's 
defined benefit pension plans were as follows: 
Actuarial present value of 
accumulated plan benefits: 
Vested .. ... .. . . .. .. .. . . . .. . ...... . .. . . . 
Nonvested 
Net assets available for benefits . .... . . . .. . . . ... . . . 
June 30, 
1979 
(/11 Th o11sa11ds) 
$442,852 
13,066 
$455,918 
$411,953 
The weighted average assumed rate of return used in 
determining the actuarial present value of accumulated plan 
benefits was 8.0 percent. 
DELTA AIR LINES, INC. 
Income Taxes-Total income taxes are provided by 
applying the applicable statutory tax rates to book income 
before income taxes. Deferred income taxes are provided for 
all significant items (principally depreciation and other 
property items) where there is a timing difference in recording 
such items for financial reporting purposes and for income tax 
purposes. Investment tax credits are amortized (as a reduction 
of the provision for income taxes) over seven years (see 
Notes). 
Earnings Per Share-Net income per common share is 
computed based on the weighted average number of out- 
standing shares during the year (19,880,577 shares in 1980 
and 1979). 
2. Aircraft Purchase and Sale Commitments: 
At June 30, 1980, the Company had outstanding pur- 
chase commitments for the acquisition of 12 Boeing B-727-200 
aircraft, two leased Boeing B-727-200 aircraft, 42 Boeing 
B-767-200 aircraft, 19 Lockheed L-1011-1 aircraft and one 
Lockheed L-1011-500 aircraft, including related spare engines. 
The commitments include the following aircraft for which the 
Company has options to purchase: four Boeing B-727-200's 
which can be confirmed at specified interim dates to August, 
1980; 22 Boeing B-767-200's which can be confirmed at speci- 
fied interim dates through June, 1985; and 12 Lockheed 
L-1011-l's which are cancelable by specified interim dates 21 
months prior to delivery. Subsequent to June 30, 1980, one 
Boeing B-727-200 aircraft was confirmed for delivery in fiscal 
year 1982, and the remaining three options for purchases of 
Boeing B-727-200 aircraft were allowed to expire unexercised. 
The Company has entered into an agreement to re-engine its 
fleet of 13 Douglas DC-8-61 aircraft during fiscal years 1982 
through 1984. 
Excluding the 22 Boeing B-767-200 and 12 Lockheed 
L-1011-1 aircraft under options, these purchase and re-engining 
commitments at June 30, 1980, will require estimated future 
expenditures of approximately $1,227,000,000 as follows: 
$250,000,000-1981;$222,000,000-1982;$422,000,000-1983; 
$266,000,000-1984; and $67,000,000-1985. 
The Company presently anticipates financing these 
commitments, including new aircraft purchases, from inter- 
nally generated funds, supplemented as required by inter- 
mediate-term loans. 
The Company has entered into an agreement to sell one 
DC-9-32 aircraft to be deliver~d before January, 1981. 
21 
 DELTA AIR LINES, INC. 
3. Long-Term Debt: 
At June 30, 1980 and 1979, the Company's long-term 
debt and capitalized lease obligations (including current 
maturities) were as follows: 
a) Due Lazard Brothers & Co. , Limited, 
under 5 %, 6% and 7 % unsecured 
notes, repayable in pounds sterling in 
semiannual installments to 1986 
($9,339,000payable in fiscal 1981)- 
At original exchange rates . . . . . . 
Unrealized (gain) loss on- 
Current maturities . . , . ... . . .. ... . 
Long-term portion . . .. . .. . . ..... . 
At current exchange rates .. ... . .. . . . 
b) Due banks under 1973 unsecured 
credit agreement (as amended) at 
prime interest rate. The remaining 
balance at June 30, 1980, was 
voluntarily prepaid, in full, without 
penalty . .. . ... . . . . .... . . . . . . . 
c) Due banks under1980 unsecured credit 
agreement, providing for borrowings 
up to $150,000,000, at prime interest 
rate, ona revolving basis through June, 
1982, at which time the balance 
outstanding will be converted into a 
one-year term loan repayable in 
quarterly installments of $5,000,000 
beginning September 30, 1982, with 
the remaining balance payable on 
June 30, 1983 ... . . .. . . . . . ... .. . . .. . 
d) Convertible Subordinated Debentures, 
6 %, maturing Augustl, 1986, with 
annual sinking fund redemptions of 
$1,100,000. The remaining obligations 
,.afJ~n~ 3o, l9sO~na 1979: ~rEtaHer"" ,, 
deducting$6,404,000and$4,237,000, 
respectively, of debentures acquired 
for future sinking fund requirements 
(Note6) ...... .. . . . .. . 
e) Due the Development Authority of 
Clayton County under a 65/s % 
unsecured loan agreement, repayable 
in installments beginning in the year 
2000, with the remaining balance 
payable in 2011 .... .. .. . . . 
f) Other notes, with various interest 
rates and maturity dates ($463,000 
payable in fiscal 1981) .......... . 
g) Capitalized lease obligations 
($5,423,000 payable in fiscal 1981)- 
(Note 4) . . ... . ......... . . . . 
Total .. . 
Less-Current maturities 
Total long-term debt 
22 
1980 1979 
(in Thousands) 
$ 42,384 $51,587 
136 (677) 
806 (2,604) 
- - - 
43,326 48,306 
57,653 
60,000 
11,196 14,463 
35,000 
1,567 2,781 
12,037 17,112 
163,126 140,315 
(15,225) (14,832) 
$147,901 $125,483 
At June 30, 1980, the annual maturities of long-term debt 
and capitalized lease obligations for the next five fiscal years 
were as follows: Amount 
1981 
1982 
1983 
1984 
1985 
(In T/1 
ousa11ds) 
$15,225 
13, 783 
71,218 
9,966 
5,385 
The Company's debt agreements include limitations on 
indebtedness and other obligations. In connection with the 
1973 and 1980 bank credit agreements, the Company has 
informally agreed to maintain on deposit with the lending 
banks average balances (including normal working balances) 
equal to 10% of the average daily outstanding borrowings, 
with the average balances and borrowings being computed 
over the term of the agreement. There are no legal restrictions 
on the Company's use of these funds. At June 30, 1980, there 
was no restriction in the agreements as to the payment of 
cash dividends. 
In July, 1979, the Development Authority of Clayton 
County issued $35,000,000 of 6%% Special Facilities Revenue 
Bonds, the proceeds of which were loaned to the Company 
under a 6%% unsecured loan agreement. Payments made by 
the Company under the loan agreement are pledged by the 
Development Authority to the bond trustee. By the terms of 
the trust indenture and the agreement with the Development 
Authority, funds from the loan are held by a trustee for the 
payment of construction costs of certain facilities and for 
a debt service reserve fund. At June 30, 1980, the amount on 
deposit with the trustee was $18,120,000. 
The Company currently plans to enter into a loan agree- 
ment with the Development Authority of Fulton County, 
Georgia, under which the Company would borrow $29,000,000 
in October, 1980, repayable within three years. 
4. Lease Obligations: 
Effective July 1, 1978, under the provisions of Financial 
Accounting Standards Board Statement No.13, the Company 
capitalized certain aircraft and other equipment leases that 
were previously accounted for as operating leases. The capi- 
talization and amortization of these capital leases did not 
have a material effect on the financial statements. 
At June 30, 1980, the Company leased seven Boeing 
B-727 aircraft (two of which are to be purchased in 1981) and 
certain airport terminal and maintenance facilities, ticket 
offices, and other property and equipment under agreements 
with terms of more than one year. Amounts charged to rental 
expense for operating leases were $44,746,000 in 1980 and 
$41,188,000 in 1979. 
 At June 30, 1980, the Company's minimum rental com- 
mitments under capital leases and noncancelable operating 
leases with initial or remaining terms of more than one year 
were as follows: 
Payable tor 
Fiscal Year 
1981 
1982 
1983 
1984 
1985 
After1985 ........................ . 
Total minimum lease payments ....... . 
Amounts representing interest 
(at rates of 5.4% to 10.3%) ......... . 
Present value of minimum 
lease payments ................. . . . 
Capital Opera ling 
Leases Leases 
(/11 Thousands) 
$ 6,103 $ 34,887 
4,713 37,467 
1,516 36,863 
975 36,220 
330 35,681 
620,877 
13,637 $801,995 
1,600 
$ 12,037 
The Company is participating in a major expansion of 
terminal facilities at Hartsfield Atlanta International Airport 
presently planned to open in September, 1980. Operating 
lease rentals for the new facilities are reflected above. Purchase 
of two leased Boeing B-727-200 aircraft (Note 2) in 1981 will 
have the effect of reducing the total minimum lease payments 
and the present value of minimum lease payments for capital 
leases by $1,876,000 and $1,795,000, respectively. 
5. Income Taxes: 
The provision for income taxes in 1980 and 1979 
consisted of: 
1980 1979 
(/11 Thousands) 
Current taxes ..... .. ....... ........ . $ 10,418 $ 53,581 
Deferred taxes ..................... . 15,016 17,886 
Investment tax credits ............... . 28,999 32,962 
Income taxes provided ........... . . 54,433 104,429 
Amortization of 
investment tax credits ........... . (22,973) (19,129) 
$ 31,460 $ 85,300 
Total income taxes provided were approximately 44% 
in 1980 and 47% in 1979 of book income before taxes. As of 
June 30, 1980, all available investment tax credits had been 
utilized to reduce Federal income taxes payable. 
The provision for deferred income taxes resulted from 
the tax effect of the timing differences related primarily to 
depreciation and other property items. 
6. Common Stock: 
At June 30, 1980, the Company had 44,784 common 
shares reserved for conversion (at $250 per share) of the 
Convertible Subordinated Debentures. 
DELTA AIR LINES, INC. 
7. Short-Term Borrowings: 
Interim financing of operations is obtained through the 
issuance of commercial paper and the use of other short-term 
borrowings. At June 30, 1980, outstanding commercial paper 
totaled $30,934,000, with various maturity dates to August 4, 
1980, at interest rates ranging from 8% to 9%%. In connec- 
tion with the issuance of the commercial paper, the Company 
obtained a $50,000,000 line of credit. Commercial paper issued 
in excess of $50,000,000 is supported by the Company's 1980 
Bank Credit Agreement (see Note 3). 
In connection with a purchase of Boeing B-767-200 
aircraft, the Company issued a note during 1979 in the amount 
of $30,104,000 payable on or before February 26, 1980. The 
interest rate on the note was equal to the prime rate. The note 
was paid in full on December 20, 1979. 
The average interest rate and average and maximum 
outstanding balances of short-term borrowings during1980 
were as follows: 
Maximum amount of borrowings  
outstanding at any month-end .. .. .. . 
Average daily borrowings 
during period .................... . 
Weighted average interest rate 
on borrowings during period .. . .. . . . 
8. Contingencies: 
1980 
(/11 Thousands) 
$55,567 
$40,534 
11.77% 
The Company is a defendant in certain legal actions re- 
lating to environmental problems (primarily noise), alleged 
employment discrimination practices, other matters con- 
cerning past and present employees, disputes concerning the 
Company's liability for payment of fees and charges for certain 
airport facilities; and other matters related to the Company's 
business. Given the unsettled status of the law in many of the 
areas involved, the outcome of these actions is difficult to 
predict. In the present opinion of management and its legal 
counsel, however, the disposition of these matters is not likely 
to have any material adverse effect on the Company's financial 
position or operations. 
9. Quarterly Financial Data (Unaudited): 
Three Months Ended 
Sept.30 Dec.31 Mar.31 June30 
Fiscal 1980 I In Millions. facept Per Share A111ountsJ 
Operatingrevenues $670.6 $703.8 $769.1 $813.5 
Operating income.... .. . .. $ 2.0 $ 16.8 $ 28.7 $ 45.1 
Net income ............. . 
Net income per share ..... . . 
Net income per share includes 
gain on sales of aircraft of ... 
Fiscal1979 
Operating revenues ...... . 
Operating income .... ... . . 
Net income ............. . 
Net income per share ...... . 
Net income per share includes 
$ 12.6 $ 37.6 
$ 0.63 $ 1.06 $ 1.10 $ 1.89 
$ .28 $ .33 $ .01 $ .44 
$574.0 $574.2 
$ 57.7 $ 46.4 
$ 32.7 $ 34.1 
$ 1.65 $ 1.71 
$597.3 $682.3 
$ 34.4 $ 70.5 
$ 26.2 $ 43.7 
$ 1.32 $ 2.20 
gain on sales of aircraft of . . . $ . 01 $ . 22 $ .16 $ .13 
--- 
23 
 DELTAAIRLINES, INC. 
10. Constant Dollar and Current Cost Data (Unaudited): 
In 1979, the Financial Accounting Standards Board 
(FASB) issued Statement No. 33, Financial Reporting and 
Changing Prices, requiring that certain historical financial 
data be restated utilizing two different approaches to measure 
the impact of changing prices: (1) the "constant dollar" 
approach, which reflects the effect of general inflation on the 
purchasing power of the dollar; and (2) the "current cost" 
approach, which reflects the changes in relative prices for 
specific goods and services. 
Data developed in compliance with Statement No. 33 is 
of an experimental nature and should be viewed with caution. 
Calculations derived from the application of Statement No. 33 
involve a substantial number of assumptions and estimates, 
and may not reflect the most accurate reporting of the effects 
of inflation on the Company. 
Under the constant dollar concept, the historical cost at 
June 30, 1980, of property and equipment was aged by year of 
acquisition. This historical cost was adjusted to a common 
index level at June 30, 1980, by the application of the U.S. 
Government Consumer Price Index for All Urban Consumers 
("CPI-U"). The CPI-U is a widely used measure of inflation 
and is the specific index selected by the FASB to measure the 
effect of general inflation. Depreciation and amortization 
were recalculated on a straight-line method, using historical 
Statement of Income Adjusted for Changing Prices (Unaudited) 
For the year ended June 30, 1980 
depreciation rates applied to the constant dollar cost. 
The gain from the decline in purchasing power was deter- 
mined by calculating the changes in monetary assets and 
liabilities in 1980 constant dollars. In times of inflation, there 
is a purchasing power loss in holding monetary assets such as 
cash and receivables and a purchasing power gain in holding 
monetary liabilities such as debt and payables. 
For flight equipment, current cost (specific prices) was 
determined by utilizing the purchase price information for 
current production aircraft types as furnished by the Air 
Transport Association and current market values for non- 
production aircraft as published in various industry sources. 
For spare engines and components, the current cost was deter- 
mined by applying the historical ratio of the cost of spare 
engines and components to the current cost of the related air- 
craft fleets. For ground property and equipment, the current 
cost was computed in the same manner as the constant dollar 
information. Current cost depreciation expense was com- 
puted by multiplying the historical rates by the current costs 
determined above. 
Current tax laws do not recognize deductions for current 
cost depreciation and amortization expense; therefore, income 
taxes provided are reported in historical dollars as required by 
Statement No. 33. 
As Reported 
in the 
Financial 
Statements 
(Historical Cost) 
Adjusted for 
General 
Inflation 
(Fiscal 1980 
Constant Dollar) 
Adjusted for 
Change in 
Specific Prices 
(Current Cost) 
(111 Thousands Excet fo r Per 5'1are Data) 
Operating revenues . . . .. . ... .. . ... ..... . . . . . . . .. .. . . . .. . . .... . .. .... . . $2,956,960 $2,956,960 $2,956,960 
Depreciation and amortization expense ... ... . .. . .. . . . .... .... .... ... . . . . 
Operating expenses (excluding depreciation and amortization) . .. . . ... . .. . . . . 
Gain on disposition of property . ... .. . . . .. . ... . ... . .... .. .. .. . . . .. ... .. . 
Other expense (income), net .. ... ... ..... . ....... . .... . . . .. .. . . . . . . .... . 
Income taxes provided . . . .. . . . .. ... . . .. .. .. .. . . . . . .. . . .. . .. . . 
Amortization of investment tax credits . . ..... .. .... . ...... . . . 
Total expenses ... .. . .. . . . . . .. ... .. .... . .......... . 
Net income (loss) ... . . . . . .. . ..... . .. ..... . . ........ .. . ... . .. . . . . .. . . . . 
Net income (loss) per share .. ... . ... . . ....... .. .. ... . . ... .. . .. . . . .. ... . . 
194,094 
2,670,229 
(36,444) 
4,463 
54,433 
(22,973) 
2,863,802 
$ 93,158 
$ 4.69 
286,648 
2,670,229 
(34,146) 
4,463 
54,433 
(32,100) 
2,949,527 
$ 7,433 
$ .37 
Gain from decline in purchasing power of net amounts owed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 62,948 
Effect on property and equipment of: 
Increase in specific prices (current cost)* .. . . . .... .. . ... . .. . .. . ..... . . . . . . .... .. ... . .. ..... . . ... .. .. . . ... . 
Increase in general price level ( constant dollar) . . . . . . . . . . . . .. . ... . .. . . . .... . . .... . .. ... . . . . . . . 
Excess of increase in specific prices over the increase in the general price level . . ... . .... . . . . . . .. ... .. . .. . . ... .... . . 
NetassetsatJune30,1980..... .... . . . . . .. . ... .. .. .. . . .. . ... .. ... . . ..... $ 921,969 $1,872,077 
*At June 30, 1980, ?":?'ed and leased p:operty and equipment, stated at current cost, net of adjusted accumulated depreciation 
from date of acqu1s1t10n, was $2.59 billion compared with the historical depreciated cost of $1.64 billion. 
Five-Year Comparison of Selected Supplementary Financial Data (Unaudited) 
Stated in Average Fiscal 1980 Dollars For the Year Ended June 30, 
Operating revenues . . . .. . . .... . . . . ... . .. . .. .. .. . 
Gain from decline in purchasing 
power of net amounts owed ...... ... . . . . .. . . . . . . 
Cash dividends paid per common share ... . . . . 
Market price per common share at year-end . . . . 
Average c9nsumer price index (1967 = 100) . .. . 
24 
1980 1979 1978 1977 
$2,956,960 
62,948 
1.20 
39.25 
232.5 
(/n T'1ousa11ds Exce t for Per 5'1are Data) 
$2,750,849 
1.19 
45.46 
205.2 
$2,541,774 
.93 
56.24 
187.6 
$2,274,274 
.93 
47.28 
175.8 
317,748 
2,670,229 
(39,835) 
4,463, 
54,433 
(32,100) 
2,974,938 
$ (17,978) 
$ (.90) 
$ 62,948 
$ 349,688 
298,813 
$ 50,875 
$1,866,641 
1976 
$2,138,863 
.84 
62.25 
166.2 
 Report of Management 
The integrity and objectivity of the information presented in 
this Annual Report is the responsibility of Delta management. 
The financial statements contained in this report have been 
examined by Arthur Andersen & Co., independent public 
accountants. Their report, shown on page 19, expresses an 
informed judgment as to whether management's financial 
statements present fairly, in conformity with generally 
accepted accounting principles, the Company's financial posi- 
tion and operating results. 
Delta maintains a comprehensive system of internal 
financial controls and an extensive program of internal audits. 
These controls include careful selection of its managers, organ- 
izational arrangements that provide an appropriate division 
of responsibilities, and communication programs aimed at 
assuring that the Company's policies and standards are under- 
stood throughout the organization. We believe that this system 
provides reasonable assurance that transactions are executed 
in accordance with management's authorization and that they 
are appropriately recorded so as to permit preparation of 
financial statements in conformity with generally accepted 
accounting principles and adequately safeguard, verify, and 
maintain accountability of assets. 
The Board of Directors pursues its responsibilities for 
these financial statements through its Audit Committee, which 
consists solely of outside directors. They meet regularly with 
the independent auditors and representatives of management 
to review the activities of each and to insure that each is 
properly discharging its responsibilities. 
DAVID C. GARRETT, JR. ROBERT OPPENLANDER 
President and Chief Executive Officer Senior Vice President- Finance 
Quality control inspectors continually check Delta's aircraft to insure 
that each one meets the highest standards of safety and performance. 
DELTA AIR LINES, INC. 
Management's Analysis and Discussion 
of Summary of Operations 
A comparison of the results of operations for fiscal years 1980 
and 1979 can be found in previous sections of this report. The 
following is a comparison of the results of 1979 and 1978. 
Net income for the year ended June 30, 1979, was a 
record $136,744,000 ($6.88 per share), a 4% increase over the 
$131,127,000 ($6.60 per share) earned in 1978. 
Operating revenues totaled $2.43 billion, an increase of 
18% from the $2.05 billion in 1978. Passenger revenue grew 
19% to $2.21 billion as revenue passenger miles were up 23% 
to 25.52 billion, and the passenger mile yield was 8.67ct, a 
decline of 3%. Cargo revenues increased 10% including a 
$1.6 million mail pay adjustment applicable to prior years. 
Other revenues were up 28% including a $6.4 million increase 
in charter revenues. 
Operating expenses for fiscal 1979 totaled $2.22 billion, 
20% above fiscal 1978, while operating capacity increased 
13% to 39 .83 billion available seat miles. Revenue plane miles 
increased 9% to 262.1 million. Salaries and related expenses 
grew 22% as a result of wage and payroll tax increases and a 
12% growth in average employment. Aircraft fuel expense 
rose 24%, reflecting an 11% increase in consumption and a 
12% increase in the annual average price per gallon to 41.55ct. 
Aircraft maintenance materials and repairs expense increased 
18% reflecting an increase in the number of overhauls and 
checks due to the expanding aircraft fleet. Passenger revenue 
increases and the continued rise in the number of passengers 
using travel agencies accounted for the 22% growth in agency 
commissions. All other cash expenses rose 17% as the result of 
inflation and the growth in operation. 
Non-operating income for 1979 decreased 34% to 
$13.0 million. Net interest expense declined 37%, the result of 
a lower level of outstanding debt and an increase in capitalized 
interest. Gains on aircraft sales totaled $20.5 million, down 
37% from the previous year. The translation of foreign debt 
resulted in a $7.1 million loss compared to a $3.3 million loss 
in 1978. Miscellaneous income increased $1.4 million prin- 
cipally the result of higher interest income. 
Income taxes were provided on book income at a rate of 
approximately 47% compared to 49% in 1978. The provisions 
were reduced by investment tax credit amortization of 
$19.1 million in 1979 and $15.7 million in 1978. 
25 
 DELTA AIR LINES, INC. 
Summary of Operations For the years ended June 30 
(Dollars expressed in thousands except per share figures) 
1980 1979 1978 1977 1976 
Operating revenues: 
Passenger .................... $2,733,820 $2,213,024 $1,861,100 $1,575,642 $1,406,417 
Cargo ....................... 190,490 167,904 153,233 114,800 100,626 
Other, net ................. . . 32,650 46,918 36,578 29,203 21,899 
Total operating revenues ........... 2,956,960 2,427,846 2,050,911 1,719,645 1,528,942 
Operating expenses ................ 2,864,323 2,218,814 1,845,816 1,578,464 1,411,333 
Operating income ................. $ 92,637 $ 209,032 $ 205,095 $ 141,181 $ 117,609 
Interest expense, etc., net* .......... 375 392 9,673 18,236 29,103 
Gain on disposition of aircraft ....... 36,091 20,514 32,689 29,403 7,680 
Realized and unrealized loss (gain) on 
foreign currency translation ..... 3,735 7,110 3,339 (2,699) (13,357) 
Income before income taxes ......... $ 124,618 $ 222,044 $ 224,772 $ 155,047 $ 109,543 
Income taxes . . . . . . . . . . . . . . . . . . . . . 31,460 85,300 93,645 62,667 39,336 
Net income ...................... $ 93,158 $ 136,744 $ 131,127 $ 92,380 $ 70,207 
Net income per share .......... $4.69 $6.88 $6.60 $4.65 $3.53 
Dividends paid ................... $23,857 $20,875 $14,911 $13,916 $11,928 
Dividends paid per share . . . . . .. $1.20 $1.05 $.75 $.70 $.60 
*Has been reduced by interest 
capitalized of ................. $10,790 $6,717 $4,794 $2,922 $3,247 
Other Financial and Statistical Data 
1980 1979 1978 1977 1976 
Long-term debt .................. . $ 147,901 $ 125,483 $ 167,331 $ 237,497, $ 350,968 
Stockholder equity ............... . $ 921,969 $ 852,668 $ 736,799 $ 620,583 $ 542,112 
Stockholder equity per share ....... . $46.38 $42.89 $37.06 $31.22 $27.27 
Shares of common stock outstanding . 19,880,577 19,880,577 19,880,577 19,880,577 19,880,577 
Revenue passengers enplaned ...... . 39,713,904 39,360,368 33,007,670 28,811,966 27,996,665 
Available seat miles (000) .......... . 43,217,372 39,826,891 35,135,046 32,614,260 30,389,761 
Revenue passenger miles (000) ...... . 26,171,197 25,518,520 20,825,722 18,042,339 17,621,247 
Passenger load factor ............. . 60.56% 64.07% 59.27% 55.32% 57.98% 
Breakevenloadfactor ............ . 58:51% 58.02% 52.74% 50.36% 53.14% 
Available ton miles (000) .......... . 5,748,143 5,357,995 4,743,778 4,478,038 4,145,183 
Revenue ton miles ( 000) ........... . 2,934,375 2,916,585 2,426,265 2,113,798 2,034,848 
Passenger revenue per 
passenger mile . . . . . . . . . . . . .... 10.45 8.67<1: 8. 94<t 8.73<1: 7.98 
Operating expenses per 
available seat mile ............ . 6.63 5.57<1: 5.25<t 4.84 4.64 
Operating expenses per 
available ton mile ............ . 49.83 41.41<1: 38.91 35.25<1: 34.05 
26 
 Board of Directors 
R. W. ALLEN 
KARL D. BAYS 
W. T. BEEBE 
B. W. BIEDENHARN 
R. W. COURTS 
C. H. DOLSON 
R. W. FREEMAN 
DAVID C. GARRETT, JR. 
EDWARD H. GERRY 
JESSE HILL, JR . 
JOHN R. LONGMIRE 
R. S. MAURER 
BILL MICHAELS 
T. M. MILLER 
ROBERT OPPENLANDER 
CARLETON PUTNAM 
Senior Vice President- Administration & 
Personnel 
Chairman of the Board and Chief 
Executive Officer, American Hospital 
Supply Corporation, Evanston, 1/linois 
Chairman of the Board 
Chairman of the Board and Director, 
Ouachita Coca-Cola Bottling Co. , 
Biedenharn Realty Co., Inc., and Ouachita 
Candy Co. , M onroe, Louisiana 
Director and Chairman of the Executive 
Committee, Atlantic Realty Co., Atlanta, 
Georgia 
Chairman of the Executive Committee 
Chairman of the Compensation and 
Finance Committees; Chairman of the 
Board and Director, Louisiana Coca-Cola 
Bottling Co. , Ltd., New Orleans, Louisiana 
President and Chief Executive Officer 
Partner of Gerry Brothers & Co., 
In vestment Management, New York, 
New York 
President, Chief Executive Officer and 
Director, Atlanta Life Insurance Company, 
Atlanta, Georgia 
Partner of investment banking firm of 
I. M. Simon & Co., St.Louis, Missouri 
Vice Chairman of the Board and Secretary 
Chairman of the Audit Committee; 
Chairman of the Board, Chief Executive 
Officer and Director, Storer Broadcasting 
Co. , Miami, Florida 
Retired Senior Vice President- Marketing 
Senior Vice President- Finance 
Private Investments 
GEORGE M. SNELLINGS, JR. M ember of the law firm of Snellings, 
Breard, Sartor, lnabnett & Trascher, 
M onroe, Louisiana 
AUDIT COMMITTEE 
BILL MICHAELS, Chairman 
KARL D. BAYS 
JESSE HILL, JR. 
JOHN R. LONGMIRE 
CARLETON PUTNAM 
COMPENSATION COMMITTEE 
R. W. FREEMAN, Chairman 
W. T. BEEBE 
R. W. COURTS 
T. M. MILLER 
GEORGE M. SNELLINGS, JR. 
COMMITTEE ON DIRECTORS 
W. T. BEEBE, Chairman 
KARL D. BAYS 
R. W. FREEMAN 
DAVID C. GARRETT, JR. 
EDWARD H. GERRY 
GEORGE M. SNELLINGS, JR. 
EXECUTIVE COMMITTEE 
C.H. DOLSON, Chairman 
R. W. ALLEN 
W. T. BEEBE 
B. W. BIEDENHARN 
DAVID C. GARRETT, JR. 
R. S. MAURER 
ROBERT OPPENLANDER 
FINANCE COMMITTEE 
R. W. FREEMAN, Chairman 
W. T. BEEBE 
R. W. COURTS 
EDWARD H. GERRY 
T. M. MILLER 
GEORGE M. SNELLINGS, JR. 
Officers 
EXECUTIVE 
DAVID C. GARRETT, JR. 
R. S. MAURER 
CORPORATE AFFAIRS 
M. E. DULLUM 
ROBERT H. COWART 
C. G. SWEAZEA 
SUSAN Q. DOWNER 
IKE LASSETER 
FINANCE 
ROBERT OPPENLANDER 
W. A. ATCHISON 
J. D. DUNN 
M. 0 . GALLOWAY 
REX A. McCLELLAND 
DICKEY C. LEE 
JULIUS P. GWIN 
LAWSON ROLLINS 
FRANK S. CHEW 
W. ALLEN REED 
AUDLY TOLLER, JR. 
FLIGHT OPERATIONS 
FRANK F. ROX 
C. A. SMITH 
LEGAL 
J. W. CALLISON 
DONM. ADAMS 
ROBERTS . HARKEY 
E. A. THOMPSON 
MARKETING 
J. A. COOPER 
R. L. GIBSON 
R. A. McKINNON 
W. WHITLEY HAWKINS 
HENRY ROSS 
PASSENGER SERVICE 
HOLLIS L. HARRIS 
JEANETTE EASLEY 
E. L. HAMNER 
FOY PHILLIPS 
C. A. THOMPSON 
PERSONNEL 
R. W. ALLEN 
RUSSELL H. HEIL 
JOHN HUME 
R. G. CALDWELL 
H. M. JOHNSON 
EUGENE H. STEWART 
TECHNICAL OPERATIONS 
D. P. HETTERMANN 
JOHN P. DAVIS 
R. LAMAR DURRETT 
C. J. MAY 
J. K. BURNETTE 
A. C. FORD 
W. L. MILLER 
DELTA AIR LINES, INC. 
President & Chief Executive Officer 
Vice Chairman of the Board & Secretary 
Vice President- Government A ffairs 
A ssistant Vice President- Consumer A ffairs 
A ssistant Vice President- Public A ffairs 
A ssistant Secretary 
A ssistant Secretary 
Senior Vice President- Finance 
Vice President- Computer Serv ices 
Vice President- Purchasing 
Vice President- Finance 
Vice President- Properties 
A ssistant Vice President- Internal Auditing 
Comptroller 
A ssistant Comptroller- Revenue A ccounting 
Treasurer 
A ssistant Treasurer- Investment Management 
A ssistant Treasurer- Treasury 
Senior Vice President- Flight O perations 
Vice President- Flight Operations 
Senior Vice President- General Counsel 
A ssistant Vice President- Law 
A ssistant Vice President- Law 
A ssistant Vice President- Economic Research 
Senior Vice President- M arketing 
Vice President- Traffic 
Vice President- Marketing Administration 
A ssistant Vice President- Marketing 
A ssistant Vice President- Marketing Services 
Senior Vice President- Passenger Service 
Vice President- In-Flight Service 
Vice President- Stations Planning 
Vice President- Passenger Service 
Vice President- Stations A dministration 
Senior Vice President- A dm inistration & 
Personnel 
Vice President- Personnel Benefits 
Vice President- Personnel Relations 
A ssistant Vice President- Personnel 
Administration 
A ssistant Vice President- Employment 
A ssistant Vice President- Corpo rate Security 
Sen ior Vice President- Technical Operations 
Vice President- Maintenance 
Vice President- Facilities & Technical 
Operations A dministration 
Vice President- Engineering 
A ssistant Vice President- Quality Control 
A ssistant Vice President- Long Range Planning 
A ssistant Vice President- M ateriel Serv ices 
27 
 DELTA AIR LINES, INC. _ 
Transfer Agent and Registrar 
The Citizens and Southern National Bank 
P. 0. Box 105555 
Atlanta, Georgia 30399 
Auditors 
Arthur Andersen & Co. 
25 Park Place, N.E. 
Atlanta, Georgia 30303 
Annual Meeting 
October 23, 1980, Monroe, Louisiana 
Common Stock 
Listed on the New York Stock Exchange 
Market Prices and Dividends 
Fiscal Yearl980 
Quarter Ended: 
September 30 .. . .. . .. . . . . 
December 31 ..... . . . . .. . . 
March31 .... . . ... ..... . . 
June 30 ...... . ... . 
Fiscal Year 1979 
Quarter Ended : 
Market Price Range of 
Common Stock on 
N ew York Stock Exchange 
High Low 
47 3/s 39 5/s 
43 1/s 36 
40 3/s 33 1/s 
40 3/s 31  
September 30 . . . . . . . . . . . . 58 45 1/s 
December 31 . . . . . . . . . 50 1/s 38 1/s 
March31 . . ...... .... .. . . 45  36  
June30 ... .. .. ... . . . . . . . . 43  37  
Availability of Form 10-K 
Cash 
Dividends 
Paid Per Share 
$.30 
.30 
.30 
.30 
$.25 
.25 
.25 
.30 
The Company will supply, upon written request and without 
charge, a copy of the Company's annual report for the fiscal 
year 1980 on Form 10-K to any person beneficially owning or 
owning of record any of the common stock of the Company on 
September 2, 1980. Requests for the report should be directed 
to R. S. Maurer, Secretary, Delta Air Lines, Inc. , Hartsfield 
Atlanta International Airport, Atlanta, Georgia 30320. 
Notice to the Stockholders of Delta Air Lines, Inc. 
Part 245 of the Economic Regulations of the Civil Aeronautics 
Board provides that: (1) any person who either owns, as of 
December 31st of the year preceding issuance of this annual 
report, or subsequently acquires, beneficially or as trustee, 
more than 5%, in the aggregate, of any class of the capital 
stock or capital of Delta Air Lines, Inc. , shall file with the 
Board a report containing the information required by Section 
245.12 of Subpart 245, on or before April 1, as to the capital 
stock or capital owned as of December 31 of the preceding 
year, and, in the case of the stock subsequently acquired, a 
report under Section 245.13, within 10 days after such acquisi- 
tion, unless such person has otherwise filed with the Board a 
report covering such acquisition or ownership, (2) any bank 
or broker covered by (1), to the extent that it holds shares as 
trustee on the last day of any quarter of a calendar year, shall 
file with the Board, within 30 days after the end of the quarter, 
a report in accordance with the provisions of Section 245.14; 
and (3) any person required to report under this subpart who 
grants a security interest in more than 5% of any class of the 
capital stock or capital of Delta Air Lines, Inc. shall within 
30 days after granting such security interest file with the Board 
a report containing the information required in Section 245.15. 
Any stockholder who believes that he may be required to file 
such a report may obtain further information by writing to 
the Director, Bureau of Operating Rights, Civil Aeronautics 
Board, Washington, D.C. 20428. 
Delta Air Lines, Inc. 
28 
General Offices, Hartsfield Atlanta International Airport 
Atlanta, Georgia 30320