Delta Air Lines annual report 1988

INDX( T = ( 8 0 L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p ,1 +s d3R6 ,1 " . _ D S C _ 0 6 2 0 . x m p L { s { { " . _ D S C _ 6 2 4 . x m p cM p ^ L @8s " . _ D S C _ 0 6 2 6 . x m p iM p ^ L <N7 @'s <N7 <N7 " . _ D S C _ 0 6 2 8 . x m p oM p ^ L `Mys " . _ D S C _ 0 6 3 0 . x m p uM p ^ L P Vs P P " . _ D S C _ 0 6 3 2 . x m p L p Z L p,w X X > D S C _ 0 5 8 0 . J P G L p Z L { p,w V
o ` ?X D S C _ 0 5 8 0 . N E F L p Z L p 1w ] ] D S C _ 0 5 8 1 . J P G L p Z L 1w < < ~ ~ D S C _ 0 5 8 1 . N E F L p Z L "! "6w X X w D S C _ 0 5 8 2 . J P G L p Z L n, 0S6w ~ !~ D S C _ 0 5 8 2 . N E F L p Z L >6w ` D S C _ 0 5 8 3 . J P G L p Z L 2 >6w ; ; ~ W~ D S C _ 0 5 8 3 . N E F L p Z L K *6w M M " I" D S C _ 0 5 8 4 . J P G L p Z L a *6w k k ] D S C _ 0 5 8 4 . N E F L p Z L v g v v D S C _ 0 5 8 4 . x m p L p Z L 1e 6w e e - - D S C _ 0 5 8 5 . J P G L p Z L 6w ` US D S C _ 0 5 8 5 . N E F L p Z L k 7w { { D S C _ 0 5 8 6 . J P G INDX( = ( 8 9 L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L _ SDw [6 ;e D S C _ 0 5 9 4 . N E F L 9Dw M M D S C _ 0 5 9 5 . J P G M p Z L i 9Dw 6I 6I D S C _ 0 5 9 5 . N E F
M p Z L / Dw H D S C _ 0 5 9 6 . J P G M p Z L Dw | | Y D S C _ 0 5 9 6 . N E F M p Z L =3 }Dw 5 5 D S C _ 0 5 9 7 . J P G M p Z L \ K }Dw AT AT P J D S C _ 0 5 9 7 . N E F M p Z L kb 1N{ kb kb D S C _ 0 5 9 7 . x m p M p Z L Ew 1 1 - F- D S C _ 0 5 9 8 . J P G M p Z L Ew D D o D S C _ 0 5 8 . N E F M p Z L v g v v D S C _ 0 5 9 8 . x m p M p Z L "Ew g g / */ D S C _ 0 5 9 9 . J P G L h R L j ` Yj Yj 0 " D S _ S T O ~ 1 M p Z L
`s

" _ D 8 4 9 6 ~ 1 . X M P L p Z L ~ s u~ u~ " _ D S C _ 0 ~ 1 . X M P M p Z L M s M M " _ D S C _ 0 ~ 2 . X M P M p Z L Ws " _ D S C _ 0 ~ 3 . X M P M p Z L 4rl @ ys 4rl 4rl " _ D S C _ 0 ~ 4 . X M P L h X L -nr
s !r !r " _ F D E 1 ~ 1 . D S _ INDX( = ( 8 ~ L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L ` GGw [6 {j P ,L D S C _ 0 6 0 1 . N E F L M 2Gw < < # R # D S C _ 0 6 0 2 . J P G M p Z L : 2Gw 9 9 D S C _ 0 6 0 2 . N E F M p Z L J YGw & & D S C _ 0 6 0 3 . J P G !M p Z L i Gw &G &G D S C _ 0 6 0 3 . N E F "M p Z L C2 1N{ C2 C2 D S C _ 0 6 0 3 . x m p $M p Z L 6 OGw Oj Oj ' #' D S C _ 0 6 0 4 . J P G %M p Z L OGw /g$ /g$ D S C _ 0 6 0 4 . N E F &M p Z L = 5 Gw sx7 sx7 # o# D S C _ 0 6 0 5 . J P G L h R L j ` Yj Yj 0 " D S _ S T O 1 #M p Z L X s X X " _ D 2 A E 5 ~ 1 . X M P M p Z L
`s

" _ D 8 4 9 6 ~ 1 . X M P M p Z L *{ 9s *{ *{ " _ D 8 F 7 D ~ 1 . X M P M p Z L , xbs , , " _ D D 9 C A ~ 1 . X M P L p Z L ~ s u~ u~ " _ D S C _ 0 ~ 1 . X M P M p Z L M s M M " _ D S C _ 0 ~ 2 . X M P M p Z L Ws " _ D S C _ 0 ~ 3 . X M P M p Z L 4rl @ ys 4rl 4rl " _ D S C _ 0 ~ 4 . X M P L h X L -nr
s !r !r " _ F D E 1 ~ 1 . D S _ INDX( = ( 8 M L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L Z MJw #^6 j f D S C _ 0 6 0 8 . N E F L j g:dJw 6 k6 D S C _ 0 6 0 9 . J P G 5M p Z L @ g:dJw g g ` ^ D S C _ 0 6 0 9 . N E F 6M p Z L 6 |Jw N" N" P/ 1C/ D S C _ 0 6 1 0 . J P G 7M p Z L D6M |Jw V V @ $; D S C _ 0 6 1 0 . N E F 8M p Z L wYs Jw x x 5 5 D S C _ 0 6 1 1 . J P G L h R L j ` Yj Yj 0 " D S _ S T O ~ 1 #M p Z L X s X X " _ D 2 A E 5 ~ 1 . X M P )M p Z L {p @s {p {p " _ D 5 4 B 1 ~ 1 . X M P 3M p Z L r @"s r r " _ D 7 A C B ~ 1 . X P M p Z L
`s

" _ D 8 4 9 6 ~ 1 . X M P M p Z L *{ 9s *{ *{ " _ D 8 F 7 D ~ 1 . X M P M p Z L , xbs , , " _ D D 9 C A ~ 1 . X M P /M p Z L `s " _ D F E 1 A ~ 1 . X M P L p Z L ~ s u~ u~ " _ D S C _ 0 ~ 1 . X M P M p Z L M s M M " _ D S C _ 0 ~ 2 . X M P M p Z L Ws " _ D S C _ 0 ~ 3 . X M P M p Z L 4rl @ ys 4rl 4rl " _ D S C _ 0 ~ 4 . X M P L h X L -nr
s !r !r " _ F D E 1 ~ 1 . D S _ INDX( = ( 8 M L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L AaMw `6 w ! w! D S C _ 0 6 1 6 . J P G L pP |iMw pP pP D S C _ 0 6 1 7 . J P G IM p Z L e |iMw vmo vmo x D S C _ 0 6 1 7 . N E F JM p Z L ymMw C C ! 8 D S C _ 0 6 1 8 . J P G L h R L j ` Yj Yj 0 " D S _ S T O ~ 1 CM p Z L `s " _ D 0 C 2 A ~ 1 . X M P #M p Z L X s X X " _ D 2 A E 5 ~ 1 . X M P )M p Z L {p @s {p {p " _ D 5 4 B 1 ~ 1 . X M P 3M p Z L r @"s r r " _ D 7 A C B ~ 1 . X M P M p Z L
`s

" _ D 8 4 9 6 ~ 1 . X P M p Z L *{ 9s *{ *{ " _ D 8 F 7 D ~ 1 . X M P M p Z L , xbs , , " _ D D 9 C A ~ 1 . X M P ?M p Z L n o Jrs n o n o " _ D E 0 C 1 ~ 1 . X M P /M p Z L `s " _ D F E 1 A ~ 1 . X M P L p Z L ~ s u~ u~ " _ D S C _ 0 ~ 1 . X M P M p Z L M s M M " _ D S C _ 0 ~ 2 . X M P M p Z L Ws " _ D S C _ 0 ~ 3 . X M P M p Z L 4rl @ ys 4rl 4rl " _ D S C _ 0 ~ 4 . X M P L h X L -nr
s !r !r " _ F D E 1 ~ 1 . D S _ INDX( c = ( @ C ~ p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F p w cYx6 9 D S C _ 0 7 1 9 . N E F `Aw z6 \F @ 9 D S C _ 0 7 2 8 . N E F k ls #V6 " _ D 5 6 9 D 1 . X M P n MVs #V6 " _ D 5 7 2 8 ~ 1 . X M P " s #V6 zI " _ D B B 2 5 ~ 1 . X M P " s #V6 zI " _ D B B 2 5 ~ 1 . X M P " s #V6 zI " _ D B B 2 5 ~ 1 . X M P INDX( } = ( 8 M L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L j}Mw }b6 O `& ^& D S C _ 0 6 2 4 . J P G L z 1N{ z z D S C _ 0 6 2 4 . x m p L h R L j ` Yj Yj 0 " D S _ S T O ~ 1 CM p Z L `s " _ D 0 C 2 A ~ 1 . X M P #M p Z L X s X X " _ D 2 A E 5 ~ 1 . X M P )M p Z L {p @s {p {p " _ D 5 4 B 1 ~ 1 . X M P 3M p Z L r @"s r r " _ D 7 A C B ~ 1 . X M P M p Z L
`s

" _ D 8 4 9 6 ~ 1 . X M P M p Z L *{ 9s *{ *{ " _ D 8 F 7 D ~ 1 . X M P SM p Z L ,1 +s ,1 ,1 " _ D B C 4 F ~ 1 . X P MM p Z L Q @cs Q Q " _ D C 6 5 9 ~ 1 . X M P M p Z L , xbs , , " _ D D 9 C A ~ 1 . X M P ?M p Z L n o Jrs n o n o " _ D E 0 C 1 ~ 1 . X M P /M p Z L `s " _ D F E 1 A ~ 1 . X M P L p Z L ~ s u~ u~ " _ D S C _ 0 ~ 1 . X M P M p Z L M s M M " _ D S C _ 0 ~ 2 . X M P M p Z L Ws " _ D S C _ 0 ~ 3 . X M P M p Z L 4rl @ ys 4rl 4rl " _ D S C _ 0 ~ 4 . X M P L h X L -nr
s !r !r " _ F D E 1 ~ 1 . D S _ INDX( = ( 8 3 L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L ' &Nw }b6 P' F' D S C _ 0 6 3 1 . J P G L } tNw @+ 9+ D S C _ 0 6 3 2 . J P G sM p Z L 3 tNw @ = @ = P D D S C _ 0 6 3 2 . N E F tM p Z L AH 1N{ AH AH D S C _ 0 6 3 2 . x m p vM p Z L 1` Ow +c +c ' ' D S C _ 0 6 3 3 . J P G wM p Z L x Ow a( a( D S C _ 0 6 3 3 . N E F xM p Z L g D S C _ 0 6 3 3 . x m p zM p Z L LROw K K 0! Q(! D S C _ 0 6 3 4 . J P G {M p Z L 1 LROw n3 n3 ` 3R D S C _ 0 6 3 4 . N E F |M p Z L /E Ow % % P& H& D S C _ 0 6 5 . J P G }M p Z L X Ow h h # D S C _ 0 6 3 5 . N E F ~M p Z L $> Ow C C `% W% D S C _ 0 6 3 6 . J P G M p Z L / Ow 8 8 P C D S C _ 0 6 3 6 . N E F M p Z L Y 1N{ Y Y D S C _ 0 6 3 6 . x m p M p Z L } 5xQw `2 Z2 D S C _ 0 6 3 7 . J P G M p Z L 5xQw } } y D S C _ 0 6 3 7 . N E F M p Z L C `g D S C _ 0 6 3 7 . x m p L h R L j ` Yj Yj 0 " D S _ S T O ~ 1 L -nr
s !r !r " _ F D E 1 ~ 1 . D S _ INDX( = ( 8 ~ L } ws #V6 } " _ D 4 E 1 4 ~ 1 . X M P L } ws #V6 } " _ D 4 E 1 4 ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L } ws #V6 } " _ D 4 E 1 4 ~ 1 . X M P L } ws #V6 } " _ D 4 E 1 4 ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L k ls #V6 " _ D 5 6 9 D ~ 1 . X M P L <N7 @'s <N7 <N7 " _ D 6 D B 5 ~ 1 . X M P M p Z L 3g s Zg Zg " _ D 7 5 C 8 ~ 1 . X M P [N p Z L # `0s $ $ " _ D 7 8 E 9 ~ 1 . X M P M p Z L `* s " _ D 7 A 7 0 ~ 1 . X M P 3M p Z L r @"s r r " _ D 7 A C B ~ 1 . X M P M p Z L
`s

" _ D 8 4 9 6 1 . X M P M p Z L L Gs L L " _ D 8 6 2 D ~ 1 . X M P M p Z L *{ 9s *{ *{ " _ D 8 F 7 D ~ 1 . X M P =N p Z L V `s V V " _ D 9 2 C D ~ 1 . X M P M p Z L s " _ D 9 6 8 0 ~ 1 . X M P M p Z L ; @{s ; ; " _ D A 3 4 B ~ 1 . X M P M p Z L = @fs + " _ D B 4 A F ~ 1 . X M P M p Z L B Ts B B " _ D B 7 4 2 ~ 1 . X M P M p Z L %e cs _e _e " _ D B 9 9 E ~ 1 . X M P INDX( e = ( 8 8 L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L dos T6 " . _ D S C _ 0 6 5 6 . x m p L = @fs + " . _ D S C _ 0 6 6 1 . x m p M p ^ L r 7Os # " . _ D S C _ 0 6 6 5 . x m p M p ^ L 3g s Zg Zg " . _ D S C _ 0 6 6 6 . x m p L p Z L p,w X X > D S C _ 0 5 8 0 . J P G L p Z L { p,w V
o ` ?X D S C _ 0 5 8 0 . N E F L p Z L p 1w ] ] D S C _ 0 5 8 1 . J P G L p Z L 1w < < ~ ~ D S C _ 0 5 8 1 . N E F L p Z L "! "6w X X w D S C _ 0 5 8 2 . J P G L p Z L n, 0S6w ~ !~ D S C _ 0 5 2 . N E F L p Z L >6w ` D S C _ 0 5 8 3 . J P G L p Z L 2 >6w ; ; ~ W~ D S C _ 0 5 8 3 . N E F L p Z L K *6w M M " I" D S C _ 0 5 8 4 . J P G L p Z L a *6w k k ] D S C _ 0 5 8 4 . N E F L p Z L v g v v D S C _ 0 5 8 4 . x m p L p Z L 1e 6w e e - - D S C _ 0 5 8 5 . J P G L p Z L 6w ` US D S C _ 0 5 8 5 . N E F L p Z L k 7w { { D S C _ 0 5 8 6 . J P G INDX( ! =
( 8 4 L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L nQw iFe6 O 6 5 D S C _ 0 6 3 8 . J P G L cQw {5 {5 / !q/ D S C _ 0 6 3 9 . J P G M p Z L E# cQw 0- 0- 0 ;- D S C _ 0 6 3 9 . N E F M p Z L ~; 1N{ ~; ~; D S C _ 0 6 3 9 . x m p M p Z L ,U ^ Qw b X b X 0/ \#/ D S C _ 0 6 4 0 . J P G M p Z L 4m ^ Qw w w D S C _ 0 6 4 0 . N E F M p Z L F -2Rw q& q& /} D S C _ 0 6 4 1 . J P G M p Z L ? -2Rw @$ @$ y D S C _ 0 6 4 1 . N E F M p Z L > C `g > > D S C _ 0 6 4 1 . x m p M p Z L ZHRw ! ! D S C _ 0 6 2 . J P G M p Z L W ZHRw B B D S C _ 0 6 4 2 . N E F M p Z L MRw z z $ $ D S C _ 0 6 4 3 . J P G M p Z L MRw j( j( D S C _ 0 6 4 3 . N E F M p Z L 24 1N{ 24 24 D S C _ 0 6 4 3 . x m p M p Z L T 8 cRw TY TY p |i D S C _ 0 6 4 4 . J P G M p Z L u 8 cRw D S C _ 0 6 4 4 . N E F M p Z L BRw q q $ $ D S C _ 0 6 4 5 . J P G L h R L j ` Yj Yj 0 " D S _ S T O ~ 1 INDX( j& = ( 8 4 L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw g6 3 D S C _ 0 6 4 5 . N E F L BRw 0* 2.* D S C _ 0 6 4 6 . J P G M p Z L ^ BRw $< $< [ D S C _ 0 6 4 6 . N E F M p Z L }KRw W W p( vl( D S C _ 0 6 4 7 . J P G M p Z L x.4 }KRw > > p f D S C _ 0 6 4 7 . N E F M p Z L )\K 1N{ L L D S C _ 0 6 4 7 . x m p M p Z L d H1Sw f f @! 1! D S C _ 0 6 4 8 . J P G M p Z L y H1Sw @ 6 D S C _ 0 6 4 8 . N E F M p Z L 48 C `g 48 48 D S C _ 0 6 4 8 . x m p M p Z L n FSw D S C _ 0 6 9 . J P G M p Z L FSw $ $ D S C _ 0 6 4 9 . N E F M p Z L 9? KSw e e " " D S C _ 0 6 5 0 . J P G M p Z L $ KSw K K P lO D S C _ 0 6 5 0 . N E F M p Z L n 2\Sw # # D S C _ 0 6 5 1 . J P G M p Z L # 2\Sw Ek- Ek- | D S C _ 0 6 5 1 . N E F M p Z L DV9 1N{ DV9 DV9 D S C _ 0 6 5 1 . x m p M p Z L S Sw U U p4 o4 D S C _ 0 6 5 2 . J P G L h R L j ` Yj Yj 0 " D S _ S T O ~ 1 INDX( 5 = ( 8 5 L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L m Sw g6 y D S C _ 0 6 5 2 . N E F L uSw H H 3 3 D S C _ 0 6 5 3 . J P G M p Z L uSw D S C _ 0 6 5 3 . N E F M p Z L - Sw 01 '1 D S C _ 0 6 5 4 . J P G M p Z L 8:Sw P N D S C _ 0 6 5 4 . N E F M p Z L 1N{ D S C _ 0 6 5 4 . x m p M p Z L Z Sw m! m! . - D S C _ 0 6 5 5 . J P G M p Z L t7 0Sw }_C }_C D S C _ 0 6 5 5 . N E F M p Z L T Sw oV oV ! ! D S C _ 0 6 5 6 . J P G M p Z L ]i Sw !
s !
s D S C _ 0 6 6 . N E F M p Z L C `g D S C _ 0 6 5 6 . x m p M p Z L r< @Sw J J # # D S C _ 0 6 5 7 . J P G M p Z L @Sw j j = D S C _ 0 6 5 7 . N E F M p Z L Sw # # D S C _ 0 6 5 8 . J P G M p Z L Sw Z Z 0 # D S C _ 0 6 5 8 . N E F M p Z L uSw 5 5 , D S C _ 0 6 5 9 . J P G M p Z L uSw |, |, 0 c% D S C _ 0 6 5 9 . N E F L h R L j ` Yj Yj 0 " D S _ S T O ~ 1 INDX( 6E = ( 8 6 L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L RD Tw ) j6 F ! ! D S C _ 0 6 6 0 . J P G L av 1N{ av av D S C _ 0 6 6 0 . x m p M p Z L wTw ! ! & !& D S C _ 0 6 6 1 . J P G M p Z L } wTw \ \ 0 .% D S C _ 0 6 6 1 . N E F M p Z L Wh C `g D S C _ 0 6 6 1 . x m p M p Z L " jTw ) ) D S C _ 0 6 6 2 . J P G M p Z L ( jTw Zb4 Zb4 ~ D S C _ 0 6 6 2 . N E F M p Z L aJ Tw L L / / D S C _ 0 6 6 3 . J P G M p Z L e .Tw o o F D S C _ 0 6 6 3 . N E F M p Z L | $Tw * * D S C _ 0 6 4 . J P G M p Z L $Tw {r {r D S C _ 0 6 6 4 . N E F M p Z L . ]Tw gE gE @* 2* D S C _ 0 6 6 5 . J P G M p Z L # ]Tw D: 4 o D S C _ 0 6 6 5 . N E F M p Z L 1N{ D S C _ 0 6 6 5 . x m p M p Z L N# FTw Pp% Pp% P& 'L& D S C _ 0 6 6 6 . J P G M p Z L x: FTw D D ` D S C _ 0 6 6 6 . N E F M p Z L ,J_ C `g _ _ D S C _ 0 6 6 6 . x m p L h R L j ` Yj Yj 0 " D S _ S T O ~ 1 INDX( u = ( 8 L Q! `s #V6 @H " _ D F C 6 E ~ 1 . X M P L Q! `s #V6 @H " _ D F C 6 E ~ 1 . X M P L Q! `s #V6 @H " _ D F C 6 E ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L t ] s T6 u " _ D F E 6 F ~ 1 . X M P L 4rl @ ys d3R6 4rl " _ D S C _ 0 ~ 4 . X M P L 4rl @ ys d3R6 4rl " _ D S C _ 0 ~ 4 . X M P L 4rl @ ys d3R6 4rl " _ D S C _ 0 ~ 4 . X M P L 4rl @ ys d3R6 4rl " _ D S C _ 0 ~ 4 . X M P L -nr
s d3R6 !r " _ F D E 1 ~ 1 . D S _ INDX( T = ( 8 7 L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L y bTw ml6 7#{ D S C _ 0 6 6 7 . J P G L Tw 0 0 P' EJ' D S C _ 0 6 6 8 . J P G M p Z L Tw $ $ p e D S C _ 0 6 6 8 . N E F M p Z L $ Tw < < `5 W5 D S C _ 0 6 6 9 . J P G M p Z L c~ Tw w w p a D S C _ 0 6 6 9 . N E F M p Z L 1N{ D S C _ 0 6 6 9 . x m p M p Z L 0 ; Uw #3 #3 ( ( D S C _ 0 6 7 0 . J P G M p Z L eI ; Uw JR b|R ` ~X D S C _ 0 6 7 0 . N E F M p Z L D_ C `g k_ k_ D S C _ 0 6 7 0 . x m p M p Z L aBx H$Uw z z , 0 , D S C _ 0 6 1 . J P G M p Z L H$Uw 8 8 p n D S C _ 0 6 7 1 . N E F M p Z L IL V+Uw ) ( D S C _ 0 6 7 2 . J P G M p Z L . V+Uw ` &W D S C _ 0 6 7 2 . N E F M p Z L
0Uw 7 7 @$ 6$ D S C _ 0 6 7 3 . J P G M p Z L S
0Uw D S C _ 0 6 7 3 . N E F M p Z L * k;Uw *- *- p( p( D S C _ 0 6 7 4 . J P G M p Z L J k;Uw T T D S C _ 0 6 7 4 . N E F L h R L j ` Yj Yj 0 " D S _ S T O ~ 1 into Delta.
Statement of Cash Flows-As of June 30, 1988, the
Company adopted Statement of Financial Accounting Standards
No. 95, "Statement of Cash Flows;' which requires the presenta-
tion of a statement of cash flows instead of a statement of changes
in financial position. The Company's consolidated statements of
changes in financial position for fiscal years 1987 and 1986 have
been restated to conform with the current presentation. For the
purpose of the statement of cash flows, the Company considers
all highly liquid investments with a maturity of three months or
less to be cash equivalents.
Passenger Revenue-Passenger ticket sales are recorded
as revenue when the transportation is provided. The value of
unused tickets is included in current liabilities.
Depreciation and Amortization-Prior to July 1, 1986,
substantially all of the Company's flight equipment was being
depreciated on a straight-line basis to residual values ( 10% of
cost) over a 10-year period from dates placed in service. As a
result of a comprehensive review of its fleet plan, effective July 1,
1986, the Company increased the estimated useful lives of sub-
stantially all of its flight equipment. Flight equipment that was
not already fully depreciated is now depreciated on a straight-
line basis to residual values (10% of cost) over a 15-year period
from dates placed in service. The effect of this change was a
$130 million decrease in depreciation expense, and a $69 million
($1.54 per share) increase in net income, for the year ended
June 30, 1987. Ground property and equipment are depreciated
on a straight-line basis over their estimated service lives, which
range from three to 30 years.
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.
Income Taxes- Income taxes are provided by applying the
applicable statutory tax rates to book income before income taxes,
adjusted for permanent differences between book and tax income.
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 over seven years. ( See Note 8.)
&rnings Per Share- Net income per common share is
computed based on the weighted average number of shares out-
standing during the year, which was 48,706,851 for fiscal 1988;
44,712,993 for fiscal 1987 and 40,097,115 for fiscal 1986.
Manufacturers Credits-In connection with the acquisition
of certain aircraft and engines, the Company receives various
introductory credits. These credits are deferred until the aircraft
and engines are delivered, at which time they are applied on a
pro rata basis as a reduction of the acquisition costs resulting in
reduced future depreciation expense.
Deferred Gain on Sale and Leaseback Transactions-Gains
on the sale and leaseback of property and equipment are deferred
and amortized over the life of the leases as a reduction in
rent expense.
2. Merger with Western Air Lines, Inc.:
On December 18, 1986, Delta purchased all 61,331,334
outstanding shares of Western Air Lines, Inc. for $786,639,000,
which consisted of the issuance of 8,265,290 shares of Delta
common stock, valued at $48.75 per share, and $383,706,000
in cash. The acquisition was recorded using the purchase method
of accounting and, accordingly, the purchase price was allocated
to the assets and liabilities acquired based 0n their estimated fair
value at the date of acquisition. The total cost of the acquisition
17
DELTA AIR LINES, INC.
exceeded the estimated fair value of the underlying net assets of
Western at the date of acquisition by $413,737,000. This amount
was subsequently reduced by $36,452,000 in fiscal 1987 and by
an additional $42,768,000 in fiscal 1988 to reflect the utilization
of pre-acquisition tax carryovers ( see Note 8 ). The remaining
cost in excess of net assets acquired is being amortized over 40
years. The consolidated financial statements of the Company for
the year ended June 30, 1987, include the results of operations for
Western after December 18, 1986. Western was operated as a
wholly-owned subsidiary from December 19, 1986, until April 1,
1987, when Western was merged into Delta.
The following table presents selected financial data on a pro
forma basis assuming the acquisition of Western had occurred as
of the beginning of fiscal year 1986. The proforma data are based
on certain assumptions and do not give effect to any potential
synergies that might have been realized through the consolida-
tion of operations of the two companies. Accordingly, the pro
forma combined results presented are not necessarily indicative
of actual results that would have been achieved had the acquisition
occurred at the beginning of the periods presented.
Years Ended June 30,
1987 1986
(Unaudited)
Operating revenues ( 000) .. .. . .. ... $5,914,529 $5,695,918
Net income ( 000) . .. ... . . .. . ... . . 245,976 15,228
Net income per share . . .... . ... ... . 5.06 0.31
3. Aircraft Purchase and Sale Commitments:
At June 30, 1988, the status of the Company's current fleet
and aircraft purchase commitments was as follows:
Aircraft Current Fleet
Type Owned Leased Total Orders Options
B-727-200 ... . . . 108 23 131
B-737-200 . . .. .. 1 60 61
B-737-300 ... .. . 13 13
B-757-200 .. .. .. 15 23 38 22 20
B-767-200 ... . . . 15 15
B-767-300 . . .. . . 15 15 1 11
DC-8-71 ........ 7 7
DC-9-32 . .. . .. . 31 5 36
DC-10-10 .. . . . .. 3 3 6
L-1011-1 . . ...... 22 22
L-1011-200 . ... . . 1 1
L-1011-250 .... .. 6 6
L-1011-500 ... .. . 10 10
MD-82 ... .. ... 6 6
MD-88 .. . ..... 16 16 31 57
- - - - - -
212 171 383 54 88
At June 30, 1988, Delta had outstanding commitments to
sell three DC-10-10 aircraft.
At June 30, 1988, future expenditures for the aircraft and
engine commitments, excluding option aircraft, were estimated
to be $785 million in fiscal 1989 and $493 million in fiscal 1990.
The Company presently expects to finance these commitments
using internally generated funds, leasing arrangements, or other
outside financing arrangements.
18
4. Long-Term Debt:
At June 30, 1988 and 1987, the Company's long-term debt
(including current maturities) was as follows:
8 % Notes, unsecured, due
May 15, 1996 . ...... .. . . . ..... . . .
9% Debentures, unsecured, due
May 15, 2016 .. . ..... . . ......... .
11.35% Notes, unsecured, due April 1,
1993, redeemable at the Company's
option on or after April 1, 1990 . .. ... .
9 % Extendable Notes, unsecured ..... .
Western Air Lines, Inc. Senior Secured
Trust Notes ( 9% effective rate, 10 %
coupon rate on $76.1 million face
amount outstanding) . ....... . . . .. .
Development Authority of Clayton County,
11 % unsecured loan agreement . .. ... .
Adjustable Tender Clayton County
Development Authority Note,
unsecured, at various interest rate
options, due 2020 ......... . . . .. . .
Western Air Lines, Inc. Senior Notes
(9% effective rate, 14% coupon
rate on $30 million face amount
outstanding) . . ........ .. .. ..... . .
Development Authority of Clayton County,
6Ys% unsecured loan agreement,
repayable in installments beginning
in 2000, with the remaining balance
payable in 2011 . .... . . . . . . . . . .... .
Development Authority of Fulton County,
unsecured loan agreement, repayable in
installments beginning in 1991, and
continuing through 2012. Interest
ranges from 9Y
s% to 11 % over the
life of the loan ....... .. . . . ..... . .
9.55% Western Air Lines, Inc. Equipment
Trust Certificates, secured by certain
flight equipment and repayable in semi-
annual installments through May 1, 1993
($3,382,000 payable in fiscal 1989) ...
9.25% Western Air Lines, Inc. Conditional
Sales Agreement, repayable in Japanese
Yen in semi-annual installments through
May 1, 1994 ($2,109,000 payable
in fiscal 1989)-
At original exchange rates . ... .. .. .
Unrealized loss on-
Current maturities . . ... ...... .
Long-term portion . . ... ... .. . . .
At current exchange rates . . . .... . .
Unamortized discount on debt ....... . .
Total ......... .. .... . .... .
Less-Current maturities ..... . ... .. . .
1988 1987
(In Thousands)
$150,000 $150,000
150,000
125,000
44,900
35,000
33,000
16,908
9,235
896
5,927
16,058
(2,246)
568,620
5,491
150,000
125,000
120,000
82,470
48,000
43,119
35,000
39,000
40,192
10,343
599
4,991
15,933
(3,107)
845,607
8,406
Total long-term debt . . . . . . . . . $563,129 $837,201
DELTA AIR LINES, INC.
Western's 10 % Senior Secured Trust Notes and the
14% Senior Notes were revalued to reflect market interest rates
and Delta's credit rating at December 18, 1986, the date of
Delta's acquisition of Western.
The Company's 1984 Bank Credit Agreement provides for
unsecured borrowings of up to $1 billion at various interest rate
options. No borrowings were outstanding under this agreement
at June 30, 1987, or at any time during fiscal 1988.
On November 2, 1987, the Company voluntarily prepaid
$6,000,000 of the Notes due under the Development Authority
of Fulton County loan agreement.
On January 20, 1988, the Development Authority of
Clayton County (Georgia) issued $44,900,000 Special Facilities
Adjustable Tender Revenue Refunding Bonds, Series 1988
(Delta Air Lines, Inc. Project). The proceeds from the sale of the
Refunding Bonds and unexpended proceeds from the Series 1982
Bonds were used to prepay the 11 % Clayton County Development
Authority Note, due 2012. A new note in the amount of
$44,900,000, due 2020, was executed by the Company on
January 20, 1988.
On April 1, 1988, $29,459,000 principal amount of the
14 % Senior Notes was converted into an equivalent principal
amount of Western Air Lines, Inc. 9% Convertible Subordi-
nated Debentures due April 1, 1998, and the remaining 14%
Senior Notes were repaid at 100% of their principal amount. On
or prior to June 22, 1988, $29,151,000 principal amount of
the Debentures was converted into 436,891 shares of Delta
common stock and $20,246,000 in cash; and on June 27, 1988,
$308,000 of the Debentures were redeemed at 100% of their
principal amount.
On April 28 and May 16, 1988, the 9.55% Equipment
Trust Certificates were partially redeemed in the amounts of
$9,524,000 and $7,928,000, respectively, in connection with
the sale of McDonnell Douglas DC-10-10 aircraft.
On May 15, 1988, the Company redeemed the 9% Extend-
able Notes at 100% of their principal amount.
On June 15, 1988, the Company redeemed the Western Air
Lines, Inc. 10 % Senior Secured Trust Notes at 100% of their
principal amount.
At June 30, 1988, the annual maturities of long-term debt
for the next five fiscal years were as follows:
Amount
(In Thousands)
1989 . . . . . . . . . . . . . . . . . . . . . $ 5,491
1990 ...... ... . . . . . . . . . . . . 5,692
1991 . . . . . . . . . . . . . . . . . . . . . 5,910
1992 . . . . . . . . . . . . . . . . . . . . . 9,249
1993 . . . . . . . . . . . . . . . . . . . . . 134,811
The Company's debt agreements include limitations on
additional indebtedness and other obligations. There are no
restrictions in the agreements as to the payment of cash dividends.
Cash payments of interest totaled $99,255,000 in 1988,
$87,179,000 in 1987 and $98,388,000 in 1986.
5. Lease Obligations:
The Company leases certain aircraft, airport terminal and
maintenance facilities, ticket offices, and other property and
equipment under agreements with terms of more than one year.
Rent expense is generally recorded on a straight-line basis over
the lease term. Amounts charged to rental expense for operating
leases were $435,295,000 in 1988, $296,126,000 in 1987 and
$178,296,000 in 1986. Accrued rent of $154,158,000 at
June 30, 1988, and $83,730,000 at June 30, 1987, is included in
accounts payable and miscellaneous accrued liabilities in the
accompanying balance sheets.
At June 30, 1988, 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:
Years Ending
June 30
Capital
Leases
orerating
eases
(In Thousands)
1989 .. . ....... . ......... . .... . $ 30,017 $ 434,000
1990 ....... .. .. .. ........ . ... . 30,027 477,000
1991 . ....... . . . ... . ........ . . . 30,049 462,000
1992 . .. .. ... .. ... . . .......... . 22,117 452,000
1993 . ..... .. . .. ....... . ... . .. . 19,271 446,000
After 1993 ....... ....... 141,071 6,575,000
Total minimum lease payments : . . 272,552 $8,846,000
Less- amounts representing interest . .
Present value of future minimum
capital lease payments .... . ..... .
Less-current obligations under
capital leases ...... . .. . . .. . . .. .
Long-term capital lease
obligations ............. .. .... . $
91,395
181,157
14,793
166,364
The Company has negotiated noncancelable sublease agree-
ments at certain of its airport terminal facilities. At June 30,
1988, the Company expected to receive rentals under these
agreements as follows:
Years Ending
June 30
1989 . . . ... . ... . ... . . . .... .
1990 ... . . ... .. . .. .. . . ... . .
1991 . .. . . .. . .. .... ... .. .. .
1992 . . . ... .. ..... .. ...... .
1993 . ......... . .......... .
After 1993 . ...... . ....
Total
Amount
(In Thousands)
$ 5,800
5,700
5,500
5,400
5,200
75,500
$103,100
19
DELTA AIR LINES, INC.
6. Short-Term Borrowings:
Interim financing of operations is obtained through the
issuance of commercial paper and the use of short-term notes
payable. The average interest rate and average and maximum
outstanding balances of short-term borrowings during 1988 and
1987 were as follows:
1988 1987
Maximum amount of borrowings
(In Thousands)
outstanding during period . . .. . . . .. . $ 21 ,000 $215,000
Average daily borrowings
during period ...... ... .. . ..... . . 3,191 90,486
Weighted average interest rate
on borrowings during period .. . .. . . . 7.16% 6.53%
7. Stockholders' Equity:
On January 1, 1986, the Company's Stock Option Plan for
selected employees became effective. This plan provides for the
granting of units relating to up to 1,500,000 shares of common
stock. Each unit is generally exercisable between one and five
years from the grant date as either a non-qualified stock option
or a stock appreciation right. The option price ( closing price of
Delta common stock on the grant date) is the price at which a
stock option may be exercised, and the base from which the
appreciation of a stock appreciation right is measured. Units
exercised as stock appreciation rights are payable 60% in cash
and 40% in common stock. Compensation expense on the out-
standing units is recognized based on the increase in the market
price of the Company's common stock since the date of grant.
Transactions under the 1986 Stock Option Plan from
inception through June 30, 1988 were as follows:
Units
Otion
nee
Granted January 1986 . ....... . ..... . 326,000 $41.375
Exercised in fiscal 1986 . . ....... . .. . .
Units outstanding at
June 30, 1986 . ... ..... .... . . . . . . 326,000
Granted January 1987 ... .. ........ . . 338,000 54.750
Exercised in fiscal 1987 .. . ..... . .... . (181 ,500) 41.3 75
Units outstanding at
June 30, 1987 .... .. .. . . . .. .. . . . . 482,500
Granted January 1988 ....... ... . . .. . 504,000 43.250
Exercised in fiscal 1988 ... . .. . .. . .. . . (2,000) 41.375
Units outstanding at
June 30, 1988 . ... .. .. . . . ... ... . . 984,500
All 1986 Stock Option Plan units exercised to date have
been exercised as stock appreciation rights. In fiscal 1988, the
Company issued 241 shares, at $59.25 per share, in connection
with the exercise of these units.
20
At June 30, 1988, 1,316,500 shares of the Company's
common stock were reserved for issuance under the 1986 Stock
Option Plan and 95,768 shares were reserved for warrants
which were issued by Western Airlines in connection with a
revolving credit agreement. Subsequent to the end of the year,
78,862 shares were issued upon the exercise of a portion of
the Western warrants.
Subsequent to the end of the year, the Company adopted
the 1989 Stock Incentive Plan, subject to stockholder approval,
pursuant to which selected employees may be granted awards
of stock options, stock appreciation rights, restricted stock or
other stock-based awards for up to 3,000,000 shares of Delta
common stock. If the 1989 Stock Incentive Plan is approved by
the stockholders, no additional awards will be made under the
1986 Stock Option Plan.
On October 23, 1986, the Board of Directors declared a
dividend of one preferred stock purchase right for each out-
standing share of Delta common stock. Each right will entitle
the holder to purchase 11100th of a newly-issued share of
Series A Junior Participating Preferred Stock for $200. The
rights will be exercisable only if a person or group acquires
beneficial ownership of 20% or more of Delta common stock
or commences a tender or exchange offer that would result in
such person or group beneficially owning 30% or more of Delta
common stock. The rights expire on November 4, 1996. Delta
may generally redeem the rights for $.05 per right at any time
prior to the 15th day following a public announcement that a
20% position has been acquired. If Delta is involved in a merger
or certain other business combinations and the rights are no
longer redeemable, each right will entitle its holder ( other than
certain acquiring persons) to purchase common stock of Delta
or the acquiring company ( depending on which entity survives)
having a value of twice the right's exercise price.
8. Income Taxes:
Income taxes provided (credited) in 1988, 1987 and 1986
consisted of:
1988 1987 1986
(In Thousands)
Current taxes .... .. .. . . .. . $219,266 $ 71,463 $ 50
Deferred taxes . . . . . . . . . . . . . (135,027) 59,432 107,136
Reinstatement (reversal) of
deferred taxes . .... . . .. . . 84,059 86,080 (127,663)
Investment tax credits . . . . . .. 12,553 6,453 25,717
PAYSOP credit . . . . .. .. .. . . (3,713) (7,468)
Income taxes provided
(credited) .. . ... ... .. . ... $180,851 $219,715 $ (2,228)
DELTA AIR LINES, INC.
The tax provisions (credit) for the years ended June 30,
1988, 1987 and 1986 differ from amounts which would result
from applying the federal statutory tax rate to pretax income,
as follows:
Pretax earnings . . ... . ..... .
Compensation expenses not
deductible for tax purposes . .
Non-deductible purchase
accounting adjustments ... .
Other, net . . . . .. .. ...... . .
Adjusted pretax earnings .... .
Statutory rate .. . .. . .... . . .
Income tax provision at
statutory rate .. ......... .
PAYSOP credit . . ......... .
State income taxes, net of
federal income tax benefit . . .
Income taxes provided
1988 1987 1986
(In Thousands)
$455,856 $447,199 $ 3,434
42,830
(1,986)
496,700
x34%
168,878
11,973
3,713
22,044
(769)
472,187
x46%
217,206
(3,713)
6,222
7,468
10,902
x46%
5,015
(7,468)
225
(credited).... . . . . . . . . . . . $180,851 $219,715 $ (2,228)
Until December 31, 1986, subject to certain restrictions,
the Company was allowed a tax credit for contributions made to
its payroll-based stock ownership plan (PAYSOP). The con-
tributions for fiscal 1987 and 1986, which were recorded as
additional compensation expense, were not deductible for in-
come tax purposes and were excluded before computing the
normal provisions for income taxes.
The Company made cash income tax payments of
$83,415,000 in 1988, $21,594,000 in 1987 and $1,763,000
in 1986.
For financial reporting purposes, Delta's tax credit carry-
overs from prior years have been recorded as a reduction of
deferred income taxes. In addition, Western had pre-acquisition
investment tax credit carryovers which are being recorded as a
reduction in the cost in excess of net assets acquired as they are
utilized. During fiscal 1988, Delta recorded $43 million as a
reduction in the cost in excess of net assets acquired to reflect
the utilization of Western pre-acquisition investment tax credits.
After adjustments to reflect amounts included in its fiscal 1987
federal income tax return and the fiscal years 1984 and 1985
Internal Revenue Service audit settlement as well as the antici-
pated utilization of tax credit carryovers in its 1988 federal
income tax return, the Company has no remaining tax credit
carryovers at June 30, 1988.
In December 1987, the Financial Accounting Standards
Board issued a new standard on accounting for income taxes. The
Company is required to adopt the new accounting and disclosure
rules no later than its fiscal year ending June 30, 1990, although
earlier implementation is permitted. Adoption of the new
standard will result in a catch-up adjustment that may be reported
in the year the standard is implemented or in an earlier year if
the Company elects retroactive application.
The Company has not decided when to implement the new
standard, nor has it decided whether to restate prior financial
statements. Because of the complexities of the new accounting
requirements, combined with revisions to the federal tax law and
the 1986 acquisition of Western Air Lines, Inc., the effect that
the change will have on the Company's consolidated financial
position and results of operations has not been determined.
9. Employee Benefit Plans:
All of the Company's permanent employees are covered
under its noncontributory trusteed plans providing for retire-
ment, disability and survivor benefits, and certain employees
meeting service requirements are eligible to participate in a
contributory trusteed savings plan. Effective July 1, 1986, Delta
adopted Statement of Financial Accounting Standards No. 87,
"Employers' Accounting for Pensions;' issued by the Financial
Accounting Standards Board in December 198 5. The effect
of adopting these new reporting standards was a $62 million
reduction in salaries and related expenses and a $ 3 3 million
( 7 3 q: per share) increase in net income in fiscal 19 8 7.
The following table sets forth the defined benefit plans'
funded status and amounts recognized in Delta's consolidated
balance sheets as of June 30, 1988 and 1987:
Actuarial present value of benefit
obligations:
1988 1987
(In Thousands)
Accumulated benefit obligation1
. . $2,117,574
Projected benefit obligation . . . . . $3,065,426
Plan assets at fair val ue2
. .
2,704,773
$1 ,853,364
$2,620,322
2,637,502
Plan assets in excess of ( less than)
projected benefit obligation ..... . .
Unrecognized net loss (gain) .. . .... .
Unrecognized portion of net
obligation from initial application
of SFAS No. 87 .. .. . ... . .. . . .. .
Unrecognized prior service cost . . .. . .
Prepaid pension cost recognized in
(360,653)
368,877
72,707
2,749
17,180
(39,499)
72,955
2,887
the consolidated balance sheets3 . . . . $ ~3,680 $ 53,523
1 Substantially all of the accumulated benefit obligation is vested.
2 Plan assets were invested approximately as follows : cash equivalents ( 17% ),
government and corporate bonds and notes (22%), and common stock and other
equity-oriented investments ( 61 % ).
3 At June 30, 1987, the prepaid pension cost of $53, 523 ,000 was classified as a
current asset and included in the balance sheet category "Prepaid expenses and
other current assets:'
21
DELTA AIR LINES, INC.
An 8.5% weighted average discount rate and a 4.9% rate of
increase in future compensation levels were used in determining
the actuarial present value of the projected benefit obligation.
The expected long-term rate of return on assets was 9%.
The net periodic pension cost of defined benefit plans for
1988 and 1987 included the following components:
Service cost- benefits earned
during the period . . ..... .. .. . .. ... .
Interest cost on projected
benefit obligation ............... . .
Actual return on plan assets . . . . . . . . . . . .
Net amortization and deferral .. .... ... .
Net periodic pension cost ......... .. . .
1988 1987
(In Thousands)
$122,184
230,386
18,146
(249,772)
$120,944
$ 93,505
198,439
(359,541)
157,282
$ 89,685
Total pension expense for all defined benefit plans in fiscal
1986 was $151,394,000.
Prior to the merger with Delta, Western maintained various
defined benefit plans covering substantially all of its employees.
The Company has terminated certain of these plans and is
settling the obligations of the plans through the purchase of
annuities. Benefit accruals under certain other Western plans
have been frozen. The assets of the Western plans, in combi-
nation with accrued pension liabilities recorded at the date of the
Western acquisition, approximately equal the benefit obligations
of the plans.
In addition to providing pension benefits, the Company
provides certain health care and life insurance benefits for sub-
stantially all retired employees. The cost of health care benefits
is recognized as expense as claims are incurred. The cost of life
insurance benefits is expensed as premiums are paid. The total
cost of these post retirement benefits was $13,113,000 in 1988,
$10,695,000 in 1987 and $6,955,000 in 1986.
10. Investments in Associated Companies:
In March 1988, Delta purchased approximately 20% of the
stock of SkyWest, Inc., the parent company of SkyWest Airlines,
for $6 million. In prior fiscal years, the Company made similar
investments in Atlantic Southeast Airlines, Inc. (ASA), and
Comair, Inc. which totaled approximately $55 million. Included
in the carrying amount of the investments in these three Delta
Connection commuter carriers is $28 million, which represents
the amounts by which the costs of the investments exceeded the
values of the underlying net assets when the investments were
made. This amount is being amortized over 30 years. The invest-
ments in SkyWest, ASA and Comair are being accounted for
under the equity method.
22
11. Quarterly Financial Data (Unaudited):
Three Months Ended
Sept. 30 Dec.31 Mar.31 June 30
Fiscal 1988
(In M illions, Except Per Share Amounts)
Operating revenues .. . . .. $1,631.8 $1,699.8 $1,709.2 $1,874.5
Operating income . . ... .. $ 94.3 $ 141.5 $ 93.0 $ 168.3
Net income ........ . .. $ 59.1 $ 88.3 $ 56.1 $ 103.3
Net income per share .. . . $ 1.22 $ 1.82 $ 1.15 $ 2.11
Fiscal 1987
Operating revenues ...... $1,102.1 $1 ,197.0 $1,452.9 $1,566.2
Operating income .. . . . . . $ 91.0 $ 130.0 $ 57.5 $ 126.0
Net income . . . . .. .. ... $ 53.0 $ 125.5 $ 26.4 $ 58.8
Net income per share .... $ 1.32 $ 3.02 $ 0.54 $ 1.21
See Note 2 for information concerning the Company's
acquisition of Western Air Lines, Inc. on December 18, 1986.
12. Contingencies:
The Company is a defendant in certain legal actions re-
lating to environmental problems (primarily noise), alleged
employment discrimination practices, other matters concern-
ing 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 opinion of management, the disposition of these
matters is not likely to have any material adverse effect on the
Company's financial condition.
DELTA AIR LINES, INC.
Independent Auditors' Report
ARTHUR ANDERSEN & Co.
ATLANTA, GE ORG I A .
To the Stockholders and the Board of Directors of
Delta Air Lines, Inc.:
We have audited the accompanying consolidated balance
sheets of DELTA AIR LINES, INC. (a Delaware corporation)
and subsidiaries as of June 30, 1988 and 1987, and the related
consolidated statements of income, stockholders' equity
and cash flows for each of the three years in the period ended
June 30, 1988. These financial statements are the responsi-
bility of the Company's management. Our responsibility is
to express an opinion on these financial statements based
on our audits.
We conducted our audits in accordance with generally
accepted auditing standards. Those standards require that we
plan and perform the audit to obtain reasonable assurance
about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the
financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by
management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide
a reasonable basis for our opinion.
In our opinion, the consolidated financial statements
referred to above present fairly, in all material respects, the
financial position of Delta Air Lines, Inc. and subsidiaries
as of June 30, 1988 and 1987, and the results of their opera-
tions and their cash flows for the periods stated in conformity
with generally accepted accounting principles.
As discussed in Note 9, the Company changed its method
of accounting for pensions in the year ended June 30, 1987.
August 12, 1988
Report of Management
The integrity and objectivity of the information presented
in this Annual Report is the responsibility of Delta man-
agement. The financial statements contained in this report
have been audited by Arthur Andersen & Co., independent
public accountants, whose report appears on this page.
Delta maintains a system of internal financial controls
and a program of internal audits. These controls include the
selection and training of its managers, organizational arrange-
ments that provide a division of responsibilities, and com-
munication programs explaining the Company's policies and
standards. We believe that this system provides reasonable
assurance that transactions are executed in accordance with
management's authorization and are appropriately recorded
to permit preparation of financial statements in conformity
with generally accepted accounting principles and to maintain
accountability of assets.
The Board of Directors pursues its responsibilities for
these financial statements through its Audit Committee,
which consists solely of directors who are neither officers
nor employees of the Company. The Audit Committee meets
periodically with the independent auditors, the internal audi-
tors and representatives of management to discuss internal
accounting control, auditing and financial reporting matters.
~ !U<
THOMAS J. ROECK, JR.
Senior Vice President- Finance and
Chief Financial Officer
RONALD W. ALLEN
Chairman of the Board and
Chief F.xecutive Officer
23
DELTA AIR LINES, INC. DELTA AIR LINES, INC.
Consolidated Summary of Operations For the years ended June 30
(Dollars expressed in thousands, except per share figures)
1988 1987 1986 1985 1984 1983 1982 1981 1980 1979
Operating revenues:
$4,376,986
Passenger ......................................... $6,443,111 $4,921,852 $4,132,284 $3,963,610 $3,347,014 $3,352,173 $3,287,511 $2,733,820 $2,213,024
Cargo .. . ....... . ................................. 349,775 280,271 240,115 235,199 239,649 227,146 230,597 213,431 190,490 167,904
Other, net ............... ..... ... . . .... .. . .. .. . .. .. 122,491 116,049 87,663 71,930 60,472 42,253 34,753 32,384 32,650 46,918
Total operating revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,915,377 5,318,172 4,460,062 4,684,115 4,263,731 3,616,413 3,617,523 3,533,326 2,956,960 2,427,846
Operating expenses .. ..... ...... .. ... .. ................. 6,418,293 4,913,647 4,425,574 4,318,105 4,052,339 3,823,747 3,625,679 3,359,132 2,864,323 2,218,814
Operating income (loss) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 497,084 $ 404,525 $ 34,488 $ 366,010 $ 211,392 $ (207,334) $ (8,156) $ 174,194 $ 92,637 $ 209,032
Interest expense, net 1
. . . . . . . . . . . . . . . . . . . . . . .
(65,204) (61,908) (55,355) (62,053) (109,802) (63,494) (22,284) (7,596) (11,062) (9,461)
Miscellaneous income, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24,992 8,312 7,775 6,863 9,114 15,898 13,665 26,144 6,952 1,959
Gain (loss) on disposition of flight equipment . .... . ............ {1,016) 96,270 16,526 94,343 129,511 28,229 1,570 30,078 36,091 20,514
Income (loss) before income taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 455,856 $ 447,199 $ 3,434 $ 405,163 $ 240,215 $ (226,701) $ (15,205) $ 222,820 $ 124,618 $ 222,044
Income taxes (provided) credited .. . ......... . .. . ............ (180,851) (219,715) 2,228 (186,624) (102,625) 109,642 9,652 (101 ,447) (54,433) (104,429)
Amortization of investment tax credits ....................... 31,821 36,245 41,624 40,914 38,014 30,329 26,367 25,101 22,973 19,129
Net income (loss) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 306,826 $ 263,729 $ 47,286 $ 259,453 $ 175,604 $ (86,730) $ 20,814 $ 146,474 $ 93,158 $ 136,744
Net income (loss) per share* . . . . . . . . . . . . . . . . . . . . . . . . . . . $6.30 $5.90 $1.18 $6.50 $4.42 $(2.18) $0.52 $3.68 $2.34 $3.44
Dividends paid ..... . .. .. ........ ... . .. ... . ............. $ 58,456 $ 44,397 $ 40,073 $ 27,938 $ 23,857 $ 39,761 $ 37,773 $ 27,832 $ 23,857 $ 20,875
Dividends paid per share* . . ... .. ......... .. ........... $1.20 $1.00 $1.00 $0.70 $0.60 $1.00 $0.95 $0.70 $0.60 $0.53
1 Has been reduced by interest capitalized of . ............ .... .. . $ 32,329 $ 32,092 $ 23,758 $ 22,028 $ 18,263 $ 29,398 $ 38,154 $ 15,539 $ 10,790 $ 6,717
Other Financial and Statistical Data For the years ended June 30
1988 1987 1986 1985 1984 1983 1982 1981 1980 1979
Total assets ..... . ... ... . .... . ... . ...................... $5,748,355 $5,342,383 $3,785,462 $3,626,840 $3,268,822 $3,246,960 $2,657,880 $2,304,327 $2,042,539 $1,788,325
Long-term debt and capital leases ........................... $ 729,493 $1,018,417 $ 868,615 $ 535,159 $ 670,993 $1,089,796 $ 362,774 $ 198,411 $ 147,901 $ 125,483
Stockholders' equity ........................ .... ....... .. $2,208,823 $1,937,912 $1,301,946 $1,287,094 $1,048,907 $ 897,160 $1,023,651 $1,040,611 $ 921,969 $ 852,668
Stockholders' equity per share* . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 44.99 $ 39.84 $ 32.45 $ 32.21 $ 26.38 $ 22.56 $ 25.75 $ 26.1 7 $ 23.19 $ 21.44
Shares of common stock outstanding at year end*. . . . . . . . . . . . . . . . 49,101,271 48,639,469 40,116,383 39,958,467 39,761,154 39,761,154 39,761,154 39,761,154 39,761,154 39,761,154
Revenue passengers enplaned ...... ..... .. . .... ... . . .... .. . 58,564,507 48,172,626 39,582,232 39,340,850 36,319,567 35,666,116 34,169,927 36,743,214 39,713,904 39,360,368
Available seat miles ( 000) .. . . . . . .... ... . . ... . .. ... .. .. ... . 85,833,959 69,013,669 53,336,135 51 ,637,084 50,935,173 47,915,817 45,154,885 45,428,277 43,217,372 39,826,891
Revenue passenger miles ( 000) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49,009,094 38,415,117 30,123,387 29,061 ,618 26,099_
,115 26,096,996 24,284,804 25,192,531 26,171,197 25,518,520
Passenger load factor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57.10% 55.66% 56.48% 56.28% 51.24% 54.46% 53.78% 55.46% 60.56% 64.07%
Breakeven load factor .. .... ........ ..... .. .. . ............ 52.69% 51.09% 56.01% 51.57% 48.51% 57.84% 53.91% 52.52% 58.51 % 58.02%
Available ton miles ( 000) ................................. 11,249,578 8,999,668 6,934,047 6,667,512 6,569,248 6,202,910 5,937,817 6,037,476 5)48,143 5,357,995
Revenue ton miles ( 000) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,556,584 4,327,195 3,371,917 3,275,329 2,983,840 2,951 ,119 2,773,337 2,845,425 2,934,375 2,916,585
Passenger revenue per passenger mile ........................ 13.15 12.Sl<J: 13.72<J: 15.06<J: 15.19q: 12.83<J: u.soq: 13.05<J: 10.45<J: 8.67<J:
Operating expenses per available seat mile .................... . 7.48 7.12<J: 8.30(): 8.36<J: 7.9M 7.98<J: 8.03<J: 7.39(): 6.63q: 5.57<J:
Operating expenses per available ton mile . . . . . . . . . . . . . . . . . . . . . 57.05 54.6oq: 63.82q: 64. 76<J: 61.69q: 61 .64<J: 61.0M 55.64<J: 49.83<J: 41.41 q:
*Adjusted for 2-for-l stock split distributed December l , 1981.
The financial and statistical information presented above reflects the Company's acquisition of Western Air Lines, Inc. on December 18, 1986.
24 25
Board of Directors
RONALD W. ALLEN
KARLD. BAYS
HENRY A. BIEDENHARN, III
ARCHIE R. BOE
CHARLES L. BROWN
EDWARD H . BUDD
GEORGE D. BUSBEE
MARY JOHNSTON EVANS
DAVID C. GARRETT, JR.
EDWARD H. GERRY
GERALD GRINSTEIN
HOLLIS L. HARRIS
JESSE HILL, JR.
BILL MICHAELS
ROBERT OPPENLANDER
JOHN G. PHILLIPS
EXECUTIVE COMMITTEE
Chairman of the B oard and Chief Executive
Officer, Delta Air Lines, Inc.
Chairman of the B oard and Chief Executive
Officer, IC Industries, Inc., Chicago, Illinois
President, Chief Executive Of
ficer and
Director, Ouachita Coca-Cola Bottling
Company, Inc., M onroe, Louisiana
Retired President, Sears, Roebuck & Co.,
Chicago, Illinois
Retired Chairman of the Board and Chief
Executive Officer, American Telephone and
Telegraph Company, N ew York, N ew York
Chairman of the Board, Chief Executive
Officer and President, The Travelers
Corporation, Hartford, Connecticut
Partner of the law firm of King & Spalding,
Atlanta, Georgia
Director of various corporations
Retired Chairman of the Board and Chief
Executive Officer, Delta Air Lines, Inc.
Partner of Gerry Brothers & Co. , Investment
Management, N ew York, New York
Vice Chairman of the Board,
Burlington Northern Inc.,
Fort Worth, Texas
President and Chief Operating Officer,
Delta Air Lines, Inc.
President, Chief Executive Officer
and Director, Atlanta Life Insurance
Company, Atlanta, Georgia
Retired Chairman of the Board and Chief
Executive Officer, Storer Communications,
Inc., Miami, Florida
Retired Vice Chairman of the Board and
Chief Financial Officer, Delta Air Lines, Inc.
Director and Retired Chairman of the Board,
The Louisiana Land and Exploration
Company, N ew Orleans, Louisiana
DAVID C. GARRETT, JR., Chairman
KARLD.BAYS
FINANCE COMMITTEE
KARL D. BAYS, Chairman
CHARLES L. BROWN
EDWARD H. BUDD
GEORGE D. BUSBEE
DAVID C. GARRETT, JR.
EDWARD H. GERRY
BILL MICHAELS
EDWARD H . BUDD
JOHN G. PHILLIPS
AUDIT COMMITTEE
BILL MICHAELS, Chairman
JESSE HILL, JR., Vice Chairman
HENRY A. BIEDENHARN, III
ARCHIE R. BOE
MARY JOHNSTON EVANS
GERALD GRINSTEIN
PERSONNEL, COMPENSATION &
NOMINATING COMMITTEE
JOHN G. PHILLIPS, Chairman
KARLD. BAYS
GEORGE D. BUSBEE
DAVID C. GARRETT, JR.
EDWARD H . GERRY
26
ROBERT OPPENLANDER
JOHN G. PHILLIPS
BENEFIT FUNDS INVESTMENT
COMMITTEE
EDWARD H . BUDD, Chairman
HENRY A. BIEDENHARN, III
ARCHIE R. BOE
CHARLES L. BROWN
MARY JOHNSTON EVANS
GERALD GRINSTEIN
JESSE HILL, JR.
ROBERT OPPENLANDER
Officers
RONALD W. ALLEN
HOLLIS L. HARRIS
JAMES W. CALLISON
W. WHITLEY HAWKINS
RUSSELL H. HEIL
D. P. HETTERMANN
REX A. McCLELLAND
THOMAS J. ROECK, JR.
H . C. ALGER
R. G. CALDWELL
FRANK S. CHEW
ROBERT H . COWART
JOHN P. DAVIS
M. E.DULLUM
J. D. DUNN
R. LAMAR DURRETT
JULIUS P. GWIN
ROBERT S. HARKEY
JOHN HUME
C.J. MAY
C. A. THOMPSON
HAROLD L. ACHTZIGER
DONM. ADAMS
WILLIAM THOMAS BELL
E. R. BENNETT
ROBERT W. COGGIN
WE. CONDRA
JOHNW.COX
H. M. JOHNSON
HAROLD F. JOYNER
AL KOLAKOWSKI
MARCEY McCANN
JENNY POOLE
CALVIN L. RADER
LAWSON ROLLINS
JOHN W. SERCER
W.B. SUGGS
JAMES B. TAYLOR
MAURICE WORTH
LESLIE P. KLEMPERER
MARYE. RAINES
Chairman of the Board and Chief Executive
Of
ficer
President and Chief Operating Of
ficer
Senior Vice President- General Counsel and
Secretary
Senior Vice President - Marketing
Senior Vice President - Personnel
Senior Vice President - Technical Operations
Senior Vice President - Operations
Senior Vice President-Finance and Chief
Financial Officer
Vice President - Flight Operations
Vice President - Managem ent Services
Vice President- Treasurer
Vice President - Information Services
Vice President-M aintenance
Vice President - Government A ffairs
Vice President - Purchasing
Vice President - Engineering and
Technical Services
Vice President- Comptroller
Vice President - A ssociate General Counsel
Vice President - In-Flight Service
Vice President- Technical Operations
Vice President-Stations
A ssistant Vice President-Stations
A ssistant Vice President - A ssistant General
Counsel
A ssistant Vice President - Stations
A ssistant Vice President - Internal Auditing
A ssistant Vice President-Marketing
Development
A ssistant Vice President-Information Services
Applications Development
A ssistant Vice President - Community Af
fairs
A ssistant Vice President-Employment
A ssistant Vice President- Quality Control
A ssistant Vice President - Sales
A ssistant Vice President- Reservations Sales
A ssistant Vice President - In-Flight Service
A ssistant Vice President-Marketing
Automation
A ssistant Vice President - Revenue A ccounting
A ssistant Vice President-Maintenance
A ssistant Vice President-Materiel Services
A ssistant Vice President-Investm ent
Managem ent
A ssistant Vice President - Personnel
Administration
A ssistant Secretary
A ssistant Secretary
Transfer Agent and Registrar
for Common Stock
Citizens and Southern Trust Co. (Georgia), N.A.
Investor Services
P.O. Box 105555
Atlanta, Georgia 30348-5 5 5 5
Dividend Paying Agent
Delta Air Lines, Inc.
Stockholder Relations
Hartsfield Atlanta International Airport
Atlanta, Georgia 30320
Auditors
Arthur Andersen & Co.
133 Peachtree Street N.E.
Atlanta, Georgia 30303
Annual Meeting
October 27, 1988, Monroe, Louisiana
Common Stock
Listed on the New York Stock Exchange
Number of Stockholders
29,734 as of August 5, 1988
Market Prices and Dividends
Fiscal Year 1988
Quarter Ended:
September 30 . . .. ... .. . .
December 31 . . . .. .. .. . .
March 31 ... . . .. . . . ... .
June 30 . . . . . . ...... .. .
Fiscal Year 1987
Quarter Ended:
September 30 . .. .... . .. .
December 31 .. . .. ... .. .
March 31 .. . . . . . ..... . .
June 30 . . . ........ ... .
Availability of Form 10-K
Market Price Range of
Common Stock on
New York Stock Exchange
High Low
60 50
53 32
52 36
55 45
44Y
s
51
67
58
37
44
48
46
Cash
Dividends
Paid Per Share
$.30
.30
.30
.30
$.25
.25
.25
.25
The Company will provide, upon written request and without
charge, a copy of the Company's Annual Report on Form 10-K
for the fiscal year ended June 30, 1988, to any person bene-
ficiaJly owning or owning of record any of the common stock
of the Company on August 31, 1988. Requests for the report
should be directed to:
Delta Air Lines, Inc.
Stockholder Relations
Hartsfield Atlanta International Airport
Atlanta, Georgia 30320
Dividend Reinvestment and Stock Purchase Plan
Registered holders of Delta Air Lines common stock may use
the Company's Dividend Reinvestment and Stock Purchase
Plan to purchase additional shares of such stock through auto-
matic dividend reinvestment or cash contributions. Delta pays
all service and brokerage charges for the purchase of these
shares. Inquiries, notices, requests, and other communications
regarding participation in the plan should be directed to:
Citizens and Southern Trust Co. ( Georgia), N.A.
Delta Air Lines, Inc. Dividend Reinvestment Plan
P.O. Box 105555
Atlanta, Georgia 30348-5555
Telephone (404) 897-3464
27
System Route Map
Delta serves 132 domestic cities in 42 states, the District of
Columbia and Puerto Rico, and also operates flights to 23 inter-
national cities in 11 foreign countries. During fiscal 1988, Delta
inaugurated service to Dublin, Ireland, and Seoul, Korea. On
July 1, 1988, the Company initiated service to Taipei, Taiwan.
Domestic Service
ALABAMA
Birmingham
Mobile/Pascagoula, MS
Montgomery
ALASKA
Anchorage
Fairbanks
Juneau
ARIZONA
Phoenix
Tucson
ARKANSAS
Little Rock
CALIFORNIA
Burbank/Hollywood
Fresno
Long Beach
Los Angeles
Oakland
Ontario
Orange County
Palm Springs
Sacramento
San Diego
San Francisco
San Jose
COLORADO
Colorado Springs
Denver
CONNECTICUT
Hartford/Springfield, MA
DISTRICT OF COLUMBIA
Washington
FLORIDA
Daytona Beach
Ft. Lauderdale
Ft.Myers
Jacksonville
Melbourne
Miami
Orlando
Pensacola
Sarasota/Bradenton
Tallahassee
Tampa/St. Petersburg/
Clearwater
West Palm Beach
GEORGIA
Atlanta
Augusta
Columbus
Savannah
28
HAWAII
Honolulu, Oahu
Kahului, Maui
IDAHO
Boise
Idaho Falls
ILLINOIS
Chicago
INDIANA
Ft.Wayne
Indianapolis
KENTUCKY
Lexington
Louisville
LOUISIANA
Baton Rouge
Monroe
New Orleans
Shreveport
MAINE
Bangor
Portland
MARYLAND
Baltimore
MASSACHUSETTS
Boston
MICHIGAN
Detroit
MINNESOTA
Minneapolis/St. Paul
MISSISSIPPI
Jackson
MISSOURI
Kansas City
St.Louis
MONTANA
Billings
Bozeman
Butte
Great Falls
Helena
Kalispell
Missoula
NEBRASKA
Omaha
NEVADA
Las Vegas
Reno
NEW JERSEY
Newark
NEW MEXICO
Albuquerque
NEW YORK
New York
NORTH CAROLINA
Charlotte
Greensboro/High Point/
Winston-Salem
Raleigh/Durham
NORTH DAKOTA
Bismarck
OHIO
Cincinnati
Cleveland
Columbus
Dayton
Toledo
OKLAHOMA
Oklahoma City
Tulsa
OREGON
Portland
PENNSYLVANIA
Philadelphia
Pittsburgh
PUERTO RICO
San Juan
SOUTH CAROLINA
Charleston
Columbia
Greenville/Spartanburg
SOUTH DAKOTA
Rapid City
Sioux Falls
TENNESSEE
Chattanooga
Knoxville
Memphis
Nashville
TEXAS
Amarillo
Austin
Dallas/Ft. Worth
El Paso
Houston
Lubbock
San Antonio
UTAH
Salt Lake City
VIRGINIA
Norfolk/Virginia Beach/
Williamsburg
Richmond
WASHINGTON
Pasco/Richland/Kennewick
Seattle/Tacoma
Spokane
WYOMING
Casper
Jackson Hole
International Service
BAHAMAS
Nassau
BERMUDA
Hamilton
CANADA
Calgary, Alberta
Edmonton, Alberta
Montreal, Quebec
Vancouver, B.C.
ENGLAND
London
FRANCE
Paris
IRELAND
Dublin
Shannon
JAPAN
Tokyo
KOREA
Seoul
MEXICO
Acapulco
Guadalajara
Ixtapa/Zihuatanejo
Mazatlan
Mexico City
Puerto Vallarta
TAIWAN
Taipei
WEST GERMANY
Frankfurt
Munich
Stuttgart
Delta Air Lines, Inc. / General Offices, Hartsfield Atlanta International Airport / Atlanta, Georgia 30320