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Delta Air sees healthy demand, especially on international routes
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Delta Air sees healthy demand, especially on international routes
Jun 1, 2024 6:22 AM

DUBAI, June 1 (Reuters) - Delta Air Lines ( DAL ) is

running its largest ever transatlantic schedule this year as it

sees healthy travel demand, especially on international routes,

senior executives said on Saturday.

Delta, one of the largest U.S. airlines, has forecast record

high second-quarter revenue thanks to buoyant demand for spring

and summer travel.

"Summer's progressing strongly and demand is quite healthy,"

CEO Ed Bastian told reporters.

"Demand is growing faster internationally than it is

domestically, and Delta is very well positioned to take

advantage of that with its partners," Bastian added.

Delta says consumers are spending on experiences with travel

a top priority after the pandemic.

Demand is particularly strong for premium travel, benefiting

carriers like Delta.

"We have seen continued strength through the spring to early

summer ... our international business is quite strong," Delta

President Glen Hauenstein told reporters.

Rival American Airlines ( AAL ), however, said this week

there was still excess seat capacity in the domestic market,

resulting in discounting pressure.

U.S. carriers have plans to further moderate capacity in the

second half of the year, which airline executives say will

underpin the industry's pricing power.

BOEING ( BA )

Delta operates a large mixed fleet including planes from

Airbus and Boeing ( BA ), which is engulfed in a

quality and corporate crisis.

Bastian said Delta is "encouraged" by steps Boeing ( BA ) is taking

with management changes and other adjustments at the company.

"I'm confident we will see improvement," Bastian said,

adding Delta was still committed to its order for Boeing 737 MAX

10 jets.

Delta currently does not fly any version of the Boeing MAX

but has MAX 10s on order for delivery next year. The MAX 10 -

the largest version of Boeing's ( BA ) best-selling narrowbody jet - is

still awaiting certification by the U.S. Federal Aviation

Administration (FAA).

A January mid-air cabin panel blowout on an Alaska Airlines

MAX 9 flight has placed a question mark over the certification.

Rival United Airlines has asked Boeing ( BA ) to stop

producing MAX 10 for it and has converted a portion of its order

to the MAX 9.

Bastian said Delta has no plans "at this point" to swap the

MAX 10 for another model, adding he hopes the changes being made

at Boeing ( BA ) will allow it to make progress on building the MAX 10.

"We are scheduled to receive them next year, I don't

anticipate seeing them for quite some time," he said.

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