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What’s your reaction to the Delta news?

Everyone knew this day was coming. Now that it has, what’s your reaction to Delta filing for bankruptcy?

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By Cari

September 14, 2005 05:11 PM | Link to this

They cut staff, reduced services, upped the fares and the whole time the CEO (or worse, those that jumped ship!)made millions, even though the company was losing money. And now they’ll want a government bail out. Sorry - but we’ve got more pressing issues that our tax $$ needs to be earmarked fpr.

By Janet Miller

September 14, 2005 05:13 PM | Link to this

Thanks - Delta executives. You have successfully driving a good company into the ground. What was once a “family” business is run by greedy individuals who look after their own bulging bank accounts. I’m headed back home…..and getting out of Atlanta.

By Susan

September 14, 2005 05:15 PM | Link to this

It is a sad day, but Delta and its employees are the best and will come back even better.

Good Luck Delta

By Betty

September 14, 2005 05:16 PM | Link to this

gee…what a Surprise!

By Shannon

September 14, 2005 05:17 PM | Link to this

I wish them the best of luck. I have several family members working for Delta. It is now more important than ever that all employees work together. I love flying with Delta and do not want to see them go away.

By walter thorne

September 14, 2005 05:18 PM | Link to this

As a red clay Georgian, and as a native of Columbus, Georgia, I flew proudly flew Delta for over 40 years — many — many times between, CSG and ATL, and LGA and ATL.

Within the last 7 years Delta -“LOST-” my low price reservation when I went to purchase my ticket prior to the deadline — THREE TIMES.

I will not even begine to tell of the insulting experiences ( many) on the Delta Connection, ASA.

Let them go under! AIR TRAN MAY BE THE MOST LATE AIRLINE BUT THEY ARE AT LEAST NICE>

Walter THORNE

By Chad Harrington

September 14, 2005 05:18 PM | Link to this

Though this is not a surprise I am saddened that an airline with such a rich history has been brought down. This all could have been avoided if the greed of Delta’s pilots had not gone unchecked for SO MANY years. Add to this the REDICULOUS rise in fuel costs and you have a solid formula for triggering this bankruptcy. As payment for liberating Iraq, we should’ve shipped some oil (spoils of war) home.

By Brad

September 14, 2005 05:20 PM | Link to this

It’s very sad to see a Southern icon fall like this. Even though I feel Delta’s service has deteriorated along with its finances, I sincerely hope they can reorganize to become leaner and more efficient. However, I am convinced that at least one carrier will have to liquidate in order for the others to survive.

By david james

September 14, 2005 05:20 PM | Link to this

Filing is about two years late. “Hub and Spoke” business model is too burdened with costs the newer airlines are avoiding in their “point to point” approach.

By Willy

September 14, 2005 05:23 PM | Link to this

How many years has Southwest, Jet Blue and Air Tran been making money while the big 3 ignored their success? When you fail to adapt to the marketplace, you fail.

By Sampson

September 14, 2005 05:27 PM | Link to this

It’s sad, but obvious. Just yesterday, I spent2 hours trying to redeem points — to be finally told that because I moved, they had to MAIL ME MY NEW PIN#, in 5-7 days. The money they’ve wasted on the “sempli-fares” ad campaign is a travesty!!! No Gov’t bailout — not even for the customer service reps they use in India!!!

By walter thorne

September 14, 2005 05:31 PM | Link to this

Three times in the last 7 years Delta lost my low price reservations as I went to pay for them (“sorry no more low prices”).

As a Red Clay Georgian from CSG I flew DAL for over 40 years.

Forget the bad service on the Delta Connection ASA. BAD!!!!!!!!!

I don’t do Atlanta with Delta NO MO!

At least the LATE arriving AIRTRAN FOLKS ARE NICE TO PASSENGERS.

The big DAL problem: slow moving managers!

Walter Thorne NYC

By Bjorn

September 14, 2005 05:32 PM | Link to this

Having gone through this situation with Pan Am 15 years ago, I deeply sympathize with the Delta employees. It might have helped, had the Delta pilots agreed to help earlier. But with oil boys in the White House, what can anyone expect? Certainly no help from those quarters, unless, of course, you are very rich and don’t need the help. The only war we are in is with OPEC and its allies, but try to tell that to Mr. Bush…

By Lisa

September 14, 2005 05:34 PM | Link to this

This is a sad day for such a great company. I know it was great, I was an employee. Right now, I hope that company managers are very proud of the way they have run the company since 1990. From PanAm to 7.5, the ridiculous bonuses and super secret pensions for the managers, many of whom have left DAL and these pensions are secured from creditors for those left, the DAL family is shredded. Now, the blame for all of this is being placed on the pilots. WRONG! Don’t place it on them. They didn’t make the desicions that ran this company into the ground. In fact, they were never asked to make any decisions on company policy. As for the comment about greed, maybe the writer should look at the other employees and see what their salaries are. Right now, a DAL pilot makes 45% less than before WHILE other employees are at 10%. FAIR? Pilots offered to open their contract 14 times to help avoid this. In fact, DAL squandered the $1 billion in pay cuts from the pilot group. How would you like to give up 45% of your pay and then be asked for more? This whole day is so sad !!!!

By Jerry

September 14, 2005 05:36 PM | Link to this

As one of the thousands that became a casualty of Delta’s cut backs over the past couple of years, I feel for the remaining employees. However, perhaps Delta would not be in such a dire situation had upper management during the 2002-2004 time period listened to those of us in lower/middle management.

By Patrick

September 14, 2005 05:37 PM | Link to this

Like so many other companies, Delta was run by a bunch of Executives who found a way to make more carrying brief cases than by carrying a gun. When will enough ever be enough? They should never again be allowed to run a company or sit on its Board of Directors. Funny, their high priced attorneys simply found a way to make it happen for the suits and then said it was legal. The question has always been, is it ethical? The Orange Box is run by the same set of standards as Delta. What has happened to ethics in all of us? A question we need to give thought to. And so it goes…

By cdc

September 14, 2005 05:37 PM | Link to this

This is a sad day for what was and still is in many ways a fine airline - a great employer with a great family of employees It is a sad day for Atlanta - a city that has henefited from the growth of an airline that developed from a crop-duster into a world class international airline. It is a sad day for the South - as one of it’s favorite sons finds itself in this dilema. The hope is that Delta will rise again, and become profitable. Grinstein has done a good job, and we can be thank him for removing Mr. Mullin. Hopefully, the Mullin left-overs will move-on now that the candy jar is empty.

By Mrs. E

September 14, 2005 05:39 PM | Link to this

So, Ron, what do have to say about your contribution to Delta’s financial perils now? Vicky? Leo? All you other Execs that took the money and ran? While the rest of us have to wonder if we can make next month’s mortgage, you guys are home free.

By James

September 14, 2005 05:40 PM | Link to this

Lean? Efficient? How do you do that when organized labor continues to place undue burdens and demands on organizations? The airline industry is learning a valuable lesson regarding concessions to labor demands. Detroit auto makers are next.

By I Luv AA

September 14, 2005 05:42 PM | Link to this

One thing that Delta needs to work on is their flight plans. They fly to New York 48 times a day from Atlanta?!?!? I really wonder why they are losing money. When other airlines were asking for pay cuts, we at AA took a 34 percent cut, Delta only took a 10 percent cut, and that came way after other airlines were working hard to stay afloat. So yes, management is to blame. Get ready employees, your in for a REAL shock with your pay and benefits now!!!!

By Ted

September 14, 2005 05:42 PM | Link to this

Thanks Leo Mullins for driving a profitable airline into the ground! oh, of course your retirement and benefits are intact thanks to your underhanded protection of trusts at the expense of many hard working employees!

By Jim

September 14, 2005 05:44 PM | Link to this

That’s right…kick Delta while they are down. If not for Delta and Coca-Cola, we all would be living in North Macon or South Chattanooga! Most people complaining about high airplane tickets don’t even blink when paying $200.00 for jeans or shoes. Your “beloved” AirTran isn’t far behind since their five year deferral on airplane payments is up and they us the same fuel as Delta. For those supporting Delta, God Bless You!

By John

September 14, 2005 05:44 PM | Link to this

I think the time has come to SHUTDOWN the bankrupt airlines, sell off their assets, and maybe someone who knows how to turn a profit will take over. Delta and NorthWest have shown they should not be running airlines!

By Victor Scanlon III

September 14, 2005 05:48 PM | Link to this

Delta’s purchase of PanAm and the award of PanAm time-served to count fully to Delta seniority was the start of a string of poor decisions by management. Delta, I hope you come back from this stronger than ever.

By Dean

September 14, 2005 05:52 PM | Link to this

I’ve been a frequent Delta customer for many years and I am very sad today for Delta and its employees and the many members of our city and state that depend on the economic activity that Delta faciliates. In all my years of traveling, I’ve always enjoyed my Delta travel experiences. Delta is still the best domestic airline because of its employees.

By Nancy

September 14, 2005 05:56 PM | Link to this

Delta’s troubles started long ago and it isn’ the fault of the pilots. As a relative of a pilot, I can tell you that they have bent over backwards to help the airline and have repeatedly been willing to give up their shirts and more. Management is solely to blame. Not even the unions have caused the drain that poor business choices have.

By George

September 14, 2005 05:56 PM | Link to this

My experiences with Delta itself have not been bad; it’s the Atlanta airport that I avoid. Because of the hub and the need to change planes in Atlanta with Delta, I prefer non-stop routes to my destination that are offered by other airlines that do not fly through Atlanta. Sorry, but Delta crams too many flights through Atlanta with massive delays. And there’s absolutely nothing to do if you’re stuck in one of those dingy terminals.

By DJ

September 14, 2005 05:57 PM | Link to this

Thanks Leo (and your buddies). I can’t believe you had the audacity to be in Atlanta and to give a television interview.

Today both Delta and Northwest filed for bankruptcy protection. Now we have Delta, Northwest, United, US Airways, ATA and others under bankruptcy protection. Now will congress ACT? Or will we have to wait till they exprerience being hearded on a plane like cattle as Southwest does?

I really hope Mr. Grinstein is able to pull Delta out of this slump and reorganize. Otherwise, since AirTran Airways is not a part of my vocabulary, I will have to adjust to my travel plans to include connections.

By John N. Salierno Burlington, Ky

September 14, 2005 05:58 PM | Link to this

Do to the high oil and fuel costs it was difficult for Delta Airlines to make a a profit. The people at Delta Airlines are one of the best in the industry. With the right guidence they should be able to pull up on the wheel. Th Northern Kentucky market will be effected by the Chapter 11. Always the Best , to Delta. Thanks, John Salierno

By Sheila M.

September 14, 2005 05:59 PM | Link to this

I am so sorry. It is one tragedy after another. I always fly Delta. Some of the best treatment ever.The employees are the greatest. Corporate shenanigans if true, would really disappoint me.We have all at some point been exposed to downsizing or age related difficulties. Just hope the human heart expands greatly to see some good come of this.

By rockytop

September 14, 2005 05:59 PM | Link to this

everybody is worried about the passengers!!!! what about the employees!!! i think i will be government assissted now!!!!!!

By N8TVGRL

September 14, 2005 06:00 PM | Link to this

Yes, I agree that the executives at Delta have directly caused this by their self-centered, pocket-lining, tunnel-visioned business plan. I am sad for the “regular Joe” employees who have been and will be affected by this whole nightmare. I’m also sad for the loss of such an Atlanta icon - lots of sentimentality surrounding Delta flights.

By Jason

September 14, 2005 06:02 PM | Link to this

Lisa writes: “a DAL pilot makes 45% less than before WHILE other employees are at 10%. FAIR?” Delta pilots had 5% increases in 2002, 2003, and 2004. Without even considering compunding, that’s 15% increases while most of Delta went without raises since 2000 in addition to increased health care costs.

Lisa, get real and get your facts straight and learn to live within your means.

By Tom Janovsky

September 14, 2005 06:13 PM | Link to this

Finally we see some true management step - it’s just too bad that Delta had to lose billions before finally someone had the guts to say: “Let’s get some protection, get a deep breath, and see where we can get from here.” This should have happened at least 18 months ago, before many people were hurt and tons of money was lost. As a former Delta employee (flight attendant, based in NYC), I must say that I loved flying for Delta until the last two years, when people were literally jerked around by superiors who had no airline know-how, and who were replacing the experienced people who left with nice retirement packages (and they deserved them). The fact was, that Delta did not realize that the exodus of experienced people will mean huge money losses because of the ignorance of the replacements. I rememebr how in two weeks I was flown at least 6 times to work flights fromn other bases, because they had no flight attendants available, due to lousy staffing practice by the ignorant staffers. Mismanagement of human resources like that costs huge amount of money. Delta management also should have realized that it could not compete with United while UAL got their cash from the government and was protected for a long time. Delta could not compete even if it had great management on board. The truth is, the current management has no clue about running an airline. Having my own airline consulting company, I have had an opportunity to work closely with other airlines and see what makes them click - among them Singapore Airlines, and more recently Air Canada, which got out of bankruptcy just last fall. Both of these companies operate differently, but they both operate on one premise: you never screw the business customer. Delta has done that for years, and it pays for it; in fact it will pay for it dearly for many years if the company ever survives. I do not feel sorry for the executives, because they are victims of their own ignorance; but I do feel for the “little people” who have made concessions in blind faith that their hard earned money is used wisely in running the company. I bet that Ron Allen is still getting his hefty retirment package even now - and he does not deserve a penny from it. Is that management? So, let’s stop blaming 9/11, low-cost airlines, SARS and any other natural disaster and put the blame where it belongs: the management. The company has not been managed for years. Tom Janivsky www.MidnightFlightAirways.com Los Angeles, CA

By Richard

September 14, 2005 06:21 PM | Link to this

This whole Delta affair reminds me of Hurricane Katrina and New Orleans. Everyone is blaming everyone else. No one will admit that alot of things went into Delta’s bankruptcy filing. The Pilots should have recognized the need to give back earlier. Management needed to make meaningful cuts earlier and the U.S. Government needs to recognize that fuel prices are going to bankrupt every airline unless they do something quickly. I don’t think Leo Mullin hurt Delta with trying to keep together a good management team. It seems everyone forgets quickly the profits Delta made under his leadership - I believe he would have pulled Delta through this situation had cooler heads prevailed.

By JC

September 14, 2005 06:28 PM | Link to this

Delta and Northwest are the newest members ofthe “Chapter 11 Club”. US Airways, United, and ATA have enjoyed the protection of such membership for some time. Delta did not fail, but has been affected by a major correction to U.S. commercial air industry. Looking ahead, some airlines will survive, some will go away, and some will merge. Don’t mourn, but prepare for the changes already in the works.

By Bev

September 14, 2005 06:31 PM | Link to this

As a delta employee, it is a sad but not unexpected day. I have seen management greed and waste that has just made my head spin! The busy work that management and middle management generate is unending. They waste time and money to justify their jobs. But, of course, there is plenty of blame to go around — Leo — Ron — Michelle etc. Bankruptcy proof retirement and “retention” bonuses as they were leaving the company in droves. Well…I could go on, but ranting does not good — those responsible for this situation have gone on to their next high-pay gig with no remorse or sense of responsibility.

By Juan

September 14, 2005 06:33 PM | Link to this

Mullin and his cronnies’ pension should be adjusted for the length of time they served as employees. These people gave themselves, with the board approval (Grinstein included) additional employment years.

By Eve

September 14, 2005 06:33 PM | Link to this

I would like for someone to answer this question….why is it that executives severance pay is in the millions, and the other employees only receive a few thousand dollars? They appear on tv and in conferences with this sad version of what is going to take place, when in reality, they move on to another EXECUTIVE job, and the others are thrown into the pile of other “jobless, qualified, and educated” citizens. You have to love the USA!!!

By thats_what_you_get

September 14, 2005 06:42 PM | Link to this

Being African-American and a former Engineer/Avionics Technican for Delta I am glad to see the company that blatenly promoted racism and hatred go down. The bigotry and “good ole boy” system that I had to face every day for the six years I was there was some of the worst times of my life. This is good because Delta didn’t do anything to promote racial harmony. All they did was put Uncle Toms in postitons that dealt with diversity and equal opportunity to counter any lawsuits. How do you so openly put these no-where near qualified whites in these management and executive postiotns? Some of the ones that I met don’t even know how to speak English, straight outta Lovejoy and Newnan. LOL…..All Delta can do for me is pay me my retirement because a brother was smart to stay long enough to get vested and maintain my skymiles account. This is just the begining for Delta much worst things will happen for Delta in the months and years to come.

By James

September 14, 2005 06:44 PM | Link to this

I remember a time when Delta served real food on real china. Now it’s less than peanuts and barely a pillow for a flight and the fares are higher now than they were then. I can fly Southwest or AirTran for less money-I may not get any peanuts, but I’ll have a fairly comfortable seat and that’s all I expect form them since they started out as cheapo airlines to begin with.

As for Delta, it’s the employees I feel for. They will be the ones to take the hit. I’m quite sure the CEO secured his salary package before all of this you can bet.

By Carrie

September 14, 2005 06:47 PM | Link to this

As a spouse of a Delta employee, I can only say that I am oddly relieved by the news. The employees have felt this coming for a long time, and now it is here and maybe we can finally start to move forward again, even if it is in the face of more job losses, pay cuts and benefits cuts. It is very difficult to live life in limbo knowing that something like impending bankruptcy is hovering over your head daily. Now maybe the airline can really get down to business and save itself. Good luck.

By Linda I

September 14, 2005 06:47 PM | Link to this

My father retire from Delta about 15 years ago after 32 years of service. I remember how Delta was a family business with friendly employees. My father would tell of times that Mr. Woolman would come to the mechanic hanger with a brown bag lunch and eat with the mechanics. Then Ron Allen came along. I no longer fly Delta. I can still fly on a pass but do not wish to be jerked around by employees who do not know what it once meant to work for such a great company. Delta has lost its friendly, accomodating, bend-over-backwards attitude. The passengers are a nuisance to flight attendants. The pilots are holier than Thou. The attitude of everyone is that the passenger/person-who-supplies-the-money-for-your-paycheck is a bother; the employees will do their job when they get good and ready. Of course, there are still some good employees left, but they are out-numbered by the bad.

Delta, look at your customer service (or no-service); emplore your employees bend over backwards to service the customers.

I’m surprised Delta lasted this long. Their service went to “pot” at least 10 years ago.

By Kristine

September 14, 2005 07:01 PM | Link to this

Hey Delta, do not “fly” away from your pension obligations.

By Calvin

September 14, 2005 07:12 PM | Link to this

I wish that there some way that Delta can renige on the pension plans of the selfish, greedy and worthless executives, who share a great deal of responsibility for this day. Their contribution to the company in comparison to the pay is in no way close to equal. I am praying that Delta will make a strong comeback, because they are vital to the economy of Atlanta and Georgia. I will certainly choose to fly with them, even if the cost is slightly higher. I strongly believe in the company.

By Phil

September 14, 2005 07:15 PM | Link to this

I’m not surprised, now where’s the government to go after the excutives that put Delta in this mess? (particularly Leo Mullin). Delta has already cut systemwide except Atlanta.

Management took and took, borrowing money, ignoring the LCC for years (Delta cuts western routes to avoid competing with Southwest and Morris Air),gave pilots hefty pay raises in 2001 (who will deny they killed the airline until their dying day, alongside management), while cutting other employee’s salaries, too many aircraft types, bean counters took over, the list goes on. The factors from 2001 are minor.

Grinstein saved Western, I wish him and all the employees the best to save Delta. Particularly as Delta is my airline of choice no matter where I am in the world. (Which right now is in Asia, to a city Delta once flew).

By Juan

September 14, 2005 07:16 PM | Link to this

Re: Vincent Scanlon comments 1991 when DAL acquired the Pan Am Atlantic Division, all Pan Amer’s crafts for seniority resons where place on hold for a couple of years. Paywise was about the same. On retirement pay for ex Pan Am people was the date they joined Delta

By Larry

September 14, 2005 07:24 PM | Link to this

Thanks Tom J for pointing out Lisa’s error on her salary reduction of 45 percent as a pilot while others suffered only a 10 percent reduction. I can not remember when the other departments in the company received any sort of raise in the last 10 years while the pilots received many raises. I still remember the sticker that was on their flight bags that read United Plus 1 during contract time. They received what United received; however, shortly thereafter United filed for bankruptcy. So much for greed.

By Theresa Joy Knowles

September 14, 2005 07:31 PM | Link to this

Jimmy Crouch is a Delta pilot,and also my son’s soccer coach, He is the nicest,and most patient man,I have ever had the pleasure to meet,and watch coach.I have never seen a man so patient with kids,it seems like nothing angers him.The news of Delta is heartbreaking to hear,my wish is to all of the Delta Employees and their family ,that Delta pulls out of this chapter 11 stronger than ever before. Theresa,John Guy,and Michael Garrison Knowles in Haslet,Texas

By Millie

September 14, 2005 07:32 PM | Link to this

Mechanics want more money and the same for the pilots. Now they’ll see what greed gets.

By Tickdog

September 14, 2005 07:38 PM | Link to this

As a former employee, I think that it is sad that a once Great Company is driven to this. I think that the blame is too far to go around, starting with “The Mullins Regime” and their exidus (with all the profits from the late 90’s), the pilots and their raises-sure they took a paycut, but having to give up your second house and expensive car would fail in comparison to taking a $8 an hour paycut when you only make $25 an hour. I think that they all add up to ruining a great company and taking jobs away from people who actually need the employment. I can only hope that they can bring the company back to where it was before, maybe better. Inject a little new blood back into the company and get back on track, maybe this could get everything strait and reestablish the company as the premiere airline in the world. Good luck to all of my friends who are left, you might need it!

By LUV

September 14, 2005 07:39 PM | Link to this

Hey, anyone selling a house in Peach Tree City? I am thinking of buying a little weekend cottage to play golf on my offdays as a SouthWest pilot. Thanks to Delta and ALPA there should be plenty on the market soon for those of us who actually work more than 12days a month and without that 70 hr guarantee. Face it folks, we are nothing more than bus drivers. Good luck DL, you are gonna need it.

By djk

September 14, 2005 07:45 PM | Link to this

from near 70 bucks a share at the turn of the century, to near 70 cents a share today, 7/14. think about it. what happened?

By cj

September 14, 2005 07:50 PM | Link to this

I have never a had a major problem flying Delta, other than the occasional delay. However, it seems that not only Delta but many other airlines just have too many flights. Too many hubs, too many connections,too much congestion, leading to too high costs. The airlines as a whole just need to scale back their operations a bit to become profitable again.

By mark

September 14, 2005 07:54 PM | Link to this

As a travel agency owner of 22 years with unparalled support of Delta Air Lines, forced to close the agency after Delta’s, then industry-leading, decision to eliminate travel agency commissions…indeed… GOOD DOES GO AROUND

By Terrance

September 14, 2005 08:07 PM | Link to this

I feel bad for Delta and the many employees who tried hard to keep the company afloat! What many dont realize is the low cost carriers have many fuel breaks, and other discounts given to them by the airports and Govt. Delta is one of the Big Boys that will bounce back! And Thank God for them that The former CEO and his 9 million dollar retirement package is gone! They Will Bounce back. Good Luck Delta

By Dave J

September 14, 2005 08:12 PM | Link to this

Dear fellow employees of Delta, please keep in mind this is not a forum for us to bash management or feel sorry for ourselves. We are still flying because we deserve to be, and because of that we will come back strong! So please put the hanky away and get back to work!

By Joe

September 14, 2005 08:14 PM | Link to this

Well….I am sure the AJC will not approve to post, but at least you have to read it. I hope the AJC and people of Atlanta are happy. You have spent years bashing Delta and its people….its sad that you don’t realize what Delta means to the city of Atlanta as far as revenue etc. Maybe now you can continue your love affair with airtran. I know Delta said its proud to call ATL home…..I for one am embarrased to call Atlanta home. Wonder who the good old AJC will bash now!!!…you make me sick

By Kevin

September 14, 2005 08:20 PM | Link to this

I work for Delta and I am #6 in the industry for what I do. The pilots are still #1. If the judge is smart he will put them at #6 and save Delta millions each year. I am just waiting for the day when these planes can fly theirselves and pilots can actually get a real job. Don’t get me wrong, there is nothing wrong with being a taxi driver 30,000 ft. up!!

By Joe

September 14, 2005 08:21 PM | Link to this

HMMM….more pressing issues for our tax dollars???? yep…1 billion aid to saudia Arabia…..the country where 16 of the 19 hijackers came from….

By Bill Culpeper, Jr

September 14, 2005 08:24 PM | Link to this

After being stranded in the Atlanta Airport for 38 hours and not even getting an offer for a food or room voucher, I will never forgive Delta Airlines.Not one employee showed one bit of concern.My situation was desperate. Now Delta’s is…what goes around comes around. GOOD RIDDANCE I SAY TO DELTA AIRLINES!

By Jim Morgan

September 14, 2005 08:24 PM | Link to this

Please come to my Delta Party on Saturday. The cost is $298 per person. The party starts at 7:00pm. All vendors and creditors will be invited in appreciation for allowing us to sink their bottom lines to the depths of hell. Frequent fliers may use their FF Miles to attend, however it will cost 50,000 miles as no ” Sky Saver” awards are available. Please be available no later than 6:30 pm for entrance to the party or you will be denied entrance, your reservation will be cancelled and no refund will be available. Cancellations or Changes are subject to a $100 change fee. OK, all kidding aside, Delta has been mismanaged for years. The sad part is all the Delta Executives who will still come out smelling like a rose. The shareholders, bond holders, and employees will take it in the neck.

By dick l

September 14, 2005 08:28 PM | Link to this

leo mullin is a twit and is a big factor that brought delta down..he should be jailed…i cant say a whole lot for the former ceo…can you believe the packages these twirps got…they is no way delta could survive the ‘stewardship’ of these two egomagnics..the ones to suffer are the rank and file employees while these two idiots spend their billions…

By Pete

September 14, 2005 08:31 PM | Link to this

As a middle mgmt employee I’m heartbroken by this but not surprised. We might have made a little money under Leo’s reign but that was largely because of what Allen had set up before. Since then we have been managed by clueless leaders.

I recall sitting in meetings and listening to Escarra in her new marketing role and longing for the days of someone who can see ahead and not hold on to the past.

I remember Fred Reid asking for memos and presentations to be done with “cartoon like simplicity” and realizing that might be all he understood.

We have Stage IV cancer right now because of lack of leadership during the early 90s.

Right now, I hear all my old former DL friends tell me that there is life after DL. This means I’ll just spend all the more time sneaking in some job searchs.

By chris

September 14, 2005 08:46 PM | Link to this

Maybe Delta will finally shut down and their good employees can get good jobs here with the airline that replaces them in Hartsfield: SouthWest. And hopefully management and executives can get what they deserve, too, and I don’t mean a nice severance. Unless it’s their heads.

By Willy

September 14, 2005 08:47 PM | Link to this

All these people keeps on complaining about what the other guys is getting; specifically what management has gotten or gets. Be real folks, senior management gets paid what the market will bear for there “Skills” and “experiences”.

Consider this:
Why do pilots get paid more for a captain vs a first officer? They both know how to fly the plane? Why is there a premium for AMT licenses vs not having them? They both know how to read a scope or turn a wrench.

You don’t have to be a rocket scientist to figure out that you’re paid for your experience and skills.

If the leaders got paid premium dollars, good for them. Are all these people complaining because of the amount or because they didn’t get a share of the dollars. Maybe the loudest complainers on this blog should have studied harder, had some ambition, worked a little longer, etc.

This is the 21st century and we’re a capitalist society. If you want more money, go out and find it. If you want to stay in the rut you’ve dug for yourself, whose problem is it?

I’m a Delta employee. I’m sick of all the peple walking around Tech Ops whining about their lot in life and yet they won’t make any effort to improve themselves.

I can remember four short years ago when Leo was the defacto leader for the INDUSTRY, not the just for Delta. How quickly we forget.

Maybe the whiners would rather have been in bankruptcy for the past four years. At least they would have had another opportunity to blaim someone else besides themselves.

By Gee Kay

September 14, 2005 09:01 PM | Link to this

Leo Mullins and his pack are responsible for this sad day for Atlanta. Even though Ron Allen was not a favorite he was a part of the Delta family and did bring the carrier out of the 90’s slump.

By Anthony

September 14, 2005 09:11 PM | Link to this

Overpaid pilots, rude customer service and flight attendants, frankly I believe they are getting what they deserve!

By Realist

September 14, 2005 09:11 PM | Link to this

It IS just a financial restructuring…costs, including employees’, salaries will be rationalized. The shareholders are hosed, the leasing companies will get hammered, bondholders, lenders, on and on. But the company will come out the other side in much better shape…and hopefully from an operational perspective, a “well-managed company” without so much legacy deadweight…eg pilots @250k, mechanics @100k, 70yr old flight attendants working part time @ 85k. And most importantly, hopefully without the inherent sense of entitlement associated with being headquartered at ATL. So don’t sweat it…Delta will be smaller and better…maybe now the airport itself will be wedged free from the graft infested control of the city and privatized.

By datrader2012

September 14, 2005 09:17 PM | Link to this

I think it is great. I made over $150,000 shorting the stock at $6.22 per share.

By Michael Rasnake

September 14, 2005 09:22 PM | Link to this

Delta was brought down by Leo Mullin and his lack of airline knowledge. Just about every top Delta manager was replaced once he came in and he brought in complete losers that obviously were only concerned with their wallets.

In addition, so many wasteful management jobs were created, in fact they even created a VP of Global Diversity position. This list goes on and on under his senseless leadership.

While they were secretly putting away millions for themselves they were asking the pilots for paycuts and making drastic changes to the frequent flyer program that drove away many business travelers.

Once the pilots discovered what had taken place behind the scenes they decided to ride things out as long as they could and milk it for all it was worth. This is what ultimately led to Leos demise and if anyone says they couldnt see this coming when these packages were approved, they are nothing but liars. It was self interest in its purest form.

Now, Delta has reduced its service levels so far, they no longer give anyone a reason to pay more to fly Delta. While most are concerned about saving every penny, there are some flyers that will pay 20%-30% more for a premium product but Delta has chased them away with their horrible First Class product that now includes plastic wine glasses, plastic utensils, and a heavy duty paper towel for a napkin.

This day is truly sad for a airline that once was the best in class on every front.

By John

September 14, 2005 09:35 PM | Link to this

This past January, I left Delta after being a loyal Delta widget head for almost 14 years and it broke my heart to leave. During those years I had the privilege of working with some of the best frontline airline personnel in the industry and some of the worst senior management in the industry. In my last position I was responsible for developing high level cost cutting initiatives and presenting those initiatives to senior management. This responsibility was largely an exercise in frustration. Delta senior management developed and promoted a culture of analysis paralysis and there appeared to be no true sense of urgency to act on employee ideas or suggestions. Even though their were great reports to wall street of all these aggressive cost cutting initiatives taking place , overall, senior management at Delta missed the boat due to their inability to take the lead in the industry. Deltas senior management philosophy was largely one of being reactive not proactive. Delta senior management continued to act as though there was time and all would work out. I am saddened for all the great employees that have retired from Delta whose pension plans are now at risk (mine as well) and those still at Delta struggling to keep a once great airline great. If the most recent Delta senior management teams had upheld the philosophy of conservative stewardship created by its founder C.E. Woolman, to run a great airline, take care of the employees and be fiscally responsible, the company would not be in the predicament it finds itself in today. The situation Delta finds itself in today is not to be blamed on the pilots, the front line employees, high fuel prices or Low cost carriers. The situation today could have been avoided but for the total lack of vision and leadership beginning with Leo Mullin to their present day President and C.E.O. Jerry Grinstein. My prayers go out to all the Delta employees and their families.

By bill

September 14, 2005 09:36 PM | Link to this

Lisa GET REAL The pilots have gotten raise after raise. Sure at the end they gave up a nice chunk but for years the pilots have took raises or negotiated in return for…. while the rest of employees just gave. The rest of the employees (non- management) are paid by industry standard pay something the DELTA pilot would never, ever concider. The non- contract employees work rules, vacation, holidays have been adjusted dramatically the last three years as the pilots just kept the same work rules and enjoyed being overpaid bus drivers.

By MaryAnna

September 14, 2005 09:45 PM | Link to this

You cannot blame this solely on the pilots.

Bad business decisions(purchase of PanAm)…even worse management(Leo Mullins and his gang…and the VP who sold the fuel hedges to fatter HER bonus.

By Andy K

September 14, 2005 09:57 PM | Link to this

Who didn’t expect this? Maybe if the AJC put the same investigative effort over the last 5 years that it put into investigating where the NASCAR museum funding was coming from over the last few months Delta wouldn’t have been able to make the stupid mistakes that it has made. Then again Delta, like the automobile dealers, is a huge advertiser for the AJC so free passes were to be expected. Just think if the AJC reporters put the same research effort into Delta back in 2000, 2001, 2002 or 2003 that it put into the cash till payday stores last winter I bet they wouldn’t be here now.

By Keith Aitken

September 14, 2005 09:58 PM | Link to this

Delta people are amongst the best you will ever meet. The financial tragedy is matched by the injustice to the majority of the company’s workers, who had no hand in this event. Delta made some major mistakes : 1/ Leo Mullins became CEO during extraordinarily difficult times but ignored company fiscal conservatism, accepting much greater debt than was sensible. 2/ The Mullins debt drowned DL in high interest payments, leaving no cash for the airline to buy price-hedged fuel at much lower prices. 3/ He also caved to pilot pay demands and work productivity rules in 2001, rules which were not commercially viable. Highly skilled work groups always demand adequate compensation by hard bargaining, but the pilots should have seen the financial writing on the wall. I have faith that Delta’s people will come back strong, but they face a couple of years of trauma. Good luck to all at Delta.

By FritzT

September 14, 2005 10:09 PM | Link to this

As a retired employee, I think that Delta’s problems started long before 9/11, and certainly the latest fuel crisis. To me, things really started to head south after the PanAm deal. I think that entirely too much is blamed on 9/11; Leo’s poor management in particular. Leo made Ron look like a saint. I hope that Leo, Michelle, Vicki, and the rest that took the money and ran can sleep well at night. Im just grateful that the Delta chapter in my life is over. It has been a real learning experience for me, Good Does Not Always Go Around.

By Jim Kennedy

September 14, 2005 10:13 PM | Link to this

What Delta is doing is legal. I’d much rather they file bankruptcy and still fly rather than die. To see Delta go away means that American and the other legacy carriers raise their prices astronomically.

Maybe Delta can develop a Southwest Airlines approach to air traffic. Rather than hub and spoke, they can offer short hops and long hauls in the same manner that Southwest does. They can also keep their planes on the ground for 30 minutes rather than 90 as they do now.

By Rebekahn

September 14, 2005 10:33 PM | Link to this

I’m upset. This is the second airline my parents have worked for that has gone under (Pan Am was the first). The first time, my parents lost their pension and now it’s happening to them a second time. It’s not fair that the people who have worked so hard for these big airlines have nothing to show for the years they’ve spent being loyal to them. Instead the big wigs get to walk away with their millions of dollars worth of golden parachutes and the working men and women get nothing but excuses for the mismanagement of the company. It’s disgusting and they shouldn’t be allowed to get away with it.

By Larry

September 14, 2005 11:05 PM | Link to this

I am a former ATL resident (not native) who couldn’t wait to get out of the city and move to a more enlightened place. Thankfully I am there. I used to fly Delta exclusively for over 10 years. That ended about 7 years ago when the behavior of the airline and it’s employees changed for the worse. Not only was the behavior of DL’s employees pretty ridiculous on ocassion, but so was the legal “theft” of millions of dollars in benefits and comp to it’s executives. It’s funny how things just get worse in ATL. The city, Coke, the state political situation, the educational system, and now Delta.

By Buhbyegrl

September 14, 2005 11:10 PM | Link to this

To anyone who is hiring: -I can make coffee and tea. -I can show you the exits. -I can work any time-zone. -I can say buh-bye to anyone with a smile even after working a 12-hr shift.

To my current management: Do you need to borrow my business management books from college?

See ya!

By Mikel

September 14, 2005 11:18 PM | Link to this

Well, at least AT&T found a sucker, er, ah, buyer for them after C. Michael Armstrong screwed them over before he left! Hey, maybe AirTran will buy them up, fire all the execs and make DAL profitable?

By rockytop

September 14, 2005 11:20 PM | Link to this

mgmt use to have employee/peasant meetings to find sound problems within our company. It,s been many years since for they no longer care what we the peasants think,we are merely to do never question the dictatorship that mighty Delta and its immortals hand down. Do as I SAY NOT AS I do. With such quality mgmt why are we in such financial instability. I say we do away w/ mgmt and allow me to come to work and do what I have been doing for 20 years.

By WirelessBuzz

September 14, 2005 11:32 PM | Link to this

Bravo to Willy! I had to read to the bottom of the blog to find someone here that gets it. Sure, the executives are highly paid, but that is supply and demand. Someone cannot just walk in off the street and run a a multibillion dollar company, especially in an ultracompetitive industry such as the airline business. What are your skills and experience in marketing, operations, finance, strategy, etc.? I am almost done with business school and I can at least identify those areas but even with basic, academic familiarity, those areas are complex enough alone, much less without considering their interactions. And when you get down to it, most of the people I know would not even know what half of that stuff is! So the executives are getting paid lots of money, but they have a very limited skill set that is needed to do that job. That is supply and demand. They did not just win the lottery, they worked hard, became highly educated, and climbed their way to the top. Between this point and some of the comments made, I am just amazed (but not surprised) at the basic lack of knowledge of many basic business concepts.

That being said, there is plenty of blame to go around. Are the executives blameless? Of course not. They failed to respond to a changing marketplace. Competition was forcing them to sell their service at prices similar to competitors with much lower cost structures. That is not a recipe for profitability. And why was that cost structure high? Part is because management failed to change their business model. On Delta now, you get a drink and a cereal bar (which frankly I think is a big improvement to the peanut/chex mix they used to serve!) versus a sandwich or even a meal and drink. Considering that almost all continental domestic flights are no more than five hours or so why do people think they need a meal on china on such a trip?? Everytime you drive from Atlanta to Jacksonville, do you stop and get a fine dining meal? No, the discounters like Southwest, AirTran and JetBlue figured out that that was a perk that people were willing to forego for a low fare. In other words, the customer just did not value those china plate meals that greatly. So management could have done a much better job responding to an evolving business environment. Just because things used to be done one way, does not mean that they will continue to do so.

However, on the cost front, there is almost enough blame to go to the pilots and their union that elevated pilot pay above fair market rates. AirTran does not pay the rates that Delta pays but has still found qualified avaiators to command their aircraft. In fact, though the union did agree to a pay cut (and Nancy I do not call having to drug kicking and screaming to it as bending over backwards) but they did resort to the thuggish tactics of an autoworkers union in their efforts to get their industry leading pay in the early part of the decade. Why do highly educated men and women such as airline pilots choose to act like the spoiled children that so many union types do with their sick-outs and silent treatment and such? Also, why do the pilots feel that in addition to their more than generous pay while they are working, that the airline should continue to pay them more than generous amounts via a pension when they have retired? There was a time in America when everyone seemed to have a pension. No longer. Perhaps they should familiarize themselves with the concept of a 401(k). I do not have a pension - I save for my own retirement and I have a much lower pay base to start with than do Delta pilots! Then, if that is not enough, their pension obligation will be foisted off onto the PCGB for others to cover! Sure, I would love to make what they make and I would love to not have to set aside money for retirement, but I am not going to threaten my employer with not working if I do not get my way. So I do not want to hear how the pilots are blameless, if not selfless in this bankruptcy. The rest of Delta’s employees have resisted the siren song of the unions and I applaud them for that but the pilots did not. So I lump more blame on them than the average non-pilot Delta employee.

So those who want to blame the pilots or the manangement alone, that is not fair, despite where your personal feelings are on their tactics actions. Together they should get about 80% of the blame and the other 20% would go to external shocks such as 9/11 and Katrina. I hope that Delta pulls through this for all the employees’ sakes (including the pilots and management). However, I also worry for the city of Atlanta. I do not think people appreciate the huge economic weight that could be placed on the city of Atlanta if it lost a major hub carrier such as Delta. Whether any other single airline would make the commitment that Delta has to this city is doubtful. And if that occurs, we would all lose in this bankruptcy.

By Celebrating!

September 14, 2005 11:51 PM | Link to this

HURRAH!!

It couldn’t have happened to a nicer airline! Your imperious attitude towards the flying public. Your games, gimmicks, and restrictions with your Frequent Flyer program. Your apparent price gouging on routes with little or no competition. And, worst of all, your willingness to fly a plane with empty seats rather than sell a ticket at the last moment for anything less than full fare. You, DELTA, are getting everything you deserve. Don’t look to the taxpayers you’ve been mauling for years for a bail out. Don’t look to me for any sympathy. Your demise is long overdue.

By Rebecca Stanley

September 14, 2005 11:55 PM | Link to this

My father was one of the first of Delta’s employees to retire with 40 years of company service. He was extremely proud to be a part of the “Delta Family” and could remember when C.E. Woolman did business with a gentlemen’s handshake. He loved the fact that the company that started out crop dusting still crop dusted until the ’50s/’60s. But most of all, he was proud of the fact that in spite of all the other airline’s woes, Delta was rock solid financially and never laid off their employees. I am in my early 50s and I can remember all of this too. I actually remember when they took “C & S” off the tail & flying on DC 3s. It is a sad day for the once financially strongest airline in the history of air travel to be reduced to this. My father, C.E. Woolman, Hoyt Fincher, Dave Garrett, Ray McCoy, Jack Vest, Jimmy Wall and thousands of other airline veterans all gave the best years of their lives to build this company. And our now “Me First” society has played a major role in it’s demise and it didn’t happen overnight. For the first time since my father’s death, I can truly say that I am glad he is not alive. If he was still alive this news would kill him!

By Andrew Kinder

September 15, 2005 12:03 AM | Link to this

I definitely feel a sense of sadness with this, despite its immenency for over a year. Having been born and raised in Atlanta I feel a special affinity for Coke, Delta, and other companies that call Atlanta home. Since I was 2 years old all I can remember is flying Delta, it was once my dream to become a Delta pilot. Now watching all of this from my university in California I can only hope for the best for the Delta employees and for the city. The airline certainly has my full support, I wont fly any company but Delta.

By Vickie Green

September 15, 2005 12:24 AM | Link to this

To all of those people writing in hoping the airline “goes under”, remember that what “goes around, comes around”! You may find yourself working for a company that one day files for Chapter 11. How horrible to wish this on hardworking individuals. Having gone through a layoff myself several years ago, I would not wish this on anyone. I wish Delta much success.

By Ron Ridgeway

September 15, 2005 01:35 AM | Link to this

It amazes me how everyone is complaining about the pilots not wanting to make more sacrifices. Lets be real, the employees in the plane front to back are Delta. Not the morons sitting in the big offices.

How can you expect the people that actually make the company what it is to take salary and benefit cuts while executives sit in offices, blow smoke up others butts in meetings, then earn millions of dollars. They proved they felt they were better than anyone else in Delta with their bankruptcy proof pension plan.

America will learn one year about these glorified executive salaries. Until then, more major companies will go belly up.

By Phil

September 15, 2005 02:10 AM | Link to this

Willy, Leo was made the “defacto leader” by the media, never the industry. His banker-style methods never worked in the airline industry. In fact, his continued borrowing and dumb acquistions (consider the ASA and Comair purchases), the selling of aircraft parts, gas station attendent public uniforms on FAs & ground crews, the selling of fuel hedges, aircraft purchases of hundreds of RJs, the building of a new terminal in Boston, etc., geez louise, this is a CEO of a major airline?

To me, as a commerical airline history buff, he seems more like Carl Icahn or Tom Plaskett.

Maybe Delta should have gone Chapter 11 four years ago, it might be profitable today.

By edward hart

September 15, 2005 02:29 AM | Link to this

I’ve read alot about the labor cost issue. Let’s put this into perspective: Southwest Airlines is a lowcost airline…the most successful airline domestically right now. Is everyone aware that their flight attendants are the hightest paid of any airline, and by far the highest paid. Are they aware that their pilots are now the hightest paid pilots? That should show you that a well run airline CAN pay their employees well, and still make a big profit! I am so sick of hearing the majors complain about their labor costs and cutting the front line employees job and pay to make up for their stupid management decisions. Delta’s main problem besides fuel costs is that they seem to take care of their own, meaning management….while they cut their real employees. The employees are the best thing they have going for them. they have always been the heart and soul of Delta,especially the flight attendants - the nicest and most service oriented in the industry. The management at Delta is now good…..but the previous management was terrible. All I know is that I fly many airlines all the time for business. I can honestly say that Delta flight attendants are the most professional and friendlist of any. The only bad customer service experience that I have ever had has been on the Delta connection - ASA. but, as far as the main delta jets, I have always been very pleased with the service. My advice to Delta is to take the Delta name off the ASA planes, and treat the flight attendants, gate agents right…cause they are your heart and soul of this airline - what will make or break you. Treat them right…don’t layoff or cut their pay….the customer and Delta will be rewarded in the end.

By g. haines

September 15, 2005 02:49 AM | Link to this

To what degree did Delta’s CFO and CEO body make financial consessions? If history proves correct, there has been numerous CFO’s and CEO’s who appeared to possessed a keen ability to read the writing on the wall while taking their fair share of retirement and compensation prior to the dramatic but well orchestrated bankruptcy. Another example of corporate pirates working their wonders upon a once noble corporation. G. Haines, Las Vegas, Nevada

By charlie in atlanta

September 15, 2005 06:35 AM | Link to this

Let them evaporate.

Anyone else who can’t operate a business shuts down, so why can’t Delta?

Top management could have taken a pay cut, but that’s not all they could have done to function as a business should.

No more of my tax money should be spent to bail out another airline. Period.

If you can’t cut it in the business world, someone else will.

Tough cookies. They mismanaged themselves into this situation.

Bye-bye!

By chuck beary

September 15, 2005 06:53 AM | Link to this

Let’s just say it made my day to hear that Delta finally got around to getting what it deserves. The first time I flew it was on Delta. I loved it. Delta was the best for a long time. Then in recent years Delta made flying hell on earth for the average traveler. For the last 3 years I have personally boycotted Delta just because of the way I was treated by them. If you treat people like cattle, they will respond in a hostile manner. It is a good day to see Delta find its comeuppance. Finally, karma has worked. Goodbye Delta

By Al

September 15, 2005 07:00 AM | Link to this

This is what happens when you have greed at the top and in the unions.

By Bob

September 15, 2005 07:09 AM | Link to this

I will continue to support my hometown airline. They are part of the heart and soul of Atlanta. The current executive team are dedicated, hardworking folks who have no contracts. They should not be paintd with the same brush as their greedy predecessors who left with golden parachutes. I wish the company well.

By David Niehaus

September 15, 2005 07:10 AM | Link to this

I think allen,mullins and the 25 ex’s with golden parachutes are responsible for sucking the cash cow dry.

People in these positions are suppose to be smart enough to keep the business strong and growing not ripping it off for personal gain.

Again the hard working people who come to work every day will take the heat and be blamed.

By Tina M. Aasen

September 15, 2005 07:22 AM | Link to this

It is hard to understand how Delta management can ask their pilots for more concessions in their contract after they have already exceeded by far any give backs by the other employee groups at Delta. In pay alone, the pilots took a 32.5% paycut, as compared to a 10% paycut for everyone else (including management). Maybe if Delta management had spent more time trying to make money, and less time working out how to wring more concessions out of pilots, they wouldn’t be in this situation. But then again, the management does not have as much to lose as the “rank and file” employee. Too bad.

By Snatch

September 15, 2005 07:48 AM | Link to this

I work for another major company in ATL and we’ve always known that all Delta Managers are complete idiots, and it’s really apparent when they come in for an interview. It took alot of hard work to destroy what was once a great company. But, this is free enterprise proving that well managed companies will thrive, while weaker managed companies will struggle. I hope the bankruptcy judge throws all of Delta management out, otherwise, they are destined for continued failure.

By Julia S

September 15, 2005 07:54 AM | Link to this

The airline is only a part of what is going on with the U.S. economy. Over many years the US has involved itself in the world’s problems and now this is coming back to haunt us with high gas prices, undeveloped resource, poorly educated children (as a whole)and many of our government agencies in the red. Watch and see other companies that we have long known will also become troubled as our airlines are. US are investing billions of US money into outside countries when the elected individuals are not looking in their own backyards first. US have always had the policy to be sticking “our” nose in other countries. WE NEED TO INVEST IN OUR OWN FIRST!

By Pat collins

September 15, 2005 08:31 AM | Link to this

When costs go up.. you HAVE TO RAISE PRICES. We love low fares but take a lesson from the gas stations. they aren’t still charging $1.50 when gas costs them more. Be Bold!!! Price services according to costs.

By Jon

September 15, 2005 08:37 AM | Link to this

Well, after management and the greedy pilots bled the company’s finances dry, what did you expect? I guess AirTran is now the major airline in ATL.

By Pat collins

September 15, 2005 08:38 AM | Link to this

Wouldn’t you know that someone writing comments would blame Georgush!!!?? Hilarious. I have flown Delta for 40 some years. Maybe it is because I am good looking and charming but I have NEVER been treated poorly or disrespectfully by Delta. I loved Delta all those years. Maybe when a company is losing money the biggies shouldn’t be rewarded like they were heros. Losers should be paid like losers. Pat Collins

By Fred C. Hutchins

September 15, 2005 08:43 AM | Link to this

Delta’s failure is a prime example of pathetic morons aka “executives” who are clueless when it comes to management. Worse yet are the thousands of big companies in this country that are being run by the same type.

By Kandi Fania

September 15, 2005 08:48 AM | Link to this

Tina Aasen wrote: in pay alone the pilots took a 32.5% paycut as compared to a 10% paycut for everyone else. The pilots actually have gotten raises 4 times and only one paycut. Essentially they got their last raise “taken back” when they took the 32.5% paycut, so their net loss it zero. The true “rank and file” employees have taken in that same time 2 paycuts (the last one was not 10% that was only actual pay, with the extra they had to pay out for medical/Dental benefits) the paycut came out to a net 24% loss. As well as they have not had any raises in the last 10 years. The only good thing that will come out of this is that the pilots “god complex” will be shattered. The “rank and file” employees will suffer greatly, most are living on the edge of their own bankruptcy after the last paycut. This is going to affect all of Atlanta, as the 20,000 employees will not be spending money in the community, affecting other businesses. As people are forced to move, schools lose money as their tax base is gone. Housing market is affected with foreclosed homes and those for sale. Look at the bigger picture before you criticize and say Yah Delta got what it deserved. The management, fuel costs, government style of favoritism in regulations for airlines and the passengers who are always demanding unreasonably cheap fares that are not inline with actual costs are to blame. Not the every day Delta employee that is your neighbor and just wants to exist.

By Swangirl

September 15, 2005 08:50 AM | Link to this

If I hear another whine about poor Delta pilots and their “sacrifices”, I am going to lose my breakfast.

By Jon, ERAU Graduate

September 15, 2005 08:56 AM | Link to this

I’m a former Delta employee and an AirTran stockholder before, during, and especially AFTER my employement. I saw Delta going down the tubes in 1996-98, and I knew AirTran and the other discount airlines would put Delta out of business.

Delta blames the terrorists, oil prices, the economy, and everything else, but what they don’t want to accept is Delta was losing money in 2000 before ANY of these things happened. And it stems from bad customer services, bad pricing, and other Delta controlable issues.

Delta’s demise also came about from management’s (Ron, Leo, and their cronies) desire to bleed Delta dry with their fat paychecks and protected benefits and the Delta pilots greed in waiting until the last minute to agree to miniscule pay cuts. Bravo Ron and Leo. As for the pilots, they may want to ask an Eastern or PanAm pilot what it’s like to tow the union line into the unemployment line…you can find many of them at AirTran bending over backwards to keep AirTran profitable today.

By RWH

September 15, 2005 08:57 AM | Link to this

Delta Airlines made a grave but good decision. At this time, we all face some very hard choices; but the hardest ones are the ones we must makde. High fuel cost…normally keeps Airlines from performing at its peak…they have to cut in places where it hurt the most! Restructuring as they continue to operate has it good and bad points for us, the consumers. What this will do for Delta will not make it any better carrier or provide its best services. Other Airlines will move on this and cause their shares and stock to peak. Delta will not maintain it rightful place in the Airline Industry. This is a changing of the guards in the Airlines arena. Delta employees will also adjust accordingly to make way for a new Delta…..fuel has to be cheaper if it is to continue to operate in the months to come. That’s Delta goals!e

By Sam Bigger

September 15, 2005 09:06 AM | Link to this

Delta, like the others, continues to try and out-do the rest with their services.

All folks want is to get where they are going in as much comfort as possible with a reasonable rate.

Especially with their International flights, one has to ride in First Class to be comfortable. Of course that is costly and the additional services are nice.

I would gladly ride coach if the seats were a little larger and the space was not co crampted. For a ten hour flight, coach is just not worth it and first class is too costly when I only want space—not service.

The airlines just can not get the message here, catering mostly to the financially well-off folks, mostly.

By Ashley

September 15, 2005 09:16 AM | Link to this

My dad has been a pilot for Delta for over 25 years. I think he’s one of the only adults I know who absolutely loves what he does. It breaks my heart to see him and others who love this company go through this. All my wishes go out to them and I hope that Delta will pull through. I want to see the smile on my dad’s face as he walks out the door to another adventure in the sky.

By Rick

September 15, 2005 09:28 AM | Link to this

Most of us dream of a six figure salary. Pilots need to get real and realize that $99,000 would not be a bad income for most famililies.

Pilots making over 100K per year and working 8 to 10 days per month with large pensions are hard to support in the competitive environment.

Many Atlantas in their 50’s are in job transition rather resting on high pay (admittedly cut 45% over the past year).

Times change and rearrange. Delta did not change as much as needed and a better mousetrap arrived. Pilots need to take a pay cut again.

By Ryan

September 15, 2005 09:30 AM | Link to this

Sorry Kevin but, Delta Pilots are not number one in pay. They are behind Southwest who actually makes money. Please do not spread misinformation.

By BOSFA

September 15, 2005 09:34 AM | Link to this

Management is solely to blame for this fiasco. Since 9/11 we have been trying to figure out what kind of airline we are, and in the process we have alienated our customers. We have taken away every customer amenity without defining ourselves as a low fare carrier. We employees have been told for 2 years about a “brand” that has never come to fruition. We are wandering aimlessly and for that management is to blame.

We are also lying to the public about the success of “Operation Clockwork.” Ask an agent in ATL who is responsible for rebooking the passengers we leave behind because we closed the door 10 minutes early, knowing they are coming in on one of our delayed flights and that there will be no protection for them for a day or two - How do the passengers like our customer service now?

Ask a flight attendant who has to apologize repeatedly (if we even bother anymore) for not having a pillow, or not having a magazine, or not having a meal on a transcon flight - How do the customers like our service? Oh and remember - that flight attendant has just worked a 14 hour day, following a 9 hour layover and followed by another one. And she’s been away from her family for 5 days straight because it’s the only way she can make her mortgage after the 35% cut in compensation. (NOT only 10%, as the spin has been reported.) So please forgive her if she’s having a hard time keeping her eyes open when she’s trying to console you.

And the pilots - the only unionized group at our carrier - who have taken a 35% pay cut, and will likely take more - tell him he makes too much money when YOU have to be away from your children for so long that you’re lucky to see them 5 times a month when they’re actually AWAKE. And when YOU have devoted a decade of your life earning pennies in the military to have the experience required for the majors (or after you’ve forked out $150K for flight school if you’re civilian) and have acquired the SKILL required to have the lives of hundreds of people in YOUR hands. But then, if it were easy, WE’D ALL be doing it.

I’ve seen this company treat our passengers in ways I thought I never would. Things that only happened at “other” carriers. And over the years morale has gone completely down the toilet, along with our pride for donning the uniform. Yet the company contends it bears no responsibility for changing employee morale - they say “Figure out why you need Delta and remember that.” So I guess we’re reduced to a bunch of miserable people who stick around for the insurance or whatever. Hey - if that’s what they want, that’s what they’ve got.

The market will determine ALL of our salaries now, and as a 16 year FA getting ready to take YET ANOTHER paycut and to move 15% closer to the bottom when we downsize, I’m outta here. I thought about why I needed Delta, and came to the conclusion I can find a crappy job anywhere - and can be home with my family. I wish you all luck and I hope someone can figure this mess of a company out.

By Otis Leroys

September 15, 2005 09:38 AM | Link to this

It isn’t that the gasoline crunch and 9/11 had a helping hand in Delta’s chapter eleven filing, but those two things contributed to Delta’s problems. Delta’s problems began about ten to twelve years back when the days of Ronald Allen was at control. What he did at the top would make any company start sliding down. Allen was the start of the problems. Leo Mullins only added more fuel to the fire. Grinstein on the other hand was doing his best to save the company. He tried profusely with concessions and job cuts, got rid of some areas like food and other perks. The biggest kicker probably was 9/11 and the gas crunch. We have the oil companies to thank for that debockle. That is a whole another story by itself. Delta will make a comeback, though it might take several years and small airline, but it will prevail. The discount carriers didn’t help the big boys by undercuting the fares. Airlines make a majority of their money by freight and the U.S. Postal Service. Passengers are a very small part of the revenue. Why do you think why the companies like UPS & Fedex prosper so well? Look at what carry. Getting back to Delta, more concessions are on the horizon for Delta. The p*** will suffer a little with reduced funds and some perks, Uncle Sam will probably kick in something, stock prices will start going up again, and the snowball effect will trigger other parts of the company to prosper providing the company’s management doesn’t create another Ron Allen line of thinking.

By jamie

September 15, 2005 09:52 AM | Link to this

This is to the people who wish delta’s downfall. If delta does fold just remember all the delta employees that includes me, having been at delta for 16 years, I will be the person who will not be purchasing what ever product or service your company offers so do not think that delta going under will not effect your company what ever it is. We are delta airlines we are 20,000 strong in atlanta. If and when we go under, what you have wished on us just might come back to bite you in the butt. When you think about making comments like that. You think about the fact what goes around comes around. I hope what ever company you work for you love enough to hang on, because guess what whatever happens it will effect your company too. These people I work with are not just my co-workers they are my family. You can’t always choose who your family members are going to be (upper managment) but family good or bad is what they are.I will always be proud to be a delta airline employee.

By Maria

September 15, 2005 09:55 AM | Link to this

May the Delta situation be an example to other company executives that corporate greed can hurt the company, employees, community and so, so, many others.

I wish that all pensions/bonus from the greedy executives would have to be returned.

But America only knows greed; look at its so-called leaders.

By Gene Bishop

September 15, 2005 10:15 AM | Link to this

This morning an former CEO of Continental Airlines stated that Delta’s labor costs equal about 40 to 45 percent of total operating costs. Further, for airlines making a profit the labor costs are more like 20 to 25 percent. Perhaps its too simple an answer, but it seems that serious adjustments to labor costs will have to be made. I have no idea what other operating corrections or updates are necessary. I only hope there will be goodwill in solving the problem….

By James

September 15, 2005 10:34 AM | Link to this

As much as anyone else I hate seeing Delta in the shape they’re in today. But, how can any company operate in the black when you have the spending habits Delta has had up until recently? They gave multi-million dollar bonuses to under performing outgoing CEOs, they recruited pilots from the Air Force Reserves with their high slaries that the Reserves could never compete with. If my tax dollars continue to go to help companies such as Delta stay afloat, then cap the salaries of the fat cat upper tier of management and when a CEO leaves the compnay, go to Target and buy a mid-range priced watch and say good-bye. You reap what you sow.

By Cindy, Suwanee

September 15, 2005 10:39 AM | Link to this

Unfortunately, Chapter 11 will affect only the hardworking lower and middle ranks at DELTA while those at the top continue to suck in their undeserved, ridiculous high pay. Those who are lucky enough to keep their jobs will be expected to perform twice the work for a pay cut while the oval office will rake in their usual bonuses and raises because they saved the company millions after laying off thousands of workers. …

By Richard

September 15, 2005 10:53 AM | Link to this

Every American industry with extraordinary wage agreements: steel, auto, and airline have not adapted to a more competitive market place. Many great folks at Delta, but the pilots work few days per month at extraordinary pay scales. When I flew weekly, I logged more hours than the Delta pilot flying me each month….then I got off the plane and went to work. Hope the pilots and fuel costs don’t sink them. The top management in the last ten years has not endeared themselves to anyone, employees, customers, or the investment community. Delta employees bought the company a plane only a few years ago. That was some kind of statement, don’t think that environment exists today. We need Delta, and Delta needs to be competitive.

By Pat Lovich

September 15, 2005 11:06 AM | Link to this

For a company that has been so successful (at least we thought so) to now be in this position leads me to think the books were “cooked” and/or the CEO’s, COO’s, and other top executives must have enjoyed tremendous cash bonuses. I’d start an investigation from the day of the start of the decline — the answers must be there! Pity to see this happen.

By K. Melvin Clark

September 15, 2005 11:08 AM | Link to this

DEREGULATION and incompetent past management. Deregulation started the downfall which was hastened along by incompetent or ineffective management lining their pockets while sliding down the hill. I believe Delta will survive, but it will be a cheap imitation of today’s low-cost, lousy service airlines.

By cindy wojie

September 15, 2005 11:09 AM | Link to this

Delta says the pilots gave concessions of 34%. Now let me see if I’ve got this right…You have pilot labor costs of 2 billion dollars prior to concessions. After concessions you have pilot labor costs of 1 billion dollars. That looks like 50% to me. You do the math……………

By chaz

September 15, 2005 11:20 AM | Link to this

Delta, Enron, WorldCom, etc.

It’s just the beginning!

Corporate America is creating a New World Order (and they own the Political System).

It won’t be long until everyone who isn’t a “former” executive is enjoying life at the expense of the new “indentured servitude”…

formerly known as the Working Class.

And you think your Vote actually counts!

Until the general populous gets off of their lazy behinds in front of the TV set and relinquish the general “entitlement” attitude that is rotting our society, America is soon to become “The late, great idea that once was.”

By andrew knight

September 15, 2005 11:22 AM | Link to this

Delta dealt with high fuel prices in the 90’s and survived. Delta began cost saving outsourcing in earnest in ‘95 long before 9/11. Two words describe their situation now…poor management. Does ayone remember Ron Allen and the Pan Am deal?

By Beverly

September 15, 2005 11:23 AM | Link to this

Delta Management dangled carrots (in the form of retirement packages) in front of employees to get them to retire and now they want to go back on their commitment. They should be allowed to turn their pension fund over to the government ONLY after they’ve sold off every plane, every computer, desk, etc., and turned off the lights. If they can’t keep their promise, I want my job back!! They’re still handing out promotions and have 3 people doing what 1 used to do. It’s nothing but pathetic management.

By Steve

September 15, 2005 11:59 AM | Link to this

I worked for Delta for close to five years, and in 2002 accepted a voluntary severance package. While i was at Delta all i ever heard was that Leo was a “genius” a “true leader” and “the best thing that ever happened to Delta”. Management idolized him and put him on a godlike pedastal. I blame the position Delta is now in solely on Leo and his cohorts….Vicky Escara, Tom Ried, Michelle Burns, and whatever other leeches were in his top tier. I remember that each of those employees spoke of such loyalty to Delta and now they are nowhere to be seen at the company. They got a multi-million dollar payout and are onto another company that is so “wonderful” and “great”. Leo, Vicky, Tom, Michelle…great job. You have driven an American icon into the ground.

By Henry Wentz

September 15, 2005 12:33 PM | Link to this

Delta will be back stronger and better than ever. I beleive the management and employees want to save the company for all concerned. They will restructure and serve the flying public for many years. May God Bless the employees during this time!

By Jim

September 15, 2005 12:35 PM | Link to this

My suggestion to all employees is to find another job now while they can and exit Delta. I am now losing my job because of another undermanaged Atlanta company that was in bankruptcy. Please if you are smart you will get out now.

By R.Dean

September 15, 2005 12:40 PM | Link to this

My business went through some hard times after 9/11 and for some reason the gov’t didn’t bail me out. If Delta cannot manage their business, then let them fail. Airlines are not utilities. They have overcharged for years, paid out millions in golden parachutes & didn’t change their business model when Americans wanted discounted airfares. It is sad that so many people will suffer, Delta will be missed!

By martin

September 15, 2005 01:06 PM | Link to this

I kept an AJC article from last fall stating that the only way was through bankruptcy. Somebody please explain the wait.

By Roy Carter

September 15, 2005 01:12 PM | Link to this

I agree with the writer who spoke about the New Corporate World Order. I have some friends that work for Delta and feel for them…those folk that have been there for 20-30 years can look to get the bad end of this deal. All those Union concession will be taken back plus interest! This is a sign of wealth and power changing hands back over to the wealthy…I was telling a friend that there are elitist fascist within our government disguised civic leaders. Judge Roberts like the great General Lee will lead the rise many spoke so eloquently about, except this isn’t just about regional order its about World order. God bless America…oops…can I still say that publicly?

By Rob

September 15, 2005 01:13 PM | Link to this

All of you people on the outside of Delta commenting negatively about one employee group or another need to keep your remarks to yourselves. None of you has any idea what has transpired within this company. My response to Lisa about the poor pilots taking a 45% pay reduction while the rest of the employees gave up a mere 10% is this. The pilots as a group are still the highest paid in the entire industry. Giving up nearly half of your salary would be difficult for anyone but I have a difficult time shedding a tear because some “poor” pilot had to sell one of his TWO vacation homes.

By Stuart Moring

September 15, 2005 01:15 PM | Link to this

It’s too bad this comes while Grinstein is making great moves to re-position a company that was struggling. The real culprits are Ron Allen who started down the wrong path and Leo Mullins who lined the pockets and pensions of his senior staff, while asking pilots and flight attendants to take less. They raped the company but probably are still drawing money even in bankruptcy. I don’t see any of them giving back money like Grinstein has done.

By margot

September 15, 2005 01:27 PM | Link to this

I worked for Delta for 20 years and am sad to see what is happening. I agree with many of the comments, executive greed, overpaid pilots, too much growth and mismanagement are all to blame. It seems to me that Delta will just fold into Song and become a low cost carrier. It can fire all its employees and start over with a different and lower pay scale. Its happening already, they have been recruiting flight attendants over to the “new” airline for 4 years. You want a job? Go to Song or leave. Am I the only one seeing that?

By Used Up

September 15, 2005 01:47 PM | Link to this

Millie said that the Mechanics want more money? She must have us confused with Northwest, we are told what our pay will be here at DAL. We are TOLD about cuts in pay, people and benefits. No one hears us but the people that are in the same boat as us.

By Vincent Yabnara

September 15, 2005 01:52 PM | Link to this

Grinstien led Western Air Lines on its downward spiral into the abyss of airline takeovers and now he did it again with Delta. No. It’s not all his fault, but don’t go blaming Ron Allen. Look to Mullin who Grinstien was instrumental in bringing in and now Grinstien himself. He is a two time loser!

All these big shots can get another job on a board or fall back on their cronies in high places. But us little retirees who swallowed the Delta Family hype for so many years and now depend on the retirement that we thought was safe, might have to try and get a job in our late sixties in order to pay for suplemental medical insurance…..which I am sure Delta will take from us as soon as they can.

Even as write this, there is probably some guy somewhere in ATL writing another Jerry letter to us retirees telling us how much we are appreciated and how much more we are going to be hurting soon. How do these guys sleep at night? Oh. I know. They screw another employee before they go to bed.

 

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