Delta to Park Planes and Reduce Capacity By Up to 25% Due to Coronavirus Outbreak

By Jesse Sokolow on 10 March 2020
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Delta Air Lines said Tuesday it would reduce system capacity by up to 25% to account for the reduced demand due to the coronavirus outbreak.   It is also parking aircraft and considering the early retirement of some older airliners.

The airline will reduce international capacity by 20% to 25% and domestic by 10% to 15%.  Delta said it has also instituted a hiring freeze and is offering voluntary leave options.

“As the virus has spread, we have seen a decline in demand across all entities, and we are taking decisive action to also protect Delta’s financial position,” said Ed Bastian, the airline’s president.

The reductions include a 65% reduction in its Pacific division, which accounts for 6% of total revenue, a 15% to 20% reduction in its transatlantic division, which accounts for 15% of revenue, a 10% to 15% reduction in its domestic service, which accounts for 72% of revenue, and a 5% reduction in service to Latin America, which accounts for 7% of revenue.

The Atlanta-based airline said it will make additional adjustments to capacity as demand changes.

(Photo: Accura Media Group)

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