Delta announced some fairly dark news today — including flight cuts, pay reductions, revenue projections, and Sky Club closures.
CEO Ed Bastian wrote, “Revenue for the month of March is now expected to decline by almost $2 billion over last year, with our projection for April falling even more.”
Yikes.
He said the airline will reduce capacity by 70% systemwide until demand increases. International operations will see an 80% reduction. Delta will close most Sky Clubs, though he didn’t elaborate will lounges will remain open.
Mr. Bastian previously announced he eliminated his own salary for the next six months (bravo!). He also wrote today that Delta’s Board of Directors decided to forfeit their compensation for that period, as well. In addition, all Delta officers are taking a 50% pay hit through June 30; directors and managing directors will see a 25% pay reduction through June, as well.
Ugh.
— Chris
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I figured it was only a matter of time until Sky Clubs started closing, but I am very interested to know which ones, and which airports will still have some open. Hopefully that will be public soon.
Curious about the obvious, but with DL extending expiration of virtually every other customer aspect, are they extending active SkyClub memberships as well?
Or, by keeping a couple clubs open, but not sharing the location, you theoretically have opportunity to use it *if* you happen to fly through that airport, so the membership clock continues ticking against the customer? They really missed the customer communications mark on this announcement 🙁
I would say that there should be an extension of membership, including Delta Reserve Membership, for a period of time that is appropriate, which we won’t know until after this episode is behind us.
IMO a SkyClub, airplane or airport are not places to be. Covid-19 is everywhere and it is invisible. Asymptomatic individuals are transmitting it. I think airlines should volunteer to do whatever they can, if anything, to get supplies where they are needed.
Certainly not suggesting anyone go forth and travel the world right now.
But when most folks are hunkered down and/or not permitted to travel for health or work travel restrictions right now, and the airlines acknowledge this by extending other customer deadlines, it makes me rather suspect with DL keeping a couple clubs open and also making no mention of extending club memberships…just seems like a very deliberate move to position for “SkyClubs were still open and available for member use, you chose to not use them.”
On the positive side of things – DL has automatically extended dates of expiring RUC and Companion certificates. Yea!