Delta Air Lines will announce today expanded international service that will make it the largest transatlantic carrier.
Delta, the No. 3 carrier in the U.S., will vault ahead of British Airways on transatlantic routes with the addition of 11 new Europe routes starting next spring.
“Delta is uniquely positioned to be successful in these (European) markets,” spokeswoman Chris Kelly said. “We can do it without purchasing new aircraft.”
Delta, which is in Chapter 11 bankruptcy reorganization, is expanding international flights in a bid to regain profitability by the end of 2007.
Traditional carriers such as Delta view foreign flying as an escape from the fierce price competition of discount airlines on domestic routes.
No. 2 United Airlines also expanded international flights in Chapter 11. United’s goal is to generate half its revenue from international routes.
Delta executives want 35 percent of revenue to come from international flights, up from about 20 percent.
To expand international flying capacity by 25 percent next year, Delta is sharply cutting flights within the U.S. and moving some of its biggest jets to transatlantic routes.
Delta said it would shift eight Boeing 767-400 wide-bodied aircraft to its transatlantic routes. By contrast, several domestic carriers, including American and Continental, operate narrow-bodied Boeing 757 jets on some of their international routes.
The new routes involve New York’s John F. Kennedy International Airport and Delta’s home base of Atlanta. The routes will link those airports to the United Kingdom, France, Italy, Greece, Russia and elsewhere. Delta earlier announced spring starts for new routes to Israel, Germany and Denmark.
“International markets have had far better pricing power than domestic markets,” said Michael S. Allen, chief operating officer of Back Aviation, a New Haven, Conn., consulting firm.
Delta’s domestic pullback won’t include its low-fare unit, Song. In December, Song will have expanded its flights by 27 percent year over year, according to a USA Today analysis.
Some Delta mainline flights that compete mainly against low-fare carriers are being transferred to Song.
As Delta’s regular domestic flight schedules shrink, several airports – including Chicago Midway, Philadelphia, St. Louis, Milwaukee and Tulsa, Okla. – are seeing service by full-size Delta jets reduced or eliminated.
