Delta Air Lines Pays $313 Million in Profit Sharing to Employees
ATLANTA, Feb. 14, 2011
ATLANTA, Feb. 14, 2011 /PRNewswire/ -- Delta Air Lines (NYSE: DAL) today issued the following memo from CEO Richard Anderson to its more than 80,000 employees worldwide.
Delta Colleagues Worldwide
Sharing our success every step of the way
Congratulations and thank you! Today Delta is paying out $313 million in profit sharing – a direct result of your hard work and dedication that enabled Delta to record a $1.4 billion profit for 2010. We continue to deliver on our commitment to share Delta's successes with those who make it possible.
Profit sharing is not a one-time payout. Instead, it is part of your total compensation that includes a competitive package of pay, benefits and work rules along with additional opportunities to earn more when the company performs well. This year's profit sharing continues the momentum that we've gained during the last four years, enabling continued investments in our people:
- Coming out of bankruptcy in 2007, Delta employees received $1 billion in incentives and improved compensation and benefit programs.
- For our strong financial performance in 2007, employees earned $158 million in profit sharing.
- As a testament to the airline we would build together, Delta employees were granted 15% equity in the combined company following the close of the merger in 2008, valued at approximately $900 million at the time of distribution.
- For solid operational performance in 2009, Delta people earned approximately $66 million through monthly operational performance bonuses.
- For three consecutive years, Delta increased base pay for frontline people, making good on a pre-merger promise to bring Delta base pay rates to industry-standard by the end of 2010.
- And today, as a direct reflection of your hard work and our merger's success, we are sharing the largest profit sharing payout in our airline's history.
During the toughest of economic times this industry has faced, we kept our deals. When other major airlines were announcing involuntary furloughs, outsourcing and hiring freezes – Delta kept its commitment to no frontline involuntary furloughs as a result of the merger; we were bringing Reservations jobs back to the U.S.; we were insourcing in TechOps, Cargo and Airport Customer Service; and, in the last year alone, we added more than 4,000 new frontline jobs.
In 2010, we completed virtually all our merger integration, expanded our global network, strengthened our industry-leading joint venture and alliance relationships, and began a massive investment in our product and the technology that supports the way we do business every day. Our progress has been remarkable.
I hope you'll all take some time today to celebrate with one another. We're proud of what you've achieved. And, in addition to celebrations your leaders are hosting today across the system, full-page advertisements in USA Today, the Minneapolis Star Tribune, the Detroit Free Press and the Atlanta Journal-Constitution newspapers salute you, the best employees in the world.
It's a good time to be at Delta Air Lines. Our plan is working and while we have a great deal of work ahead of us, our opportunities are tremendous. With the dedication and determination of Delta people, I have no doubt we'll successfully face the challenges of 2011.
Thank you for all you do for Delta every day.
About Delta Air Lines
Delta Air Lines serves more than 160 million customers each year. With an industry-leading global network, Delta and the Delta Connection carriers offer service to 357 destinations in 66 countries on six continents. Headquartered in Atlanta, Delta employs more than 75,000 employees worldwide and operates a mainline fleet of more than 700 aircraft. A founding member of the SkyTeam global alliance, Delta participates in the industry's leading trans-Atlantic joint venture with Air France-KLM and Alitalia. Including its worldwide alliance partners, Delta offers customers more than 13,000 daily flights, with hubs in Amsterdam, Atlanta, Cincinnati, Detroit, Memphis, Minneapolis-St. Paul, New York-JFK, Paris-Charles de Gaulle, Salt Lake City and Tokyo-Narita. The airline's service includes the SkyMiles frequent flier program, the world's largest airline loyalty program; the award-winning BusinessElite service; and more than 50 Delta Sky Clubs in airports worldwide. Delta is investing more than $2 billion through 2013 in airport facilities and global products, services and technology to enhance the customer experience in the air and on the ground. Customers can check in for flights, print boarding passes, check bags and review flight status at delta.com.
SOURCE Delta Air Lines