By Lisa Barrington and Rajesh Kumar Singh
DUBAI (Reuters) -Delta Air Strains is operating its largest ever transatlantic schedule this 12 months because it sees wholesome journey demand, particularly on worldwide routes, senior executives mentioned on Saturday.
Delta, one of many largest U.S. airways, has forecast document excessive second-quarter income due to buoyant demand for spring and summer season journey.
“Summer’s progressing strongly and demand is quite healthy,” CEO Ed Bastian informed reporters.
“Demand is growing faster internationally than it is domestically, and Delta is very well positioned to take advantage of that with its partners,” Bastian added.
Delta says customers are spending on experiences with journey a high precedence after the pandemic.
Demand is especially robust for premium journey, benefiting carriers like Delta.
“We have now seen continued power by means of the spring to early summer season … our worldwide enterprise is kind of robust,” Delta President Glen Hauenstein told reporters.
Rival American Airlines (NASDAQ:), however, said this week there was still excess seat capacity in the domestic market, resulting in discounting pressure.
U.S. carriers have plans to further moderate capacity in the second half of the year, which airline executives say will underpin the industry’s pricing power.
BOEING
Delta operates a large mixed fleet including planes from Airbus and Boeing (NYSE:), which is engulfed in a quality and corporate crisis.
Bastian said Delta is “inspired” by steps Boeing is taking with management changes and other adjustments at the company.
“I am assured we’ll see enchancment,” Bastian said, adding Delta was still committed to its order for Boeing 737 MAX 10 jets.
Delta currently does not fly any version of the Boeing MAX but has MAX 10s on order for delivery next year. The MAX 10 – the largest version of Boeing’s best-selling narrowbody jet – is still awaiting certification by the U.S. Federal Aviation Administration (FAA).
A January mid-air cabin panel blowout on an Alaska Airlines MAX 9 flight has placed a question mark over the certification.
Rival United Airlines has asked Boeing to stop producing MAX 10 for it and has converted a portion of its order to the MAX 9.
Bastian mentioned Delta has no plans “at this point” to swap the MAX 10 for one more mannequin, including he hopes the adjustments being made at Boeing will enable it to make progress on constructing the MAX 10.
“We are scheduled to receive them next year, I don’t anticipate seeing them for quite some time,” he mentioned.