Delta Orders $2 Billion in Douglas Jets
ATLANTA — Delta Air Lines announced today that it will buy 80 new high-tech McDonnell-Douglas airplanes for up to $2 billion in what it called “one of the most significant” equipment purchases in its 57-year history.
The announcement came on the same day that the Atlanta-based airline reported a 39% drop in net income for 1985, from $258.6 million in 1984 to $156.8 million. In the last quarter of 1985, net income totaled $1.9 million, or 5 cents a share, down 97% from $73.9 million, or $1.85 a share, in the last quarter of 1984.
The new MD-88 aircraft will be used to expand operations at Delta’s hubs in Atlanta, Dallas-Fort Worth and Cincinnati and also will be used on other short- and medium-range flights, the airline said.
All-Weather Equipment
The planes, which will seat 142 passengers each in rows of two and three, will carry state-of-the-art all-weather landing equipment and electronic cockpit instrument displays. Delivery of the planes is scheduled to begin in early 1987.
“This new MD-88 fits well into our continuing fleet modernization program,” said Delta Chairman David C. Garrett Jr. “We must plan now for aircraft which will exemplify the up-to-the-minute technology necessary for our company’s continuing growth.”
The company had also considered the 128-passenger Boeing 737-300 but decided on the MD-88, officials said.
“The MD-88 aircraft will provide maximum levels of passenger safety, comfort, convenience and schedule reliability,” Garrett said, adding that the planes are fuel-efficient and exceed federal environmental standards.
Delta blamed the downturn in its 1985 income on fare wars between the nation’s airlines.
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