Originally Posted by oldAGE

That's fine if you subscribe to the standard Wall Street take of "success" and Airline Carrier credo of "...everyone at the top is cared for..." Is Delta anymore successful today than they were 10 years ago? Just because two powerhouse carriers merged means that the CEO benefits? It's just like the days of VPs and CEOs going from Carrier to Carrier and leaving the carnage in their wake. It's the same old measuring stick with no "value add" provided. Shareholder value is a very temporary milestone.

Ultimately, what wins the war is safety record (one "Oh Sh8t" will wipe out 10 "Attaboys"), quality of the product, and repeat customers outside of the stickiness of their frequent flyer perks. Increasing "revenue," not only the bottom line is what will be most important.

The fact that Delta and all the other airlines had hedged fuel costs for the past two years means that their bottom line could look stellar. Beating the unions and other workers compensation to death may make the bottom line look stellar. With the added revenues of charging for just about everything and all the cost savings could make the bottom line look stellar.... But how do you make that last if fuel costs rise, there are not many more revenue opportunities in a flight to milk, and the employee base is not all that happy... So, you Skymile fans -- how is Delta treating you these days putting aside the attention grabbing shiny card?

I can tell you this, their price point is better than my preferred carrier and for the most part, their on-time performance seems to be no better or worse and their safety record is on par. But I still use my preferred carrier more often because it provides me leverage when I need it most. So, yes... Elite status does play a role in revenue guarantees. And I don't mean upgrades... I mean quality of treatment in good times and in bad times. And it is of HUGE value in bad times.

So, I say the jury is still out for a 42% increase in compensation while the people in the trenches see less than cost of living increases... if that.

AGE