Delta to sell 38 Boeings but orders 10 more

[Pieter C. 5]

Delta To Sell 38 Boeings, Orders 10 More

 

December 7, 2006

Delta Air Lines said on Thursday it will sell 38 Boeing 737-800 planes after delivery as part of its bankruptcy, but that it will order 10 more 737-700 planes and convert an existing order of five planes to longer-range aircraft to match its restructuring plans.

 

Delta, which has been operating under bankruptcy protection since September 2005, said it has agreed to sell 15 Boeing 737-800 aircraft to Aviation Capital Group, the leasing company of Pacific LifeCorp., and 23 planes to Babcock & Brown Aviation Finance.

 

Delta said that it would order 10 Boeing 737-700 aircraft and convert five firm orders for 777-200ERs to longer-range 777-200LRs.

 

The company said the moves will enable it to expand internationally and fly new routes. The transactions are subject to bankruptcy court approval. The company reiterated that it plans to emerge from bankruptcy in the first half of 2007 as an independent carrier. US Airways is trying to buy the company.

 

Delta said it would provide more guidance on fleet plans in its reorganization plan to be filed later this month. Delta said it has booked USD$400 million in fleet savings out of a projected USD$450 million.

 

Delta agreed in December of 2005 to sell 10 Boeing planes to CIT Group after delivery, due to start in 2007.

 

(Reuters)

 

777's are still selling as 'hot cakes'

AFAIK 737-700's are a 1st for DL ?