Looks like Delta Air Lines is not in crisis as they splurge $3 billion on Airbus planes. – Idaho Reporter

DAL, Markets, NYSE

Looks like Delta Air Lines is not in crisis as they splurge $3 billion on Airbus planes.

On February 29th, the Latin American airline (Latam Airlines) company had an order for 25 of A350. However, this number had fallen to just 15 by the time this month hit. In a latest report”industry sources” told Reuters that Delta jumped in to take over that order and looks like 10 A 350 Airbus wide-body airliners are going to Atlanta International Airport.

These are the same 10 airlines that got cancelled from Latam Airlines Group a month ago.

Delta Air Lines, one of 3 biggest U.S. airlines, is reportedly buying 10 Airbus A350 jetliners . Price tag? Acording to list prices,roughly $3 billion.

Shares of Delta Air Lines (NYSE:DAL) opened at $23.99 on Tuesday. The company has a market capitalization of $ 15.94B , price-to-earnings ratio of 3.41 and EPS of 7.33 . Delta has a 52 week low of $19.10 and a 52 week high of $63.44.

2 Comments

  1. Arunabh

    This was part of an earlier deal between Delta and LATAM, and predates the coronavirus pandemic. Further, airlines do not pay manufacturers any amount even remotely close to the list prices as significant discounts are customary. Additionally, they pay only a deposit to the tune of 1-2% of the actual order value (which can still amount to a lot in absolute terms) at the time of the order, and the bulk of the payments are made in a staggered manner during deliveries. Plus, Delta can also negotiates terms with Airbus, especially during a crisis period.

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