Delta Stock Up After Strong Holiday, New SeatsBy: Mike Fossum - January 9, 2014
Today Delta Air Lines announced that it will spend over $770 million through 2016 to refurbish 225 of its domestic narrowbody planes, including the Boeing 757-200, 737-800, Airbus A319 and A320 aircraft, bolstering its stock price after seeing a strong 2013 holiday.
Planned upgrades will include the addition of slim-line seats with adjustable headrests, power at every seat, restroom overhauls and upgraded galleys for better efficiency.
Delta, who was recently in the news for honoring a ticketing glitch which sold flights for extremely low fares, seeks to add more seats to the planes – 19 seats into the 757-200s, six on the A319s, and 10 on the A320s.
Glen Hauenstein, executive vice president and chief revenue officer, commented in a press release, “We’re continuing to make smart long-term investments in our products and services to meet the expectations of our customers. In just six years, we will have made updates to interiors throughout Delta’s fleet giving customers improved comfort and more options to work or relax and be entertained.”
More specific 757-200, 737-800 aircraft improvements include in-seat video, satellite TV and access to power for every passenger, as well as a 50% increase of overhead bin capacity. Delta’s A319 and A320 planes will receive new seats in both First Class and Economy cabins, with in-seat power throughout the aircraft. Updated, space-saving galleys, new heads, updated LED cabin lighting systems and a 60% increase of overhead bin capacity will also be included.
As of 2010, Delta’s slogan has been “Keep Climbing,” which is quite a change from its 2007 post-bankruptcy slogan of “Change Is:__________.” As of writing, Delta stock is hovering just below $30, up from just above $8 a year ago. Delta stock rose $1.20, or 4.3 percent, to $28.73 last Friday, after revealing that a measure of its revenue for December rose 10 percent, after a strong late Thanksgiving holiday.
Image via Wikimedia Commons.