Recovery Report: Delta Air Lines Inc.'s Recovery Rating Profile May 12
- ID: 2164679
- May 2012
- Standard & Poors
Standard & Poor's Ratings Services has affirmed its issue and recovery ratings on Atlanta-based Delta Air Lines Inc.'s first- and second-lien credit facilities. We simulate a default in 2014 given significant industry challenges due to soaring jet fuel prices, a severe global slowdown, or a shock to the U.S. or global aviation system (such as major terrorism or a global epidemic). We believe that if Delta defaulted, a viable business model would most likely remain, given its sizable aircraft fleet, extensive global route network, and landing slots and gates. Delta merged with Northwest Airlines Corp. effective Oct. 29, 2008, with Delta the surviving entity and Northwest operating as a subsidiary of Delta. The airlines fully integrated in December 2009. Both...
Companies mentioned in this report are:
- Delta Air Lines Inc.
- Northwest Airlines Corp.
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