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Delta Air Lines may file for bankruptcy
www.chinaview.cn 2004-05-11 08:19:40

    WASHINGTON, May 10 (Xinhuanet) -- Delta Air Lines said on Monday that it may have to file for bankruptcy if it does not get significant concession of wage cuts from its pilots.

    "If we cannot achieve a competitive cost structure, regain sustained profitability and access the capital markets on acceptable terms, we will need to pursue alternative courses of action ... including the possibility of seeking to restructure ourcosts under Chapter 11," the airline said in its quarterly report to the Securities and Exchange Commission.

    The company, based in Atlanta, Georgia, has said repeatedly that it would fight to avoid bankruptcy and has been cautious in the words it uses when discussing the possibility of bankruptcy.

    The company is seeking a 30 percent pay cut from pilots who areoffering only 9 percent. Talks have been dragging on over the pastyear without major breakthrough.

    Delta is the third largest airline in the United States and haslost more than 3 billion dollars in the last three years. It also lost 387 million dollars in the first quarter of this year. Enditem

    

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