
SkyWest (NASDAQ: SKYW) announced that it has entered into a Capacity Purchase Agreement (“CPA”) with Delta Air Lines (NYSE: DAL) to operate 19 new Embraer E175 dual-class regional jet aircraft. SkyWest has determined that these 19 E175 aircraft will be operated by SkyWest Airlines, Inc. a wholly-owned subsidiary of SkyWest. The CPA is under terms and conditions similar to SkyWest’s existing Delta agreements.
“SkyWest is a longtime Delta partner, and we’re pleased to advance our partnership with an additional aircraft type,” said Chip Childs, SkyWest, Inc. President. “As we continue to evolve our fleet mix, we look forward to continuing to deliver what our partners need through solid, reliable service.”
The aircraft will be flown in dual-class configuration of 76-seats, and will be equipped with Wi-Fi. Under the agreement, it is anticipated that delivery of the aircraft will begin in August 2016, with all 19 aircraft being delivered by mid-2017.
Street Insider
Delta Air Lines purchases slots at Heathrow

Delta has acquired six slots at London-Heathrow Airport from its joint venture partners Air France and KLM, slot pairs that Delta had previously leased from Air France and KLM.
By taking ownership of the slots, Delta will enhance its ability to provide long-term continuity and stability on the route network operated from London Heathrow with joint venture partner Virgin Atlantic Airways.
Delta and Virgin jointly operate 23 nonstop flights between Heathrow and the U.S. today, providing significant competition and choice for customers in one of the world’s most important travel markets, one which had previously been dominated by a single airline partnership.
Delta Air Lines
Richard Anderson “Different fare classes giving Delta a boost”
Delta CEO Richard Anderson said Wednesday the airline’s different travel options have given the company a boost.
“We do see people buying up from ‘basic economy’ into ‘economy plus,’ [from] ‘comfort plus’ and into business class,” Anderson told CNBC’s “Squawk Box.” “Our challenge is that we have to differentiate our product on the same airplane across the different segment of purchasers and that’s been quite successful.”
The airline retooled its fare classes earlier this year, which range from “basic economy” to “Delta One,” the airline’s top-tier fare class.
Anderson made his remarks after Delta posted earnings per share of $1.74 on revenue of $11.11 billion, beating analysts’ expectations. Wall Street expected the company to post earnings per share of $1.71 on revenue of $11.09 billion.
The airline also forecast that passenger unit revenue would fall 2.5 percent to 4.5 percent in the fourth quarter and reported a 4.9 percent drop in the third quarter for passenger unit revenue, which measures sales relative to the capacity and distance of flights.
In the second quarter, passenger unit revenue declined 4.6 percent.
Delta’s stock was up more than 2½ percent Wednesday morning.
CNBC
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