Dahlman Rose Comments On Delta Air Lines (DAL)

Dahlman Rose provided color on Delta Air Lines DAL in a research report published today. Dahlman Rose has previously given Delta Air Lines a Hold rating. In the report, Dahlman Rose states, "Management indicated on its earnings release conference call that over-capacity in the Trans-Atlantic hurt first quarter growth. Management expects to reduce trans-Atlantic capacity by 8%-10% in 2H11 to try to maintain higher ticket prices. The goal is to be profitable year-round, rather than the norm of losing money in 1Q/4Q and making money in 2Q/3Q. Delta expects to reduce consolidated capacity by 4%. If jet fuel costs continue to rise, management will further reduce capacity in the Trans-Atlantic." Shares of Delta Air Lines were trading at $9.94 at the time of posting, up 10.44% from Monday's market close.