Delta Air Lines, Inc. · NYSE:DAL

Delta Air Lines — Baird 2020 Global Industrial Conference

13 slides from Delta Air Lines's conference presentation, Nov 10, 2020

  1. Slide 1: Delta Air Lines – Baird 2020 Global Industrial Conference

    Delta Air Lines Baird 2020 Global Industrial Conference Jill Greer – Vice President of Investor Relations Ken Morge – Vice President and Treasurer November 10, 2020

  2. Slide 2: Forward-looking Statement Disclaimer

    Forward-looking Statement Disclaimer Statements in this presentation that are not historical facts, including statements regarding our estimates, expectations, beliefs, intentions, projections or strategies for the future, may be "forward-looking statements" as defined in the Private Securities Liti

  3. Slide 3: Current Environment

    Current Environment • Steady but stable recovery in demand ‒ Anticipated revenue down 65 to 70% in the December quarter ‒ Capacity projected down 40 to 45% in the December quarter versus prior year, with sellable capacity down approximately 60% when factoring in seat blocks • Cash burn expected to i

  4. Slide 4: Crisis Response Focused on Three Priorities

    Crisis Response Focused on Three Priorities Secure Our Liquidity Rebuild The Airline’s Focus On The Customer Position Foundation For Recovery ‒ Strong access to the capital ‒ Dedicated to protecting the ‒ Streamlining the airline to markets allowed Delta to health and safety of our remove inefficien

  5. Slide 5: Secure Our Liquidity Position

    Secure Our Liquidity Position Quarter End Liquidity Average Daily Cash Burn ‒ Raised more than $25 billion in financings in 2020 End of $21.6B March 2Q20 3Q20 4Q20E ‒ Adjusted net debt as of September quarter up $6.5 billion compared to year- ~$16.0B end 2019 $(10)M $15.7B - $(12)M ‒ Reduced operati

  6. Slide 6: Focus on the Customer

    Focus on the Customer Health and Safety Measures Net Promoter Score ‒ Industry-leading health and safety measures align with best practices ‒ Domestic NPS achieved record levels, up 22 points studied by Harvard and the Department of Defense versus prior year as we focus on the consumer ‒ Partnered w

  7. Slide 7: Rebuild the Airline’s Foundation for Recovery

    Rebuild the Airline’s Foundation for Recovery Restoring the Network Fleet Simplification ‒ Restoring the domestic network to align with customer demand, ‒ Undergoing a fleet restructuring to accelerate our long-term utilizing our core hubs vision of simplification, gauge growth and next gen technolo

  8. Slide 8: Long-Term Opportunity Intact Despite Near-Term Challenges

    Long-Term Opportunity Intact Despite Near-Term Challenges Powerful Brand Unmatched Strong Partner Proven Track Record With Industry- Competitive Portfolio and of Execution & Leading Returns Advantages Global Scale Reinvestment Commitment to Carbon Neutrality and Environmental Sustainability 7

  9. Slide 9: Q&A

    Non-GAAP Reconciliations Q&A 8

  10. Slide 10: Non-GAAP Reconciliations

    Non-GAAP Reconciliations Non-GAAP Financial Measures The following tables show reconciliations of non-GAAP financial measures. The reasons Delta uses these measures are described below. Reconciliations may not calculate due to rounding. Delta sometimes uses information ("non-GAAP financial measures"

  11. Slide 11: Non-GAAP Reconciliations: Adjusted Net Debt

    Non-GAAP Reconciliations Adjusted Net Debt Delta uses adjusted total debt, including aircraft rent, in addition to adjusted debt and finance leases, to present estimated financial obligations. Delta reduces adjusted total debt by cash, cash equivalents and short-term investments, and LGA restricted

  12. Slide 12: Non-GAAP Reconciliations: Operating Expense, Adjusted

    Non-GAAP Reconciliations Operating Expense, Adjusted In the current year periods, operating expense, adjusted excludes the following items directly related to the impact of COVID-19 and our response: Restructuring charges. We recognized $5.3 billion and $2.5 billion of restructuring charges followin

  13. Slide 13: Non-GAAP Reconciliations: Cash Burn

    Non-GAAP Reconciliations Cash Burn We present cash burn because management believes this metric is helpful to investors to evaluate the company's ability to maintain liquidity and return to cash generation. The company defines cash burn as net cash from operating activities and net cash used in inve

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