- Delta Air Lines Inc announced a new $5 billion share buyback program and raised its quar

[mitty14u2]

Source: (Reuters

Delta Air Lines approves $5 billion buyback plan, hikes dividend

(Reuters) - Delta Air Lines Inc announced a new $5 billion share buyback program and raised its quarterly dividend, aimed at returning more than $6 billion to shareholders through 2017.

Delta shares rose 2.6 percent to $47.30 in trading before the bell on Wednesday.

The company raised its quarterly dividend to 13.5 cents per share from 9 cents, effective from the third quarter.



Read more: http://www.businessinsider.com/r-delta-air-lines-approves-5-billion-buyback-plan-hikes-dividend-2015-5

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How We Pay $3,700 Per Passenger to Subsidize Airline Tickets

Every day in 22 cities around the country, commuter planes take off with so few passengers that the pilots and crew outnumber the passengers. Each passenger pays a fare that’s less than $100. However, the federal government subsidizes the rest of the cost and pays airlines as much as $3,700 for each person on board.

The controversial subsidy program is called Essential Air Services. It was enacted by Congress in 1978 as a “temporary” measure to help rural communities that were facing the loss of air travel when small airports were to be closed due to airline deregulation.

Instead, Congress has temporarily extended the program 21 times over the last 33 years. The 22nd extension, lasting to January, was passed last week by the Senate.

http://pjmedia.com/blog/how-we-pay-3700-per-passenger-to-subsidize-airline-tickets/

Casey: House Plan to Gut Amtrak Budget By 1/3 Will Hurt PA Jobs, Economy PA 7/8/13

http://www.casey.senate.gov/newsroom/releases/casey-house-plan-to-gut-amtrak-budget-by-1/3-will-hurt-pa-jobs-economy

Republican Congress Just Proposed $300M Cut In Amtrak Funding

http://crooksandliars.com/2015/05/republican-congress-just-proposed-300m-cut

(R)Gov. Illinois cut Amtrak trains as ridership is climbing

http://www.chicagotribune.com/news/local/breaking/chi-rauner-budget-would-cut-amtrak-trains-as-ridership-is-climbing-20150302-story.html

Privatize Amtrak so Prices go Up for Passengers just like airlines as fuel prices go down as Monopolies take over!

[cstanleytech]

1. I have always thought it stupid as hell for them to keep screwing over AMTRAK in favor of

airlines when in the long term without oil most if not all of those birds wont be flying where as trains can be built to run on a number of alternative fuels.

[SoapBox]

2. I haven't seen an empty see on a flight, big or small aircraft in ages.

The airlines have fare level setting and feeding down to a science.

p.s...The PJ Media article is from 2011...it's ancient history. I would like to see and hear detail of what's going on today.

[Mojorabbit]

3. I owned stock in Delta years ago

they declared bankruptcy, my stock was then worthless, then they reopened and sold new stock. I still have the worthless certificate.

[mrdmk]

4. You will love to read this

And if you're a cynic when it comes to giving federal tax dollars to private businesses like airlines, consider this: At least one airline is demanding more EAS subsidies. Two weeks ago, Delta Air Lines announced it would "adjust" flying into 24 small markets, most of them subsidized by the Essential Air Service. It claimed load factors were too low to be profitable, especially since Delta and its commuter carriers were planning to retire the smaller aircraft that service the routes.

But Delta tipped its hand. It might be willing to continue flying to those cities, the company said, but the government would have to pay up. "The subsidy rate must be higher in order for Delta to fly on the routes in question."

Delta, based in Atlanta, apparently doesn't understand exactly what's happening in Washington these days.
The Fine Print…

As Delta's barely disguised greenmail attempt shows, entrenched political interests aren't the only reason why the Essential Air Service has survived more than 20 years past its initial expiration date. Although airlines often claim they lose money on EAS flights, they make their financial case based strictly on the point-to-point revenue that the EAS flights generate. In fact, most passengers on EAS flights connect to a hub airport and then pay the airline for other flights to non-EAS destinations. In other words, taxpayer subsidies are used to deliver paying customers to the airline's major hubs.

link for this part of the article: http://www.bizjournals.com/bizjournals/blog/seat2B/2011/07/budget-fight-hits-faa-and-essential-air-service.html?page=5

link for the entire article: http://www.bizjournals.com/bizjournals/blog/seat2B/2011/07/budget-fight-hits-faa-and-essential-air-service.html