Airline behemoth Delta Air Lines, Inc. DAL is constantly adding to its services in a bid to improve customer satisfaction. In its latest move, Delta has decided to upgrade its operations between New York's John F. Kennedy (JFK) International Airport and prime destinations in the West Coast viz. Los Angeles (LAX) and San Francisco (SFO).
The Atlanta GA-based carrier stated it will add one daily service to its current operational number of nine flights on the JFK-LAX route from Nov 2015.
Delta further said that while four flights will be operated using Boeing 767 wide-body aircraft, refurbished Boeing 757 planes will be utilized for the remaining six flights on the route. These planes, equipped with modern user-friendly facilities, should further boost customer satisfaction for fliers on this popular route.
Moreover, Delta stated that it intends to utilize Boeing 767 wide-body aircraft for three of the eight daily flights it operates on the JFK-SFO route, from November. In the event of the move materializing, Delta will be the sole carrier to provide wide-body aircraft service on the two key domestic routes.
The move to boost transcontinental capacity from JFK using wide-body planes will see Delta offering more seats than any other carrier on the said key routes. We note that Delta has already made significant investments at the JFK and LAX airports to improve its service. The current announcements to upgrade coast-to-coast service are in line with the above objective. It will be interesting to see whether rivals like American Airlines Group AAL follow suite post Delta’s announcement to boost capacity at JFK.
Meanwhile, Delta was also in the news recently when its row with Southwest Airlines LUV over gates at the Dallas Love Field airport was settled, albeit temporarily. Southwest has agreed to let Delta operate out of the airport for the time being. However, a long-term solution to the problem is awaited.
Zacks Rank
Delta currently carries a Zacks Rank #3 (Hold). A stock worth considering in the airline space is Deutsche Lufthansa Aktiengesellschaft DLAKY with a Zacks Rank #1 (Strong Buy).
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