Analysis and discussion of issues that impact business

So, is this good news or bad news?

Delta Air Lines Inc., the nation’s third-largest carrier, reported Wednesday a wider second-quarter loss of $2.21 billion even as higher ticket prices and fuller planes drove up revenue.

But excluding huge reorganization items, the airline said it turned its first adjusted profit in six years.

I wish I could exclude items in my budget...

So, I guess there's still serious bleeding, just not as bad as last year. But, that means there's still bleeding doesn't it.

For the three months ended June 30, Atlanta-based Delta said its net loss amounted to $11.18 a share, compared with a loss of $388 million, or $2.64 a share, in the same three-month period a year ago. The prior-year loss included $6 million in dividends that accrued for preferred shareholders.

You think you pay a lot for fuel? Delta fuel costs were $1.02 billion in the second quarter up from $881 million last year! Ouch.

Delta, which filed for bankruptcy protection last September, has now lost more than $16 billion since January 2001. In recent months, it has begun to turn things around thanks to higher revenues and lower labor costs, despite persistently high fuel prices. Delta expects to emerge from Chapter 11 by the middle of 2007.

Here's hoping so.