May 8 - Delta Air Lines to give back $1 billion to shareholders over three years, including the first dividend payout in a decasde. Conway G. Gittens reports.
The Daily Digit today is $1 billion. that's how much Delta Air Lines is giving back to shareholders in dividend and share buybacks over the next three years. This is the first time in a decade that Delta is sending checks out and even longer since the last stock repurchase deal. And it's all part of a five-year plan to make as much as $5 billion in value for investors, the carrier said in a statement. The move shows that the company is better off financially and looking for ways to bring in even more money. Delta has had its share of troubles after the September 11 attacks crippled the industry, racking up billions of dollars in losses and eventually falling into bankruptcy in 2005. But since then, Delta has been on the up and up. It made a massive deal to buy Northwest Airlines in 2008, boosting its global connections. It is paying down debt, cutting money-losing routes, expanding to lucrative ones and raising prices on others. And it's not alone, according to Boyd Group International, the cost to fly has jumped 29 percent since 2008, with the bulk of that coming from higher fees. Just this week, Delta joined others in boosting the domestic change-ticket fee to $200.