Delta Airlines 2003 Annual Report Download - page 10

Table of Contents
("LaGuardia") (Marine Air Terminal) and both Boston — Logan International Airport ("Logan") and Washington, D.C. — Ronald Reagan National Airport
("National").
Song. On April 15, 2003, we introduced a new low-fare operation, Song, that primarily offers flights between cities in the Northeastern United States, Los
Angeles, Las Vegas and Florida leisure destinations. As of March 1, 2004, Song offered 144 daily flights using a fleet of 36 Boeing 757 aircraft. Song is
intended to assist us in competing more effectively with low-cost carriers in leisure markets through a combination of larger aircraft, high frequency flights,
advanced in-flight entertainment technology and innovative product offerings.
Delta-Continental-Northwest Marketing Alliance. We have entered into a marketing alliance with Continental and Northwest which includes mutual
codesharing and reciprocal frequent flyer and airport lounge access arrangements. Our marketing relationship with Continental and Northwest is designed to
permit the carriers to retain their separate identities and route networks while increasing the number of domestic and international connecting passengers using
the three carriers' route networks.
Regulatory Matters
The DOT and the Federal Aviation Administration ("FAA") exercise regulatory authority over air transportation in the United States. The DOT has
authority to issue certificates of public convenience and necessity required for airlines to provide domestic air transportation. An air carrier that the DOT finds
"fit" to operate is given unrestricted authority to operate domestic air transportation (including the carriage of passengers and cargo). Except for constraints
imposed by Essential Air Service regulations, which are applicable to certain small communities, airlines may terminate service to a city without restriction.
The DOT has jurisdiction over certain economic and consumer protection matters such as unfair or deceptive practices or methods of competition,
advertising, denied boarding compensation, baggage liability and disabled passenger transportation. The DOT also has authority to review certain joint
venture agreements between major carriers. The FAA has primary responsibility for matters relating to air carrier flight operations, including airline operating
certificates, control of navigable air space, flight personnel, aircraft certification and maintenance, and other matters affecting air safety.
Authority to operate international routes and international codesharing arrangements are regulated by the DOT and by the foreign governments involved.
International route awards are also subject to the approval of the President of the United States for conformance with national defense and foreign policy
objectives.
The Transportation Security Administration, which became a division of the Department of Homeland Security on March 1, 2003, is responsible for
certain civil aviation security matters, including passenger and baggage screening at U.S. airports.
We are also subject to various other federal, state, local and foreign laws and regulations. The Department of Justice ("DOJ") has jurisdiction over airline
competition matters. The U.S.
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