Delta Airlines 2007 Annual Report Download - page 71

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Table of Contents
Index to Financial Statements
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
resolved in connection with the claims resolution process. However, we believe there will be no further material impact to the Consolidated Statements of
Operations of the Successor from the settlement of unresolved allowed general, unsecured claims against the Debtors because the holders of such claims will
receive under the Plan of Reorganization only their pro rata share of the distribution of the newly issued common stock of the Successor.
The Plan of Reorganization provides that administrative and priority claims will be satisfied with cash. Certain administrative and priority claims
remain unpaid, and we will continue to settle claims and file objections with the Bankruptcy Court with respect to such claims. All of these claims have been
accrued by the Successor based upon the best available estimates of amounts to be paid. However, the claims resolution process is uncertain and the resolution
of administrative and priority claims could result in material adjustments to the Successor's financial statements.
In light of the substantial number and amount of claims filed, we expect the claims resolution process will take considerable time to complete.
Accordingly, we do not presently know either the ultimate number and amount of, or the exact recovery with respect to, allowed claims.
Liabilities Subject to Compromise
The following table summarizes the components of liabilities subject to compromise included on our Consolidated Balance Sheet at December 31,
2006:
Predecessor
(in millions) 2006
Pension, postretirement and other benefits $ 10,329
Debt and accrued interest 5,079
Aircraft lease related obligations 3,115
Accounts payable and other accrued liabilities 1,294
Total liabilities subject to compromise $ 19,817
Liabilities subject to compromise refers to pre-petition obligations that were impacted by the Chapter 11 reorganization process. The amounts
represented our estimate of known or potential obligations to be resolved in connection with our Chapter 11 proceedings.
At December 31, 2007, we did not have any liabilities subject to compromise due to our emergence from bankruptcy. For information regarding the
discharge of liabilities subject to compromise, see "Fresh Start Consolidated Balance Sheet" below.
Differences between liabilities we have estimated and the claims filed will be investigated and resolved in connection with the claims resolution
process.
F-11