Delta Airlines 2008 Annual Report Download - page 33

Table of Contents
Index to Financial Statements
ITEM 6. SELECTED FINANCIAL DATA
On October 29, 2008, we completed our merger with Northwest Airlines Corporation. Our Consolidated Financial Statements include the results of
operations of Northwest and its wholly-owned subsidiaries for the period from October 30 to December 31, 2008. For additional information regarding
purchase accounting, see Note 2 of the Notes to the Consolidated Financial Statements.
In September 2005, we and substantially all of our subsidiaries (the "Delta Debtors") filed voluntary petitions for reorganization under Chapter 11 of
the U.S. Bankruptcy Code (the "Bankruptcy Code"). On April 30, 2007 (the "Effective Date"), the Delta Debtors emerged from bankruptcy. Upon emergence
from Chapter 11, we adopted fresh start reporting in accordance with American Institute of Certified Public Accountants' Statement of Position 90-7,
"Financial Reporting by Entities in Reorganization under the Bankruptcy Code." The adoption of fresh start reporting resulted in our becoming a new entity
for financial reporting purposes. Accordingly, consolidated financial data on or after May 1, 2007 is not comparable to the consolidated financial data prior to
that date.
References in this Form 10-K to "Successor" refer to Delta on or after May 1, 2007, after giving effect to (1) the cancellation of Delta common stock
issued prior to the Effective Date, (2) the issuance of new Delta common stock and certain debt securities in accordance with the Delta Debtors' Joint Plan of
Reorganization ("Delta's Plan of Reorganization"), and (3) the application of fresh start reporting. References to "Predecessor" refer to Delta prior to May 1,
2007.
The following table presents selected financial and operating data. We derived the Consolidated Summary of Operations and Other Financial and
Statistical Data for (1) the year ended December 31, 2008 of the Successor (2) the eight months ended December 31, 2007 of the Successor and (3) the four
months ended April 30, 2007 and the years ended December 31, 2006, 2005 and 2004 of the Predecessor from our audited consolidated financial statements.
Consolidated Summary of Operations(1)
Successor Predecessor
(in millions, except share data)
Year
December 31,
2008(2)
Eight Months
Ended
December 31,
2007(3)
Four Months
Ended
April 30,
2007(4)
Year Ended December 31,
2006(5)(10) 2005(6)(10) 2004(7)
Operating revenue $ 22,697 $ 13,358 $ 5,796 $ 17,532 $ 16,480 $ 15,235
Operating expense 31,011 12,562 5,496 17,474 18,481 18,543
Operating (loss) income (8,314) 796 300 58 (2,001) (3,308)
Interest expense, net(8) (613) (276) (248) (801) (973) (787)
Miscellaneous, net(9) (114) 5 27 (19) (1) 103
(Loss) income before reorganization items, net (9,041) 525 79 (762) (2,975) (3,992)
Reorganization items, net — — 1,215 (6,206) (884) —
(Loss) income before income taxes (9,041) 525 1,294 (6,968) (3,859) (3,992)
Income tax benefit (provision) 119 (211) 4 765 41 (1,206)
Net (loss) income (8,922) 314 1,298 (6,203) (3,818) (5,198)
Preferred stock dividends — — — (2) (18) (19)
Net (loss) income attributable to common shareowners $ (8,922) $ 314 1,298 $ (6,205) $ (3,836) $ (5,217)
Basic (loss) earnings per share $ (19.08) $ 0.80 $ 6.58 $ (31.58) $ (23.75) $ (41.07)
Diluted (loss) earnings per share $ (19.08) $ 0.79 $ 4.63 $ (31.58) $ (23.75) $ (41.07)
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