Delta Airlines 2015 Annual Report Download - page 19

TableofContents
Breaches or lapses in the security of our technology systems and the data we store could compromise passenger or employee information and expose us to
liability, possibly having a material adverse effect on our business.
Asaregularpartofourordinarybusinessoperations,wecollectandstoresensitivedata,includingpersonalinformationofourpassengersandemployeesand
informationofourbusinesspartners.Thesecureoperationofthenetworksandsystemsonwhichthistypeofinformationisstored,processedandmaintainedis
criticaltoourbusinessoperationsandstrategy.
Ourinformationsystemsaresubjecttoanincreasingthreatofcontinuallyevolvingcybersecurityrisks.Unauthorizedpartiesmayattempttogainaccesstoour
systemsorinformationthroughfraudorothermeansofdeception.Hardwareorsoftwarewedeveloporacquiremaycontaindefectsthatcouldunexpectedly
compromiseinformationsecurity.Themethodsusedtoobtainunauthorizedaccess,disableordegradeserviceorsabotagesystemsareconstantlyevolving,and
maybedifficulttoanticipateortodetectforlongperiodsoftime.Weregularlyreviewandupdateproceduresandprocessestopreventandprotectagainst
unauthorizedaccesstooursystemsandinformationandinadvertentmisuseofdata.However,theconstantlychangingnatureofthethreatsmeansthatwemaynot
beabletopreventalldatasecuritybreachesormisuseofdata.Thecompromiseofourtechnologysystemsresultingintheloss,disclosure,misappropriationof,or
accessto,customers',employees'orbusinesspartners'informationcouldresultinlegalclaimsorproceedings,liabilityorregulatorypenaltiesunderlawsprotecting
theprivacyofpersonalinformation,disruptiontoouroperationsanddamagetoourreputation,anyorallofwhichcouldadverselyaffectourbusiness.
Disruptions of our information technology infrastructure could interfere with our operations, possibly having a material adverse effect on our business.
Disruptionsinourinformationtechnologynetworkcouldresultfromatechnologyerrororfailureimpactingourinternalsystems,whetherhostedinternallyat
ourdatacentersorexternallyatthird-partylocations,orlargescaleexternalinterruptionintechnologyinfrastructuresupportonwhichwedepend,suchaspower,
telecommunicationsortheinternet.Theoperationofourtechnologysystemsandtheuseofrelateddatamayalsobevulnerabletoavarietyofothersourcesof
interruption,includingnaturaldisasters,terroristattacks,computerviruses,hackersandothersecurityissues.Asignificantindividual,sustainedorrepeatedfailure
ofournetwork,includingthird-partynetworksweutilizeandonwhichwedepend,couldimpactourcustomerserviceandresultinincreasedcosts.Whilewehave
inplace,andcontinuetoinvestin,initiativestopreventdisruptionsanddisasterrecoveryplans,thesemeasuresmaynotbeadequatetopreventabusiness
disruptionanditsadversefinancialandreputationalconsequencestoourbusiness.
Failure of our technology to perform reliably could have an adverse effect on our business.
Wehavebecomeincreasinglydependentontechnologyinitiativestoenhancecustomerservice,reducecostsandincreaseoperationaleffectivenessinorderto
competeinthecurrentbusinessenvironment.Forexample,wehavemadeandcontinuetomakesignificantinvestmentsindelta.com,mobiledeviceapplications,
check-inkiosksandrelatedinitiatives,includingsecurityfortheseinitiatives.Theperformance,reliabilityandsecurityofthetechnologyarecriticaltoourability
toattractandretaincustomersandourabilitytocompeteeffectively.Ifourtechnologydoesnotperformreliably,ourbusinessandoperationscouldbenegatively
affected.
Our results can fluctuate due to the effects of weather, natural disasters and seasonality.
Ourresultsofoperationsareimpactedbysevereweather,naturaldisastersandseasonality.Severeweatherconditionsandnaturaldisasterscansignificantly
disruptserviceandcreateairtrafficcontrolproblems.Theseeventsdecreaserevenueandcanalsoincreasecosts.Inaddition,increasesinthefrequency,severityor
durationofthunderstorms,hurricanes,typhoonsorothersevereweatherevents,includingfromchangesintheglobalclimate,couldresultinincreasesindelays
andcancellations,turbulence-relatedinjuriesandfuelconsumptiontoavoidsuchweather,anyofwhichcouldresultinlossofrevenueandhighercosts.In
addition,demandforairtravelistypicallyhigherintheJuneandSeptemberquarters,particularlyininternationalmarkets,becausethereismorevacationtravel
duringtheseperiodsthanduringtheremainderoftheyear.Theseasonalshiftingofdemandcausesourfinancialresultstovaryonaseasonalbasis.Becauseof
fluctuationsinourresultsfromweather,naturaldisastersandseasonality,operatingresultsforahistoricalperiodarenotnecessarilyindicativeofoperatingresults
forafutureperiodandoperatingresultsforaninterimperiodarenotnecessarilyindicativeofoperatingresultsforanentireyear.
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