Delta CEO Sees Trump’s Return as a Positive Shift for Airlines Amid Regulatory Concerns
ATLANTA (AP) — Delta Air Lines CEO Ed Bastian expressed optimism about the incoming Trump administration, calling it a "breath of fresh air" for the airline industry, which he claims faced excessive government regulations under President Biden. Speaking at an investor day event in Atlanta, Bastian highlighted Trump’s campaign promise to reform federal regulations, suggesting a forthcoming reduction in government overreach that has burdened airlines in recent years.
Bastian’s remarks echoed feelings across the industry, with Southwest Airlines CEO Robert Jordan also anticipating a more business-friendly environment under the new administration. Both executives are hopeful that the Department of Transportation (DOT) will adopt a less aggressive regulatory stance.
Delta recently reported a profit of $2.6 billion for the first nine months of this year, affirming its forecast for a fourth-quarter profit of between $1.60 and $1.85 per share. Despite the positive financial outlook, Delta is grappling with a federal investigation concerning its response to a major technology outage this summer, which raised concerns about passenger treatment during flight disruptions.
As the potential second Trump administration takes shape, consumer advocates remain wary, fearing a rollback of consumer protections, including rules on automatic refunds for canceled flights and transparency in fare advertising. Critics, including the watchdog group Accountable.US, caution that Trump’s choice for transportation secretary, Sean Duffy, may prioritize corporate interests over those of American travelers.
Delta and other airlines are currently embroiled in litigation seeking to overturn a transparency rule requiring disclosure of additional fees. As the industry awaits the new administration’s policies, the ongoing investigation into Delta’s operations amidst the recent technology failure could pose significant challenges moving forward.
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