A Destination, But No Flight Plan

Immediately after the board of Delta Air Lines Inc. approved a $2 billion cost-cutting plan on Apr. 28, CEO Ronald W. Allen held a slide show at headquarters for the pilots' union that summed up the line's problems. Click. $1.2 billion in losses in the past three years. Click. Trouble from low-cost carriers, such as Southwest Airlines Co. Click. The debacle in Delta's European system. Then Allen turned the meeting over to subordinates. "Our first proposal is a white sheet," Operations Vice-President Harry C. Alger told the union. "We've set a cost-reduction goal, and everything else is open for negotiation."

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