"Boeing Has Got It Right"

As outgoing CEO of Delta Air Lines, who saw the company through and emergence from Chapter 11, as ANN has been following, Gerald Grinstein still has lots to say.

On Friday, he predicted Delta would be the first of the "big three" US legacy carriers to order Boeing's 787 Dreamliner by the end of the year, reported the Seattle Times.

In the last year, Delta added more than 60 international routes to its schedule, routes that typically require long-range wide-bodied jets. Grinstein said Delta's more than 100 mid-size 767s need to be replaced as early as 2011.

"Of course, you could wait for the (Airbus) A350," he said, "But why?"

The new Boeing jet is "perfect" for the needs of the US carriers, with the right size and the necessary range, he said.

The larger A350 rival that Airbus is proposing could be too big for many of the routes Delta wants to fly, Grinstein added.

"Boeing has got it right."

Grinstein said he is not worried about the availability of delivery slots for the 787, because Boeing "miraculously" finds slots when it requires them for a big order.

The company may accommodate important customers by keeping some delivery slots available or by arranging for other airlines to defer their orders.

Delta, headquartered in Atlanta, GA, came out of bankruptcy April 30, as reported by ANN, after a 19-month restructuring that cut 6,000 jobs and slashed debt. The carrier projects $8 billion per year in cost and revenue improvements.

Grinstein, 74, will be leaving Delta this summer and returning to Seattle.

FMI: www.delta.com, www.boeing.com