Ed Bastian, CEO of Delta Air Lines Inc., during an interview in New York, U.S., Monday, Nov. 7, 2022.
Jeenah Luna | Bloomberg | fake images
Delta Airlines CEO Ed Bastian said the Trump administration's regulatory approach could be a “breath of fresh air.”
Speaking to reporters before Delta's investor day, Bastian noted that President-elect Donald Trump campaigned by saying he would take a “new look” at regulation and bureaucracy.
U.S. Department of Transportation Undersecretary Pete Buttigieg has issued a series of rules aimed at protecting consumers, some of which have irritated the airline industry, including one this year that requires airlines to provide automatic cash refunds to travelers when an airline cancels a flight. .
Bastian said the industry has seen a “level of overreach” in the past four years.
The department is also investigating lucrative airline loyalty programs, which generate billions of dollars for airlines and help them stay afloat. Current DOT leadership is seeking information on how airlines can unilaterally change the value of frequent flyer points.
Delta said Wednesday it expects to grow sales and profits in the coming months and years, pointing to resilient consumer demand and strong growth in household wealth since the pandemic.
Trump chose former US congressman and Fox Business host Sean Duffy as his pick to lead the department. Duffy did not immediately respond to a request for comment.
Other U.S. airline CEOs have expressed enthusiasm for the new Trump administration and urged incoming officials to ensure the industry has enough resources to improve air traffic control, which reports to the Federal Aviation Administration, and other key players. of infrastructure.
“We have to invest in this industry,” american airlines CEO Robert Isom said at the Skift Aviation Forum in Dallas last week. He said there is more work ahead to approve more visas so people can visit the United States.
In an interview last week, Airlines of the country of the sun Executive Director Jude Bricker said, “We just need stability and resources at DOT.”
Industry insiders and analysts also expect the incoming administration to be more open to mergers and consolidations.
Alaska Airlines acquired Hawaiian Airlines without opposition from President Joe Biden's administration this year. However, Biden's Justice Department won court challenges to block two airline deals: a proposed acquisition of Spirit Airlines, which filed for Chapter 11 bankruptcy protection on Monday, for JetBlue Airways and a partnership between JetBlue and american airlines in the Northeast, which had been approved in the final days of the first Trump administration.
“Maybe this administration would have a different stance,” Sun Country's Bricker said. “You certainly can't be more opposed to this.”
The current Department of Transportation had no immediate comment.
