Delta Air, Pilots in Pension Deal

Furthermore, Delta must convince bondholders to reduce the amount of interest they'll be paid to help the airline conserve cash and gain the financial flexibility needed to restructure outside of Chapter 11. The airline's first attempt was met with resistance by bondholders, who refused to alter the terms of their debt and let Delta buy back bonds, reducing some of its $20 billion debt load.

"Delta continues to burn its remaining cash, making potential pilot and creditor concessions too little too late," said Kimberly Nolan, debt analyst at Gimme Credit, adding later, "While we think the transformation plan is a good start in restoring the airline's health, the difficulty in forging agreements with the various constituencies may force a Chapter 11 filing."