Delta's Grinstein: An Equitable Tenure

History will likely be kind to Jerry Grinstein, who fixed two airlines and now -- as he exits the industry -- wants to share the wealth.

Last week, Grinstein led Delta(DAL Quote - Cramer on DAL - Stock Picks) out of bankruptcy and presided over its relisting on the New York Stock Exchange.

During 19 months in Chapter 11, the carrier saw its survival threatened by a potential pilots' strike and a hostile merger effort. Early in the process, it was viewed as an industry joke, its strategies widely questioned and its chances to succeed considered minimal.

Delta not only survived but also -- more than any other carrier -- took the opportunity to remake itself, emerging as an international airline and dramatically boosting its level of unit revenue relative to competitors.

Nearly two decades earlier, in 1985, Grinstein had taken over as CEO of Western Airlines, whose survival also was threatened. In 1986, he presided over a sale to Delta. The following year, Western's two primary West Coast competitors were also sold to major carriers.

Equity and Empathy

At Delta, Grinstein busted the model of the greedy CEO. He consistently has taken one of the airline industry's lowest CEO salaries, earning $338,000 this year. He also has asked that of the millions of dollars in additional compensation that he could expect now that Delta has successfully emerged from bankruptcy, anything he might get should be donated to two funds, one to assist Delta employees who are in financial need and another to provide scholarships for employees' children.

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