Delta Air Lines (DAL) - Get Free Report agreed to delay the planned furloughs of close to 2,000 pilots until at least Nov. 1, giving the airline more time to negotiate cost cuts while it lobbies for more federal aid, the pilots' union said.
Delta had planned to furlough more than 1,900 of its 13,000 pilots as part of cost-cutting initiatives as its federal aid dwindled. That move was expected to happen by Oct. 1.
CNBC reported the statement from the pilots' union.
Last week, Delta was reportedly seeking to raise $9 billion in debt, in what would be the largest debt raise in the aviation industry's history, in order to get through the pandemic.
That $9 billion figure is an increase from an original $6.5 billion of financing, made up of $4 billion in bonds and $2.5 billion of loans.
Last week the company said that it wouldn't have to implement involuntary furloughs for its ground and flight attendant groups in the U.S.
"Avoiding involuntary furloughs in this unprecedented environment is entirely due to the innovation, hard work and shared sacrifice of our people," Chief Executive Ed Bastian said in a statement.
"Our teams have done an extraordinary job identifying opportunities to spread work around and shift people into new roles that are essential to our business."
Bastian said in a memo last week that the airline was burning about $750 million of cash a month, and passenger volumes were 30% of what they were a year earlier.
Delta shares at last check were up 0.4% to $29.95.