Other Airline Depreciation for Delta Air Lines
Delta Airlines, for the moment, has not recorded decreases in their substantial investments in foreign airlines. As we approach their 10Q for Q2, there is a possibility that some or all of the investments which are worth much less now than prior to February, 2020 will be posted as a special liability on their balance sheet. Below is a table that specifies each of their other airline investments, and the fair value of those assets as it stood on May 20th. The total off book loss is just under $1.7B.
***Note that since I first published this, LATAM has filed bankruptcy, effectively wiping out the $2B that Delta had invested in the Brazilian carrier over the past several months.
| Virgin Atlantic | (in millions) | ||||
|---|---|---|---|---|---|
| Percent Owned | Carry Value 2020 | Carry 2019 | Current Value | Negative (Positive) Differential | |
| 49% | $207.00 | $375.00 | $25.00 | $182.00 | |
| Grupe Aeromexico | |||||
| 51% | $770.00 | $833.00 | $400.00 | $370.00 | |
| LATAM | |||||
| 20% | $1,088.00 | $320.00 | $768.00 | ||
| Hanjin-KAL | |||||
| 15% | $538.00 | $205.00 | $100.00 | $438.00 | |
| Air Fraqnce-KLM | |||||
| 9% | $211.00 | $418.00 | $200.00 | $11.00 | |
| China Eastern | |||||
| 3% | $159.00 | $258.00 | $250.00 | $(91.00) | |
| Wheels Up | |||||
| 27% | $234.00 | N/A | $234.00 | $- | |
| Total Investment Deficit off book | |||||
| $1,678.00 |
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