Delta sees solid demand as it diversifies its Asian network to offset Japan's weakness

Delta Air Lines believes 2013 is starting on a favourable note as overall demand trends remain positive and its unit revenue for 1Q2013 is forecast to grow in the mid-single digits. The carrier anticipates solid results in all its geographical entities, with the exception of Asia-Pacific, where its concentration in the important Japanese market has dragged down revenue performance in that region. To combat weakness in its Japanese markets triggered by the country's weak economy, Delta during 2013 plans to centre the majority of its trans-Pacific capacity outside of Japan.

Carrier executives offered guidance for 2013 as Delta recorded a 4Q2012 profit of USD238 million and net income for the full year of USD1.6 billion.

Excluding special items that included charges related to its domestic fleet restructuring and a loss on the early extinguishment of debt, the carrier's 4Q2012 profit was USD7 million and full year net income was USD1 billion. During 4Q2011 Delta recorded a profit of USD425 million and net income of USD854 million. Delta felt a sting of roughly USD100 million during 4Q2012 from the effects of "Superstorm Sandy" that struck the US east coast in Oct-2012.