Delta Air Lines CEO Ed Bastian on Wednesday expressed optimism about the incoming President-elect Donald Trump administration, predicting a significant shift from what he characterized as regulatory "overreach" under President Joe Biden.
What Did Bastian Say?
Speaking ahead of Delta's Investor Day event in Atlanta, Bastian said that the incoming Trump administration will be a "breath of fresh air" for the airline industry.
Bastian's remarks come after the airline sector has faced mounting consumer-protection regulations under the Biden administration, a dynamic that has sparked resistance among major carriers.
Delta itself is under federal scrutiny following a prolonged recovery from a technology outage this summer and has drawn criticism for its handling of affected passengers.
Bastian pointed to Trump's campaign promises to streamline federal operations and reduce bureaucratic hurdles.
Trump promised "to take a fresh look at the regulatory environment, the bureaucracy that exists in government, the level of overreach that we have seen over the last four years within our industry. I think that will be a breath of fresh air," Bastian said.
While Bastian did not specify which Biden regulations he considered overreach, Delta and other carriers are suing the U.S. Department of Transportation to kill a rule requiring greater transparency over fees that the carriers charge their passengers.
Industry Challenges Amid Changing Regulations
In contesting the Biden-era rule mandating greater transparency on ticket fees, airline industry representatives argue the measure confuses consumers by inundating them with excessive details. A federal appeals court has temporarily blocked the rule's enforcement while litigation continues.
Airlines also oppose an inquiry that the administration recently launched into their frequent-flyer programs, in which Delta has so far received more than $2.4 billion in revenue this year from its loyalty program.
In addition, the hardest blow against Delta could come from a Transportation Department investigation into Delta's response to its summer technology outage.
Transportation Secretary Pete Buttigieg said investigators were focusing on whether Delta's treatment of passengers affected by canceled and delayed flights violated federal consumer-protection rules.
Meanwhile, Delta is using the Investor Day platform to reaffirm its financial outlook, projecting an adjusted profit of $1.60 to $1.85 per share for the fourth quarter and mid-single-digit revenue growth in 2025. Despite these positive forecasts, the airline continues to face challenges, including federal investigations and legal battles.
Consumer Groups Raise Alarms Over Policy Reversals
However, not all stakeholders share the airline industry's enthusiasm for deregulation as consumer advocates fear that a Trump administration could dismantle pivotal protections, such as automatic refunds for canceled flights and upfront fare transparency.
This article includes reporting from The Associated Press.
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