WEBVTT - Delta CEO Bastian Sees Pro-Business Trump Administration

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio news.

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<v Speaker 2>This is Bloomberg Business Week with Carol Messer and Tim

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<v Speaker 2>Stenebek on Bloomberg Radio.

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<v Speaker 3>Well.

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<v Speaker 4>Last month, Delta Airlines forecast profit in sales that fell

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<v Speaker 4>short of Wall Street's estimates for the final months of

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<v Speaker 4>the year, suggesting a slow recovery from a challenging summer

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<v Speaker 4>travel season. For an update on the business and the

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<v Speaker 4>latest on Delta's partnership with the private on demand aviation

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<v Speaker 4>provider wheels Up, we bring in Ed bast And, CEO

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<v Speaker 4>of Delta Airlines and George Mattson, CEO of wheels Up,

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<v Speaker 4>both joining us from Atlanta. We should note that Delta

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<v Speaker 4>does own close to forty percent of wheels Up. That's

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<v Speaker 4>according to Bloomberg Data. Guys, thanks so much for joining us.

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<v Speaker 4>We're going to get to the wheels Up partnership and

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<v Speaker 4>the exciting news that you guys have when it comes

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<v Speaker 4>to new aircraft. But I wanted to ask each of

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<v Speaker 4>you the same question that I've asked every CEO that

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<v Speaker 4>I've spoken to over the last week, and I want

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<v Speaker 4>to start with you, what does a second Trump administration

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<v Speaker 4>mean for Delta Airlines.

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<v Speaker 5>You've seen from the market's reaction. There's a lot of

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<v Speaker 5>optimism in the corporate community, I know for Delta, specifically

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<v Speaker 5>in the aviation industry. The president, the former president now

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<v Speaker 5>the current president elect, knows our industry quite well, was

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<v Speaker 5>very supportive as we worked with him in his previous administration,

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<v Speaker 5>particularly as we went through COVID. Got the support we

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<v Speaker 5>are the original industry that got the Cares Act started,

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<v Speaker 5>and the support to keep our employees employed, and we

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<v Speaker 5>look forward to continuing to work with him in a

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<v Speaker 5>second administration.

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<v Speaker 4>What about ED when it comes to regulation during the

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<v Speaker 4>next administration, because I think many people would say that

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<v Speaker 4>Biden administration took what some would call it hostile stance

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<v Speaker 4>on airline M and A. Do you expect that to

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<v Speaker 4>change under Trump? Will it lead to a new round

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<v Speaker 4>of airline consolidation.

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<v Speaker 2>I don't know about consolidation.

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<v Speaker 5>I guess as possible, but I can tell you that

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<v Speaker 5>the Biden administration, particularly Department of Transportation, who we work

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<v Speaker 5>most closely with, we were quite frustrated with the amount

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<v Speaker 5>of regulatory overreach we saw continuously through the last four years.

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<v Speaker 5>And we hope there's a new sentiment that's pro pro employee,

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<v Speaker 5>pro consumer, pro business and a good balance between the three.

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<v Speaker 6>And George, let's ask that same question to you. You

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<v Speaker 6>think about a second Trump administration, what would that mean

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<v Speaker 6>for Wheels Up?

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<v Speaker 2>Yeah, thanks, Kate.

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<v Speaker 1>I think as Ed said, you know, the prior administration,

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<v Speaker 1>we're in the prior administration. Obviously, there was a strong

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<v Speaker 1>support for aviation in general, US aviation in particular. And

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<v Speaker 1>you know what really drives our business as much as

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<v Speaker 1>anything else, is a good, solid, strong economy. Obviously, the

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<v Speaker 1>markets have reacted very positively to the results of the election,

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<v Speaker 1>and the economy appears to be quite strong and resilient,

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<v Speaker 1>and I think ultimately that's going to support our business

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<v Speaker 1>plan went forward.

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<v Speaker 6>And let's also talk, of course about the relationship between

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<v Speaker 6>your two companies, Delta and Wheels Up. And Ed, I'll

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<v Speaker 6>ask you this question. Delta, according to our data, owns

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<v Speaker 6>more than a third of Wheels Up. You've also supported

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<v Speaker 6>Wheels Up with credit and access to capital. Why own

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<v Speaker 6>so much of Wheels Up? What is in it for Delta?

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<v Speaker 5>Well, what's in it for Delta is the opportunity to

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<v Speaker 5>create a new level of premium in commercial aviation that

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<v Speaker 5>hasn't previously existed in terms of a partnership, and more

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<v Speaker 5>than just a partnership, it's an ecosystem that's linked between

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<v Speaker 5>private and commercial. We know many of our private aviation

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<v Speaker 5>consumers also fly commercial fly in Delta, and we want

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<v Speaker 5>to make it easier for them to make those choices

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<v Speaker 5>when they have the opportunity to fly private and vice versa.

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<v Speaker 5>When there's private aviation consumers that may occasionally need a

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<v Speaker 5>commercial flight, whether it's going to Europe or some other place,

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<v Speaker 5>we want Delta to be their airline of choice.

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<v Speaker 3>Ed.

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<v Speaker 4>Would you consider buying the company completely?

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<v Speaker 2>No, that's not in the carts.

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<v Speaker 5>We deliberately wanted to make certain we had investors with

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<v Speaker 5>us when we made this decision, and I think having

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<v Speaker 5>the external validation of investors beyond us Delta was helpful.

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<v Speaker 4>Hey, George, I want to talk about the fleet because

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<v Speaker 4>there was big news last month when Wheel's upset it

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<v Speaker 4>would buy the embra or Phenom fleet from Grand View Aviation.

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<v Speaker 4>It's one hundred and five million dollar deal. It's part

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<v Speaker 4>of this three year plan to transition to Embraer and

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<v Speaker 4>Bombardier Challenger aircraft. You're also though, moving away from Cessna citations.

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<v Speaker 4>What's the thinking behind this apart from just a newer fleet.

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<v Speaker 3>Yeah, thanks Tim.

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<v Speaker 1>When I arrived here just over a year ago, having

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<v Speaker 1>spent eleven years on the Delta board, we obviously had

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<v Speaker 1>a number of first aid priorities, but one of the

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<v Speaker 1>priorities over this first year was building a long term strategic.

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<v Speaker 3>Plan and a fleet plan that supports that plan. We

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<v Speaker 3>have a.

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<v Speaker 1>Significant, loyal, strong member base, a really strong brand.

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<v Speaker 3>Most of our members have been individual leisure customers.

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<v Speaker 1>We are increasingly becoming a provider of choice to corporate customers.

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<v Speaker 1>I think through our Delta partnership that's only going to

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<v Speaker 1>become more important going forward.

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<v Speaker 3>As we looked at our fleet, it was a little

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<v Speaker 3>older than we wanted it to be, and it was.

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<v Speaker 1>A little bit more complex than we wanted it to be,

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<v Speaker 1>with four fleet types operating, which we've now distilled down

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<v Speaker 1>to two fleet types. And in deciding to modernize the fleet,

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<v Speaker 1>what we did is we basically selected the two most

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<v Speaker 1>popular aircraft types in their respective categories, with the deepest

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<v Speaker 1>install bases the largest secondary markets in order to be

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<v Speaker 1>able to buy those aircraft at fleet scale.

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<v Speaker 3>Over a period of time.

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<v Speaker 1>This is going to really significantly transform the product offering.

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<v Speaker 1>We're able to deliver the customers the experience, the reliability,

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<v Speaker 1>the efficiency that comes both with the aircraft themselves and

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<v Speaker 1>also the simplification of the fleet. We're going to enhance

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<v Speaker 1>that fleet with best in class connectivity. I think Delta

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<v Speaker 1>was a real leader in providing free, high speed satellite

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<v Speaker 1>Wi Fi on.

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<v Speaker 3>The air aircraft.

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<v Speaker 1>We've announced a commercial partnership with Go Go to provide

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<v Speaker 1>aim low Earth orbit satellite Wi Fi capability on all

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<v Speaker 1>of our aircraft. We're very excited to have been able

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<v Speaker 1>to jumpstart this fleet transition by acquiring brand View, which

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<v Speaker 1>has the largest fleet of on demand feed on three

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<v Speaker 1>hundred and three hundred e's in the market. And that

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<v Speaker 1>transaction is going to close very very soon, and we're

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<v Speaker 1>going to immediately be able to offer that at fleet

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<v Speaker 1>scale to both our charter customers but also our programmatic

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<v Speaker 1>member customers.

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<v Speaker 2>And I think when you.

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<v Speaker 1>Look forward at the progress we're making financially in the

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<v Speaker 1>first year, this fleet modernization is an important unlock for

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<v Speaker 1>the next phase of that of that profitability journey as well.

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<v Speaker 6>And I also want to talk of course about Delta's

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<v Speaker 6>fleet and ed we have to talk about Boeing. You're

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<v Speaker 6>a major Boeing customer, and to put it mildly, the

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<v Speaker 6>company has had a lot of problems. They've recently raised

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<v Speaker 6>new capital though they've gotten past the worker strike. But

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<v Speaker 6>that being said, how quickly do you expect Boeing to

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<v Speaker 6>actually get back on a normal production schedule here and

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<v Speaker 6>are you anticipating for their delays when it comes to

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<v Speaker 6>deliveries and certifications.

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<v Speaker 5>Well, we're, as you may know, not anticipating any Boeing

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<v Speaker 5>deliveries because we have none outstanding in the next couple

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<v Speaker 5>of years. So in the immediate term we're not impacted

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<v Speaker 5>at all. But I do believe that they have made

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<v Speaker 5>the right decisions around raising capital to invest in their business,

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<v Speaker 5>around a concertain their employees are properly taken care of

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<v Speaker 5>and compensated, and so they can get back focus on

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<v Speaker 5>delivering high quality airplanes to our industry. I think it's

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<v Speaker 5>going to be a number of years before you see

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<v Speaker 5>a steady stream of airplanes starting to return, and well,

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<v Speaker 5>hopefully sooner, but I think we are all realistic that

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<v Speaker 5>this is going to be a very challenging turnaround still

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<v Speaker 5>to come.

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<v Speaker 4>When you say a number of years, would you count

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<v Speaker 4>that number on one hand or two hands.

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<v Speaker 2>A couple fingers as a so.

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<v Speaker 4>A couple I like that. Hey, we're speaking with Ed Bashion,

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<v Speaker 4>CEO of Delta Airlines and George Mattson, CEO of Wheels Up,

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<v Speaker 4>both joining us from Atlanta. Ed, well, we have you

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<v Speaker 4>give us an update on capacity in the market. Here

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<v Speaker 4>we hear it's improving, but is it improving for both

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<v Speaker 4>premium and economy seats right now?

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<v Speaker 2>The market has rationalized.

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<v Speaker 5>I think this past summer we saw in the US

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<v Speaker 5>marketplace there were a lot of seats for sale had

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<v Speaker 5>a pretty big impact on pricing. A number of the airlines,

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<v Speaker 5>particularly those on the lower end of the price scale,

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<v Speaker 5>have been struggling. They most of them have lost money

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<v Speaker 5>this year, lost money in the peak summer even and

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<v Speaker 5>have had to implement a number of self help measures

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<v Speaker 5>to ensure that they can find better balance between supply

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<v Speaker 5>and demand. On the premium side, that's where growth has

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<v Speaker 5>been in the industry, and Delta has led the way.

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<v Speaker 5>And any of the airlines, there's a couple of us

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<v Speaker 5>out there that are more focused on premium have done

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<v Speaker 5>quite well over the past couple of years over those

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<v Speaker 5>that are more in the commodity sense, where price is

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<v Speaker 5>the principal determinant of the consumer purchase. They've struggled and

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<v Speaker 5>they continue to struggle, and that's why you see the

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<v Speaker 5>supply and being rationalized.

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<v Speaker 6>So that's the view on the commercial airline demand. George,

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<v Speaker 6>give us a peak inside what demand for private air

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<v Speaker 6>air space looks like, because you think about coming out

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<v Speaker 6>of the pandemic, we know that there was a big

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<v Speaker 6>uptick when it comes to private jet travel. What are

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<v Speaker 6>you seeing right now, especially as we head into some

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<v Speaker 6>of these peak travel demand periods.

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<v Speaker 1>Yeah, I think in general, I would just say that

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<v Speaker 1>the industry remains quite healthy. We certainly saw a very

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<v Speaker 1>big sort of demand bubble from COVID and when people

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<v Speaker 1>did start returning to flying, a lot of folks who

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<v Speaker 1>hadn't flown private had started to fly private, and so

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<v Speaker 1>we've seen that I would say normalized. The industry feels

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<v Speaker 1>relatively stable here, but I think when you look kind

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<v Speaker 1>of medium and longer term has really strong you know,

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<v Speaker 1>macro headwinds, right, I think you know, the vast majority

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<v Speaker 1>of of of aircraft private jet aircraft are still wholly

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<v Speaker 1>owned by individuals or corporations, and so the opportunity for

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<v Speaker 1>on demand and fractional providers to continue to grow. I

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<v Speaker 1>think remains very strong. As as as commercial aviation becomes

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<v Speaker 1>in some ways more challenging with congestion and other and

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<v Speaker 1>other challenges, I think it becomes a more a more

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<v Speaker 1>interesting alternative.

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<v Speaker 3>And I think one of the really interesting things about.

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<v Speaker 1>What we're doing with Delta is really trying to break

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<v Speaker 1>down the barrier that has always historically existed between commercial

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<v Speaker 1>and private aviation into one, you know, seamless aviation solution.

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<v Speaker 3>And so I think as we are successful.

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<v Speaker 1>In doing that, we're going to draw more participants into

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<v Speaker 1>the industry hopefully through our offering and expand expand the

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<v Speaker 1>market in the in the process. But to answer your

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<v Speaker 1>specific question, I think generally things feel quite healthy right now.

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<v Speaker 4>Yeah, So George, help us understand the the profile for

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<v Speaker 4>somebody who would you know, maybe they're a Delta one customer,

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<v Speaker 4>but they're also able to fly wheels up. What does

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<v Speaker 4>that look like from an income perspective, a net worth

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<v Speaker 4>perspective where they'd actually make the jump and they'd make

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<v Speaker 4>that choice the most recent Bitcoin rally not necessarilywithstanding.

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<v Speaker 1>Yeah, look, there's different there's different cuts at what at

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<v Speaker 1>sort of what level of income or net worth constitutes

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<v Speaker 1>the ability to fly private. I've seen numbers in the

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<v Speaker 1>mid single digit millions of dollars of networth. I've seen

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<v Speaker 1>numbers that are higher. I've seen a study that suggests

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<v Speaker 1>ninety percent of people who can afford to fly private

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<v Speaker 1>under that definition have never flown private. So and so

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<v Speaker 1>you know you have if you think about our partnership

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<v Speaker 1>with Delta Airlines, a couple of really big pools of

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<v Speaker 1>potential customers. One is the forty five thousand or so

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<v Speaker 1>Delta corporate customers, where Delta is often the leading provider

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<v Speaker 1>of travel period to that company. And so we're offering

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<v Speaker 1>this within that framework as an additional alternative, as a sleeve.

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<v Speaker 3>If you will, of an existing broad corporate agreement.

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<v Speaker 1>And then when you look at the individual customer, which

0:12:08.200 --> 0:12:11.480
<v Speaker 1>was sort of the gist of your question, you know

0:12:11.520 --> 0:12:14.040
<v Speaker 1>there are many If you believe that ninety percent of

0:12:14.040 --> 0:12:16.480
<v Speaker 1>people who can afford to fly private never flowing private,

0:12:16.480 --> 0:12:17.720
<v Speaker 1>well where are they. They're in the front of the

0:12:17.760 --> 0:12:20.559
<v Speaker 1>cabin generally at the commercial airlines. And you know there

0:12:20.600 --> 0:12:24.480
<v Speaker 1>may not be you know, flying private every time. But again,

0:12:24.520 --> 0:12:27.040
<v Speaker 1>this idea of a solution that could be commercial or

0:12:27.040 --> 0:12:28.720
<v Speaker 1>it could be private, or it can be a hybrid

0:12:28.720 --> 0:12:31.880
<v Speaker 1>of the two. Is where I think we're going to

0:12:31.960 --> 0:12:35.760
<v Speaker 1>find demand for those for those customers from those customers,

0:12:36.040 --> 0:12:37.240
<v Speaker 1>and I think there's a lot of them out there

0:12:37.280 --> 0:12:39.480
<v Speaker 1>who don't quite know how to access our industry quite yet,

0:12:39.480 --> 0:12:40.640
<v Speaker 1>and we're trying to fly that.

0:12:41.360 --> 0:12:44.280
<v Speaker 4>Hey, Ed, I got to another capacity question for you,

0:12:44.320 --> 0:12:46.920
<v Speaker 4>because I know that you're already thinking about how things

0:12:46.960 --> 0:12:49.880
<v Speaker 4>look in twenty twenty five. We're already looking forward to

0:12:49.880 --> 0:12:53.520
<v Speaker 4>spring break in summer peak flying season. With Boeing's recent

0:12:53.559 --> 0:12:56.760
<v Speaker 4>strike your turbofan maintenance, do you see a shortage of

0:12:56.760 --> 0:12:59.280
<v Speaker 4>capacity across the industry or at least at your airline.

0:13:01.360 --> 0:13:04.920
<v Speaker 5>I would expect for the next year, though we haven't

0:13:04.920 --> 0:13:09.280
<v Speaker 5>given guidance for next year. Actually, stay tuned next next week,

0:13:09.320 --> 0:13:11.880
<v Speaker 5>next Wednesday, we have our investor Day in New York,

0:13:11.960 --> 0:13:14.520
<v Speaker 5>so maybe you can get it, you can get some insight.

0:13:14.600 --> 0:13:18.680
<v Speaker 5>Then I expect the industry is going to move as

0:13:18.720 --> 0:13:22.800
<v Speaker 5>the economy moves. Is an industry that's driven by the economy,

0:13:22.920 --> 0:13:26.120
<v Speaker 5>not just US, but on a global scale. And for

0:13:26.200 --> 0:13:29.080
<v Speaker 5>those carriers that are premium such as Delta, we have

0:13:29.160 --> 0:13:32.720
<v Speaker 5>the ability to drive probably a little higher capacity than

0:13:32.760 --> 0:13:34.200
<v Speaker 5>the broaduct economic growth.

0:13:35.040 --> 0:13:40.160
<v Speaker 4>Okay, and Ed, I know that. Well, I don't know. Actually,

0:13:40.160 --> 0:13:42.920
<v Speaker 4>it doesn't seem like there's still any lingering effects. When

0:13:42.960 --> 0:13:46.440
<v Speaker 4>it comes to the crowd strike issue that you had

0:13:46.520 --> 0:13:48.560
<v Speaker 4>over the summer. I know you recently filed a lawsuit

0:13:48.559 --> 0:13:52.200
<v Speaker 4>against CrowdStrike. You've said you've suffered about five hundred million

0:13:52.240 --> 0:13:55.400
<v Speaker 4>dollars in financial impact from that event. As the dust

0:13:55.440 --> 0:13:58.400
<v Speaker 4>has settled, what are the long term implications, what's the

0:13:58.440 --> 0:14:01.320
<v Speaker 4>financial implication, Well.

0:14:01.240 --> 0:14:03.360
<v Speaker 5>The implication exactly what you said. There was a five

0:14:03.440 --> 0:14:07.040
<v Speaker 5>hundred million dollars immediate impact from those five days, and

0:14:07.360 --> 0:14:11.400
<v Speaker 5>there were additional damages on obviously the brand and the

0:14:12.160 --> 0:14:17.360
<v Speaker 5>remaining impact as it took some time for our customers

0:14:17.400 --> 0:14:21.480
<v Speaker 5>that were really disappointed to come back to Delta. So

0:14:21.920 --> 0:14:24.800
<v Speaker 5>all of that's included in the lawsuit that has been

0:14:24.800 --> 0:14:29.560
<v Speaker 5>filed and will be pursuing vigorously. But from a go

0:14:29.720 --> 0:14:34.720
<v Speaker 5>forward basis, we learned a lot. We thought we were

0:14:34.760 --> 0:14:38.320
<v Speaker 5>surrounded by the very best that you can protect yourself

0:14:38.360 --> 0:14:42.040
<v Speaker 5>with both CrowdStrike and Microsoft, and we realize that you

0:14:42.080 --> 0:14:45.240
<v Speaker 5>can take these guys at anywhere close to face volume

0:14:45.240 --> 0:14:47.720
<v Speaker 5>in terms of what they tell you they're responsible for.

0:14:47.840 --> 0:14:50.520
<v Speaker 5>So we've all learned to dig in deeper as to

0:14:50.560 --> 0:14:53.200
<v Speaker 5>how these systems and processes flow. And it's not just Delta,

0:14:53.240 --> 0:14:54.040
<v Speaker 5>I think it's the.

0:14:54.000 --> 0:14:54.720
<v Speaker 3>World at large.

0:14:54.760 --> 0:14:58.160
<v Speaker 5>There were thousands and thousands of companies that were impacted

0:14:58.160 --> 0:15:02.280
<v Speaker 5>on a global scale, not realizing how CrowdStrike was injecting

0:15:02.680 --> 0:15:07.080
<v Speaker 5>directly into the kernel of the operating system's potentially faulty code,

0:15:07.120 --> 0:15:09.880
<v Speaker 5>which is and then Microsoft distributes it. So that was

0:15:09.920 --> 0:15:12.320
<v Speaker 5>a huge learning for us, and we've done the audits

0:15:12.560 --> 0:15:16.680
<v Speaker 5>immediately and we've already made some pretty significant changes in

0:15:16.720 --> 0:15:21.000
<v Speaker 5>our technology security infrastructure to prevent that from ever happening again.

0:15:21.480 --> 0:15:25.200
<v Speaker 6>Well, really appreciate the detail that you gave us there.

0:15:25.200 --> 0:15:27.240
<v Speaker 6>We'll keep an eye on that lawsuit, but while we

0:15:27.280 --> 0:15:29.520
<v Speaker 6>still have you guys, only a couple of minutes left.

0:15:30.040 --> 0:15:32.680
<v Speaker 6>Most people think about commercial and then they think about private.

0:15:32.840 --> 0:15:35.600
<v Speaker 6>But George, I'm really interested to hear about how you're

0:15:35.640 --> 0:15:40.480
<v Speaker 6>thinking about these charter operators such as JSX, for example,

0:15:40.520 --> 0:15:44.200
<v Speaker 6>where you can get on a thirty seat jet at

0:15:44.600 --> 0:15:48.360
<v Speaker 6>an airport, either a private airport or commercial airport, and

0:15:49.040 --> 0:15:51.080
<v Speaker 6>they seem to be a lot cheaper than, of course

0:15:51.520 --> 0:15:56.160
<v Speaker 6>chartering a private jet. Is that a threat to your business?

0:15:56.240 --> 0:15:59.800
<v Speaker 6>You think about the convenience and the affordability of some

0:15:59.840 --> 0:16:04.240
<v Speaker 6>of these operators, and they seem to be picking up steam.

0:16:04.400 --> 0:16:04.720
<v Speaker 2>Yeah.

0:16:04.720 --> 0:16:07.840
<v Speaker 1>No, Look, there's certainly been there's certainly been some progress

0:16:07.880 --> 0:16:10.760
<v Speaker 1>made in the introduction of this sort of hybrid commercial

0:16:10.840 --> 0:16:16.280
<v Speaker 1>private by the seat product or alternative. It's still quite

0:16:16.320 --> 0:16:20.960
<v Speaker 1>different than private aviation, really more kin to commercial aviation frankly,

0:16:21.640 --> 0:16:24.560
<v Speaker 1>in that you know you're buying a seat. It's not private,

0:16:24.600 --> 0:16:27.920
<v Speaker 1>it's scheduled on their schedule and so on.

0:16:28.440 --> 0:16:29.960
<v Speaker 3>So look, there may be a place for it.

0:16:29.960 --> 0:16:32.880
<v Speaker 1>I mean, it's operating under a fairly unique set of

0:16:34.240 --> 0:16:36.040
<v Speaker 1>regulations called Part three eighty.

0:16:36.040 --> 0:16:37.520
<v Speaker 3>It's a bit of a different construct.

0:16:37.840 --> 0:16:41.520
<v Speaker 1>It's being looked at in different ways by different folks.

0:16:41.560 --> 0:16:45.440
<v Speaker 3>But look, we see it as an alternative that certainly

0:16:45.480 --> 0:16:48.680
<v Speaker 3>people consider it. Look, if you're one person or two.

0:16:48.520 --> 0:16:52.000
<v Speaker 1>People traveling and you're looking for something other than commercial,

0:16:52.040 --> 0:16:53.720
<v Speaker 1>and you know you don't want to get your own plane,

0:16:53.760 --> 0:16:54.400
<v Speaker 1>it sort.

0:16:54.200 --> 0:16:56.200
<v Speaker 3>Of fits that niche of the market. If you will,

0:16:56.400 --> 0:16:58.440
<v Speaker 3>you're traveling with your family or a larger group.

0:16:58.760 --> 0:17:01.360
<v Speaker 1>Frankly, private aircraft of your own can make as much

0:17:01.360 --> 0:17:05.080
<v Speaker 1>economic sense as that alternative. But look, there certainly has

0:17:05.119 --> 0:17:07.960
<v Speaker 1>been some growth in that segment and it remains to

0:17:08.000 --> 0:17:09.280
<v Speaker 1>kind of be seeing where it goes from here.

0:17:10.000 --> 0:17:12.720
<v Speaker 4>Hey, guys, really appreciate you both joining us and spending

0:17:12.760 --> 0:17:14.439
<v Speaker 4>quite a bit of time with us this afternoon. Know

0:17:14.480 --> 0:17:17.840
<v Speaker 4>you're both busy. That was wheels Up CEO George Mattson,

0:17:18.200 --> 0:17:22.879
<v Speaker 4>also with Delta CEO Ed Baston, both joining us from Atlanta.

0:17:23.040 --> 0:17:25.960
<v Speaker 4>Thanks again, of course. The big news that they have

0:17:26.280 --> 0:17:29.719
<v Speaker 4>is that wheels Up is modernizing its fleet with that

0:17:29.920 --> 0:17:33.199
<v Speaker 4>big purchase that they announced last month of Embraer and

0:17:33.359 --> 0:17:34.679
<v Speaker 4>Bombardier jets