#1DELTA INVESTOR DAY 2012 100 KEEP CLIMBING ▲ DELTA#2Safe Harbor ▲ DELTA This presentation contains various projections and other forward-looking statements which represent Delta's estimates or expectations regarding future events. All forward-looking statements involve a number of assumptions, risks and uncertainties, many of which are beyond Delta's control, that could cause the actual results to differ materially from the projected results. Factors which could cause such differences include, without limitation, business, economic, competitive, industry, regulatory, market and financial uncertainties and contingencies, as well as the "Risk Factors" discussed in Delta's SEC filings. Caution should be taken not to place undue reliance on Delta's forward-looking statements, which represent Delta's views only as of the date of this presentation, and which Delta has no current intention to update. In this presentation, we will discuss certain non-GAAP financial measures. You can find the reconciliations of those measures to comparable GAAP measures on our website at delta.com. 2#3The Path Forward Richard Anderson Chief Executive Officer ▲ DELTA#4Consolidation Producing Financial Stability ▲ DELTA Major Airlines Total revenues 2002-2004 SOUTHWEST Now 8 nwa AA 5 UNITED SOUTHWEST AA ŵAMERICA WEST $75 billion $120 billion Net income Leverage ratio ($3) ($10) billion - 7.0x $6 billion 4.5x 4#5▲ DELTA Airlines Have More Runway Ahead Multiples do not reflect combination of similar profitability and lower forward capital commitments The industry is approaching similar levels of profitability... ...with a much different forward outlook on capacity and capital Airline Industry Net Income $4,850 M $3,790 M Avg. P/E = Avg. P/E = 11.4 7.9 Mainline Aircraft Deliveries for Major U.S. 1,212 Carriers 422 $30+ billion capital 1998-1999 2012 Deliveries 1999-2002 Scheduled Deliveries 2013-2016 UT 5#6▲ DELTA Delta Is Taking a Different Approach All stakeholders need to share in our success to break the industry's historical pattern 7 Make Delta a great investment for SHAREHOLDERS - Solid returns on invested capital - Balanced capital deployment Make Delta an airline CUSTOMERS want to fly - Reliable, customer-focused operation - High quality products and service 7 Make Delta a great place to work for EMPLOYEES - Job stability with solid wages and benefits - Engaged employees motivated to generate results What to expect in 2013 Shareholders • 4th consecutive year of profitability, with nearly 10 points of margin expansion over that time • Solid free cash flow generation and achievement of $10 billion debt target . Employees Best employee relations in the industry Customers • Continued benefits from investments in product, service, technology and operations#7$ Billions 6 Focus on Free Cash Flow 4.8 5 4.1 4 3.8 3 2.6 2 1 0 -1 -2 Historical Capital Spending and Operating Cash Flow 4.1 2.9 1.8 1.3 1.2 0.9 2.6 2.1 ▲ DELTA Capex Operating Cash Flow 2.1 2.1 1.2 1.3 1.3 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Note: Includes pre-merger NWA * 2012 includes $300M of refinery capex; 2013 estimate includes $360M Virgin Atlantic equity investment Est* Est* 7#8▲ DELTA A High Quality Investment For Shareholders The next step on the path forward incorporates returning cash to shareholders 2005-2009 Restructuring and Merger Integration Focus on restoring operating cash flow and combining the two airlines 2009 - 2013 Investing in the Business and Reducing Risk Operating cash flow dedicated to operational and product investments and balance sheet repair 2013 - forward Balanced Capital Deployment Operating cash flow divided between product investments, further delevering and returning cash to shareholders Expect to announce capital deployment strategy before Delta's annual meeting in June with program commencing in January 2014#9Building On Our Success Ed Bastian President ▲ DELTA#10Building On Our Success Our Plan Is Delivering Results ▲ DELTA Strong execution led to a successful 2012 with solid earnings growth, operational improvements and increased customer satisfaction Momentum To Continue In 2013 Continued delivery of our plan, combined with further benefits from investments, create the platform for success in 2013 Taking Our Performance To the Next Level Leveraging scale and first-mover advantage and taking the next step forward to long-term, sustainable profitability and free cash flow generation 10 10#112012: Another Year of Strong Performance ▲ DELTA • • At last year's investor day, we laid out our 2012 goals: Generate solid earnings growth and free cash flow Continue revenue momentum from corporate share gains, new merchandising revenues and strong operational performance • Make Delta an airline customers prefer • Reduce labor, financial and operational risk to create a more stable business model in a volatile industry • Our 2012 accomplishments: Despite difficult economic conditions, delivering $1.6 billion profit, 100 bps pre-tax margin expansion, and $1 billion free cash flow (excluding refinery) • 20 consecutive months of generating a revenue premium to the industry • • Recognized as leading airline by Business Travel News and only airline to improve overall score in JD Power survey Improvements in all operational metrics, industry-leading employee morale, and more than $1 billion of balance sheet delevering Note: All results exclude special items and mark to market adjustments on open fuel hedges 11#12Ending 2012 With a Profitable December Quarter ▲ DELTA On track to produce $200M - $250M December quarter profit, despite $50 million Sandy impact Operating margin Fuel price, including taxes and settled hedges Capital expenditures Total unrestricted liquidity December quarter 2012 5 -6% $3.20 - $3.25 $600 650 million $5.1 - $5.2 billion December quarter 2012 vs. December quarter 2011 Up 3-4% Passenger unit revenue Consolidated ex-fuel unit cost System capacity Up 5-6% Down 1-2% Completing third solidly profitable year in a row, generating $4 billion of free cash flow and 10.2% return on invested capital over that time Note: Fuel price includes taxes and settled hedges; consolidated ex-fuel unit cost excludes special items and profit sharing 12#13Setting the Stage for 2013 ▲ DELTA Here's what we expect: • Across the Industry Slow, but positive, global GDP growth • More financially-stable U.S. airline industry as merger integrations mature and restructured carriers emerge • U.S. carriers maintain capacity restraint with growth less than GDP . • Inflationary pressures across all categories, with industry capacity discipline allowing for recovery of higher cost inputs Corporate travel demand remains solid - GBTA predicting corporate travel spend to increase 5% Note: Fuel price includes taxes and settled hedges At Delta • Cautious approach to capacity with full year 2013 capacity flat . • - No growth planned for domestic and transatlantic entities - 1Q13 capacity down 3-4% Unit revenue growth driven by revenue initiatives, corporate share gains, customer preference, and aligning capacity with demand - Sustain and continue to build revenue premium to the industry Market fuel prices of $3.00 - $3.10 per gallon, inclusive of Trainer contribution of approximately 7 cents per gallon • Non-fuel costs under pressure from completing wage increases, flat capacity and investments in products and services - Growth peaks in 1Q13, but moderates by back half of the year 13#14Maintaining Our Momentum In 2013 ▲ DELTA Grow total RASM Grow passenger and ancillary unit revenues through corporate revenue gains, disciplined capacity management, technology-enabled merchandising initiatives, and returns from product and service investments Improve productivity Focus on total cost productivity, including fuel, and structural initiatives needed to stem rate of cost growth led by the domestic fleet restructuring Invest in the business Invest in the network and toward consistent, high-quality products and services that earn a revenue premium with a particular focus on New York and international business Delever the balance sheet Maintain capital and capacity discipline, manage liquidity and focus on achieving $10 billion debt target 14#15Generating a Revenue Premium To The Industry ▲ DELTA Delta has a network, product and operation that customers are willing to pay a premium for Passenger Unit Revenue vs. Prior Year 14.5% 14.5% 13% 13% 13% 13% 13% 12% 12% 11% 11% 10% 11% 9% 9% 8% 8% 7% 9% 7% 6% 6% 5% Delta A4A Excl DAL 8% 8% 7% 6% 5.5% 5% 5% 4.5% 4% 4% 3-4% 2%2 2.5% 2% 1% 0.5% Apr-11 May Note: November 2012 industry change is based on actual carrier results and industry analyst estimates Jun Jul Aug Sep Oct Νον Dec Jan-12 Feb Mar Apr T May Jun Jul Aug Sep -1% -1% Oct Nov* Dec 15#16Making Solid Inroads With Corporate Customers Increased corporate revenues by 11% in 2012, despite 2% decrease in capacity Leading customer satisfaction with business travelers... Business TravelNews www.businesstravelnews.com DELTA SWEEPS BTN AIR SURVEY Carrier stays on top by leading buyer preferences in every category. Page 32 ▲ DELTA ...producing strong gains in corporate revenue Nov YTD 2012 Tktd Revenue vs. Prior Year Financial Services Manufacturing Technology Health Care 8% 10% 10% 13% Automotive BTN Airline Survey Transportation -1% Ratings On A Scale Of 1 (Poor) To 5 (Excellent) Corporate Travel Buyers Rate U.S. Airlines Flexibility in Flexibility in Flexibility in Distribution Complaint/ Energy negotiating transient negotiating meetings negotiating services and channels problem resolution Quality of airline com- munications pricing pricing amenities Value of relationships with account managers and Quality of customer partnerships service and frequencias Networks, Overall OVERALL price value AVERAGE Business Services sales reps Delta Air Lines 3.88 3.53 3.76 4.02 4.03 4.15 4.15 4.02 4.20 3.74 3.95 Banking American Airlines 2.98 2.89 3.02 3.38 3.30 3.33 3.17 3.17 3.55 3.18 3.20 Southwest Airlines 2.72 2.51 2.36 2.75 3.35 3.53 3.05 3.61 3.21 3.74 3.08 Defense 0% US Airways 3.03 2.87 2.73 3.61 3.09 2.98 3.07 3.07 3.25 3.01 3.07 United Airlines 2.69 2.69 2.67 3.47 2.73 3.11 2.98 2.82 3.76 2.89 2.98 Other Average attribute 3.06 2.90 2.91 3.44 3.30 3.42 3.28 3.34 3.59 3.31 rating Includes AirTran Airways Total Includes Continental Airlines 8% 11.1% 14% 15% 17% 16% 16#17▲ DELTA Focused On Margin Expansion Last three years have been period of investment - in people, product, technology and operations. Revenue and margin expansion have been strong... but cost trends need to stabilize • Pre-tax margins expanded by 800 bps since 2009 Non-fuel unit costs - Product and service investments produced revenue gains, but not without Up 4 - 6% Flat - 2% a cost Up 3-5% annually • Capacity down 6.5% since 2008, further pressuring unit costs 8.92 • Cost growth expected to peak in mid-2013 and stabilize by year end . Long-term goal is to hold costs at 2013 levels, using productivity to offset normal inflation - – $1 billion structural cost reduction program flattens cost growth trajectory and supports margin expansion Note: All results exclude special items 8.53 2011 2012 2013 Long-term 17#18Taking Our Performance To the Next Level LaGuardia Expansion ▲ DELTA Leveraging scale and first mover advantage achieved through consolidation as the foundation for long-term, sustainable profitability and free cash flow generation Domestic Fleet Restructuring International Equity Investments Trainer Refinery Acquisition 18#19▲ DELTA • • Domestic Fleet Restructuring Upgauging domestic fleet to improve revenue generation and more efficiently produce capacity Two-class RJs have both higher RASM and lower CASM compared to 50-seat jets Customers willing to pay for a better onboard experience, including first-class cabin, Economy Comfort, and inflight Wi-Fi On a similar stage length, 50 seat aircraft are 30% less cost efficient than narrowbodies Average gauge increases from 102 in 2009 to 122 in 2015 - - - Similar capacity levels can be produced with fewer departures, improving unit cost efficiency – 2013 capacity flat to 2012 on 2% fewer departures Domestic Fleet Count 1,287 1,095 50-seat RJ 474 125 295 Two-class RJ 219 • Good progress in eliminating 50-seaters from the fleet - - Clear path to reducing 50-seaters to 125 or fewer by 2015 Recent Bombardier order includes return of 60 50-seaters Agreement with SkyWest to take 34 larger regional jets in exchange for terminating agreement for 66 50 seaters Maintenance savings over next three years in excess of $400 million Mainline 675 594 2009 2015 Average gauge 102 122 • Deploying capital wisely with a mix of new aircraft (737-900ER, CRJ900) and used aircraft (717, MD90) 19#20▲ DELTA International Equity Investments Equity investments in GOL and Aeromexico generate network scale and produce solid revenue improvements in Latin America's two largest markets • Aeromexico 4% equity stake, including board seat Delta's network now expanded to 32 points within Mexico - Aeromexico itineraries make up 20% of revenue on Delta's non-beach Mexico flying Mexico margins up 800 bps in 2012, driven by 18% RASM gain Nov-11 Aeromexico revenue on Delta - change YOY 48% Dec-11 62% 54% Jan-12 73% 94% 69% 61% 60% ilm. 7 Feb-12 Mar-12 Apr-12 26% IE 36% 47% 48% May-12 Jun-12 Aug-12 Jul-12 7 Sep-12 Oct-12 • GOL • 3% equity stake, including board seat • Delta now has the most US - Brazil city pairs of any carrier - GOL itineraries make up 20% of traffic on Delta's five long-haul Brazil flights Brazil margins up 400 bps in 2012, with all five flights increasing between 100 and 700 bps 55% 83% GOL revenue on Delta – change YOY 75% 93% hil - Nov-11 Dec-11 Jan-12 Feb-12 Mar-12 40% 33% 29% 35% 36% Apr-12 7 May-12 Jun-12 18% Jul-12 10% Aug-12 40% Sep-12 T Oct-12 7 20 20#21▲ DELTA International Equity Investments Acquiring 49% of Virgin Atlantic provides unique opportunity to increase Heathrow presence • Delta to invest $360 million to acquire the 49% stake in Virgin Atlantic currently held by Singapore - Virgin Group to retain its 51% stake and Virgin Atlantic will remain private Combined network North America - London YVR MSP BOS LON SFO ORD DTW EWR & JFK İAD LAX LAS ATL MCO London Heathrow London Gatwick ΜΙΑ CUN • - - Delta to have three board seats Will create $3 billion revenue joint venture for flying between North America and U.K. - Will seek to add Virgin to existing antitrust immunity order with other Delta partners across the Atlantic - Expect to launch joint venture by end of 2013, assuming timely receipt of ATI ⚫ Joint venture with Virgin Atlantic is the answer for acquiring the scale needed to compete effectively in Heathrow Combined network has 23 daily round trips from LHR and 31 daily roundtrips between U.K. and North America Nine daily flights from New York area airports to Heathrow Joint venture expected to generate $120M in annual synergies for Delta Network benefits from more comprehensive schedule, improved connectivity, and aircraft reallocation - Sales benefit from corporate contract gains © Cost synergies from operational cooperation 21 24#22▲ DELTA International Equity Investments Joint venture with Virgin Atlantic allows Delta to significantly increase Heathrow presence . • Heathrow accounts for 85% of all travelers in the top 10 markets and 55% of travelers in the top 25 markets Joint venture creates instant step-function improvement in Delta's Heathrow scope and presence without added industry capacity London-Heathrow is the largest international destination for corporate travel - nearly three times larger than the next destination, Paris-Charles De Gaulle - - JFK-LHR is the largest US – International market and corporate revenue momentum allows Delta to maximize this opportunity Top 10 markets - US - Europe Annual passengers - 2012 U.S. Heathrow Seat Share New York - London 2.7 million Los Angeles - London 1.4 million Delta 8% New York - Paris 1.2 million Chicago London 1.2 million Virgin Atlantic 16% British Airways Newark - London 1.2 million 43% Boston London 1.0 million United Washington D.C. - London 1.0 million 14% Miami - London 0.9 million AMR San Francisco - London 0.9 million 16% Other New York - Frankfurt 0.7 million 3% 22 22#23▲ DELTA International Equity Investments Joint venture with Virgin Atlantic generates improved customer preference for Delta • Delta and Virgin are strong brands that will be retained and promoted together in the joint venture • Virgin brings a premier global brand that will enhance Delta's brand equity through association and passenger access CoolBrands Top 10 UK Brands Business 2Q2012 Transatlantic Overall Satisfaction (2012/2013) 1) Apple 6) BBC iPlayer 4.13 4.04 3.96 3.94 3.90 Ind. 3.79 2) YouTube 7) Glastonbury 3.78 3.75- Avg 3.66 3) Aston Martin 8) Virgin Atlantic 3.40 4) Twitter 9) Bang & Olufsen 5) Google 10) Liberty VS LX BA AA BA AA DL AF LH LH KL AZ UA 23#24▲ DELTA Jet Crack Spread Expense Trainer Refinery Acquisition Using vertical integration to address Delta's largest expense • • • Refinery acquisition is a means to address Delta's largest and fastest growing expense - 80% of Delta's domestic jet fuel needs covered by production and off-take agreements First time Delta has had the scale to consume all the output of a single refinery Refinery turnaround and initial max-jet modifications complete, bringing jet fuel to 20% of production Next phase of max-jet modifications, combined with process changes to improve yield efficiency, should bring jet production to 40,000 bpd by the end of 2013 Opens door to new crude supplies and allows Delta, not the refiners, to benefit from that input cost savings - Investigating opportunities to get Bakken crude to the plant in 2013 $950M $1,500M 2009 2012 24 24#25Building On Our Success Our Plan Is Delivering Results ▲ DELTA Strong execution led to a successful 2012 with solid earnings growth, operational improvements and increased customer satisfaction Momentum To Continue In 2013 Continued delivery of our plan, combined with further benefits from investments, create the platform for success in 2013 Taking Our Performance To the Next Level Leveraging scale and first-mover advantage and taking the next step forward to long-term, sustainable profitability and free cash flow generation 25#26▲ DELTA Running a Reliable, Customer-Focused Airline Steve Gorman Chief Operating Officer#27Investing in Operational Excellence About 8,500 fewer flights cancelled annually 98.6% Completion Factor 99.0% 99.6% ▲ DELTA On-time arrival rate up 9.5 points On-Time Arrival Rate 85.9% 81.6% 76.4% 2Q/3Q 10 2Q/3Q 11 2Q/3Q 12 • Fleet-targeted bases concentrating maintenance on fleet types • Optimized maintenance planning • Increased station parts allocation compliance 2Q/3Q 10 2Q/3Q 11 2Q/3Q 12 • Aircraft turn process improvement - D-35 and D-3 focus Efficient pushback process • Focus on traffic flow and gate utilization • Fleet-specific reliability projects YTD 2012 No. 1 in DOT Completion and On-Time among network carriers 27#28Ongoing Improvement in Mishandled Bags 36% reduction in mishandled bags (per 1,000 customers) Mishandled Bags 3.25 2.73 2.07 2Q/3Q 10 2Q/3Q 11 2Q/3Q 12 • • 66% reduction in claims over last six years Leveraging airport infrastructure investments and scanning technology • Improved bag transfer process • Bags to claim ▲ DELTA No. 1 network carrier in DOT Missed Bag Ratio 28#29Driving Higher Customer Satisfaction Utilizing direct customer feedback • Over 10 million surveys • Airports and on-board experience Real-time alerts Accountability • • • Service recovery from disruptions Technology enhancements "Need Help" service centers First point of contact compensation Real-time social media NEED HELP? 63% reduction in DOT complaints Note: Reduction in DOT complaints is for YTD October 2012 vs. 2010 INFORMATION ▲ DELTA NEED HELP? O HELP? 29#30Improving the Product Offering Refreshed Business Elite with Flat-Bed Seats SKY PRIORITY® Sky Priority ▲ DELTA Wi-Fi ONBOARD New and upgraded Delta Sky Clubs PDELTA Domestic First Class Economy Comfort Personal On-Demand Entertainment 30#31Dramatic Increase in Customer Preference ▲ DELTA "Delta does an outstanding job of taking care of the customer both on the ground and in the air." - Corporate Services Director Domestic Net Promoter +50% +100% 26% +93% 27% 24% 21% 20% 16% 18% 13% 14% 1Q 2Q 3Q 2010 2011 2012 "I have found Delta to be the epitome of all the traveler could ever hope for. Delta's investment in "world class" people has paid huge dividends to travelers like me around the globe." - Delta Customer 31#32▲ DELTA Generating a Sustainable Revenue Premium Glen Hauenstein EVP Marketing, Network, Revenue Management and Alliances#33▲ DELTA Generating a Sustainable Revenue Premium Invest in What Matters to Customers Build a Durable • • • • Valuing passengers' time through operational excellence Targeted improvements in onboard product, world class facilities and technology De-commoditize air travel by focusing on customized and differentiated experience Powerful global network with strong presence in world's leading aviation markets Network for the Future • Expanding network reach through partnerships • Continued execution of New York strategy Expand the Revenue Possibilities . Enable technology to capture higher share of travel spend • • Leverage customer touch points to sell product and service offerings Expand merchandising efforts outside of airline space 33#34Operational Performance (in %) Customers are Valuing Our Top-Tier Operating Performance ▲ DELTA Delta's investments in operating performance are key to attracting time-conscious high value customers and corporate accounts Improvements in operating performance and customer satisfaction..... Operating Performance vs. Customer Satisfaction Indices ....are facilitating improved corporate share Corporate Share Gap Growth Share vs. Fair Market Share 90.0 85.0 4.5 4.4 80.0 75.0 70.0 65.0 60.0 55.0 50.0 45.0 TTTTTTT 4.3 4.2 4.1 4.0 40.0 3.9 Jan May Sep Jan 2011 May Sep 2012 DO -AO Gate & Boarding Survey (5 excellent / 1 = poor) Customer Satisfaction 5.0 4.0 3.0 2.0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2010 2011 2012 34#35Building a Durable Network for the Future Maintaining capacity discipline while building presence in top markets Travel demand concentrated in world's largest cities Delta focused on key business and growth markets ▲ DELTA Expanding network reach through partnerships • Over 60% of passenger demand is centered in the top 100 aviation markets Delta's long-term strategy is to position itself to take advantage of current demand and build a platform for future growth in major markets • Win in New York, the world's number one aviation market • - Initial success with LGA expansion New JFK terminal will enable further revenue growth in New York Leverage flat-bed product and new facilities in ATL and JFK to win in critical business markets Develop Seattle into premier West Coast gateway to Asia Adding Haneda and Shanghai flying to Seattle in 2013 . • . Virgin Atlantic partnership will increase Delta's LHR offerings from 9 to 23 flights per day GOL partnership provides access to 22 interior points in Brazil • Expanded Aeromexico codeshare gives Delta connections to 32 interior points in Mexico Leveraging codeshare with Alaska to supplement SEA gateway to Asia 35#36▲ DELTA LaGuardia Expansion Reallocating slots between carriers generates scale, produces consolidation-like benefits • Delta has the leading position at New York's preferred business airport - Non-stop service to 47 of the top 50 business destinations LaGuardia Departures NYC margin up 2 points despite capacity adds at LGA 8% 7% United • Delta's NYC corporate revenue increased 11% year over year, as customers responded to Delta's improved network and product offerings 11% US Airways 33% 16% All others Moved 5 points of corporate share from other airlines in New York to Delta's New York operations 20% American 13% . Building loyal base of New York customers - SkyMiles Medallion membership up 10%, outperforming system average 22% 46% • LGA expansion has contributed to 4 point margin improvement at JFK, by shifting local traffic to LGA, freeing up JFK for more profitable international and transcon traffic Delta 24% • Facility investments generating positive customer response - Terminal D among the top-ranked Port Authority facilities 2007 2012 - Terminal C undergoing similar renovation to be complete in mid-2013 36#37Generating a Revenue Premium To The Industry ▲ DELTA Delta has a network, product and operation that customers are willing to pay a premium for Passenger Unit Revenue vs. Prior Year 14.5% 14.5% 13% 13% 13% 13% 13% 12% 12% 11% 11% 10% 11% 9% 9% 8% 8% 7% 9% 7% 6% 6% 5% Delta A4A Excl DAL 8% 8% 7% 6% 5.5% 5% 5% 4.5% 4% 4% 3-4% 2%2 2.5% 2% 1% 0.5% Apr-11 May Note: November 2012 industry change is based on actual carrier results and industry analyst estimates Jun Jul Aug Sep Oct Νον Dec Jan-12 Feb Mar Apr T May Jun Jul Aug Sep -1% -1% Oct Nov* Dec 37#38▲ DELTA The Sky is the Limit Significant revenue upside to regaining share of total travel spend and leveraging Delta's customer base Increase Delta's Share of the Travel "Pie" Air Travel as Percentage of Total Travel Spend 24% 2004 $10B opportunity for the airline industry 19% 2011 • Expanding the Revenue Possibilities Utilize revenue management tools and capacity discipline to align pricing with cost of product - Changing our pricing philosophy 160 million annual passenger base onboard creates significant opportunities for advertising and marketing. • 90 million SkyMiles members with touch points inside and outside the travel sphere • Position delta.com and digital apps as online marketplace for media, entertainment, music and other products - Over 1.1 million unique visitors per day....and growing Source: U.S. Dept of Commerce Bureau of Economic Analysis, total spend includes air transportation, tourist packages, accommodations and amusement parks 38#39Striking the Right Financial Balance Paul Jacobson Chief Financial Officer ▲ DELTA#40Striking the Right Financial Balance ▲ DELTA Investing in the Business • Focus on Long-Term Margin Expansion Sound Employment of Free Cash Flow Investments in business driving revenue growth as well as cost increases Strategic investments have boosted pre-tax margin performance • • Structural cost initiatives will preserve Delta's cost advantage and pave the way for margin expansion Taking a different approach to addressing rising jet crack spreads through refinery acquisition • Delevering the balance sheet to reduce risk and improve income • Focus on generating free cash flow and deploying it • wisely Balancing capital spending, debt reduction, and shareholder returns 40 40#41Investments Pressuring Costs, but Improving Margin Performance ▲ DELTA Delta's tactical investments in its operations, product and people have contributed to higher earnings While non-fuel unit costs have increased 8% from 2009, Delta has maintained its cost advantage and improved its earnings performance Rolling 12 Months Non-Fuel CASM 9.40 8.90 8.40 7.90 DAL -Legacy Carriers Excl DAL 7.40 4Q08 3Q09 2Q10 1Q11 4Q11 3Q12 Note: Legacy carriers include AMR, LCC and UAL; all results exclude special items 41 21#42Structural Cost Initiatives Aimed at Maintaining Cost Advantage $1 billion program will reduce expense without jeopardizing superior product Fleet Restructuring $300M • Mainline deliveries and large regional jets will facilitate retirement of 200 50-seat regional jets Maintenance Redesign $150M Distribution Platforms $100M Staffing Efficiency $325M • Lower material expense by capitalizing on market purchase and part-out opportunities Improve processes and resource management Increase delta.com channel share Restructure commissions • Reduce merchant fees • Higher productivity levels through technology and improved staffing models • Leverage size to improve supply chain expense Other Costs $125M • Improve network efficiency • Reduce transportation expense ▲ DELTA 42 22#43▲ DELTA Initiatives will Ramp up through 2015 Delta will continue to face off-setting CASM pressures, but initiatives forecast to bring 2014 Non-fuel CASM flat compared to 2013 Rolling 12 Months Non-Fuel CASM Timing of Cumulative Savings from Structural Initiatives $1.0B 10.00 9.50 Impact of Initiatives 9.00 $0.6B 8.50 8.00 7.50 7.00 2013 6.50 1Q11 3Q11 1Q12 3Q12 1Q13 3Q13 1Q14 3Q14 Note: All results exclude special items estimate Fleet Restructuring Staffing Efficiency Maintenance Redesign Distribution Other Costs 2014 43 33#44Managing Fuel Expense to Reduce Risk Unique approach to Delta's number one input cost Refinery Update • Trainer refinery will produce a loss for the December quarter due to depressed gasoline crack spreads and Hurricane Sandy Hurricane Sandy negatively impacted distribution out of refinery due to damage to infrastructure • Impact expected to mitigate by 1Q13 • . ▲ DELTA Improved Fuel Management Fleet and operating investments contributing to 1% year-over-year improvement in fuel efficiency in 2012 Refinery gives Delta leverage for fuel purchases, generating significant contractual savings Exploring all opportunities for cost-effective crude oil sources, including domestic U.S. production • Expect to achieve full run rate benefit of $300M (roughly 7 cents per gallon) in 2013 • Plant operations prior to Sandy would have produced $280 million of annual savings against 2012 crack spread 44#45$ Billions Prudent Use of Capital Spending $2.1 billion capex forecast for 2012 and 2013 is modest by historical standards 6 4.8 5 4.1 4 3.8 ▲ DELTA Historical Capital Spending and Operating Cash Flow Capex Operating Cash Flow 4.1 2.9 3 2.6 2 1 0 1.8 1.3 1.2 0.9 2.1 2.6 2.1 2.1 1.3 1.3 Almi 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 -1 -2 Note: Includes pre-merger NWA * 2012 includes $300M of refinery capex; 2013 estimate includes $360M Virgin Atlantic equity investment Est* Est* 45#46Wise Deployment of Free Cash Flow Delta has generated $3.9 billion of free cash flow over past 3 years Focus on reducing adjusted net debt to manageable levels... 2009 2012 2013 Long Term Debt ($B) 17.8 12.6 Capital Leases 0.5 0.6 Implied Aircraft Debt 3.4 1.9 Less Unrestricted Cash (4.7) (3.3) Adjusted Net Debt 17.0 11.8 10.0 · ▲ DELTA ...has improved balance sheet and lowered interest expense • $5.2 billion reduction in adjusted net debt in three years 1 point reduction in effective interest rate on remaining debt $300 million savings in interest expense for 2012 versus 2009; expected to increase to more than $500 million in annual savings once target has been reached Reduced risk in the business from delevering 46#47▲ DELTA Pension Obligation is Manageable Benefit from Pension Protection Act of 2006 extends Delta's funding relief through 2031 • GAAP unfunded liability driven higher by low corporate interest rates, but funding requirement is modest GAAP liability is driven by current low interest rate environment and is highly sensitive to market interest rates, but doesn't drive funding - 100 bp increase in interest rates drives a $2 billion reduction in unfunded liability • Pension funding requirements are calculated using 8.85% discount rate through 2024 regardless of market interest rates or balance sheet liability - Contributions are expected to average roughly $700 million for the next five years • No desire to contribute additional capital beyond minimum requirements due to benefits of Airline Relief - Legislation allows until 2031 to get to fully funded status#48Healthy Balance of Free Cash Flow Deployment Delta expects to achieve its target of reducing adjusted net debt to $10B in 2013 Evolution of Free Cash Flow Deployment Delevering and Investments in Merger Integration Investing in the Product Healthy Balance Adj Net 2008 2009 2010 2011 2012 Debt $17.0 $17.0 $15.0 $12.9 $11.8 2013 $10.0 2014 and Beyond < $10.0 Once debt reduction goal is achieved, focus shifts to a healthy balance of investing in the business, continued delevering and returning cash to shareholders 48 42 ▲ DELTA#49Striking the Right Financial Balance ▲ DELTA Investing in the Business • Focus on Long-Term Margin Expansion Sound Employment of Free Cash Flow Investments in business driving revenue growth as well as cost increases Strategic investments have boosted pre-tax margin performance . • Structural cost initiatives will preserve Delta's cost advantage and pave the way for margin expansion Taking a different approach to addressing rising jet crack spreads through refinery acquisition • Delevering the balance sheet to reduce risk and improve income • Focus on generating free cash flow and deploying it wisely • Balancing capital spending, debt reduction, pension obligations and shareholder returns 49 49