Delta Air Lines : Baird Global Industrial Conference 2019 Presentation (opens in new window)

Delta Air Lines

Baird 2019 Global Industrial Conference

Paul Jacobson, Chief Financial Officer November 7, 2019

Safe Harbor

Statements in this presentation that are not historical facts, including statements regarding our estimates, expectations, beliefs, intentions, projections or strategies for the future, may be "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. All forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from the estimates, expectations, beliefs, intentions, projections and strategies reflected in or suggested by the forward-looking statements. These risks and uncertainties include, but are not limited to, the cost of aircraft fuel; the availability of aircraft fuel; the impact of fuel hedging activity including rebalancing our hedge portfolio, recording mark-to-market adjustments or posting collateral in connection with our fuel hedge contracts; the performance of our significant investments in airlines in other parts of the world; the possible effects of accidents involving our aircraft; breaches or security lapses in our information technology systems; disruptions in our information technology infrastructure; our dependence on technology in our operations; the restrictions that financial covenants in our financing agreements could have on our financial and business operations; labor issues; the effects of weather, natural disasters and seasonality on our business; the effects of an extended disruption in services provided by third parties; failure or inability of insurance to cover a significant liability at Monroe's Trainer refinery; the impact of environmental regulation on the Trainer refinery, including costs related to renewable fuel standard regulations; our ability to retain senior management and key employees; damage to our reputation and brand if we are exposed to significant adverse publicity through social media; the effects of terrorist attacks or geopolitical conflict; competitive conditions in the airline industry; interruptions or disruptions in service at major airports at which we operate; the effects of extensive government regulation on our business; the sensitivity of the airline industry to prolonged periods of stagnant or weak economic conditions; uncertainty in economic conditions and regulatory environment in the United Kingdom related to the exit of the United Kingdom from the European Union; and the effects of the rapid spread of contagious illnesses.

Additional information concerning risks and uncertainties that could cause differences between actual results and forward-looking statements is contained in our Securities and Exchange Commission filings, including our Annual Report on Form 10-K for the fiscal year ended December 31, 2018. Caution should be taken not to place undue reliance on our forward-looking statements, which represent our views only as of November 7, 2019, and which we have no current intention to update.

1

Current State of the Business

• On track to achieve December quarter earnings and revenue guidance
• • Revenue environment remains solid driven by corporate and leisure demand as well as diverse revenue streams
• Expect industry-leading free cash flow generation of more than $4 billion for the full year with $3 billion returned to shareholders
• Consistently running the industry's best operation with record load factors, strong brand momentum and growing loyalty base
• • Enabled by our employees and unique culture, Delta's strongest competitive advantage

On track to deliver ~7% top-line growth, solid margin expansion and more than 20% growth in EPS in 2019

Note: Forward-lookingnon-GAAP financial measures. See additional information in Appendix

2

Momentum Building Following Transformational Decade

Established

Solid Foundation

• Created a more customer- focused operation
• Improved product, reliability and service
• Deployed opportunistic fleet strategy
• Achieved investment grade rating
• Established shareholder return program

Strengthened

Competitive Advantages

• Pioneered multi-class product segmentation
• Developed balanced domestic hub structure and strengthened global presence
• Established industry-leading operational reliability and improved NPS
• Grew revenue premium and delivered strong financial performance

Accelerating

Our Momentum

• Diversifying revenue stream including robust Amex growth
• Leveraging scale across the business
• Delivering personalization in service and offers
• Driving efficiency with fleet transformation and One Delta
• Maintaining financial leadership position

Delta's Unique Culture Underpins our Success

3

Results Underscore Magnitude of Transformation

Established	Strengthened	Accelerating
Solid Foundation	Competitive Advantages	Our Momentum

~$8.5B

$5.8B~$6B

$4.5B

$1.4B

($1.1B)

2009			2014	2019E
		Pre-Tax Income			Operating Cash Flow

Note: Non-GAAP financial measures reconciled in Appendix

4