Debt to Equity
since 2007
Calculation
Delta Air Lines Inc., debt to equity, long-term trends, calculation
| Debt to equity | = | Long-term debt and capital leases, including current maturities1 | ÷ | Stockholders’ equity (deficit)1 | |
|---|---|---|---|---|---|
| Dec 31, 2021 | 6.93 | = | 26,920) | ÷ | 3,887) |
| Dec 31, 2020 | 19.01 | = | 29,157) | ÷ | 1,534) |
| Dec 31, 2019 | 0.73 | = | 11,160) | ÷ | 15,358) |
| Dec 31, 2018 | 0.71 | = | 9,771) | ÷ | 13,687) |
| Dec 31, 2017 | 0.64 | = | 8,834) | ÷ | 13,910) |
| Dec 31, 2016 | 0.60 | = | 7,332) | ÷ | 12,287) |
| Dec 31, 2015 | 0.77 | = | 8,329) | ÷ | 10,850) |
| Dec 31, 2014 | 1.11 | = | 9,777) | ÷ | 8,813) |
| Dec 31, 2013 | 0.97 | = | 11,342) | ÷ | 11,643) |
| Dec 31, 2012 | — | = | 12,709) | ÷ | (2,131) |
| Dec 31, 2011 | — | = | 13,791) | ÷ | (1,396) |
| Dec 31, 2010 | 17.00 | = | 15,252) | ÷ | 897) |
| Dec 31, 2009 | 70.20 | = | 17,198) | ÷ | 245) |
| Dec 31, 2008 | 18.96 | = | 16,571) | ÷ | 874) |
| Dec 31, 2007 | 0.92 | = | 9,295) | ÷ | 10,113) |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31).
1 US$ in millions
- Long-term Debt and Capital Leases
- From 2007 to 2021, long-term debt and capital leases exhibited considerable fluctuations. Beginning at $9,295 million in 2007, debt surged sharply to $16,571 million in 2008 and continued rising to a peak of $17,198 million in 2009. After this peak, there was a gradual decline through 2016, reaching a low of $7,332 million. Debt increased again starting in 2017, reaching $11,160 million by 2019, followed by a marked spike to $29,157 million in 2020, likely reflecting external pressures during that period. In 2021, debt slightly decreased to $26,920 million, remaining significantly above pre-2020 levels.
- Stockholders' Equity
- Stockholders' equity showed substantial volatility over the period. It started strong at $10,113 million in 2007 but sharply declined to $874 million in 2008 and further diminished to $245 million in 2009, indicating considerable financial strain. In 2010, equity slightly recovered to $897 million but turned negative in 2011 and 2012, reaching deficits of -$1,396 million and -$2,131 million respectively, highlighting periods of financial distress. Recovery began in 2013 with equity rising significantly to $11,643 million, sustaining mostly positive and upward trends until 2019, peaking at $15,358 million. However, equity declined drastically in 2020 to $1,534 million, reflecting a major impact possibly related to broader economic conditions, before a modest recovery to $3,887 million in 2021.
- Debt to Equity Ratio
- The debt to equity ratio experienced extreme variability, closely mirroring the trends in both debt and equity. In 2007, the ratio was moderate at 0.92. It spiked drastically to 18.96 in 2008, peaking at an extraordinary 70.2 in 2009, indicating a heavily leveraged position and low equity levels. By 2010 the ratio fell sharply to 17 but no data is available for 2011 and 2012 to allow trend analysis in these years. From 2013 through 2019, the ratio stabilized between 0.6 and 1.11, suggesting a more balanced capital structure. The ratio surged again to 19.01 in 2020, coinciding with increased debt and collapsing equity. In 2021, the ratio decreased significantly to 6.93, reflecting some improvement but remaining elevated compared to pre-2020 levels.
- Overall Observations
- The data indicate significant financial stress during 2008-2009 and again in 2020, characterized by large increases in debt, sharp declines in equity, and extremely high debt-to-equity ratios. The company showed resilience in the intermediate years, improving equity levels and stabilizing leverage. Nevertheless, the elevated debt levels and compromised equity in recent years point to ongoing capital structure challenges. The 2020 spike in debt and deterioration in equity likely reflect extraordinary external factors impacting financial stability. A partial recovery is visible by 2021 but leverage remains higher than earlier periods, underlining the necessity for continued focus on deleveraging and equity strengthening.
Comparison to Competitors
Delta Air Lines Inc., debt to equity, long-term trends, comparison to competitors
| Delta Air Lines Inc. | FedEx Corp. | Uber Technologies Inc. | Union Pacific Corp. | United Airlines Holdings Inc. | United Parcel Service Inc. | |
|---|---|---|---|---|---|---|
| Dec 31, 2021 | 6.93 | 0.86 | 0.64 | 2.10 | 7.03 | 1.54 |
| Dec 31, 2020 | 19.01 | 1.20 | 0.62 | 1.58 | 4.75 | 37.53 |
| Dec 31, 2019 | 0.73 | 0.99 | 0.40 | 1.39 | 1.29 | 7.73 |
| Dec 31, 2018 | 0.71 | 0.85 | — | 1.10 | 1.47 | 7.53 |
| Dec 31, 2017 | 0.64 | 0.93 | — | 0.68 | 1.63 | 24.29 |
| Dec 31, 2016 | 0.60 | 1.01 | — | 0.75 | 1.35 | 39.69 |
| Dec 31, 2015 | 0.77 | 0.48 | — | 0.69 | 1.31 | 5.80 |
| Dec 31, 2014 | 1.11 | 0.31 | — | 0.54 | 5.06 | 5.04 |
| Dec 31, 2013 | 0.97 | 0.17 | — | 0.45 | 4.16 | 1.68 |
| Dec 31, 2012 | — | 0.11 | — | 0.45 | 27.37 | 2.77 |
| Dec 31, 2011 | — | 0.11 | — | 0.48 | 7.05 | 1.58 |
| Dec 31, 2010 | 17.00 | 0.14 | — | 0.52 | 8.76 | 1.36 |
| Dec 31, 2009 | 70.20 | 0.19 | — | 0.58 | — | 1.25 |
| Dec 31, 2008 | 18.96 | 0.14 | — | 0.58 | — | 1.46 |
| Dec 31, 2007 | 0.92 | 0.21 | — | 0.49 | 3.49 | 0.90 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31).
Comparison to Sector (Transportation)
Delta Air Lines Inc., debt to equity, long-term trends, comparison to sector (transportation)
| Delta Air Lines Inc. | Transportation | |
|---|---|---|
| Dec 31, 2021 | 6.93 | 1.63 |
| Dec 31, 2020 | 19.01 | 2.02 |
| Dec 31, 2019 | 0.73 | 1.36 |
| Dec 31, 2018 | 0.71 | 1.45 |
| Dec 31, 2017 | 0.64 | 1.39 |
| Dec 31, 2016 | 0.60 | 1.32 |
| Dec 31, 2015 | 0.77 | 1.01 |
| Dec 31, 2014 | 1.11 | 0.95 |
| Dec 31, 2013 | 0.97 | 0.75 |
| Dec 31, 2012 | — | 0.92 |
| Dec 31, 2011 | — | 0.81 |
| Dec 31, 2010 | 17.00 | 0.90 |
| Dec 31, 2009 | 70.20 | 0.86 |
| Dec 31, 2008 | 18.96 | 0.84 |
| Dec 31, 2007 | 0.92 | 0.70 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31).
Comparison to Industry (Industrials)
Delta Air Lines Inc., debt to equity, long-term trends, comparison to industry (industrials)
| Delta Air Lines Inc. | Industrials | |
|---|---|---|
| Dec 31, 2021 | 6.93 | 1.37 |
| Dec 31, 2020 | 19.01 | 1.82 |
| Dec 31, 2019 | 0.73 | 1.82 |
| Dec 31, 2018 | 0.71 | 1.85 |
| Dec 31, 2017 | 0.64 | 1.65 |
| Dec 31, 2016 | 0.60 | 1.54 |
| Dec 31, 2015 | 0.77 | 1.51 |
| Dec 31, 2014 | 1.11 | 1.89 |
| Dec 31, 2013 | 0.97 | 1.79 |
| Dec 31, 2012 | — | 2.29 |
| Dec 31, 2011 | — | 2.60 |
| Dec 31, 2010 | 17.00 | 2.68 |
| Dec 31, 2009 | 70.20 | 3.01 |
| Dec 31, 2008 | 18.96 | 3.54 |
| Dec 31, 2007 | 0.92 | 2.73 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31).