Delta Airlines Pledge Profitable

Delta Air Lines says it is confident of meeting its stated goal of reversing negative fortunes at its Trainer refinery in 2014 after losing approximately USD100 million at the facility during 2013, having bought it for USD180 million in 2012, including a USD30 million subsidy from the Pennsylvania state government. Throughout 2013 the carrier’s excitement over Trainer’s prospects subsided as numerous production challenges and the realities of running a different business slowly set in.


Fuelling the carrier’s confidence of achieving profits at Trainer during 2014 is an expansion of the amount of less expensive Bakken crude processed at the facility. During the last year the carrier has put contracts into place that allow it to increase the number of of Bakken barrels its processes per day at the plant.

Even as Delta believes it has overcome some of the more prominent growing pains of purchasing and running an oil refinery, a single year of profitability does not guarantee long-term success for the endeavour. The carrier has made similar declarations regarding Trainer in the past, so there is room for scepticism as to whether purchasing the refinery was a sound investment. Other airlines have not been quick to follow the precedent.