This is a breaking news story. Check back for updates. 

Updated 12:10 pm EDT: United Airlines (NYSE:UAL) has suspended all operations to and from Tel Aviv until further notice, International Business Times has learned. “We are working with government officials to ensure the safety of our customers and our employees and will continue to evaluate the situation,” spokesperson Jennifer Dohm said in an e-mail statement. 

The airline canceled two of its flights bound for Tel Aviv from Newark on Tuesday. Flight tracking web site FlightAware.com shows that UA Flight 84 and UA Flight 90 have both been canceled. 

The White House says that the F.A.A. has not issued any specific notices about flights over Mideast airpace, but individual carriers can make their own decisions, Reuters reports. 

Updated 11:57 am EDT: US Airways also canceled a flight to Israel Tuesday, USA Today reports. Flight 796, which left Los Angeles Tuesday morning, stopped in Philadelphia. It was bound for Tel Aviv on Tuesday night but was canceled by the airline. The airline has not yet confirmed whether all service to Israel has been suspended. 

Original story: Delta Air Lines (NYSE:DAL) has indefinitely suspended all flights to and from Tel Aviv’s Ben Gurion International Airport and its hub at John F. Kennedy International Airport in New York City, International Business Times has confirmed.

In a statement Tuesday, the airline said that it is “doing so to ensure the safety and security of our customers and employees” and is in cooperation with the U.S. Federal Aviation Administration.

The news comes after Delta diverted flight DL468, a Boeing 747 bound from JFK to Tel Aviv, to Paris-Charles de Gaulle Airport on Tuesday, because of reports of a rocket or associated debris near the airport in Tel Aviv. The flight was carrying 273 passengers and 17 crew members.

Customers who currently hold tickets with flights to, from or through Tel Aviv can make a one-time change to their tickets without incurring a fee.

Delta Airlines Inc.

(
DAL

) is slated to report its second-quarter 2014 results on Jul 23,
before the market opens. In the last quarter, the company had
delivered a 13.79% positive earnings surprise. Moreover, the
trailing four quarter average beat is pegged at 6.34%. Let’s see
how things are shaping up prior to this announcement.

Factors Influencing Results this Quarter

We remain encouraged by Delta’s commitment to consistently
improve operational performance, enhance customer experience and
increase shareholder returns through balanced capital investments.
Strong domestic market, capacity discipline, cost control measures
and customer-focused initiatives are expected to boost the
company’s topline.

On the service front, Delta offers flat-bed seats in
BusinessElite on every international destination along with
on-demand entertainment across all seats, thus adding to passenger
comfort and value.

Moreover, this premier passenger carrier has fortified its
position in Seattle by adding several international and domestic
routes, and is building the coastal city as a key part of its
Pacific network restructuring. Further, the acquisition of Virgin
Atlantic has strengthened Delta’s trans-Atlantic operations.

Earnings Whispers?

Our proven model does not conclusively show that Delta Airlines
is likely to beat earnings. This is because a stock needs to have
both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2
(Buy) or 3 (Hold) for this to happen. Unfortunately, that is not
the case here as elaborated below.

Zacks ESP:

Earnings ESP

, which represents the difference between the Most Accurate
estimate and the Zacks Consensus Estimate, stands at 0.00% for
Delta Airlines.

Zacks Rank:

Delta Airlines carries a Zacks Rank #1 which increases the
predictive power of ESP. But when combined with ESP of 0.00%, it
makes surprise prediction difficult.

We caution against stocks with Zacks Ranks #4 and 5 (Sell-rated
stocks) going into the earnings announcement, especially when the
company is seeing negative estimate revision momentum.

Other Stocks to Consider

Here are some other companies to consider as our model shows
that these have the right combination of elements to post an
earnings beat this quarter:

Allegiant Travel Group Inc.

(
ALGT

), with earnings ESP of +6.40% and a Zacks Rank #1.

Southwest Airlines Co

(
LUV

), with earnings ESP of +3.39% and a Zacks Rank #1.

Alaska Air Group Inc.

(
ALK

), with earnings ESP of +0.92% and a Zacks Rank #1.

Want the latest recommendations from Zacks Investment Research?
Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free report

SOUTHWEST AIR (LUV): Free Stock Analysis Report

DELTA AIR LINES (DAL): Free Stock Analysis
Report

ALLEGIANT TRAVL (ALGT): Free Stock Analysis
Report

ALASKA AIR GRP (ALK): Free Stock Analysis
Report

To read this article on Zacks.com click here.

Zacks Investment
Research

Delta Airlines Inc. (DAL) is slated to report its second-quarter 2014 results on Jul 23, before the market opens. In the last quarter, the company had delivered a 13.79% positive earnings surprise. Moreover, the trailing four quarter average beat is pegged at 6.34%. Let’s see how things are shaping up prior to this announcement.

Factors Influencing Results this Quarter

We remain encouraged by Delta’s commitment to consistently improve operational performance, enhance customer experience and increase shareholder returns through balanced capital investments. Strong domestic market, capacity discipline, cost control measures and customer-focused initiatives are expected to boost the company’s topline.

On the service front, Delta offers flat-bed seats in BusinessElite on every international destination along with on-demand entertainment across all seats, thus adding to passenger comfort and value.

Moreover, this premier passenger carrier has fortified its position in Seattle by adding several international and domestic routes, and is building the coastal city as a key part of its Pacific network restructuring. Further, the acquisition of Virgin Atlantic has strengthened Delta’s trans-Atlantic operations.

Earnings Whispers?

Our proven model does not conclusively show that Delta Airlines is likely to beat earnings. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. Unfortunately, that is not the case here as elaborated below.

Zacks ESP: Earnings ESP, which represents the difference between the Most Accurate estimate and the Zacks Consensus Estimate, stands at 0.00% for Delta Airlines.

Zacks Rank: Delta Airlines carries a Zacks Rank #1 which increases the predictive power of ESP. But when combined with ESP of 0.00%, it makes surprise prediction difficult.

We caution against stocks with Zacks Ranks #4 and 5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revision momentum.

Other Stocks to Consider

Here are some other companies to consider as our model shows that these have the right combination of elements to post an earnings beat this quarter:

Allegiant Travel Group Inc. (ALGT), with earnings ESP of +6.40% and a Zacks Rank #1.

Southwest Airlines Co (LUV), with earnings ESP of +3.39% and a Zacks Rank #1.

Alaska Air Group Inc. (ALK), with earnings ESP of +0.92% and a Zacks Rank #1.

Read the Full Research Report on LUV
Read the Full Research Report on DAL
Read the Full Research Report on ALGT
Read the Full Research Report on ALK

Zacks Investment Research

• Finance Trading
• Personal Investing Ideas Strategies
• Delta Airlines

Photo: wikipedia

Delta Airlines has announced the suspension of all its flights to Liberia due to weak passenger demand.

However, the Government of Liberia said it is in high-level consultations with the management of Delta Airlines intended to explore options that will not disrupt the experience and convenience of traveling via Delta.

A government delegation comprising Counselor Seward Cooper, Minister of State for Legal and Economic Affairs and Mr. Gyude Moore, Deputy Chief of Office Staff in the Office of the President, is in Atlanta, Georgia, to meet with the management of Delta Airlines, after Delta informed the government of the suspension of its service to Monrovia, effective August 31, 2014, due to weak passenger demand.

Delta Airlines commenced direct flights to New York from Monrovia via Accra, Ghana in 2010. While Nigeria and Ghana, two other destinations of Delta Airlines, are netting 10,000,000 and over 2,000,000 passengers per year respectively, Liberia’s highest passenger level was only 205,000, recorded in 2013.

Delta has informed the Liberian Government that the last eastbound flight from New York will occur on August 30th, and the last westbound flight from Monrovia will be on August 31st.

Meanwhile, the management of Delta Airlines has thanked the Liberian Government for the support it continues to receive, and has reassured the government that it will continue to explore avenues that are economically feasible for the lifting of the suspension and a resumption of direct flights between Liberia and the United States.

MORE ROOM. More transfers will bring the total number of foreign airlines operating from NAIA Terminal 3 to 6. File photo by Jay Directo/Agence France-Presse

MANILA, Philippines – Two foreign carriers are moving from the congested Ninoy Aquino International Aiport (NAIA) Terminal 1 to the roomier Terminal 3 by mid-August.

Emirates is scheduled to move its operations to Terminal 3 (T3) on August 15.

In a statement, Emirates said that flights EK 337 / 336 will be the first arrival and departure at T3 on the same day.

Its airport office will relocate to the newest NAIA terminal on the night of August 14, ready for operations the next day.

Meanwhile, starting July 31, Delta Air Lines will operate from T3.

“Delta Air Lines is scheduled to move from NAIA 1 to NAIA 3 with the first arrivals on July 31^st and the first departures on August 1^st,” said Delta Airlines director for Philippines, Australia, and Micronesia Steven Crowdey.

Aside from the two airlines, 3 more foreign carriers are set to make the move once the P1.9-billion (US$ 43.7-million) renovation of NAIA Terminal 3 is completed by Takenaka Corp. They are Singapore Airlines, Cathay Pacific and KLM Royal Dutch Airlines.

The transfers would increase the number of foreign airlines operating from Terminal 3 to 6. All Nippon Airways (ANA) is already using the terminal.

The government has long been asking foreign carriers to move out of Terminal 1 which is currently serving almost twice its capacity. Named one of the world’s worst airports, it handles over 8 million passengers when it is designed to handle only 4.5 million.

Terminal 3, on the other hand, operates at about half of its 13 million capacity.

The Terminal 3 retrofitting aims to upgrade flight information displays, gate coordination, baggage handling, fire protection systems and computer terminals. – Rappler.com

Photo: wikipedia

The Government of Liberia (GoL) is in high-level consultations with the management of Delta Airlines intended to explore options that will not disrupt the experience and convenience of traveling via Delta.

A government delegation comprising Counselor Seward Cooper, Minister of State for Legal and Economic Affairs and Mr. Gyude Moore, Deputy Chief of Office Staff in the Office of the President, is in Atlanta, Georgia, to meet with the management of Delta Airlines, after Delta informed the government of the suspension of its service to Monrovia, effective August 31, 2014, due to weak passenger demand.

It can be recalled that in 2010, Delta Airlines commenced direct flights to New York from Monrovia via Accra, Ghana. While Nigeria and Ghana, two other destinations of Delta Airlines, are netting 10,000,000 and over 2,000,000 passengers per year respectively, Liberia’s highest passenger level was only 205,000, recorded in 2013.

Delta has informed the Liberian Government that the last eastbound flight from New York will occur on August 30th, and the last westbound flight from Monrovia will be on August 31st.

Meanwhile, the management of Delta Airlines has thanked the Liberian Government for the support it continues to receive, and has reassured the government that it will continue to explore avenues that are economically feasible for the lifting of the suspension and a resumption of direct flights between Liberia and the United States.

For Immediate Release
 
Chicago, IL – July 10, 2014 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include the Delta Airlines Inc. (DAL–Free Report), United Continental Holdings Inc. (UAL–Free Report), SkyWest Inc. (SKYW–Free Report), Controladora Vuela Compa (VLRS–Free Report) and LATAM Airlines Group S.A. (LFL–Free Report).
 
Today, Zacks is promoting its ”Buy” stock recommendations. Get #1Stock of the Day pick for free.

Here are highlights from Wednesday’s Analyst Blog:

Airlines Losing Altitude: 3 Stocks to Avoid

Airline stocks continue to trade in the red owing to volatile crude oil prices and the recent profit warning from IATA (International Air Transport Association) and several big players within the industry. Franco-Dutch airline group Air France-KLM, followed close on the heels of its German counterpart Lufthansa, is issuing a profit warning for 2014, which dragged most of the stocks down on Tuesday trade.

Air France-KLM now expects a full year profit between €2.2 and €2.3 billion, down from the previous expectation of €2.5 billion. The airline behemoth blamed overcapacity on transatlantic routes, weak cargo demand and a currency dispute in Venezuela for the cautious outlook.

Some of the big European and U.S. carriers have been suffering from overcapacity issues, particularly in the transatlantic route. Added to that is the emergence of big Gulf carriers like Emirates, who are here to stay and are providing stiff competition in some of the lucrative intercontinental routes.

Delta Airlines Inc. (DAL–Free Report) recently reported weaker-than-expected traffic figures for Jun 2014 due to a drop in demand among corporate travelers in Brazil and cut in fares by the Gulf carriers. The premier passenger carrier further warned that a slowdown in certain international markets due to excess passenger seats could push fares lower than expected. Further, Air France-KLM and Delta are among those carriers who are struggling to repatriate revenues from Venezuela due to strict foreign currency controls.

Last month, the airline industry suffered a major setback when IATA trimmed down its earlier provided 2014 profit outlook by $700 million to $18 billion. According to the international governing body, rising infrastructure cost, poor air traffic management, heavy tax burden and rising fuel cost will weigh on the industry’s bottom line, thus pushing 2014 expected margins down by 10 basis points to 2.4%.

To add to the woes, the current scenario in Iraq is also not helping the airline industry’s cause. The political crisis in Iraq continued to raise supply concerns in the Middle East, thus pushing crude oil prices higher. With jet fuel being a major constituent for the carrier, crude’s volatile nature continues to affect jet fuel price, thus impacting profitability.

Since the beginning of June, many of the airline stocks have gone downhill. However, among them, United Continental Holdings Inc. (UAL–Free Report) and Delta Airlines Inc. have plunged the most with price declines of 15.33% and 10.62%, respectively.

A sharp drop in the U.S. unemployment rate and the improving pace of job creation bodes well for the U.S. economy in the second half of the year. This, in turn, could prove beneficial for the airline industry. However, high jet fuel prices coupled with constant rise in international capacity as against demand could weigh on the performance of the industry players going forward.

3 Airline Stocks to Avoid

SkyWest Inc. (SKYW–Free Report) is one of the largest regional carriers in the U.S. and operates through its wholly owned subsidiaries SkyWest Airlines and ExpressJet. The airline provides passenger and air freight service for Delta Connection, United Express, US Airways Express, American Eagle and Alaska Airlines under code share agreements.

This St George, UT-based company currently has a P/E ratio of 29.43 and is trading at a significant premium to the industry average of 3.70. This Zacks Rank #4 (Sell) stock also has a negative earnings growth estimate of 62.05% for full year 2014.

Controladora Vuela Compa (VLRS–Free Report) provides air transportation services for passengers, cargo, and mail in Mexico and the international markets under the brand Volaris. The carrier is a leading player in the Mexican domestic market and has a total fleet size of 48 Airbus aircraft.

This low-cost carrier has reported a negative average earnings surprise of 87.50% in the past four quarters and also holds a negative earnings growth estimate of 110.29% for 2014. The Mexico City-based carrier currently carries a Zacks Rank #4.

LATAM Airlines Group S.A. (LFL–Free Report) along with its subsidiaries provides passenger and cargo air transportation services in South America. The carrier resulted from the merger of LAN Airlines and TAM Airlines in Jun 2012 and is currently based in Santiago, Chile.

This Zacks Rank #4 company currently has a P/E ratio of 34.97 and is trading at a significant premium to the industry average of 3.70. The stock has also has reported a negative average earnings surprise of 20.85% in the past four quarters.

Today, Zacks is promoting its ”Buy” stock recommendations. Get #1Stock of the Day pick for free.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks “Profit from the Pros” e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today.

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros.  In short, it’s your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.
 
Get the full Report on DAL – FREE
Get the full Report on UAL – FREE
Get the full Report on SKYW – FREE
Get the full Report on VLRS – FREE
Get the full Report on LFL – FREE
 
Follow us on Twitter: http://twitter.com/zacksresearch

Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
 
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
http://www.zacks.com

Monrovia — Delta Airlines Corporate office has finally responded to a FrontPageAfrica inquiry regarding its reported decision to suspend service to Liberia.

In an email response sent to FrontPageAfrica on Thursday, July 10, 2014, the company said a statement explaining its decision had previously been sent to its Country Director, Boo Brewer.

Brewer had referred FrontPageAfrica to Delta Corporate when FPA contacted her Monday after receiving reports that Delta had decided to suspend its service.

The statement reads:

“Due to weak passenger demand, Delta confirms that effective this fall it will suspend its service between Monrovia to New York-JFK via Accra, Ghana. The last eastbound service from New York will be on August 30, 2014 and the last westbound service will depart Monrovia on August 31, 2014. Delta is working to re-accommodate passengers impacted by this decision. Delta is grateful to the Liberian Government for its support since Delta began service in 2010. Delta continues to operate daily nonstop service between Accra, Ghana and New York-JFK.”

The government of Liberia issued a statement late Wednesday confirming the report and suggested that it was in the process of engaging Authorities of Delta on the Suspension of Flight to Liberia

The statement from the Ministry of Information reads:

“The Government of Liberia is in high-level consultations with the management of Delta Airlines intended to explore options that will not disrupt the experience and convenience of traveling via Delta. A government delegation comprising Counselor Seward Cooper, Minister of State for Legal and Economic Affairs and Mr. Gyude Moore, Deputy Chief of Office Staff in the Office of the President, is in Atlanta, Georgia, to meet with the management of Delta Airlines, after Delta informed the government of the suspension of its service to Monrovia, effective August 31, 2014, due to weak passenger demand.

It can be recalled that in 2010, Delta Airlines commenced direct flights to New York from Monrovia via Accra, Ghana. While Nigeria and Ghana, two other destinations of Delta Airlines, are netting 10,000,000 and over 2,000,000 passengers per year, respectively, Liberia’s highest passenger level was only 205,000, recorded in 2013. Delta has informed the Liberian Government that the last eastbound flight from New York will occur on August 30th, and the last westbound flight from Monrovia will be on August 31st.

Meanwhile, the management of Delta Airlines has thanked the Liberian Government for the support it continues to receive, and has reassured the government that it will continue to explore avenues that are economically feasible for the lifting of the suspension and a resumption of direct flights between Liberia and the United States.”

Aviation sources told FrontPageAfrica this week that Delta has been enjoying relatively encouraging load factor on its New York ROB axis. Flight records obtained by FrontPageAfrica shows that from December 2013 to June 2014, Delta recorded a total of 11, 464 arriving passengers to Liberia and 11,082 passengers departing.

Traditionally, aviation sources say airlines are required to serve the Civil Aviation Authority a 90-day notice. Unlike Air France, Delta has not officially communicated with the CAA, sources tell FPA. However, Delta is a member of the Sky team as is Air France. In the case of the French, load factor, and low profit margins were cited. Delta, according to aviation sources, has not had any major problem with the runway.

A highly-placed government source suggested that the pullout could be driven by “political” consideration amid the Ebola epidemic, fear-gripped by the increase in the death toll in Washington.” Delta made its first landing on Liberian soil on Sunday, September 5, 2010, after the airline received approval for local boarding and traffic rights for its service between Accra’s Kotoko International Airport and Roberts International Airport in Monrovia.

Prior to Delta’s arrival, the Federal Aviation Authority of the United States provided through USAID, $3.4 million to upgrade facilities at the Roberts International Airport to internationally acceptable standards, a key condition for the resumption of direct flights from the United States to Liberian. Delta’s arrival was instrumented by U.S. billionaire and founder of Black Entertainment Television (BET), Robert Johnson, who exerted his influence to facilitate the resumption of direct flights from the United States to Liberia.

Delta Airlines has announced the suspension of all its flights to Liberia due to weak passenger demand, according THE NEWS, a newspaper based in the capital city of Monrovia. It is unclear how the suspension by this major U.S. air carrier will affect traffic overall to the West African nation. There are thousands of Liberian nationals living in the U.S. who may now be forced to seek alternative methods, and other airlines to return home. 

However, the Government of Liberia said it is in high-level consultations with the management of Delta Airlines intended to explore options that will not disrupt the experience and convenience of traveling via Delta.

DELTA Airlines

A government delegation comprising Counselor Seward Cooper, Minister of State for Legal and Economic Affairs and Mr. Gyude Moore, Deputy Chief of Office Staff in the Office of the President, is in Atlanta, Georgia, to meet with the management of Delta Airlines, after Delta informed the government of the suspension of its service to Monrovia, effective August 31, 2014, due to weak passenger demand.

Delta Airlines commenced direct flights to New York from Monrovia via Accra, Ghana in 2010. While Nigeria and Ghana, two other destinations of Delta Airlines, are netting 10,000,000 and over 2,000,000 passengers per year respectively, Liberia’s highest passenger level was only 205,000, recorded in 2013.

Delta has informed the Liberian Government that the last eastbound flight from New York will occur on August 30th, and the last westbound flight from Monrovia will be on August 31st.

Meanwhile, the management of Delta Airlines has thanked the Liberian Government for the support it continues to receive, and has reassured the government that it will continue to explore avenues that are economically feasible for the lifting of the suspension and a resumption of direct flights between Liberia and the United States.

Liberia is not the only country where the airline has cut, or plans to suspend service. Delta also announced that it is drastically reducing service to the South American nation of Venezuela on Monday. It is over a dispute with the government over what airline officials call, revenue getting “trapped” in the South American country.

Delta Airlines has announced the suspension of all its flights to Liberia due to weak passenger demand.

However, the Government of Liberia said it is in high-level consultations with the management of Delta Airlines intended to explore options that will not disrupt the experience and convenience of traveling via Delta.

A government delegation comprising Counselor Seward Cooper, Minister of State for Legal and Economic Affairs and Mr. Gyude Moore, Deputy Chief of Office Staff in the Office of the President, is in Atlanta, Georgia, to meet with the management of Delta Airlines, after Delta informed the government of the suspension of its service to Monrovia, effective August 31, 2014, due to weak passenger demand.

Delta Airlines commenced direct flights to New York from Monrovia via Accra, Ghana in 2010. While Nigeria and Ghana, two other destinations of Delta Airlines, are netting 10,000,000 and over 2,000,000 passengers per year respectively, Liberia’s highest passenger level was only 205,000, recorded in 2013.

Delta has informed the Liberian Government that the last eastbound flight from New York will occur on August 30th, and the last westbound flight from Monrovia will be on August 31st.

Meanwhile, the management of Delta Airlines has thanked the Liberian Government for the support it continues to receive, and has reassured the government that it will continue to explore avenues that are economically feasible for the lifting of the suspension and a resumption of direct flights between Liberia and the United States.