Delta Air Lines Creditor Group Disappointed by Decision of Official Creditors' Committee to Support Standalone Plan Without Pursuing Strategic Alternatives

NEW YORK, Jan. 31 /PRNewswire/ -- The Unofficial Committee of Unsecured Claimholders of Delta Air Lines, Inc. today expressed its disappointment that the Official Creditors' Committee declined to take the actions requested by US Airways in connection with its merger proposal, thereby denying creditors the option to choose whether to accept Delta's standalone reorganization plan or pursue strategic alternatives.

The Unofficial Committee previously sent a letter to the Official Creditors' Committee signed by holders of approximately $2.75 billion in unsecured claims urging them to take the actions requested by US Airways. Their failure to do so may very well result in substantially diminished creditor recoveries in this case.

The Unofficial Committee recognizes that current Delta management's hostility to the US Airways offer complicated the decision of the Official Creditors' Committee. As the largest organized group of unsecured claimholders of Delta, the Unofficial Committee believes that it is important that both committees now work together to decide on important remaining issues facing all creditors.

The Unofficial Committee will continue to work towards maximizing creditor recoveries and creditor rights in Delta's chapter 11 case. As future shareholders of Delta, the members of the Unofficial Committee consider it essential that all value-enhancing opportunities continue to be explored. In the immediate term, it is an important priority that reorganized Delta be positioned to have the right management, Board of Directors and compensation arrangements in place and that its corporate governance not pose any obstacles to value-enhancing mergers or other strategic alternatives. We look forward to working with the Official Creditors' Committee to institute the foregoing.

The Unofficial Committee's financial advisor is Jefferies & Company, Inc., and its legal counsel is Paul, Weiss, Rifkind, Wharton & Garrison LLP.