Standard & Poor’s Corp. said yesterday it sees little chance that Delta Air Lines can avoid a bankruptcy filing, and it placed the airline on a “credit watch with negative implications.â€
Philip Baggaley, who follows the airline industry for the Manhattan-based credit rating agency, said in a report that there is a "very high risk of near-term bankruptcy" for Delta.
Analysts say they expect Delta also to continue operating, under the supervision of a bankruptcy court judge. The airline’s stock, which has fallen to well below $2, from $70 in 1999, would become worthless in a bankruptcy.
