Pilots’ Deal Will Save Delta $143 Million a Year

Delta Air Lines Inc.’s tentative interim deal with its pilots union will save the airline about $143 million a year until a comprehensive agreement is reached, a union spokeswoman said.

The real value of the savings for Delta is about $12 million a month, Air Line Pilots Assn. spokeswoman Kelly Collins said.

The No. 3 U.S. airline reached an agreement with the union late Sunday that provides for a 14% hourly wage reduction as well as cuts in other pay and cost items equivalent to an additional 1%.

Atlanta-based Delta, which filed for Chapter 11 bankruptcy protection in September, has been seeking $3 billion in cost savings and revenue increases it says it needs to survive.