Delta, AA Expand Premium Offerings as Main Cabin Demand Lags

Delta Air Lines Inc. and American Airlines Group Inc. said they are dramatically expanding their premium offerings, underscoring the challenges US carriers face filling economy-class cabins after a plunge in demand earlier in the year.

Atlanta-based Delta now gets more than 50% of its revenue outside of its main cabin economy-class product, President Glen Hauenstein said at the Morgan Stanley Annual Laguna Conference on Thursday. That’s supported business as consumers at the bottom end of the income bracket continue to struggle, he said.