Delta's Stock Slumps After May Load Factor, PRASM Decline

Delta Air Lines Inc.'s stock slumped 3.4% in premarket trade Tuesday, after the air carrier reported a decline in key industry metrics for May, as capacity growth outpaced an increase in traffic. Total available seat miles (capacity) in May rose 4% from a year ago to 21.3 billion, while revenue passenger miles (traffic) increased 2.7% to 18.2 billion. That lowered load factor to 85.4% from 86.5%. Consolidated passenger revenue per available seat mile declined 5.5%, hurt by the negative effects of the strong dollar, lower surcharges in international markets and lower domestic yields. The stock has slid 9.8% year to date through Monday, while the S&P 500 has gained 2.6%.