Delta Air Lines (DAL) has reinstated its quarterly dividend that was suspended in March 2020 as the Covid-19 pandemic ravaged the global aviation industry.
Going forward, Delta Air Lines will pay stockholders $0.10 U.S. per share each quarter, the Atlanta-based carrier said in a written statement.
Delta’s first new dividend will be paid out on August 7 of this year.
Delta and other U.S.-based airlines suspended their dividend payments and share buybacks as a condition of receiving $50 billion U.S. in financial aid from the federal government in Washington, D.C. during the pandemic.
Delta Air Lines joins other carriers in resuming its dividend payment. In January of this year, Southwest Airlines (LUV) became the first major U.S. carrier to restart its dividend.
American Airlines Group (AAL) has yet to reinstate its quarterly dividend payout.
U.S. carriers have been reporting record revenues due to a surge in air travel since pandemic restrictions began to lift in late 2021. Travel demand is expected to remain high this summer.
Delta Air Lines’ stock has risen 45% in the past year to trade at $42.88 U.S. per share
