Delta Air Lines faces federal investigation after ground incident at Atlanta airport

Delta Air Lines is under federal investigation following a ground incident at Hartsfield–Jackson International Airport in Atlanta.

Delta addressed the issue directly in a statement posted on its website on Tuesday, September 10. The airline claimed that the wing of an Airbus A350 “came into contact” with the tail of an Endeavor Air CRJ-900 on the runway. No one was injured in the collision, and the passengers were subsequently escorted back to the gate where they were rebooked on other flights.

“Delta is working with the NTSB and other authorities on this incident,” the airline said. “We apologize to our customers for the experience. No customer or crew injuries were reported and operations at Atlanta airport continued as usual. Delta's TechOps teams have moved the aircraft to maintenance hangars for investigation.”

Reuters confirmed that investigators from the Federal Aviation Administration (FAA) and the National Transportation Safety Board (NTSB) were dispatched to examine the accident scene.

Delta's latest federal investigation

The Department of Transportation (DOT) accuses several airlines, including Delta Air Lines, of undervaluing the points collected by their customers through their loyalty programs.

According to Bloomberg, there has been criticism of the rewards systems, which are also offered by American Airlines, United Airlines and Southwest Airlines. The US Department of Transportation has requested reports and detailed information on the airlines' programs to understand how customers are affected “through the devaluation of earned rewards, hidden or dynamic pricing, additional fees and reduced competition and choice,” the statement said.

“Many Americans consider their rewards point balances to be part of their savings,” Secretary Pete Buttigieg said in the statement. “But unlike a traditional savings account, these rewards are controlled by a company that can unilaterally change their value.”

Through its credit card partnership with American Express Co., Delta generated $6.8 billion in revenue in 2023. The company expects that amount to grow 10% this year and reach $10 billion in the future. American Airlines said it received $5.2 billion in cash from its co-branded credit card and other partners in 2023.

Buttigieg expressed concerns about co-branded credit cards and rewards schemes that allow passengers to earn points for purchases at a joint meeting with the Consumer Financial Protection Bureau in May.

The two main issues he raised at the time were that airlines were changing their rewards programs to make it harder for customers to earn points (which backfired on Delta when it was forced to consider a redesign in 2023 after a flood of complaints), and that the programs might be managed in a way designed to “block the entry or growth of smaller competing airlines.”