Delta to get new chairman and CEO

Delta Air Lines chairman and chief executive, Leo Mullins has announced that he is retiring – two replacements have already been found. Mr Mullin will step down on 1 January as chief executive and after 23 April as chairman. His total earned retirement benefit is valued at around $16 million, pre-tax. He will be replaced by current board executive, Gerald Grinstein, 71, who takes over as chief executive from 1 January and will be paid an annual salary of $500,000. Mr Grinstein has previously held the position of chief executive of Western Airlines. The new non-executive chairman will be John Smith Jr, 65, who is a former chairman and chief executive officer of General Motors Corporation and a current member of Delta’s Board. He will receive an annual retainer of $200,000, in addition to other director fees. In a statement, Mr Grinstein said he will focus on making Delta more competitive by reducing costs “substantially and permanently”. He said: “That is an unshakable imperative if Delta is to be competitive in an industry adapting to the economics of low-cost carriers and restructured hub-and-spoke airlines.”