Delta Air Lines is to launch a low-cost subsidiary using Boeing 757s. The new carrier will have its own brand with one-way fares of between $99 and $299. It will initially operate on the northeast-Florida market before expanding to the rest of the USA, with unit costs estimated at 20% below the mainline fleet level. John Selvaggio, who has been defining Delta's low-cost strategy, will become president of the new unit.
Source: Airline Business