Delta Air Lines Inc (NYSE:DAL) shares are trading lower after the legacy carrier canceled more than 600 flights on Monday, as it struggled to recover from a global cyber outage that impacted operations last week.

Despite other airlines bouncing back, Delta continues to face significant disruptions, with around 16% of its flights canceled by 7:00 a.m. EST, reported Reuters.

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The outage has left thousands of Delta passengers stranded across the U.S., with many resorting to renting cars or waiting days for new flights.

The cancellations came hours after Secretary of Transportation Pete Buttigieg criticized the airline for inadequate customer service and demanded proper assistance and refunds for affected passengers, reported The New York Times.

Since Friday, Delta has canceled over 5,000 flights due to issues in its crew tracking system.

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While other U.S. airlines have mostly recovered, Delta remains significantly affected. For comparison, American Airlines Group Inc (NASDAQ:AAL) canceled 1% of its flights on Monday, and United Airlines Holdings Inc (NASDAQ:UAL) canceled fewer than 1%, Reuters highlighted.

In a statement issued yesterday, Delta CEO Ed Bastian apologized to those who were impacted by these events.

This situation has drawn comparisons to Southwest Airlines Company's (NYSE:LUV) meltdown in December 2022, where they canceled thousands of flights due to weather and system failures.

Secretary Buttigieg highlighted that airlines must provide refunds and reimbursements for food and hotel stays. He urged passengers to report any failures in customer service to the Department of Transportation.

Price Action: DAL shares are trading lower by 1.49% at $44.77 at last check Monday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Photo via Shutterstock

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