Delta post 1st quarter loss ATLANTA, GA (WABE) - Delta Airlines says hedging fuel prices is the main culprit behind a dismal 1st quarter.

The Atlanta airline lost 692 million dollars during the first three months of the year.

When energy prices were soaring, Delta locked its fuel price. The company hoped to avoid even higher prices. Delta lost that bet because fuel prices dropped forcing Delta to pay more than current market value during the first quarter.

Delta is merging with Northwest Airlines. In a conference call, Northwest President Ed Bastian says the combining airline may have seen the bottom of the recession.

BASTIAN: "Right now, our May and June are shaping up to be similar to a combination of March and April. In short, things aren't getting good but there also not getting worse."

So, to boost revenue, Delta is adding another fee to certain flights. Starting in July, passengers on international routes will pay 50 dollars to check a second bag.

Delta estimates the fee will bring in 100 million dollars. © Copyright 2012, WABE