Delta Sees $500 Million Hit From Catastrophic System Outage (2)

Delta Air Lines Inc. is bracing for a $500 million negative impact from the technology breakdown this month that led to thousands of canceled flights and tarnished the carrier’s reputation.

The company revealed the financial assessment Wednesday in a statement, saying it has hired the law firm of prominent attorney David Boies. CNBC earlier reported that Delta plans to seek damages from the disruption, citing comments from Chief Executive Officer Ed Bastian.

The figure, in line with Wall Street’s expectations, highlights the costly impact from the outage that upended Delta’s operations for days, left passengers stranded and prompted ...