Business Economy

Quarterly Results – AMR faced a loss of $ 1.66 billion U.S.

Fort Worth – The parent company of the airline American Airlines, AMR lost $ 1.66 billion U.S. in the first quarter, primarily due to costs associated with its bankruptcy and restructuring.

Excluding non-recurring items, its loss would have amounted to 248 million, compared to a loss of 405 million a year ago. Its quarterly loss is $ 4.95 per share. Last year, AMR had blotted a loss of 436 million, or $ 1.31 per share.

American is the third largest airline in the U.S., behind United and Delta. Its quarterly revenues were up 9.1% to 6.04 billion. Its revenue passenger mile, an important measure in this sector increased 10.3%, significantly better than the performance of its rival Southwest Airlines.

American Airlines posted a load factor of 79%, against 77.1% last year. The number of flights was essentially unchanged, since American and other carriers continue to limit the number of seats available to control costs and inflating prices.

AMR added that the average cost of a ticket on the wings of American or American Eagle regional carrier is up 7.4% year over year. AMR paid $ 3.24 per gallon of fuel, against U.S. $ 2.76 in the first quarter of last year. Its fuel bill rose by 323 million, to 2.17 billion.

Its labor costs were up $ 60 million to $ 1.78 billion. AMR is trying to reduce these costs and debt by eliminating over 14,000 jobs, freeze pensions and abolishing collective agreements. The carrier has about 88,000 employees.

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