RiddleEagle18

American Airlines parent AMR Corp. (AMR) reported a narrower loss for its fiscal first quarter today.

The company said the loss totaled $436 million, or $1.31 per share, compared to a loss of $505 million, or $1.52 per share, in last year’s first quarter.

On an adjusted basis, the airline’s loss totaled $1.21 per share, better than analysts had expected.

Revenue rose 9.2%, to $5.5 billion, but 24% higher fuel costs dampened results.

AMR said it plans to cut fourth quarter capacity by 1%.

Elsewhere in the airline sector, Southwest Airlines (LUV), which is due to report earnings results tomorrow, has reportedly raised its fares by $5 each way.

Delta (DAL) said this week it has raised fares $10 each way.

United Continental (UAL), Alaska Air (ALK) and All Nippon join Southwest and Delta in the top holdings of the fund.

The Airline Shares (FLYX), based on the NYSE Arca Airline Index, is trading flat on Wednesday.


Airlines News: AMR Posts Earnings, Southwest Hikes Fares

Bucking Bar

That's an improvement, although it does not sound like one. American beat the Street consensus.

dba74

Conference call at 2pm Eastern. I know they'll get Q&A about divesting Eagle among other things.

Oldfreightdawg

The earnings announcement also said AA was grounding 25 MD-80's by the end of 2011. That's roughly 300 pilot jobs...

AceOnTheRiver

I heard that senior management has said that the 25 are being replaced by 737's and there shouldn't be any displacements since they had previously planned on parking those jets. They also plan on recalling the rest of the year, but the amount per class might be reduced.

aa73

Parking 25 MD80s + normal 737 delivery + up to 5 773s + early outs = not too much change in the recalling department. If anything, they MAY slow down the recalls but I don't think they'll stop.

Iowa Farm Boy

I was in a meeting the other day with the STL and ORD CP's, and they said the recall acceptance rate was almost 100%. Of course these are the guys who've bypassed previously. Perhaps they feel there's light at the end of the tunnel...

Spanky189

Last I heard,...

Management is making alot of money.

Pilots want Super Bowl Sunday to be a holiday, etc.

Company is 'losing' alot of money, again - still.

Where is the out? How do you guys turn it around?

syd111

I hope they don't end up going through the process that many of us have but it seems it could be on the horizon. Lets hope not.

TOGA LK

Eagle will be divested first.