Airline Finance News - North America

AirGuide Business, June 30, 2008

Alaska Airlines

Alaska Airlines flew 1.62 billion RPMs in May, up 2.2% year-over-year, against a 1.3% increase in capacity to 2.08 billion ASMs. Load factor rose 0.7 point to 77.8%. Unit revenue climbed 1.7% to 11.64 cents. It is forecasting a 1.2% year-over-year increase in second-quarter capacity to 6.2 billion ASMs and a 1.2% hike in full-year capacity to 24.5 billion ASMs. Second-quarter unit cost is expected to rise 11%-12% to 11.5-11.6 cents. Jun 25, 2008

Alaska Airlines

Alaska Airlines said it expects to incur a charge of approximately $30 million this quarter related to the retirement of two leased MD-80s. It will take a similar charge next quarter on a similar basis. Jun 25, 2008

Alaska Airlines

Alaska Airlines' second-quarter capacity should increase 1.2% and its per-gallon economic fuel costs should rise 54%, compared with the same quarter a year ago, according to owner Alaska Air Group Inc. Available seat-miles, or capacity, were expected to increase to 6.2 billion for the second quarter and 24.5 billion for 2008, both an increase of 1.2% from a year ago. Jun 24, 2008

American Airlines

American Airlines said it plans to cut capacity by as much as 12% in the fourth quarter due to soaring fuel costs, the biggest effects of which will be felt in Chicago, Dallas and at New York's LaGuardia Airport. The airline also noted that congestion and delays have caused LaGuardia to reach a "crisis point." Jun 26, 2008

American Airlines

American Airlines said it will slash 30 flights a day from its schedule at Lambert-St. Louis International Airport this fall, part of a systemwide cutback announced last month to help it cope with a crippling surge in oil prices. From St. Louis, American will end direct flights to four airports, among them Baltimore and New York's JFK International Airport, and will trim flights to at least 15 more, from Seattle to Boston, Dayton to Des Moines. All told, after the cuts take effect late in November, Lambert's biggest airline and its regional affiliates will have 116 daily flights from St. Louis, down from 146 at the start of June, and down sharply from the 207 it had after massive cutbacks in 2003. And with oil prices topping $130 a barrel, analysts say, there's no sign that the robust air service St. Louis knew for decades will return any time soon. Jun 26, 2008

American Airlines

The closures are part of American Airlines' plan to cut capacity and offset the rising price of jet fuel. All major US airlines have announced they will downsize. AMR gave new details on previously announced daily service reductions, saying it will reduce departures from Chicago by 62 flights, St. Louis by 43 flights, Dallas/Fort Worth by 42 flights, and New York's LaGuardia Airport by 42 flights.The newly announced schedule changes take effect in November. Jun 26, 2008

Continental Airlines

Continental Airlines has reached an agreement with its pilots union for voluntary retirement incentives and leaves. The agreement is part of the airline's plan to shed 3,000 jobs, and the union said it may help limit furloughs at the carrier. "If we get the levels of participation we are hoping for, it would have a significant impact on the involuntary furloughs of our junior pilots," a union official said. Jun 25, 2008