Karen's Feed
Oct 17, 2012

American Airlines parent AMR profit tops estimates

By Karen Jacobs

(Reuters) – American Airlines parent AMR Corp (AAMRQ.PK: Quote, Profile, Research, Stock Buzz) reported higher-than-expected adjusted quarterly earnings on Wednesday as fuel costs fell and international ventures aided revenue.

The company, which filed for Chapter 11 bankruptcy protection last November and is evaluating a potential merger with rival US Airways Group (LCC.N: Quote, Profile, Research, Stock Buzz), cited progress in reducing costs.

Oct 12, 2012

U.S. airlines had profitable Q3, but growth concerns loom

By Karen Jacobs

(Reuters) – U.S. airlines are expected to report solid profits for the third quarter, thanks to steady demand and fuel prices that declined toward the end of the period, but signs of slowing growth could spell challenges for the rest of the year.

Unit revenue – a measure of how much airlines can charge for tickets and how full planes are – decreased at many carriers in September. In addition, the number of passengers boarding planes at most big U.S. airlines fell, as travel started its seasonal slowdown in the month.

Oct 12, 2012

U.S. airlines had profitable third-quarter, but growth concerns loom

By Karen Jacobs

(Reuters) – U.S. airlines are expected to report solid profits for the third quarter, thanks to steady demand and fuel prices that declined toward the end of the period, but signs of slowing growth could spell challenges for the rest of the year.

Unit revenue – a measure of how much airlines can charge for tickets and how full planes are – decreased at many carriers in September. In addition, the number of passengers boarding planes at most big U.S. airlines fell, as travel started its seasonal slowdown in the month.

Oct 3, 2012

American Airlines, pilots resume labor talks amid turmoil

By Karen Jacobs

(Reuters) – American Airlines and its pilots union resumed contract talks Wednesday, but other problems continued to beset the bankrupt airline.

A cockpit warning light caused an American flight to return to an airport shortly after takeoff Tuesday, a court said a union organizing drive at the airline could go forward and flight delays brought more customer complaints.

Oct 3, 2012

Marriott has higher-than-expected profit, aided by cost cuts

By Karen Jacobs

(Reuters) – Hotel operator Marriott International (MAR.N: Quote, Profile, Research, Stock Buzz) reported a higher-than-expected quarterly profit on Wednesday on stronger group and corporate business and lower costs, sending its shares higher in extended trading.

Still, the company’s profit outlook for the current quarter came in below average analyst estimates as Marriott cited weakness in international markets.

Sep 14, 2012

Analysis: Cutbacks by regional airlines hurt smaller U.S. cities

Atlanta (Reuters) – Banana seller Chiquita Brands (CQB.N: Quote, Profile, Research, Stock Buzz) this month will shutter its headquarters in Cincinnati, Ohio, in large part because of cutbacks in air service to the area.

Delta Air Lines (DAL.N: Quote, Profile, Research, Stock Buzz) has significantly shrank its presence at Cincinnati/Northern Kentucky International Airport to seek profits elsewhere. It now offers only roughly 120 daily flights — most with regional partners — at that hub, down from more than 600 flights six years ago.

Sep 7, 2012

Analysis: Military spending cuts squeeze suppliers – CEOs

WASHINGTON (Reuters) – Declines in U.S. and European defense spending are putting heavy pressure on thousands of small and mid-sized companies that together build about 70 percent of major weapons systems, top defense and industry officials warned this week.

They forecast a new wave of consolidation as smaller companies adjust to more austere times, but say some may exit the arms business completely, which could result in bottlenecks and strains in the supply chain for years.

Jul 25, 2012

Delta, US Airways top estimates on strong demand

July 25 (Reuters) – Delta Air Lines and US Airways
Group topped Wall Street’s second-quarter profit
estimates on Wednesday on strong passenger revenue, sending the
major U.S. carriers’ shares higher.

Delta reported a net loss after it took charges for fuel
hedge contracts and staff buyouts, but said it expected a profit
for the third quarter.

Jul 24, 2012

Rockwell Collins cuts EPS forecast on economic strains

By Karen Jacobs

(Reuters) – Rockwell Collins Inc (COL.N: Quote, Profile, Research, Stock Buzz), a supplier of avionics and other electronic systems for planes, cut its full-year forecast citing concern about a slowing economy, and its shares fell more than 4 percent.

The economic recovery is not proving to be as robust as hoped, and there are worries about China and Europe, the company’s chief executive, Clay Jones said.

Jul 19, 2012

Southwest profit beats Street on higher fares, demand

July 19 (Reuters) – Southwest Airlines Co beat
analysts’ estimates with a 42 percent rise in quarterly profit
on Thursday, helped by higher fares and robust demand despite a
fragile U.S. economy.

Analysts said Southwest, which is looking to maintain its
dwindling low-cost advantage against rivals that have
restructured, made progress in controlling costs.