American Airlines parent AMR Corp. posted a smaller-than-expected quarterly loss, but soaring fuel costs are prompting the carrier to curb capacity later this year.
Inside these posts: Airline profits
Several U.S. airlines that were in the black last year for the first time since 2007 are sharing some of their profits with employees.
Delta and United Continental said Monday they’re paying out profit-sharing bonuses. Delta Air Lines Inc. is doling out $313 million to its more than 80,000 employees. United Continental is handing out $224 million to its 87,000 employees. Get the full story »
After one of the worst economic slumps in airline industry history, the nation’s eight largest airlines are expected to report a combined $3.95 billion in profit from $122.2 billion in revenue in 2010, according to an industry analyst.
If the projections prove true, it would mean that the airlines collected the highest annual profits in more than 10 years and the second-highest annual revenue ever, said Robert Herbst, an industry consultant and founder of AirlineFinancials.com.
Herbst, who was a commercial airline pilot for 35 years, expects his projections to be confirmed over the next two weeks, when the nation’s airlines release their financial reports for the last three months of the year. Financial reports for the third quarter of 2010 showed rising profits for the airlines.