American Airlines (AA) parent AMR Corp., which filed for Chapter 11 bankruptcy protection last November, incurred a $2 billion full-year net loss in 2011, according to a US Securities and Exchange Commission filing. But even with that steep deficit, which included $886 million in noncash reorganization charges, US major airlines were in the black in aggregate in 2011 for the second consecutive year.
According to ATW calculations, the seven largest US airline companies earned $295 million in net income in 2011, down 87.6% from a $2.39 billion net profit in 2010. But excluding AMR, the remaining six majors earned a healthy $2.27 billion net profit.
AMR's full-year 2011 revenue rose 8.2% over 2010 to $23.98 billion, outpaced by a 14.5% increase in expenses to $25.03 billion. AA is trying through Chapter 11 to reduce labor costs by $1.25 billion annually. Operating loss was $1.05 billion, reversed from a 2010 operating profit of $308 million.
Overall, the seven major US airline companies' full-year 2011 revenue grew 10.1% compared to 2010 to $134.68 billion. That followed a 14.8% revenue rise in 2010 over 2009. Expenses in 2011 increased by 13% year-over-year to $130.08 billion and operating profit was $4.6 billion, down 35.8% from operating income of $7.17 billion in 2010.
Article Source : ATW Daily News
No comments:
Post a Comment