US Airways sees slight profit for first quarter

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Nov 11, 2003
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NEW YORK, April 8 (Reuters) - US Airways Group (LCC.N: Quote, Profile , Research) said on Sunday it expects to post a "slight profit" for the first quarter even as revenue was hurt and costs were increased due to weather and reservation systems problems during the period.

The company said first-quarter problems included a difficult reservation system change in early March and significant ice storms around Valentine's Day and St. Patrick's day that led to major disruptions in its Philadelphia hub.

"As a result, for the second straight month we experienced a negative impact on revenue, passenger revenue per available seat mile (PRASM) and cost per available seat mile (CASM)," US Airways said in a statement issued late on Friday.

"Despite the disruption we still project a slight profit (excluding special items) for the first quarter," it said.

It said revenue passenger miles for March were up 0.2 percent to 5.6 billion compares with March 2006.

The airline said its passenger load factor for March was 82 percent, up from 81 percent a year ago while its capacity was down 0.9 percent from March 2006.
 
Can't wait to see how that is broken out between East and West again.....
 
Can't wait to see how that is broken out between East and West again.....
Oh, well obviously the East is carrying the West again. You should just dump the West go back to your previous state of happiness.
 
NEW YORK, April 8 (Reuters) - US Airways Group (LCC.N: Quote, Profile , Research) said on Sunday it expects to post a "slight profit" for the first quarter even as revenue was hurt and costs were increased due to weather and reservation systems problems during the period.

The company said first-quarter problems included a difficult reservation system change in early March and significant ice storms around Valentine's Day and St. Patrick's day that led to major disruptions in its Philadelphia hub.

"As a result, for the second straight month we experienced a negative impact on revenue, passenger revenue per available seat mile (PRASM) and cost per available seat mile (CASM)," US Airways said in a statement issued late on Friday.

"Despite the disruption we still project a slight profit (excluding special items) for the first quarter," it said.

It said revenue passenger miles for March were up 0.2 percent to 5.6 billion compares with March 2006.

The airline said its passenger load factor for March was 82 percent, up from 81 percent a year ago while its capacity was down 0.9 percent from March 2006.

(emphasis added)

Well that explains the profit. Simply exclude the screw-ups and the "official" profit materializes.
 
"Despite the disruption we still project a slight profit (excluding special items) for the first quarter," it said.

If you have to exclude something, it's not a "profit."

Why? Odds are the special items are either merger related expenses and/or fuel hedging screwups, both of which are quite relevant.
 
(emphasis added)

Well that explains the profit. Simply exclude the screw-ups and the "official" profit materializes.

You're right. Maybe the RES and storm-related costs can be considered, "special".

I'm sure we all would hate to see someone's performance bonus get held up by having to cut the "special items".