• NC Software is having a Black Friday Sale Event thru December 4th on Logbook Pro, APDL - Airline Pilot Logbook, Cirrus Elite Binders, and more. Use coupon code BF2020 at checkout to redeem 15% off your purchase. Click here to shop now.
  • NC Software is proud to announce the release of APDL - Airline Pilot Logbook version 10.0. Click here to view APDL on the Apple App store and install now.

US Airways Q2 Profit $402 Mil

cbrown1

Well-known member
Joined
Jul 14, 2005
Posts
492
Total Time
5600
http://www.usairways.com/en-US/aboutus/pressroom/pressreleases.html

US Airways Reports Record Second Quarter Profit
Record pretax profit of $409 million excluding special items
Highlights of US Airways Group, Inc.'s (the Company) second quarter 2013 results:
-- Second quarter pretax profit excluding net special items was a record $409 million - the highest for any quarter in Company history.
-- The Company has made significant progress with its merger integration planning efforts with American Airlines.The merger remains on track and the Company continues to expect it to close in the third quarter.
TEMPE, Ariz., July 24, 2013 /PRNewswire/ -- US Airways Group, Inc. (NYSE: LCC) today reported its second quarter 2013 financial results. For the second quarter 2013, pretax profit excluding net special items was $409 million, the highest in Company history. Net profit excluding net special items was a record $324 million, or $1.58 per diluted share. Net profit excluding net special items for the second quarter 2012 was $321 million, or $1.61 per diluted share. The Company's 2013 second quarter net profit excluding net special items was negatively impacted by a non-cash provision for income tax of $85 million. There was no provision for income tax recorded in 2012.

(Logo: http://photos.prnewswire.com/prnh/20120103/LA28814LOGO)

On a GAAP basis, the Company reported a net profit of $287 million for its second quarter 2013, or $1.40 per diluted share. This compares to a net profit of $306 million, or $1.54 per diluted share, for the same period in 2012. The Company's 2013 second quarter net profit was negatively impacted by a non-cash provision for income tax of $67 million.

See the accompanying notes in the Financial Tables section of this press release for a reconciliation of GAAP financial information to non-GAAP financial information.

"These record financial results are thanks to the 32,000 team members of US Airways who delivered record results on multiple fronts," said US Airways Chairman and CEO Doug Parker. "This performance provides excellent momentum as we transition into the new American Airlines. The teams are working very well together and we continue to expect to close the merger in the third quarter."

Revenue and Cost Comparisons

Total revenues in the second quarter were a record $3.9 billion, up 2.9 percent versus the second quarter 2012 on a 3.4 percent increase in total available seat miles (ASMs). Total revenue per ASM was 16.22 cents, down 0.5 percent versus the same period last year driven by a 2.8 percent decrease in passenger yield, offset by a record quarterly load factor of 85.1 percent.

Total operating expenses in the second quarter were $3.4 billion, up 1.0 percent over the same period last year. Mainline cost per available seat mile (CASM) was 12.88 cents, down 2.0 percent on a 4.2 percent increase in mainline ASMs. Excluding special items, fuel and profit sharing, mainline CASM was 8.21 cents, down 0.4 percent versus the same period last year. Express CASM excluding special items and fuel was 14.34 cents, up 1.1 percent on a 0.3 percent decrease in ASMs.

Liquidity

As of June 30, 2013, the Company had a record $4.0 billion in total cash and investments, of which $350 million was restricted. This is up approximately $1.1 billion from the Company's first quarter 2013 total cash and investments balance of $2.9 billion, of which $352 million was restricted.

During the second quarter, the Company raised approximately $870 million in net incremental cash through a series of financing transactions. These transactions included the refinancing of the Company's term loan (resulting in approximately $270 million in incremental cash); the issuance of high yield bonds in an aggregate principal amount of $500 million; and a $100 million C-tranche to its 2012-2 EETC.

"We are extremely pleased with the results of our recent financing transactions," said US Airways' Chief Financial Officer Derek Kerr. "Our record financial results combined with our pending merger with American have enabled the Company to refinance its term loan and secure incremental liquidity at very attractive rates."

Special Items

The Company recognized approximately $55 million of net special items before taxes in the second quarter. Operating special items totaled $24 million and were primarily related to merger costs. The Company also recognized approximately $31 million in nonoperating special items primarily related to debt extinguishment charges due to non-cash write offs of debt discount and debt issuance costs in connection with conversions of the Company's 7.25% convertible senior notes and repayment of the Citicorp North America term loan. The net tax effect of these special items was approximately $18 million.

Merger Update

The Company and its representatives continue to work closely with their counterparts at American in merger integration planning. The Company continues to expect the transaction to close in the third quarter. Recent accomplishments include:

June 10: US Airways and American announced the new Board of Directors and the senior leadership team for the new American Airlines Group Inc.
June 10: The Securities Exchange Commission (SEC) Form S-4 Registration Statement was declared effective by the SEC.
June 19: US Airways' Chairman and CEO Doug Parker and American Airlines' Senior Vice President, General Counsel & Chief Compliance Officer Gary Kennedy, jointly testified before the Senate Subcommittee on Aviation, Operations, Safety and Security about the benefits of the new American Airlines to customers, employees, financial stakeholders and communities.
July 12: US Airways' shareholders approved the proposed merger with 99.8 percent in favor and 0.2 percent against.
To date, leadership teams have been announced for operations, finance, revenue management, marketing, human resources, corporate communications, and legal and labor relations.
Notable Accomplishments

The Company completed installation of Gogo? Wi-Fi in-flight Internet service on its fleet of 270 Airbus A319, A320, A321 and Embraer 190 aircraft along with 58 Embraer 170 and 175 aircraft operated by Republic Airlines as US Airways Express. With the completion of installation, 90 percent of US Airways' domestic flights now offer customers in-flight wireless access.
After a four-year hiatus, the Company resumed service to Shannon, Ireland with daily, non-stop, summer service from its international gateway at Philadelphia.
US Airways launched year-round, daily non-stop service to Sao Paulo, Brazil from its largest hub at Charlotte, N.C. The new flight is US Airways' second destination in South America and complements the airline's existing non-stop service to Rio de Janeiro from Charlotte.
The US Airways Education Foundation awarded a record $455,000 in college scholarships to 130 children of employees and retirees. Since 1992, the US Airways Education Foundation has awarded nearly $4.6 million in scholarships to dependents of US Airways employees as well as grants to nonprofit organizations that support children's educational programs. The Foundation is funded entirely by fundraising events and donations.
US Airways received FAA certification on its wide-body Airbus A330 aircraft for SafeRoute?, a set of four flight deck applications that will provide enhanced operational safety and efficiency in all phases of flight as part of the FAA's NextGen implementation program. US Airways is the first airline to receive certification for the combination of all four of these applications.
US Airways and airlines serving Philadelphia International Airport signed a new two year lease extension with the City of Philadelphia that allows for $734 million in new capital investments at the airport. Partnering with the City on these projects is critical to creating a better customer experience at US Airways' largest international gateway and also to the airport's long-term ability to compete with other hubs across the country.
For the second year in a row, US Airways was named "Best of the Best Top Veteran-Friendly Companies" by U.S. Veterans Magazine and a "Best for Vets" employer for the third year in a row by Military Times Edge Magazine.
 

Carl S.

Well-known member
Joined
Nov 21, 2004
Posts
481
Total Time
15K+
Think positive, this may be the last quartly report from the entity named USAIRWAYS....it can not go away fast enough for me, just like Sandusky,Third Reich,USAPA,Scott Peterson....
 

Turtle21

Well-known member
Joined
Feb 8, 2007
Posts
1,683
Total Time
lots
0.4 $Billion in one freaking quarter?

To understand this all you have to do is compare the employee cars of today with the cars from ten years ago. Nearly the entire lot looks like airport crashpad cars. You could make a living selling duct tape to hold employee cars together. And I haven't even mentioned the employee busses and employee break areas. I think Huck Finn was the last one to white wash the walls!
 

zymotic

Well-known member
Joined
Nov 25, 2001
Posts
235
Total Time
12000+
when do we get those?

Normally spring. However, remember we are still under our current contract (warts and all) until the POR. In the case of a profit, the upside is we still get profit sharing until the POR date. When the check will comes I know not.
 

Hpilot

Well-known member
Joined
Mar 25, 2005
Posts
695
Total Time
7000
0.4 $Billion in one freaking quarter?

To understand this all you have to do is compare the employee cars of today with the cars from ten years ago. Nearly the entire lot looks like airport crashpad cars. You could make a living selling duct tape to hold employee cars together. And I haven't even mentioned the employee busses and employee break areas. I think Huck Finn was the last one to white wash the walls!

Hey, you guys are the ones that wanted to stay on LOA93. Besides, according to some of your DOH hardliners, all you guys are self made millionaires.

Cheer up, whether it goes Nic or DOH, you're going to get a nice raise.
 

Flybywire44

Flies With The Hat On
Joined
Mar 31, 2006
Posts
991
Total Time
7k
Normally spring. However, remember we are still under our current contract (warts and all) until the POR. In the case of a profit, the upside is we still get profit sharing until the POR date. When the check will comes I know not.

Signing Bonus, Retro Pay and Profit Sharing.

Not bad.
 

LearLove

Well-known member
Joined
Nov 27, 2001
Posts
4,451
Total Time
12000+
Think positive, this may be the last quartly report from the entity named USAIRWAYS....it can not go away fast enough for me, just like Sandusky,Third Reich, THE CALLSIGN CACTUS,Scott Peterson....

I fixed for you Carl.
 

johnsonrod

Well-known member
Joined
Feb 25, 2006
Posts
4,218
Total Time
8000+
Great news. That said, it is easier to show a profit when wages are not at legacy market rates...
 

cbrown1

Well-known member
Joined
Jul 14, 2005
Posts
492
Total Time
5600
Great news. That said, it is easier to show a profit when wages are not at legacy market rates...

True but if you doubled pilot pay they still would have made >250 mil and for an airline with only about 350 a/c that is pretty impressive.
 

Tweaker

BOHICA
Joined
Dec 1, 2002
Posts
736
Total Time
10,000
Normally spring. However, remember we are still under our current contract (warts and all) until the POR. In the case of a profit, the upside is we still get profit sharing until the POR date. When the check will comes I know not.


Here's another upside. If the date to calculate the profit sharing ends with a POR in August or Sept., the least profitable, or most likely money losing quarter will likely be cut off. The last quarter blows. Joy!
 
P

pave driver

$6000 will be paid to every pilot on 15 Nov 13. That's the last profit check we'll receive unless we renegotiate profit sharing into the next contract.
 

Turtle21

Well-known member
Joined
Feb 8, 2007
Posts
1,683
Total Time
lots
Hey, you guys are the ones that wanted to stay on LOA93. Besides, according to some of your DOH hardliners, all you guys are self made millionaires.

Cheer up, whether it goes Nic or DOH, you're going to get a nice raise.
I referred to the financial decline of all employees. I don't understand why some posters have to always hump the pilot turmoil leg in response to everything, always.
 

zymotic

Well-known member
Joined
Nov 25, 2001
Posts
235
Total Time
12000+
Here's another upside. If the date to calculate the profit sharing ends with a POR in August or Sept., the least profitable, or most likely money losing quarter will likely be cut off. The last quarter blows. Joy!

I was thinking the same thing myself. Good point.

Two questions however: Will the company try to use the entire year and prorate the year's profit? If not, how will the company prorate the third quarter profit if the POR happens to not fall at the last day of the quarter?
 

zymotic

Well-known member
Joined
Nov 25, 2001
Posts
235
Total Time
12000+
I referred to the financial decline of all employees. I don't understand why some posters have to always hump the pilot turmoil leg in response to everything, always.

If it's not East/West discussion hijacking a thread it's SW/Airtran or UAL/CAL. What can you do?
 
Top