USAirways loses over Half a Billion

[Colonel Savage]

US Airways swings to huge 2Q loss on fuel spike
Tuesday July 22, 8:35 am ET
By Chris Kahn, AP Business Writer US Airways posts $567 million loss in the second quarter as fuel prices soar


PHOENIX (AP) -- US Airways Group Inc. says it swung to a huge second quarter loss as it struggled to deal with a spike in fuel costs. For the three months that ended June 30, US Airways said Tuesday it lost $567 million, or $6.16 per share, compared with a profit of $263 million, or $2.77 per share, for the same period last year.

 

[Networ-King]

US Airways swings to huge 2Q loss on fuel spike
Tuesday July 22, 8:35 am ET
By Chris Kahn, AP Business Writer US Airways posts $567 million loss in the second quarter as fuel prices soar


PHOENIX (AP) -- US Airways Group Inc. says it swung to a huge second quarter loss as it struggled to deal with a spike in fuel costs. For the three months that ended June 30, US Airways said Tuesday it lost $567 million, or $6.16 per share, compared with a profit of $263 million, or $2.77 per share, for the same period last year.

Why do people on here always post part of the article and not the whole thing that explains what their actual losses were?

US Airways Group Inc. has swung to a second-quarter net loss of $567 million, or $6.16 per diluted share. In the same period last year, the airline earned $263 million, or $2.77 per diluted share. The carrier, which operates its largest hub at Charlotte/Douglas International Airport, says rising fuel prices added $390 million to the company’s expenses in the latest quarter. US Airways says it spent nearly $1.1 billion on aircraft fuel and related taxes in the latest quarter, up from $658 million in the year-ago period.
In response, the airline will reduce its fourth-quarter and 2009 capacity by an additional 1 percent to 2 percent on a year-over-year basis. US Airways had previously planned on a 3 percent to 5 percent decrease in system capacity in both the fourth quarter and 2009.
“Our second-quarter results reflect the unprecedented rise in fuel prices that are impacting our industry,” says Doug Parker, chief executive. “We are working diligently to reduce capacity and costs and execute on the new revenue programs recently announced by US Airways and other airlines.”
Excluding net special items of $466 million, US Airways lost $101 million, or $1.11 per share, in the latest quarter. In the second quarter of last year, US Airways earned $261 million, or $2.74 per share, excluding special items.
Arizona-based US Airways operates 3,500 flights per day to more than 230 destinations in the United States, Canada, Europe, the Caribbean and Latin America.

 

[BeachBummer]

Because then it wouldn't hold the "DRAMA" factor...

 

[airlinepilot]

Spin Doctors or CEO's! So what is "net speical items"??????

 

[McNugget]

They'll be out of business by the end of the year.

 

[n757st]

They'll be out of business by the end of the year.

Riiiiiight. If you honestly believe that, I have a bridge to sell you. End of 2009? Maybe, end of 2008, not going to happen. 100 million is not bad, every airline has written down "goodwill" to reflect their actual company value, which isn't much.

 

[n757st]

Spin Doctors or CEO's! So what is "net speical items"??????

Goodwill, just like almost EVERY other airline this week. Last time I checked, including special items most airlines lost over a billion. 100 million for an airline of this size is not good, but its not bad either, its about on par with its competitors sans CAL and DAL.

 

[FLYLOW22]

.5 Billion Dollar Loss...

Insert giant sucking sound here... (______________).

 

[airlinepilot]

Guess I am missing something. Where does it say there was a goodwill write off

 

[grog_sit_reserv]

Beat the Street's estimate. Stock is up over 15% this morning.

 

[TWA Dude]

They'll be out of business by the end of the year.

Okidokey then, how about putting your money where your mouth is, tough guy? I'll bet you $25 that USAirways will not be out of business as of 11:59pm EST on December 31, 2008. The loser will pay $25 to the registered charity of his choosing and post the receipt. Deal?

 

[grog_sit_reserv]

UAL swings to $2.73 billion 2Q loss on fuel and accounting charges

Their stock is up 15%.

But I'm sure they'll be outta' business by the end of the year. I'm a pilot. I know these things. Now lets get back to that cancer treatment, as a pilot, I'm sure I can come up with something better.

 

[spitfire1500]

"Goodwill write off"" - I'd be writing off a hell of a lot of goodwill....paying for soda, no movies, extra to check bags!!!

 

[McNugget]

Okidokey then, how about putting your money where your mouth is, tough guy? I'll bet you $25 that USAirways will not be out of business as of 11:59pm EST on December 31, 2008. The loser will pay $25 to the registered charity of his choosing and post the receipt. Deal?

You'll need your $25, little dude!

 

[WSurf]

They'll be out of business by the end of the year.

They have enough money to ride this storm out until right before christmas of 2009. That will be a nice present for all of us.

I believe right now Frontier only has enough money to operate about 4 more months.

And did you see United Loss, wow?