ImbracableCrunk
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NEW YORK, Jan 24 (Reuters) - Regional carrier ExpressJet Holdings Inc. (XJT.N: Quote, Profile , Research) on Wednesday posted lower fourth-quarter earnings burdened by greater expenses as it looked for new business for some of its planes.
ExpressJet, which flies regional jets for Continental Airlines (CAL.N: Quote, Profile , Research), said net profit fell to $22.8 million, or 39 cents a share, from $24.9 million, or 42 cents a share in the same period last year. Wall Street analysts had expected the company to post earnings of 39 cents a share, according to Reuters Estimates.
Since last May, ExpressJet has been looking for new business ventures for 69 aircraft it retained after Continental canceled a capacity purchase agreement.
ExpressJet, which has a fleet of 274 planes, said it would launch its own service in markets in the U.S. West, Midwest, and Southeast in April and May. The new service will use 44 of these available planes.
The company also said it is in talks with a prospective U.S. partner about providing regional service that would use 10 planes.
The company had previously said it started up a corporate charter with up to 15 planes. The service began operating Dec. 31 and has since flown 205 segments.
Operating revenue in the fourth quarter rose 5.1 percent to $425.8 million on fuller planes and 5.8 percent more capacity.
Load factor -- a measure of the percentage of seats filled with paying passengers -- rose 1.2 points to 77.3 percent.
ExpressJet said it will enter arbitration in a dispute with Continental over rates for 2007. The company will be paid at 2006 rates until a decision is reached, which is expected in the second or third quarter.
© Reuters 2007. All Rights Reserved.
There, I feel better.
ExpressJet, which flies regional jets for Continental Airlines (CAL.N: Quote, Profile , Research), said net profit fell to $22.8 million, or 39 cents a share, from $24.9 million, or 42 cents a share in the same period last year. Wall Street analysts had expected the company to post earnings of 39 cents a share, according to Reuters Estimates.
Since last May, ExpressJet has been looking for new business ventures for 69 aircraft it retained after Continental canceled a capacity purchase agreement.
ExpressJet, which has a fleet of 274 planes, said it would launch its own service in markets in the U.S. West, Midwest, and Southeast in April and May. The new service will use 44 of these available planes.
The company also said it is in talks with a prospective U.S. partner about providing regional service that would use 10 planes.
The company had previously said it started up a corporate charter with up to 15 planes. The service began operating Dec. 31 and has since flown 205 segments.
Operating revenue in the fourth quarter rose 5.1 percent to $425.8 million on fuller planes and 5.8 percent more capacity.
Load factor -- a measure of the percentage of seats filled with paying passengers -- rose 1.2 points to 77.3 percent.
ExpressJet said it will enter arbitration in a dispute with Continental over rates for 2007. The company will be paid at 2006 rates until a decision is reached, which is expected in the second or third quarter.
© Reuters 2007. All Rights Reserved.
There, I feel better.
