United's 1Q loss narrows as fuel costs drop
Source: AP-Excite
By JOSHUA FREED
The parent of United Airlines reported a smaller first-quarter loss on Thursday, as fuel costs declined and revenue rose 1 percent.
The first quarter is the slowest travel season of the year, and it's not unusual for airlines to lose money then. This year, though, United's biggest rival, Delta, posted a small profit for the period, and Southwest and US Airways made money, too. Some airlines have said that government spending cuts that began in March hurt business, but United made no mention of the cuts in its earnings release.
Fuel expenses fell 6 percent, helped by less flying, slightly lower prices per gallon, and bets on fuel prices. But labor costs jumped 12 percent. United Continental Holdings Inc. (UAL) has been signing new wage deals that cover workers who came from both airlines, including a new pilot contract approved in December.
FUL story at link.
Read more: http://apnews.excite.com/article/20130425/DA5SIPDG3.html
In this April 16, 2010 file photo, Continental Airlines First Officer Pamela Perdue conducts a pre-flight inspection of a 767 airplane at George Bush Intercontinental Airport Friday in Houston. United Continental reports quarterly financial results before the market opens on Thursday, April 25, 2013. (AP Photo/David J. Phillip, file)