American Airlines' parent posts $234-mn loss in Jan, to cut 13,000 jobs
01 March 2012
American Airlines' (AA) parent company, AMR Corp, which is trying to make a turnaround under bankruptcy protection, says it lost $234 million in January, including $155 million restructuring expenses related to renegotiating aircraft financing and $15 million in fees paid to advisers such as lawyers.
AMR Corp disclosed the results yesterday in a filing with a federal bankruptcy court in New York.
Revenue was $2.03 billion, while top expenses hitting $704 million for fuel and $601 million for wages, salaries and benefits.
The company gave no year-ago financial figures for comparison.
AMR and AA filed for bankruptcy protection on 29 November. The airline wants to slash 13,000 jobs, turn its pension obligations over to the federal government and reduce pay, benefits and working terms for remaining workers.
The company ended January with $4.9 billion in cash and short-term investments, which included restricted cash that was mostly collateral held for estimated worker-compensation and tax obligations.