Procurement
Bankrupt American Airlines parent AMR Corp. posted a third-quarter net loss of $238 million.
Excluding reorganization costs and other non-recurring items, a $110 million net profit marked a $272 million improvement from a year earlier. Total passenger revenue including regional affiliates increased 1.9 percent to $5.7 billion. Other third-quarter revenue metrics were positive, including a 3.8 percent improvement in domestic unit revenue—which the company described as "the best" in the industry—and a 4 percent rise in passenger yield. Domestic capacity was down 3.3 percent year over year while international capacity edged downward by 1.3 percent. Mainline load factor was 85.8 percent, "a record for any quarter in American's history," according to the company. In a memo to employees, CEO Tom Horton alluded to "recent operational challenges" without specifically citing unhappy pilots and widely reported maintenance issues. "It's fair to say the past few weeks have tested us all," Horton wrote. "We have taken action to address our operational challenges in a manner consistent with our absolute commitment to customer safety and service."