pensacolaguy
Posts: 484
Joined: Sun Sep 26, 2004 9:41 pm

AirTran Reports 1Q 4.6 Million Net Loss

Fri Apr 28, 2006 1:05 am

AirTran Holdings Inc., parent of AirTran Airways Inc., reported a net loss of $4.6 million, or 5 cents per share, for the first quarter of 2006.

AirTran officially attributed the loss in part to the shift of the Easter holiday from March to April, as well as increased fuel costs. Air Tran's unit operating costs increased 9.3 percent due largely to the 63 percent increase in the cost of fuel year-over-year.

More info:
http://airtran.mediaroom.com/index.php?s=press_releases&item=1144

Looks like AirTran should of "fuel hedged"..

Edited for spelling.

[Edited 2006-04-27 18:10:56]
 
srbmod
Posts: 15446
Joined: Tue Mar 20, 2001 1:32 pm

RE: AirTran Reports 1Q 4.6 Million Net Loss

Fri Apr 28, 2006 3:01 am

Not bad, considering the early Wall Street projections was for a 7 cent/share loss.

Quoting Pensacolaguy (Thread starter):
Looks like AirTran should of "fuel hedged"..

They do have fuel hedge agreements in place. Nothing along the lines of what WN has, but still more than DL does.
 
rumorboy
Posts: 294
Joined: Sun Aug 25, 2002 1:06 am

RE: AirTran Reports 1Q 4.6 Million Net Loss

Fri Apr 28, 2006 3:22 am

They do have fuel hedges but nothing like SWA does. About 24% hedged next quarter. I think 15-20% hedged for the rest of the year. To grow capacity as much as they have and get a 38% revenue increase, grow cash and yields is not bad at all. Looks like fuel nipped them in the butt. 75 dollar oil is just not gonna do it. None fuel casm at 6.51 cents is very good(especially when there average stage length is less than 700 miles).