American’s regional operational expenses increased from $668 million in the first quarter of 2007 to $721 million in Q108, as regional revenues increased 4.1 percent to $581 million. Regional revenue passenger miles dropped 5.3 percent in the quarter to 2.142 billion from the year-ago period and available seat miles dropped 5.1 percent to 3.106 billion. Load factor was down 0.1 points to 69 percent, according to AMR’s first quarter report released last week.
The results not only increases pressure on the company to fulfill its plans to sell American Eagle, it contributed to AMR Corporation’s net loss of $328 million for the first quarter of 2008, or $1.32 per share compared to a net profit of $81 million for the first quarter of 2007, or $0.30 per diluted share. Related Story AMR only said that its planned divestiture of American Eagle continues to move forward.