American, US Airways June passenger traffic rises

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News,Business

FORT WORTH, Texas (AP) — The parent company of American Airlines and US Airways said Wednesday that June passenger traffic rose 1 percent from the same month a year ago and said it expects passenger revenue to rise in its second quarter.

But American Airlines Group also said it expects to post as much as $630 million in charges in the second quarter, related to fuel hedging contracts and its merger with US Airways. About $330 million of the charges are related to selling its fuel hedging contracts and about $250 million to $330 million is related to its bankruptcy restructuring and merger with US Airways.

The Fort Worth, Texas-based company said passengers on its planes flew 19.9 billion miles last month. But its planes were less full. The average flight was 85 percent full in June, compared with 86.9 percent full a year ago.

For the second quarter, which ended in June, American Airlines Group expects passenger revenue from each seat to be up about 5.5 percent to 6.5 percent from the same quarter a year ago.

In morning trading, American Airlines Group Inc. shares rose 62 cents, or 1.6 percent, to $40.89.

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