Parent of AA reports loss: Reduced air travel leads to $344 million in red ink during the fourth quarter

-- Jan. 21--AMR Corp., the parent of American Airlines, reported a fourth-quarter loss of $344 million or $1.03 per share Wednesday as the economic downturn took a toll on air travel demand. In 2008's fourth quarter, Fort...


Horton said AMR expects fuel prices to average $2.42 per gallon for the year. He said AMR has 24 percent of its anticipated full-year consumption hedged at an average cap of $2.48 per gallon of jet fuel equivalent ($93 per barrel crude oil equivalent), with 22 percent subject to an average floor of $1.80 per gallon of jet fuel equivalent ($65 per barrel crude equivalent).

As of Jan. 8, the average 2010 market forward price of crude oil was more than $85 per barrel.

AMR ended the fourth quarter with $4.9 billion in cash and short-term investments compared with $3.6 billion in cash and short-term investments on Dec. 31, 2008.

AMR's total debt, which it defines as the aggregate of its long-term debt, capital lease obligations, the principal amount of airport facility tax-exempt bonds and the present value of aircraft operating lease obligations, was $16.1 billion at the close of 2009's fourth quarter, up from $15.1 billion a year earlier.

AMR shares closed Wednesday at $8.49, up 41 cents or 5.1 percent.

D.R. Stewart 581-8451 don.stewart@tulsaworld.com

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