ADVERTISEMENT
  • News
  • Technology
  • Culture
  • Entertainment
  • Sport
  • Travel
  • Music
  • More
    • Politics
    • Lifestyle
    • TV
    • Games
Wednesday, May 31, 2023
  • Login
No Result
View All Result
NEWSLETTER
FINCHANNEL
  • Home
  • Business
    • BANKS
      • GeoBanks
    • Finance
    • Insurance
    • Markets
    • Pharmacy
    • Press Releases
    • RealEstate
    • RealEstate
    • Finance
    • Insurance
    • Banks
      • GeoBanks
    • Markets
    • Press Releases
    • Personal Finance
  • World
    • America
    • Europe
    • Georgia
      • Media
    • Ukraine
    • Europe
    • Georgia
      • Media
    • Ukraine
    • Americas
    • UK local news
  • Travel
    • Hotels in Georgia
    • Tours in Georgia
  • Videos
    • Promos
    • Soundslides
    • TheClinics
    • TheHoteliers
    • TheUniversities
    • TheHoteliers
    • TheClinics
    • TheUniversities
    • BestWorkplaces
    • Soundslides
    • Promos
    • Banking Forum
      • Promos
      • Soundslides
      • TheClinics
      • TheHoteliers
      • TheUniversities
  • Opinion
    • Editorial
      • Analysis
      • GORBI
      • OP-ED
      • VISA Editorial
    • Analysis
    • Gorbi
    • Book reviews
  • Tech
  • Interview
  • People
    • CityLife
    • Health & Beauty
      • Coronavirus
    • LifeStyle
    • Employment
      • MyCareer
    • Education
    • Media
    • Celebrities
  • Oil&Auto
    • Auto
    • Energy
  • EN
    • EN
    • GE
  • Home
  • Business
    • BANKS
      • GeoBanks
    • Finance
    • Insurance
    • Markets
    • Pharmacy
    • Press Releases
    • RealEstate
    • RealEstate
    • Finance
    • Insurance
    • Banks
      • GeoBanks
    • Markets
    • Press Releases
    • Personal Finance
  • World
    • America
    • Europe
    • Georgia
      • Media
    • Ukraine
    • Europe
    • Georgia
      • Media
    • Ukraine
    • Americas
    • UK local news
  • Travel
    • Hotels in Georgia
    • Tours in Georgia
  • Videos
    • Promos
    • Soundslides
    • TheClinics
    • TheHoteliers
    • TheUniversities
    • TheHoteliers
    • TheClinics
    • TheUniversities
    • BestWorkplaces
    • Soundslides
    • Promos
    • Banking Forum
      • Promos
      • Soundslides
      • TheClinics
      • TheHoteliers
      • TheUniversities
  • Opinion
    • Editorial
      • Analysis
      • GORBI
      • OP-ED
      • VISA Editorial
    • Analysis
    • Gorbi
    • Book reviews
  • Tech
  • Interview
  • People
    • CityLife
    • Health & Beauty
      • Coronavirus
    • LifeStyle
    • Employment
      • MyCareer
    • Education
    • Media
    • Celebrities
  • Oil&Auto
    • Auto
    • Energy
  • EN
    • EN
    • GE
No Result
View All Result
FINCHANNEL
No Result
View All Result
Home Travel News

American Airlines Group Reports Fourth Quarter and Full Year Profit

by The FINANCIAL
January 27, 2017
in Travel News
0
AA to move to PKX Airport in early 2021
Share on FacebookShare on Twitter

The FINANCIAL — American Airlines Group Inc. on January 27 reported its fourth quarter and full year 2016 results. The Company’s earnings highlights include:

ADVERTISEMENT

Fourth quarter 2016 pre-tax profit of $500 million, or $773 million excluding net special charges, and net profit of $289 million, or $475 million excluding net special charges

Full year 2016 pre-tax profit of $4.3 billion, or $5.1 billion excluding net special charges, and net profit of $2.7 billion, or $3.2 billion excluding net special charges

RelatedPosts

Iceland is the most in-demand destination for a solo female travel trip

Accor expands its footprint in Georgia with signing of the new ibis in Tbilisi

eTa Canada – a necessary document for travel to Canada

Accor: We exceeded our financial and non-financial targets

Fourth quarter Total Revenue per Available Seat Mile (TRASM) was up 1.3 percent year-over-year, marking the first year-over-year increase since the fourth quarter 2014

The Company accrued approximately $57 million in the fourth quarter for its profit sharing plan, bringing the total accrual to $314 million for 2016

Returned $606 million to stockholders through share repurchases and dividends in the fourth quarter, for a total of $4.6 billion in 2016. Announced a new $2.0 billion share repurchase authorization

The Company reported a Generally Accepted Accounting Principles (GAAP) net profit of $289 million, or $0.56 per diluted share in the fourth quarter 2016. The Company’s fourth quarter 2016 results include a $211 million provision for income taxes, of which $207 million is non-cash due to net operating loss utilization. This compares to a GAAP net profit of $3.3 billion in the fourth quarter 2015, or $5.09 per diluted share, which included a non-cash $3.0 billion net special income tax benefit resulting from the reversal of the Company’s valuation allowance, according to American Airlines.

The Company reported a full year 2016 GAAP net profit of $2.7 billion, or $4.81 per diluted share, including a non-cash income tax provision of $1.6 billion. This compares to a GAAP net profit of $7.6 billion in 2015, or $11.07 per diluted share, which included the $3.0 billion non-cash income tax benefit.

The impact of the year-over-year change in non-cash income tax expense is removed by comparing pre-tax income. The Company reported a fourth quarter 2016 GAAP pre-tax income of $500 million, and pre-tax income excluding net special charges of $773 million. This compares to a fourth quarter 2015 GAAP pre-tax income of $244 million, and pre-tax income excluding net special charges of $1.3 billion. For the full year, the Company reported a 2016 GAAP pre-tax income of $4.3 billion, and pre-tax income excluding net special charges of $5.1 billion, which compares to a 2015 GAAP pre-tax income of $4.6 billion, and pre-tax income excluding net special charges of $6.3 billion.

Adjusted fourth quarter 2016 earnings per diluted share was $1.48, down from $2.00 per diluted share in the fourth quarter of 2015. Full year 2016 adjusted1 earnings per diluted share was $9.10, down $0.02 compared to 2015.

“The American Airlines team continued to produce outstanding results in 2016, and outsiders are taking notice. Air Transport World named American as its 2017 Airline of the Year, citing our team’s integration work, operational and customer service improvements, and the significant investments we are making in our product. This recognition is entirely due to the great work of our 120,000 team members,” said Doug Parker, Chairman and CEO.

“As we enter 2017, we will continue to make upgrades to American through new product initiatives. These include Basic Economy which will further our goal to offer the right fares and features for every customer, and, on international flights, our Premium Economy product. And no matter which product our customers choose, they’ll be transported on the youngest fleet among our large U.S. competitors.

“Our product investments are showing up in our unit revenue performance. We had the largest improvement in unit revenue among our competitors and as we look forward, we continue to see strong demand for air service, and improving yields.”

Revenue and Cost Comparisons

Total revenue in the fourth quarter was $9.8 billion, an increase of 1.7 percent versus the fourth quarter 2015 on a 0.4 percent increase in total available seat miles (ASMs). TRASM was 14.90 cents, up 1.3 percent versus the fourth quarter 2015, the first year-over-year increase since the fourth quarter of 2014. For the full year, total revenue was $40.2 billion in 2016, down 2.0 percent over 2015, while 2016 total revenue per ASM was 14.70 cents, down 3.7 percent versus 2015, on a 1.7 percent increase in total ASMs.

Total operating expenses in the fourth quarter were $9.0 billion, up 5.4 percent compared to the fourth quarter 2015, due primarily to a 17.4 percent increase in salaries and benefits expense, which includes the impact of the Company’s recent labor agreements and a $57 million accrual for the Company’s profit sharing program. On a full year basis, total operating expenses were $34.9 billion, up 0.3 percent versus 2015.

Fourth quarter 2016 mainline cost per available seat mile (CASM) was 12.93 cents, up 5.7 percent on a 0.7 percent reduction in mainline ASMs versus the fourth quarter 2015. Excluding fuel and special charges, mainline CASM was 10.17 cents, up 10.3 percent versus the fourth quarter 2015. Regional CASM was 19.60 cents, down 0.9 percent versus the fourth quarter 2015, on an 8.5 percent increase in regional ASMs. Excluding fuel and special charges, regional CASM was 15.70 cents, down 2.5 percent versus the fourth quarter 2015.

For the full year 2016, mainline CASM was 11.94 cents, down 0.8 percent versus 2015, on a 1.0 percent increase in mainline ASMs. Excluding fuel and special charges, mainline CASM was 9.54 cents, up 6.1 percent versus 2015. Regional CASM was 19.08 cents, down 6.4 percent versus 2015, on a 7.9 percent increase in regional ASMs. Excluding fuel and special charges, regional CASM was 15.53 cents, down 3.4 percent versus 2015.

Capital Investments

As part of the Company’s ongoing fleet renewal program, the Company invested approximately $4.4 billion in new aircraft in 2016, including 55 new mainline and 42 new regional aircraft. In addition, the Company invested approximately $1.3 billion on the integration of the airline, product enhancements and operational improvements.

Liquidity and Capital Return Program

As of December 31, 2016, the Company had approximately $8.8 billion in total available liquidity, consisting of unrestricted cash and short-term investments of $6.4 billion and $2.4 billion in undrawn revolver capacity. The Company also had restricted cash of $638 million.

The Company returned $606 million to its stockholders in the fourth quarter 2016 through the payment of $52 million in quarterly dividends and the repurchase of $554 million of common stock, or 12.2 million shares. The Company has now completed its $2.0 billion April 2016 share repurchase authorization and returned more than $9.6 billion to stockholders through share repurchases and dividends since mid-2014.

In addition, the Company’s Board has approved a new $2.0 billion share repurchase authorization that will expire December 31, 2018.

Share repurchases under the buyback program announced today may be made through a variety of methods, which may include open market purchases, privately negotiated transactions, block trades or accelerated share repurchase transactions. Any such repurchases will be made from time to time subject to market and economic conditions, applicable legal requirements and other relevant factors. The program does not obligate the Company to repurchase any specific number of shares or continue a dividend for any fixed period, and may be suspended at any time at the Company’s discretion.

The Company also declared a dividend of $0.10 per share, to be paid on February 27, 2017, to stockholders of record as of February 13, 2017.

Notable Accomplishments

Integration Accomplishments

More than 300 flight crew training instructors and simulator pilot instructors in the Transport Workers Union (TWU) approved a new five-year contract. In addition, the Company’s 144 flight simulator engineers represented by the TWU and the International Association of Machinists (TWU-IAM Association) approved a new five-year agreement

The Company’s 15,000 pilots were integrated onto a single flight operating system, which allowed flight deck crews to change domiciles and bid onto different aircraft

The final US Airways mainline aircraft, an Embraer E190, was painted in the American livery. Repainting of former US Airways Express regional jets will be finished in mid-2017

Marketing Accomplishments

Began offering international Premium Economy service on the new Boeing 787-9 Dreamliner to Sao Paulo and Madrid, and in early 2017 to Paris and Seoul. American is the first U.S. airline to offer Premium Economy

Added Cadillac Ramp Transfer Service in Charlotte and Philadelphia, which complements existing service at Dallas Fort Worth International, New York-JFK, and Los Angeles International

In early 2017, added a new Platinum Pro tier to AAdvantage

Network Accomplishments

The U.S. Department of Transportation awarded frequencies for new daily nonstop service between Los Angeles International Airport and Beijing

Began nonstop service to Havana, Cuba from both Miami and Charlotte

Community Relations Accomplishments

Raised more than $2.5 million for veteran and military initiatives at the annual Skyball event in Dallas-Fort Worth

Donated a charter aircraft to transport 72 Pearl Harbor survivors and World War II veterans to Oahu for the 75th Pearl Harbor Commemoration

Transported more than 1,700 children and spouses of fallen service men and women to Dallas-Fort Worth for the 11th annual Snowball Express; the airline’s volunteer corps for this annual event included more than 1,000 American Airlines team members, and brought in Gold Star families from 87 cities worldwide via 100 flights

Raised $1.3 million for the Susan G. Komen Young Investigator Grant program

Other Accomplishments

With the Transportation Security Administration, launched two automated screening lanes at Chicago O’Hare’s Checkpoint 7, reducing security screening time by approximately 30 percent

Completed the $160 million expansion of Terminal F at Philadelphia International Airport, including a 34,000-square foot baggage claim building

Closed on Enhanced Equipment Trust Certificates with proceeds of $814 million, re-priced a $1.0 billion term loan, and refinanced the 2013 Citicorp Term Loan with a new $1.25 billion facility

Named as Best Airline for Domestic First Class in Global Traveler magazine’s 2016 GT Tested Reader Survey and named Best North American Airline for the third consecutive year at the 2016 Business Traveller awards

Special Items

In the fourth quarter, the Company recognized $273 million in net special charges before the effect of income taxes, principally consisting of fleet restructuring expenses and merger integration expenses relating to information technology, re-branding of aircraft, airport facilities and uniforms, alignment of labor union contracts, professional fees, relocation, training and severance.

 

ADVERTISEMENT
The FINANCIAL

The FINANCIAL

Related Posts

Featured

Iceland is the most in-demand destination for a solo female travel trip

by The FINANCIAL
March 28, 2023
0

The travel and hospitality experts at Accor predict female solo travel trips will become a popular trend in 2023, with...

Read more
Accor ჯგუფი საქართველოში საქმიანობას აფართოებს და თბილისში ,,იბისის“ ახალი სასტუმროს მშენებლობას იწყებს

Accor expands its footprint in Georgia with signing of the new ibis in Tbilisi

March 13, 2023
eTa Canada – a necessary document for travel to Canada

eTa Canada – a necessary document for travel to Canada

March 2, 2023

Accor: We exceeded our financial and non-financial targets

February 27, 2023
Next Post
Molecular diagnostic laboratory is established with donation and support of the Czech Republic

Molecular diagnostic laboratory is established with donation and support of the Czech Republic

Please login to join discussion
ADVERTISEMENT
  • Trending
  • Comments
  • Latest
Find Social Security Number by Name Free

Find Social Security Number by Name Free

November 23, 2022
Most Northwest Drivers Aren’t Worried about Car Prowls

The Illinois-based insurer remains the largest US private auto writer

May 8, 2023
Humana shares on the up as earnings show Medicare growth

Humana shares on the up as earnings show Medicare growth

May 8, 2023
How to Check KRA Pin Using ID Number

How to Check KRA Pin Using ID Number

June 25, 2018
EasyJet to fly to London from Stockholm Arlanda

The London Diplomatic List, Addresses, Contacts & Working Hours

January 23, 2023
How to optimize business costs with Intranet implementation?

Protected: 5 Key Advantages of Contact Center Solutions Every Business Must Know

May 30, 2023
New direction in the construction and development market of Georgia – “Prestige” series from “Maqro Construction”

New direction in the construction and development market of Georgia – “Prestige” series from “Maqro Construction”

May 26, 2023
Long-term international migration, provisional: year ending December 2022

Long-term international migration, provisional: year ending December 2022

May 26, 2023
putin_copy_copy.jpg

Blow for Putin as UK marks one year free from Russian gas

May 25, 2023
About a third of Americans would tell a high schooler seeking career advice to enter a STEM-related field

Recruitment firms are not effective if you want to make a big career change

May 25, 2023

Popular Last 24h

  • Find Social Security Number by Name Free

    Find Social Security Number by Name Free

    0 shares
    Share 0 Tweet 0
  • The London Diplomatic List, Addresses, Contacts & Working Hours

    0 shares
    Share 0 Tweet 0
  • The Illinois-based insurer remains the largest US private auto writer

    0 shares
    Share 0 Tweet 0
  • Swedish banks’ commercial property problem loans lowest in Europe – EBA

    0 shares
    Share 0 Tweet 0
  • A new study has named Montana the best state in America to start a business

    0 shares
    Share 0 Tweet 0
  • How to optimize business costs with Intranet implementation?

    0 shares
    Share 0 Tweet 0
  • New culinary collaboration, “Tekuna in Bazzar”

    0 shares
    Share 0 Tweet 0

LATEST POSTS

How to optimize business costs with Intranet implementation?

Protected: 5 Key Advantages of Contact Center Solutions Every Business Must Know

May 30, 2023
New direction in the construction and development market of Georgia – “Prestige” series from “Maqro Construction”

New direction in the construction and development market of Georgia – “Prestige” series from “Maqro Construction”

May 26, 2023
Long-term international migration, provisional: year ending December 2022

Long-term international migration, provisional: year ending December 2022

May 26, 2023
putin_copy_copy.jpg

Blow for Putin as UK marks one year free from Russian gas

May 25, 2023
About a third of Americans would tell a high schooler seeking career advice to enter a STEM-related field

Recruitment firms are not effective if you want to make a big career change

May 25, 2023
Home values in U.S. decline for second month as competition eases

Understanding The True Cost of Buying a Home Warranty

May 25, 2023
Formal Credit Channels Remain a Double-Edged Sword for Consumers

Formal Credit Channels Remain a Double-Edged Sword for Consumers

May 25, 2023
Hassan Jameel

Protected: Abdul Latif Jameel Energy’s FRV Expands Operations in Europe

May 23, 2023
First wiring map of neurons in insect brain complete

Brain signatures for chronic pain identified in a small group of individuals

May 22, 2023
New York Allows Sale Of Alcoholic Beverages During Coronavirus Shutdown As Market Shrinks To $528 Billion

Scrapping retained EU red tape on wine to unlock £180 million

May 21, 2023

LATEST INTERVIEWS

“EU membership might attract European banks and other financial institutions to enter Georgia” – NBG Vice Governor Papuna Lezhava

“EU membership might attract European banks and other financial institutions to enter Georgia” – NBG Vice Governor Papuna Lezhava

by The FINANCIAL
May 15, 2023
0

“As a member of the ProCredit Group, we provide significant advantages to SME’s, by partnering with EU organizations” – Giorgi Kardenakhlishvili, Head of Medium Business Development, ProCredit Bank Georgia

“As a member of the ProCredit Group, we provide significant advantages to SME’s, by partnering with EU organizations” – Giorgi Kardenakhlishvili, Head of Medium Business Development, ProCredit Bank Georgia

by The FINANCIAL
May 15, 2023
0

‘Russia cannot be treated as a reasonable and reliable trade partner

‘Russia cannot be treated as a reasonable and reliable trade partner

by The FINANCIAL
February 13, 2023
0

We should increase our joint efforts to assist the growing tech sector here in Georgia

We should increase our joint efforts to assist the growing tech sector here in Georgia

by The FINANCIAL
February 13, 2023
0

‘Georgia has much to offer to UK investors

‘Georgia has much to offer to UK investors

by The FINANCIAL
February 13, 2023
0

‘The best way for the Georgian economy to prosper is to join the EU

‘The best way for the Georgian economy to prosper is to join the EU

by The FINANCIAL
February 13, 2023
0

‘The Kremlin wants Georgia to fail or abandon its European path

‘The Kremlin wants Georgia to fail or abandon its European path

by The FINANCIAL
February 13, 2023
0

Russian Patriarch Kirill Says Dying In Ukraine ‘Washes Away All Sins’

Interview: Why Putin Might Prefer A Stalemate To Going Nuclear On Ukraine

by The FINANCIAL
October 22, 2022
0

Newsletter

ADVERTISEMENT

GET IN TOUCH

E-mail your company news at:

news (at) financial.ge Letters to the Editor: editor (at) finchannel.com

Local Marketing contact:

(+99532) 2252 275 | 76 EXT: 1 (+995 558) 03 03 03 (mobile) marketing (at) finchannel.com

Requests from abroad:

(+99532) 2252 275 | 76 EXT: 7 (+995599) 96 52 52 Email: zviadi (@) finchannel.com Contact video editor: E-mail: video (at) financial.ge

Postal address: 17 Mtskheta str. Tbilisi, Georgia 0179 The FINANCIAL

RESOURCE

  • Work at the FINANCIAL
  • ePaper
  • Advertise in The FINANCIAL
  • Access ePaper
  • Guest posts
  • Contributed articles
  • AmericanStockNews
  • Coupon Codes
  • GLOSSY MAG
American Culture Center
ACC Partner

GUIDEBOOK

  • Meet our team
  • Invest in Georgia
  • Become contributor
  • Archive

FOLLOW US

  • Facebook
  • Twitter
  • Google+
  • Youtube
No Result
View All Result
  • Home
  • Business
    • BANKS
      • GeoBanks
    • Finance
    • Insurance
    • Markets
    • Pharmacy
    • Press Releases
    • RealEstate
    • RealEstate
    • Finance
    • Insurance
    • Banks
      • GeoBanks
    • Markets
    • Press Releases
    • Personal Finance
  • World
    • America
    • Europe
    • Georgia
      • Media
    • Ukraine
    • Europe
    • Georgia
      • Media
    • Ukraine
    • Americas
    • UK local news
  • Travel
    • Hotels in Georgia
    • Tours in Georgia
  • Videos
    • Promos
    • Soundslides
    • TheClinics
    • TheHoteliers
    • TheUniversities
    • TheHoteliers
    • TheClinics
    • TheUniversities
    • BestWorkplaces
    • Soundslides
    • Promos
    • Banking Forum
      • Promos
      • Soundslides
      • TheClinics
      • TheHoteliers
      • TheUniversities
  • Opinion
    • Editorial
      • Analysis
      • GORBI
      • OP-ED
      • VISA Editorial
    • Analysis
    • Gorbi
    • Book reviews
  • Tech
  • Interview
  • People
    • CityLife
    • Health & Beauty
      • Coronavirus
    • LifeStyle
    • Employment
      • MyCareer
    • Education
    • Media
    • Celebrities
  • Oil&Auto
    • Auto
    • Energy
  • EN
    • EN
    • GE

© 2023 JNews - Premium WordPress news & magazine theme by Jegtheme.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.