BUSINESS

AMR, parent of American Airlines, swings to $289M 3Q profit by boosting revenue, cutting costs

10/17/2013 09:30 EDT | Updated 01/23/2014 06:58 EST
DALLAS - After years of losses, American Airlines is making money by boosting revenue and cutting labour costs.

Parent company AMR Corp. said Thursday that it earned $289 million, or 76 cents per share, in the third quarter. That's a turnaround from a loss of $238 million, or 71 cents per share, a year earlier.

Adjusted profit is a record $530 million. That figure doesn't include bankruptcy-reorganization costs and other special items.

Revenue is up 6 per cent, as passengers pay more per mile to fly. Labor costs are down 13 per cent from a year ago.

American and US Airways plan to merge if they can win or settle an antitrust lawsuit filed by the U.S. Justice Department.