AMR reports 4th quarter loss of $200 million

January 21, 1993|By New York Times News Service

AMR Corp., the parent of American Airlines, reporte yesterday a fourth-quarter loss of $200 million and warned that it might have to shut down some of its unprofitable hubs and cut its fleet to curb losses.

The quarterly deficit, larger than some analysts had expected, increased from $125 million in the year-earlier period, when Persian Gulf hostilities had sent jet-fuel prices soaring and passenger traffic plunging.

The latest results reflect charges totaling $56 million to compensate laid-off managers, to settle litigation with Metro Airlines -- a commuter carrier American acquired last month -- and to retire a plane. In 1992, AMR also adopted new required accounting standards for pension benefits. Fourth-period revenue grew 5.1 percent, to $3.58 billion from $3.4 billion.

For all of 1992, AMR's loss deepened, to $935 million from $240 million. Revenue grew 12 percent, to $14.4 billion from $12.89 billion.

AMR shares lost 75 cents yesterday, closing at $67.125 on the New York Stock Exchange.

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