Aloha Air’s earnings keep falling
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Aloha Airlines posted its 16th consecutive quarterly loss as high fuel prices and low interisland fares in the third quarter contributed to a net loss of $15.1 million, according to data released yesterday by the federal Bureau of Transportation Statistics.
The privately held carrier, which lost $9.9 million in the year-earlier period, has now lost $58.1 million through the first nine months of this year. Barring a strong fourth quarter, Aloha is poised to post its worst loss since at least 1990. Its previous worst loss was in 2002 when it lost $43.7 million.
Third-quarter revenue increased 4.6 percent to $104.4 million from $99.8 million a year ago.
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Aloha Airlines' financial woes continued mounting in the third quarter, as the privately held carrier recorded a net loss of $15.1 million to extend its losses through the first nine months of the year to $58.1 million, according to data released yesterday.
Facing high fuel costs and an interisland fare war, Aloha has been unable to turn a profit since emerging from bank-ruptcy in February 2006, and has now posted losses in 16 consecutive quarters. Aloha's net loss last quarter was wider than the $9.9 million net loss of a year ago.
"The results reflect continued high fuel prices and low interisland fares," said David Banmiller, president and chief executive of Aloha.
By the first half of this year, Aloha already had exceeded last year's total losses of $41.5 million, and the airline is poised to record its worst annual loss since at least 1990, which is as far back as the federal Bureau of Transportation Statistics keeps its data online. Previously, Aloha's worst loss since 1990 was in 2002, when it lost $43.7 million.
Revenue rose 4.6 percent to $104.4 million from $99.8 million, but operating expenses increased 5.1 percent to $116.1 million from $110.4 million, according to preliminary data released yesterday by the BTS. Fuel costs remained relatively flat at $28.4 million, down 0.4 percent from $28.5 million a year ago.
Aloha had an operating loss of $11.7 million versus an operating loss of $10.6 million in the year-earlier period.
Aloha had $28.8 million in cash at the end of the third quarter, down from $32.1 million at midyear and below the $32.3 million it had at the end of the third quarter in 2006.