United joins Delta in posting a Q2 profit

United joins Delta in posting a Q2 profit

By Howard Dicus - bio | email

HONOLULU (HawaiiNewsNow) - United Airlines has posted a $430 million second quarter profit on $5.16 billion. Continental Airlines, meanwhile, announced Tuesday that pilots for the two airlines have reached a transition agreement, advancing the two carriers' plans to merge.

Chicago-based United is the largest single provider of airlines seats to Hawaii, flying to the islands from Chicago, Denver, San Francisco, Los Angeles, Tokyo and Osaka.

Houston-based Continental flies to Hawaii from Newark, Houston, Los Angeles and Guam. Continental reports second quarter results later in the week.

United reported Tuesday that its second quarter revenue per available mile was 27% better than at the same time last year, and overall revenue rose 28%. Asia-Pacific revenue was up 52% and cargo business was up 57%.

Delta Air Lines posted on Monday its best quarterly results in a decade, a $547 million profit. Passenger income was up 19% and cargo income up 22% from the same quarter of 2009.

Delta said it would rebuild capacity 1% to 3% next year, setting off a sell-off of airline stocks Monday on fears of increased competition and fare cuts; airline stocks rebounded Tuesday.

Rebuilding capacity could benefit Hawaii tourism whether it led to fare cuts or not.

Copyright 2010 by HawaiiNewsNow. All rights reserved.