US Airways shares fall on CEO warning
Shares of US Airways fell 15.3 percent after chief executive officer Douglas Parker said Philadelphia's dominant airline needs $300 per roundtrip ticket just to cover soaring fuel costs. "We need $650 on average just to break even," Parker told an annual shareholders meeting in Tempe, Ariz. Parker did not mention job cuts. He said the US Airways board would be meeting during the next couple of days. "I think there is more to come, and there needs to be more," Parker said. US Airways expects U.S. airlines to cut domestic capacity - seats and flights - by 9 percent in the fourth quarter, and another 9 percent next year because of soaring fuel costs. The carrier's shares closed down 58 cents at $3.20.
Shares of US Airways fell 15.3 percent after chief executive officer Douglas Parker said Philadelphia's dominant airline needs $300 per roundtrip ticket just to cover soaring fuel costs. "We need $650 on average just to break even," Parker told an annual shareholders meeting in Tempe, Ariz. Parker did not mention job cuts. He said the US Airways board would be meeting during the next couple of days. "I think there is more to come, and there needs to be more," Parker said. US Airways expects U.S. airlines to cut domestic capacity - seats and flights - by 9 percent in the fourth quarter, and another 9 percent next year because of soaring fuel costs. The carrier's shares closed down 58 cents at $3.20.