UAL posts $277m loss

CHICAGO - UAL Corp, parent of United Airlines has posted a net loss of US$187 ($277.86) million for November, including $159 million of largely noncash reorganisation expenses driven by aircraft-related transactions.

The bankrupt No. 2 US airline said that excluding reorganisation expenses, the company had a net loss of $28 million.

UAL aims to exit bankruptcy in February after three years in Chapter 11. The carrier said it is common for companies in bankruptcy to see hefty reorganisation expenses as they approach the exit.

The company said it had operating earnings of $9 million for November, an improvement of $197 million over the same period last year.

The carrier said its mainline unit costs - the costs of flying one seat one mile - decreased 1 per cent in November despite 3 per cent lower capacity and 39 per cent higher fuel prices. Its mainline passenger unit revenue increased 15 per cent.

UAL said it ended the month with a cash balance of $3 billion, which included $959 million in restricted cash.

- REUTERS