Continental Airlines seems to be a big winner for the 3rd quarter as they reported a $237 million profit, which includes a $92 million gain on the sale of a portion of the company's investment in Copa Airlines. Excluding net special charges of $1 million and the $92 million Copa gain, Continental recorded net income of $146 million for the quarter.
"Thanks to the hard work of my co-workers, we are delivering great results, both financially and operationally. When we work together, we win together," said Larry Kellner, Continental's chairman and chief executive officer.
On the flip side, low cost carrier, Southwest Airline's 3rd quarter profits tumbled on higher fuel costs and terrorism scares. SWA reported a third quarter 2006 net income of $48 million compared to last years $210 million dollar profit.
Gary C. Kelly, CEO, stated: "Our third quarter 2006 results were solid given the dramatic rise in energy costs since last year. Our third quarter revenues were significantly impacted by the London terrorist threat in August, the increased security procedures put into effect by the Transportation Security Administration (TSA) as a consequence thereof, and an overall softening in demand for air travel."
A profit is a profit. Cost reductions at Continental and their business plans seem to be working for the airline. Continuing to focus on business travelers and their international service, Continental is putting forth a product that will keep the company earning profits for many quarters to come.
Continental Airlines Press Release
Southwest Airlines Press Release
American Airlines Reports 3rd Quarter Results
US Airways reports 26 October
UAL reports 31 October
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