UAL posts $47 million April operating loss

By Caroline Salls

Pittsburgh, June 2 - UAL Corp. reported an operating loss of $47 million for April, according to a company news release.

This marks a $28 million year-over-year improvement despite a $91 million higher fuel expense than April 2004 on 4% lower capacity, according to the release.

The company reported an April net loss of $124 million, including $28 million in reorganization expenses.

UAL ended April with a cash balance of $2.4 billion, which included $866 million in restricted cash.

The cash balance increased $102 million during April, driven by strong receipts and effective cost controls, the release said.

"Given the challenge of high fuel prices, our success lowering non-fuel unit expenses, increasing unit revenue and building our cash balance is encouraging," executive vice president and chief financial officer Jake Brace said in the release.

"This week marked a significant milestone for United, as we now have in place consensual cost-savings agreements with all of our six union groups after a great deal of hard work."

UAL, the Chicago-based parent of United Air Lines, filed for bankruptcy on Dec. 9, 2002 in the U.S. Bankruptcy Court for the Northern District of Illinois. Its Chapter 11 case number is 02-48191.

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