This article from NYTimes.com has been sent to you by psa188@xxxxxxxxx /-------------------- advertisement -----------------------\ THE DREAMERS - IN SELECT CITIES FRIDAY Set against the turbulent political backdrop of 1968 France when the voice of youth was reverberating around Europe, THE DREAMERS is a story of self-discovery as three students test each other to see just how far they will go. THE DREAMERS will be released uncut with an NC-17 rating. for more info: http://www.foxsearchlight.com/thedreamers/index_nyt.html \----------------------------------------------------------/ US Airways Cuts Losses, Lags Financially February 6, 2004 By THE ASSOCIATED PRESS Filed at 2:32 p.m. ET RICHMOND, Va. (AP) -- US Airways Group Inc. cut its losses sharply in the fourth quarter, though the airline's top executive warned that it continues to lag behind financial goals. The Arlington-based company reported a loss of $98 million, or $1.82 per share, in the quarter ended Dec. 31, down from a loss of $794 million, or $11.67 per share, in the year-ago period. The company's pretax loss for the fourth quarter of 2003 -- excluding a $30 million gain from selling its investment in the Hotwire travel site -- was $129 million. That compares with a year-ago pretax quarterly loss of $352 million, which excludes $565 million in bankruptcy-related items and aircraft impairment charges. ``Throughout the year, we made progress in reducing our losses, but regrettably, we are behind in our plan for achieving sustained profitability,'' Chief Executive Officer David N. Siegel said in a statement Friday. Operating revenue rose 9 percent to $1.76 billion in the quarter from $1.61 billion in the year-earlier period. Siegel said US Airways, which emerged from bankruptcy protection last March, continues to deal with cost and sales challenges confronting all legacy airlines, such as American Airlines and Delta Air Lines. Those airlines have struggled to cope with continued weakness in high-yield business travel and with the growth of low-fare carriers such as Southwest Airlines and JetBlue Airways. ``Absent special items, none of these (legacy) carriers reported a full-year profit, which highlights the fundamental change low-cost carriers are having on the industry overall,'' he said. B. Ben Baldanza, the airline's senior vice president of marketing, said US Airways is having to adapt to customers whose expectations are changing more rapidly than anticipated. Their demands for lower fares are limiting revenue opportunities, Baldanza said. ``As fares continue to drop,'' he said, ``it also becomes essential for us to lower our costs related to selling tickets.'' Also Friday, US Airways' management and pilots union said they have reached an agreement over pay rates, health insurance and other benefits for the airline's upcoming regional-jet service. ``The big thing they got was the pay,'' union spokesman Capt. Jack Stephan said. ``We got the health insurance and 401(k) we wanted.'' Executives have said the nation's seventh-largest airline, which has high operating costs, must make more cuts to succeed. They continue to look for ways to lower labors costs. And they retained investment firm Morgan Stanley, ``in an exploratory process,'' to value assets and identify potential buyers. The airline's East Coast shuttle and gates at several airports reportedly are being considered. But so far, no decision has been made to sell any assets, the company said. For the full year, US Airways earned $1.46 billion, including $214 million in government compensation and $1.92 billion in income -- such as a sizable net gain for discharging liabilities -- recognized as a result of its Chapter 11 filing. That compares to a loss of $1.65 billion in 2002. Operating revenue fell about 2 percent to $6.85 billion in 2003 from $6.98 billion in the prior year. Both years' numbers include results while the airline was still under bankruptcy protection. US Airways ended the fourth quarter with $1.84 billion in cash, including $1.29 billion in unrestricted cash, cash equivalents and short-term investments. http://www.nytimes.com/aponline/business/AP-Earns-US-Airways.html?ex=1077100555&ei=1&en=730ee80f106dca88 --------------------------------- Get Home Delivery of The New York Times Newspaper. Imagine reading The New York Times any time & anywhere you like! Leisurely catch up on events & expand your horizons. Enjoy now for 50% off Home Delivery! Click here: http://www.nytimes.com/ads/nytcirc/index.html HOW TO ADVERTISE --------------------------------- For information on advertising in e-mail newsletters or other creative advertising opportunities with The New York Times on the Web, please contact onlinesales@xxxxxxxxxxx or visit our online media kit at http://www.nytimes.com/adinfo For general information about NYTimes.com, write to help@xxxxxxxxxxxx Copyright 2004 The New York Times Company