NYTimes.com Article: JetBlue Earnings Fell 71 Percent

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JetBlue Earnings Fell 71 Percent

October 28, 2004
 By REUTERS





Filed at 8:09 a.m. ET

NEW YORK (Reuters) - JetBlue Airways Corp. (JBLU.O) on
Thursday said third-quarter earnings fell 71 percent,
missing analysts' lowered estimates, as it struggled with
skyrocketing fuel prices, storm disruptions and
competition.

The low-cost carrier said net income fell to $8.4 million,
or 8 cents per share, from $29 million, or 26 cents per
share, a year earlier.

Last month, JetBlue warned that third-quarter earnings
would not match previous estimates, saying it was being
hurt by fuel prices, the spate of hurricanes that struck
the Southeast and weak ticket prices.

Wall Street analysts responded by slashing their own
estimates, bringing the mean expectation down to 10 cents a
share from the previous average of 19 cents a share,
according to Reuters Estimates. The revised views ranged
from 8 cents a share to 12 cents per share.

JetBlue's third-quarter report marks the second consecutive
quarter it has missed Wall Street's estimates after a run
during which it had beaten estimates every quarter since
its debut as a public company in April 2002.

Revenue rose 18.1 percent to $323.2 million but was shy of
analysts' average forecast of $330.3 million.

``The combination of a continued weak pricing environment,
record high fuel prices and the impact of four major
hurricanes in many of our southern markets made for a very
challenging quarter,'' JetBlue Chairman and Chief Executive
David Neeleman said.

During the quarter, JetBlue said its fuel cost averaged
$1.08 per gallon, up 32.7 percent from a year earlier.

JetBlue shares closed Wednesday at $22.44 on Nasdaq. After
hitting an all-time high of $47.15 just over a year ago,
JetBlue's stock has lost more than half its value.

http://www.nytimes.com/reuters/business/business-airlines-jetblue.html?ex=1099969651&ei=1&en=c3757b26da9d349a


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