AirTran Holdings reports third quarter loss

AirTran Holdings, the parent company of AirTran Airways, reported a net loss of $107.1 million, which included non-operating losses related to its fuel hedging program of $41.5 million, which was comprised of $55.5 million of unrealized losses and $14.0 million of realized gains. During the same quarter of 2007, AirTran reported net income of $10.6 million. Fuel costs — which represented over 50 percent of AirTran’s expenses for the quarter and rose to historically high levels — contributed significantly to AirTran’s third quarter loss. As of September 30, 2008, AirTran had $318.1 million of unrestricted cash and investments. In addition, as of September 30, 2008, AirTran had $84.2 million of restricted cash.