AMR Corporation reports third quarter net loss of $162 million

AMR Corporation, the parent company of American Airlines, reported a net loss of $162 million for the third quarter of 2011, compared to a net profit of $143 million for the same period of 2010. These results reflect the adverse impact of quarter-end volatility in WTI crude oil prices and foreign exchange rates. WTI prices decreased, while jet fuel prices remained high, which resulted in a non-cash item relating to fuel hedging ineffectiveness being recorded in fuel expense. In addition, foreign exchange rates were volatile and the U.S. dollar strengthened during the period, and as a result of revaluing foreign assets, the Company incurred a foreign exchange loss. Altogether, these items, which the Company described on Oct. 10, increased AMR’s net loss by approximately $50 million.