American Airlines' parent company, AMR Corp., posted a $341 million loss for the first quarter as it continued to reduce its costs through the bankruptcy process.
The quarterly loss is an improvement over the $1.7 billion loss reported in the first quarter of 2012. Revenues grew 1 percent to $6.1 billion for the quarter while unit revenues grew 2.6 percent over last year.
"We have raised revenues and built a competitive cost structure and sound foundation for the future," said AMR chief executive Tom Horton. "Looking forward, our pending merger with our partners at US Airways positions American to be the world's leading airline."
Excluding $349 million in one-time accounting items and reorganization costs, AMR said it would have reported a profit of $8 million for the quarter. The items and reorganization fees include a $45 million charge related to an increase in workers' compensation claims and a $160 million loss for professional fees and an adjustment in claim amounts for special facility revenue bonds.
The first quarter was also the first full quarter where American realized its cost savings from newly negotiated labor contracts. Its wages, salaries and benefits declined 16.7 percent to $1.4 billion.
Jet fuel costs increased slightly as AMR paid $3.26 per gallon, up from $3.24 per gallon in the first quarter of 2012, an increase of $14 million to its quarterly fuel bill.
The carrier ended the quarter with $4.2 billion in cash and short-term investments, which does not include $853 million in restricted cash.
AMR plans to merge with US Airways as part of its restructuring in bankruptcy. The merger deal still needs the approval of government regulators, US Airways shareholders and AMR creditors.