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US Air cancels 3Q profit
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September 15, 1999: 11:21 a.m. ET
Canceled flights, disgruntled customers seen carrying over to 4Q
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NEW YORK (CNNfn) - US Airways Group Inc. doesn't expect to post a third-quarter profit, the carrier said in a government filing, and troubles connected to canceled flights, unhappy customers and other factors will carry over to the fourth quarter.
In documents filed with the Securities and Exchange Commission that were disclosed Wednesday, the Arlington, Va.-based US Airways, the sixth-largest airline in the country, said third- and fourth-quarter earnings were "under pressure" for several reasons.
The company cited cuts in flight schedules and numerous flight cancellations. During July and August, the filing said, US Airways canceled an average of 130 flights per day, or 6.4 percent of its daily schedule, and high cancellations are continuing this month.
"This poor operational performance is creating passenger dissatisfaction," the filing said, "which we believe is impacting our ability to generate revenue."
The company said it expects third-quarter difficulties to carry over to the fourth quarter.
In 1998, US Airways reported third-quarter income of $141.9 million, or $1.51 per share. Analysts polled by First Call Corp. expected the company to report third-quarter 1999 earnings of 84 cents per share.
Separately, the filing said the board of directors authorized the company to repurchase up to $500 million of common stock.
Shares of US Airways Group (U) were down 1-3/8 to 26-1/4 late Wednesday morning. 
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US Airways Group
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