United Airlines on Wednesday said the revenue it earns from flying one seat one mile will likely rise by 4.5 to 5.5 percent in the third quarter.
In a government filing, the company said its mainline costs per seat mile, excluding fuel, will be up by between 1 percent and 1.5 percent from the same period a year ago.
United said it expects continued revenue per available seat mile growth in the fourth quarter on yield improvements related to capacity cuts.
United and its rival airlines have been battered by high fuel costs that have caused the industry to initiate massive downsizing in the fourth quarter. United said it expects its mainline capacity -- the number of seats for sale -- to fall 4 percent in the third quarter.
As of September 15, the airline has hedged 46 percent of its anticipated third-quarter fuel consumption.
United expects to end the quarter with unrestricted cash, cash equivalents and short-term investments of USD$2.9 billion.
