Air Transport World

ATA Airlines.(US Majors)

Successful financial restructuring and superior cost management were the hallmark achievements for the Indianapolis-based low-cost carrier, which earned $15.8 million last year, marking its first annual profit since 1999 and a $190 million turnaround from a loss of $175 million in 2002. Operating revenues rose 18.9% to $1.52 billion, driven by a 22.4% jump in scheduled service revenues to $1.08 billion and a 66.9% rise in military charter revenues owing to the US buildup accompanying the war in Iraq. But the even bigger story was on the cost side as total operating expense stayed virtually flat on a 20% increase in ASMs while every component of operating expense declined at the unit level save fuel and oil. …

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