American Airlines Narrows Loss

AMR Corp.’s American Airlines, the world’s biggest carrier, narrowed its fourth-quarter loss and Southwest Airlines Co., the low-fare leader, posted its smallest profit decline in more than a year as both carried more passengers.

American’s fourth-quarter net loss of $529 million, or $3.39 a share, contrasts with a loss of $798 million, or $5.17, a year earlier. Revenue increased 10% to $4.19 billion.

At Southwest, net income fell to $42.4 million, or 5 cents a share, compared with $63.5 million, or 8 cents, a year ago. But Southwest’s profit decline of 33% is an improvement from the more than 40% drop in previous quarters of 2002. Revenue climbed 13% to $1.4 billion.