RTTNews | Jul 22, 2021 07:34AM EDT

07:33 Thursday, July 22, 2021 (RTTNews.com) - American Airlines Group Inc (AAL), while reporting a profit in its second quarter compared to last year's hefty loss, reported Thursday that its daily cash burn rate turned positive for the second quarter to a cash build rate of approximately $1 million per day.

Looking ahead, based on current trends, it expects its third-quarter total revenue to be down approximately 20 percent from the pre-pandemic 2019, and capacity to be down around 15 percent to 20 percent compared to that of 2019.

The company also expects its third-quarter pre-tax margin excluding net special items will be between negative 3 percent and negative 7 percent.

The Company now expects to reduce its debt by more than $15 billion by the end of 2025 versus its previous guidance of $8 billion to $10 billion.

American also said it is prepaying today the entirety of its $950 million spare parts term loan that was scheduled to mature in April 2023.

Read the original article on RTTNews ( https://www.rttnews.com/3211080/american-airlines-cash-burn-rate-turns-positive-warns-on-q3-revenue-capacity.aspx)

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