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00:02United Airlines and American Airlines are signaling capacity cuts as higher fuel costs
00:06tied to the war in Iran pressure profitability. Speaking at Morgan Stanley's Laguna Conference
00:11on Wednesday, CFO Michael Leskinen said that the airline has already cut some marginal routes
00:16and plans additional reductions in December. He said United could make further adjustments
00:21in the first quarter and into 2027 if fuel prices remain elevated. American Airlines CFO Devin May
00:27also said the carrier will adjust capacity late in the fourth quarter because of fuel costs.
00:32CEO Robert Isom said American's fourth quarter fuel costs have climbed by $1 billion.
00:38He added that persistently high fuel prices could require further capacity changes.
00:42American expects third quarter revenue growth of about 16% to 19% year over year.
00:48For all things money, visit Benzinga.com.
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