04/26/2011 02:11 PM

Fuel prices ground profits for U.S. Airways

By: News 14 Carolina Web Staff

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CHARLOTTE -- Sky high fuel prices are grounding profits for U.S. Airways. The airline, with its largest hub based in Charlotte, reported a first quarter loss of $114 million, more than double last year.

The airline says its fuel costs jumped by $200-million, up almost 39 percent from a year earlier. The fifth largest carrier reports it is raising airfares to make up for the rise in fuel prices. The good news is that traffic rose four percent over the same time last year.