RENO, Nev., Feb. 3 /PRNewswire/ -- Reno Air, Inc. (Nasdaq: RENO; PCX: RNO)
today confirmed it will incur a substantial loss for the full year 1997, and
its loss for the fourth quarter of 1997 will significantly exceed the
$6.3 million loss realized in the fourth quarter of 1996. The actual financial
results are scheduled to be available February 18.
"As mentioned in our earlier press releases, the cutover to a new SABRE
reservations system significantly impacted our revenues as well as our costs
in the fourth quarter of 1997," said Reno Air President and CEO Robert
W. Reding. "Due to the disruption caused by the transition, we were not able
to handle the large volume of incoming reservations calls. This was
compounded by a rise in our personnel costs and a substantial increase in
engine maintenance expenses due to an unusually high rate of unscheduled
engine removals during 1997, accompanied by a general increase in overhaul
rates."
"On the positive side, the switch to SABRE is an investment in our future,
and with the conversion behind us, we can realize the long-term system
benefits. Also, our cash position remains strong."
Except for historical information contained herein, this document contains
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These statements involve known and unknown
risks and uncertainties that may cause the company's actual results or
outcomes to be materially different from those anticipated or discussed
herein. Further, the company operates in an industry sector in which
securities values may be volatile and may be influenced by regulatory or other
factors beyond the company's control. In assessing forward-looking statements
contained herein, readers are urged to read carefully all cautionary
statements contained in the company's public filings with the Securities and
Exchange Commission.
SOURCE Reno Air, Inc.
 back to top
Related links:
http://www.renoair.com
CONTACT:
Reno Air Corporate Communications and
Investor Relations, 702-954-5000
CNOC: http://www.prnewswire.com or fax, 800-758-5804, ext.
740075
|
