American Airlines 2007 Annual Report Download - page 37

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34
Revenues
2007 Compared to 2006 The Company’s revenues increased approximately $372 million, or 1.6 percent, to
$22.9 billion in 2007 compared to 2006. American’s passenger revenues increased by 2.1 percent, or $373
million, despite a capacity (available seat mile) (ASM) decrease of 2.4 percent. American’s passenger load factor
increased 1.4 points to 81.5 percent and passenger revenue yield per passenger mile increased 2.8 percent to
13.17 cents. This resulted in an increase in passenger revenue per available seat mile (RASM) of 4.6 percent to
10.73 cents. In 2007, American derived approximately 63 percent of its passenger revenues from domestic
operations and approximately 37 percent from international operations. Following is additional information
regarding American’s domestic and international RASM and capacity:
Year Ended December 31, 2007
RASM
(cents)
Y-O-Y
Change
ASMs
(billions)
Y-O-Y
Change
DOT Domestic 10.5 3.0% 108.5 (2.6)%
International 11.1 7.4 61.4 (2.0)
DOT Latin America 11.4 5.9 29.6 0.9
DOT Atlantic 10.9 5.2 25.0 (0.5)
DOT Pacific 10.2 20.2 6.8 (17.1)
Regional Affiliates’ passenger revenues, which are based on industry standard proration agreements for flights
connecting to American flights, decreased $32 million, or 1.3 percent, to $2.5 billion as a result of decreased
capacity and load factors. Regional Affiliates’ traffic decreased 1.2 percent to 9.8 billion revenue passenger miles
(RPMs), while capacity decreased 1.0 percent to 13.4 billion ASMs, resulting in a 0.2 point decrease in passenger
load factor to 73.4 percent.
Cargo revenues decreased 0.2 percent, or $2 million primarily as a result of lower freight traffic.
Other revenues increased 2.4 percent, or $33 million, to $1.4 billion due in part to increases in certain passenger
fees and higher passenger volumes.