American Airlines shares slide 6.6% premarket after carrier cuts 2018 EPS guidance
American Airlines Group Inc.'s shares tumbled 6.6% in premarket trade Thursday, after the carrier cut 2018 guidance to below consensus as it books about $250 million in pretax special items for the fourth quarter. The company said it now expects 2018 EPS to range from $2.92 to $3.12, and adjusted EPS to range from $4.40 to $4.60. The FactSet consensus is for EPS of $4.62. The company said special items include fleet restructuring costs, merger integration costs, aircraft rent cost associated with a new lease accounting standard and mark-to-market adjustments for bankruptcy obligations and equity investments. The company is expecting revenue per available seat mile to be up about 1.5% from the year-earlier period, at the low end its of previous guidance of up 1.5% to up 3.5%. Shares have fallen 37.9% in the last 12 months, while the S&P 500 has fallen 5.9%. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.