United’s Shares Hit Hard By Winter Storms
Shares of United Continental Holdings Inc. (NYSE:UAL) fell more than 3 percent on Friday due to a series of severe storms; winter weather forced the cancellation of more than 22,500 flights. The company warns that, as a result, its capacity and unit revenues will come in below expectations for the first quarter, according to Reuters.
“As a result of the severe weather, year-to-date, United cancelled more than 22,500 flights, the largest number of which (approximately 20,000) were regional flights. These cancellations were nearly four times the cancellations during the same period in 2013,” the airlines carrier said in a securities filing, per Reuters.
Winter storms this year have hit U.S. airlines especially hard, erasing thousands of flights in hubs like Chicago, Atlanta, and New York. The snowstorm that hit the East Coast on February 13 alone knocked out nearly 7,600 flights. That’s more flights than were cancelled due to Hurricane Sandy in 2012, the data provider MasFlight noted, per Bloomberg.