Why American Airlines (AAL) Is Gaining Today

Tickers in this article: AAL

NEW YORK (TheStreet) -- American Airlines was gaining 1.8% to $39.73 Monday after the airline announced February traffic increased 0.5% year-over-year.

The airline's total revenue passenger miles for February were 15.1 million. Total capacity was 19.2 billion available seat miles, up 0.8% from February 2013. American Airlines saw a total passenger lad factor of 78.4% in February, down 0.3% from the year-ago period.

Severe weather caused the airline to cancel more than 14,000 flights in February, up 149% from February 2013. American Airlines believes the cancellations had a slight positive impact on unit revenue, but a larger negative impact on unit cost and quarter profitability.

Despite the severe weather American Airlines believes PRASM (passenger revenue per available seat mile) will increase between 2% and 4% in the first quarter.

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