American Airlines estimated on Tuesday a smaller-than-expected adjusted loss for the third quarter and signaled improved bookings for the rest of the year, betting on increased holiday demand and the lifting of travel bans. US carriers had tempered their outlooks for the September quarter as the Delta coronavirus variant slowed new bookings and drove up cancellations, but a recent fall in Covid-19 cases has raised hopes that passengers would be confident to fly again. The Biden administration’s plan to reopen the US in November to air travelers from Europe has added to the optimism. The trans-Atlantic route is one of the most lucrative ones in the world and accounted for up to 17% of 2019 passenger revenues for the big three US carriers. American Airlines said it was “planning for a robust peak travel period in the fourth quarter.” Shares of the company were up 1% at $20.32 in morning trade. The company expects net loss excluding items to be between $620m and $675m in Q3. Analysts on average expect a loss of $741.7m, according to Refinitiv data.<br/>
oneworld
American Airlines and Southwest Airlines, citing federal requirements, said on Tuesday that they would not comply with an order from the governor of Texas barring private employers from mandating coronavirus vaccines in the state. Gov. Greg Abbott, a strong opponent of vaccine mandates, issued the order on Monday, saying inoculation against Covid-19 should “always be voluntary for Texans.” “We believe the federal vaccine mandate supersedes any conflicting state laws, and this does not change anything for American,” said a spokeswoman for the airline, which is based in Fort Worth. Southwest, which is based in Dallas, said it would “remain compliant” with the federal mandate. The Greater Houston Partnership, a business group that counts Exxon Mobil, Chevron and JPMorgan Chase as members, also came out on Tuesday against Abbott’s order, saying it “does not support Texas businesses’ ability and duty to create a safe workplace.” President Biden announced last month that federal contractors and their employees would need to be vaccinated, with limited exceptions. Like other major employers, American and Southwest cited that requirement and their status as contractors in announcing that employees must be vaccinated. Biden also announced that workers at companies with more than 100 employees would have to be vaccinated or tested regularly, but those requirements are dependent on new rules that the Occupational Safety and Health Administration has not issued yet. <br/>