USAir to Post Profit for 3rd, 4th Quarters

WASHINGTON — USAir said Tuesday it expects to be profitable for the rest of the year, defying predictions of financial analysts.

USAir Group Inc. issued a news release saying traffic and revenue were up more than expected and costs had increased less than expected. That means a profit for the third quarter, and “barring any unforeseen events, for the full year as well,” the airline said.

USAir stock rose $1.75 to $9.75 a share on the news.

USAir Chairman Seth E. Schofield said the airline is preparing to make its first employee profit-sharing payments under a 1992 salary-reduction agreement. He said the company is taking a charge for the payments.

Following $2.5 billion in losses over five years, USAir turned its first quarterly profit in the second quarter of this year--$112.9 million. Some analysts had predicted that the airline would slip back into losses later in the year.