It's the same as American and Continental yesterday - they did a little bit better than expected

Ray Neidl, analyst, ABN Amro

"It's the same as [American and Continental] yesterday - they did a little bit better than expected," ABN Amro analyst Ray Neidl said.

"This gives me a little bit more confidence that the industry is recovering a bit faster than we expected."

Southwest, Northwest and US Airways said they could not give accurate forecasts for profitability in 2002 due to uncertainty caused by the US economic slowdown, and the travel slump caused by the attacks.

Southwest in the black

Southwest Airlines, America's seventh largest airline, reported net profit of $63.5m for the October-to-December quarter, down more than a half from a year before.

The carrier said revenues fell 16% to $1.24bn, compared with $1.47bn for fourth quarter of 2000.

Southwest received $235m from a US government programme to keep airlines in business after 11 September.

The carrier was one of only two carriers to remain profitable in the August to September period, and has not posted a quarterly loss since the beginning of 1991, during the Gulf War.

Northwest

Northwest Airlines, the fourth largest US carrier, reported a net loss of $216m for the October-to-December quarter, despite receiving $212m in cash from the federal government.

The carrier made a $69m loss in the fourth quarter of 2000.

The performance, "while disappointing, was to be expected" considering the US economic slowdown and affects of the 11 September attacks, chief executive Richard Anderson said.

Northwest said quarterly revenues fell to $1.99bn from $2.71bn a year earlier.

For the full year, the carrier reported a net loss of $423m compared with a net profit of $256m in 2000.

US Airways

The sixth largest airline, US Airways, announced a $1.01bn fourth-quarter loss, its worst ever, blaming competition from low-cost rivals and the slump after last year's attacks.

Excluding special items, such as $11m in expected federal aid, US Airways lost $552m, taking its full-year loss to $1.98bn compared to $269m in 2000.

US Airways was also hurt by the temporary shutdown of its Reagan National Airport hub in Washington.

Quarterly revenues fell 33.6% to $1.57bn.