US travel has been hit by the impact of four hurricanes

Battered by soaring fuel costs and weak demand, Delta made a $646m (�355m) loss in the period to 30 September.

Delta warned this month that insolvency is a real possibility unless it can push through a restructuring plan which would slash 7,000 jobs to save $5bn.

American and Northwest Airlines also recorded heavy losses on Wednesday.

AMR, American Airlines' parent company, said it lost $214m in the same period largely because of the leap in fuel prices, and promised job cuts and a 5% cut in capacity.

Northwest, meanwhile, lost $46m, although its revenue rose 13%.

Perilous situation

America's third largest carrier has now made a total loss of $3bn in the past nine months.

A leading credit agency said Delta faced an imminent decision on whether it should seek Chapter 11 bankruptcy protection.

Despite the company's already perilous situation, analysts said the figures were worse than they had expected.

Time is of the essence Gerald Grinstein, Delta Air Lines

The firm made a loss, including exceptional items, of $646m in the three months to the end of September.

This compares with a $164m loss for the same period last year.

Passenger revenues fell 3.7% as air travel in the US was affected by the impact of four consecutive hurricanes.

"As Delta's financial situation continues to deteriorate, time is of the essence," said chief executive Gerald Grinstein.

Credit agency Standard & Poor's said Delta must quickly reach an agreement with its pilots over labour costs and pension entitlements if it was to stave off insolvency.

"Given Delta's heavy losses and dwindling liquidity, the company will likely have to decide whether to seek bankruptcy protection within weeks," S&P analyst Philip Baggaley told AFP.