USAir to Post Profit for 3rd, 4th Quarters

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.