United Airlines lost $623 million in 2nd quarter.(Chicago Tribune)

Byline: Melissa Allison

CHICAGO _ Even with a sizeable cash handout from the government, United Airlines posted a second-quarter net loss Friday larger than any other major U.S. carrier.

The airline, operating under bankruptcy protection since December 2002, said it lost $623 million, or $6.26 per share, in the quarter as revenues dropped 18 percent.

Excluding the $300 million in government aid that United received under the Emergency Wartime Supplemental Appropriations Act and special items connected to its bankruptcy, the Elk Grove Township-based airline posted a net loss of $476 million, or $4.79 a share.

Like other airlines, United was hard hit by rising costs and reduced demand for air travel beginning in 2001, particularly after Sept. 11. But this year's second quarter posed additional challenges.

Air travel was pinched by the U.S.-led war against Iraq and SARS, which hit United hard because of its large presence in Asia.

American Airlines posted an operating loss of $357 million and a net loss of $75 million. Delta Air Lines reported a net profit of $184 million and a loss of $237 million excluding special items.