Cargo rises, losses deepen.(News Updates)

Even with cargo business on the upswing, major U.S. airlines lost some of their 2004 recovery hopes in disappointing first quarter results and escalating jet fuel prices. Delta Air Lines and Continental Airlines--widely thought to be the most stable of the U.S. majors during the 2001-2003 industry downturn--saw sizable first quarter losses.

The carriers conceded that profitability likely will remain elusive as the restructuring of the American domestic passenger industry appears to be deepening. US Airways Chief Executive David Siegel resigned last month amid strained relations with the airline's labor unions, further evidence that the majors' plans to remodel …