American Airlines is the latest airline to lower its third-quarter forecast, citing higher fuel costs.

American Airlines now expects adjusted earnings per share in the range of $0.20-$0.30 in the third quarter. This compares with the previous forecast of $0.85-$0.95 per share, writes the Financial Times.

American Airlines also halves its operating margin forecast to 4-5 percent, according to CNBC.

The airline refers to significantly higher fuel costs and retroactive salary payments to pilots following recent contract negotiations.

Spirit Airlines has also adjusted its forecasts downward. The low-cost carrier now expects an operating margin of at least minus 15.5 percent in the third quarter, compared to the previous forecast of minus 5.5-minus 7.5 percent. The company is also lowering its revenue forecast for the period, writes CNBC.

Another string of negative news has come from the US airline sector recently. Frontier Airlines flagged a negative demand trend on Wednesday, and earlier in September Southwest Airlines and Alaska Airlines lowered their forecasts.

Source: DI.SE