Sector Snap: Airlines Down Despite Oil Dip

NEW YORK (AP) — AMR Corp. was among the biggest decliners among airline stocks Wednesday after the parent of American Airlines said it will close a maintenance hub and cut hundreds more workers.

Shares were down across the entire sector along with the broader market, despite a decline in oil prices.

The carrier will close a maintenance base in Kansas City, Mo., and shrink other repair shops next September as the ongoing travel slump leaves fewer planes to maintain.

The moves will mean the reduction of up to 700 more workers nationwide, about 5 percent of American's maintenance work force, the company said Wednesday. Its stock lost 44 cents, or 7.5 percent, to $5.46 in afternoon trading. It has traded between $2.40 and $12.47 over the past year.

Elsewhere, US Airways said it will cut about 1,000 jobs next year, shift nearly all of its flying to its three hubs and Washington, and suspend several international routes. Chairman and CEO Doug Parker said he hopes it gets the airline making money again. In afternoon trading, US Airways shares traded up a penny at $3.15.