Texas Air Has Loss of $6.5 Million in Quarter

Texas Air Corp. reported a net loss of $6.5 million for the quarter ended March 31, reflecting losses at its airline subsidiaries that were only partially offset by profits recorded by the parent and other subsidiary operations.

In the first quarter of 1985, Texas Air reported consolidated net income of $12.8 million.

The Houston-based company’s Continental Airlines subsidiary lost $13.6 million despite a 21.7% increase in revenue to $442 million. The unit had reported net income of $15.1 million on operating revenue of $363.1 million for the same period of 1985.

A Texas Air spokesman said the airline subsidiaries were affected by “major fare discounting during the traditionally slow first-quarter travel period.”