Heavy noncash impairment charges and record fuel prices sent American Airlines parent AMR Corp. plunging to a $1.45 billion second-quarter net loss, reversed from a $317 million profit in the year-ago quarter. The noncash charges, announced this month (ATWOnline, July 3), comprise a $1.1 billion writedown of the value of certain aircraft and related assets and approximately $55 million in employee severance-related costs. Excluding the charges, AMR's second-quarter loss was $284 million.

In conjunction with its effort to enhance its "Beijing hub" strategy and boost domestic and international frequencies from the capital, Air China plans to order 15 777s and 30 737s. According to a CA statement released yesterday by the Shanghai Stock Exchange, the airline negotiated a deal less than the $6.3 billion list price for the 45 aircraft, which will be delivered between 2011 and 2015 and will boost its capacity by 35%. The order still requires approval from CA shareholders and the Chinese government.

Delta Air Lines CEO Richard Anderson will run the merged DL/Northwest Airlines out of Atlanta, the carriers announced yesterday as they unveiled the senior management team for what would be the world's largest airline, saying the team will "ensure the seamless transition of Northwest's operations into Delta over the next 12-24 months."

Vietnam Airlines reported a loss of $5 million in the first half of 2008, Reuters reported from Hanoi. It posted a pre-tax profit of $13.3 million in the year-ago semester. Revenue in the recently completed six-month period climbed 28% year-over-year to $733 million and passenger numbers rose 15% to 4.4 million.

Boeing's first 777 freighter flew for the first time Monday and "performed well" during a 3.5-hr. test flight. "The only issue was a data-communication problem between the airplane and the telemetry room at Boeing Field," VP-Flight Operations, Test & Validation Dennis O'Donoghue said. The problem prevented the aircraft from completing all first-flight tests and forced it to land at Paine Field rather than Boeing Field. Flight test program will involve two aircraft (ATWOnline, May 22).

Thai Airways board approved the acquisition of 20 A321-200s and said it has made "progress" in negotiations with Airbus. The purchase now requires government approval. The 179-seat aircraft are expected to be delivered in 2012-17.

Universal Asset Management announced the purchase of an ex-Champion Air 727-200 for disassembly. Champion ceased operations in May.

Kunpeng Airlines, the Xi'an-based JV between Shenzhen Airlines and Mesa Air Group, signed a contract for five E-190s worth $187.5 million at list prices, the manufacturer announced. Aircraft will seat 98 passengers in two classes.