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American Airlines feels pinch of Boeing Max groundings

Revenue was $11.91 billion, a sliver shy of expectations.

FORT WORTH, Texas (AP) — American Airlines is cutting the high end of its guidance as it contends with the grounding of its 737 Max aircraft fleet.

The Boeing Max was grounded after two crashes killed 346 people in Indonesia and Ethiopia. That will drag down full-year pretax earnings by about $540 million.

American Airlines Group Inc. posted third-quarter profits of $425 million, or 96 cents per share.  Adjusted per-share profit was $1.42, topping Wall Street expectations for $1.38, according to Zacks Investment Research.

Revenue was $11.91 billion, a sliver shy of expectations.

American Airlines expects full-year per-share earnings between $4.50 and $5.50, down from between $4.50 and $6.

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Portions of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on AAL at https://www.zacks.com/ap/AAL