Sharp rise in fuel, labor costs hamper Allegiant Air 2017 profits

Las Vegas-based Allegiant Travel Co., parent of LCC Allegiant Air, reported $194.9 million net income for 2017, an 11.2% drop from its $219.6 million net profit in 2016. The full-year result reflected not only rising fuel and labor expenses, but also a $35 million write-down of Allegiant’s retiring MD-80 fleet, a difficult third quarter affected by the August-September hurricanes and a $74.1 million benefit late in the year related to US tax reform. Allegiant’s adjusted net ...