Labor cost reductions would include senior management, he added. The airline had gained $800 million in concessions from labor groups, but had failed to reach consensual agreements for further concessions from its unions. Though the carrier reported a net profit of $34 million for the second quarter (ended June 30), it warned at that time that the profit was inadequate and the company would likely face additional losses in the second half. The U.S. airline industry as a whole faces $4.3 billion in losses in 2004, according to Robert Ashcroft, analyst for UBS. Ashcroft blamed the high price of oil. Excluding oil, Ashcroft estimated third-quarter performance would have been about average in terms of operating margin. Merrill Lynch analyst Michael Linenberg estimated industry losses would reach $770 million for third quarter. Delta Air Lines, which analysts have expected to file for protection, was unable to obtain the consent of bond holders for the airline to buy back some of its debt.