Ssides From United States of America, joined Feb 2001, 4059 posts, RR: 20
Reply 1, posted (10 years 5 days ago) and read 1524 times:
I don't think so. Given the size of the Eagle operation, I doubt they could sell it off in one piece. It would probably have to be sold in sections, roughly one for each aircraft type (CRJs, ERJs, Saabs, ATRs, etc.)
Remember, it wasn't too long ago that Eagle consolidated its operations buy purchasing the Eagle carriers. Now, the only independent airlines in the AA system are the Connection carriers that came with the TWA acquisition.
Given the rise of RJs on previously mainline routes (DFW-MSP, ORD-ATL, etc.), Eagle is probably responsible for too much AMR revenue for them to spin it off.
MaverickM11 From United States of America, joined Apr 2000, 18136 posts, RR: 46
Reply 2, posted (10 years 5 days ago) and read 1505 times:
"Given the rise of RJs on previously mainline routes (DFW-MSP, ORD-ATL, etc.), Eagle is probably responsible for too much AMR revenue for them to spin it off."
Revenue, yes, but also costs, and I wouldn't be surprised if those costs are bigger than the revenue. I would think having all your express product served by mostly one carrier would be a major liability for a major, not to mention a potential source for a lot of cost cutting by simply selling it off and/or having it bid on American Eagle work.
Ckfred From United States of America, joined Apr 2001, 5419 posts, RR: 1
Reply 3, posted (10 years 5 days ago) and read 1484 times:
If AA keeps getting hammered by high fuel costs and sees a significant reduction in unrestricted cash, I could see AA shopping part or all of the Eagle operation. If and when that situation arises, selling Eagle isn't an option.
By having Eagle as a subsidiary of AMR, it gives AA a lot of flexibility to tweak its schedule.