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AA - On True Path To Prosperity?  
User currently offlineeastern023 From United States of America, joined Jul 2006, 874 posts, RR: 0
Posted (3 years 2 months 3 days 10 hours ago) and read 10076 times:

With all the announcements about AA ordering all this new metal I can't help wonder if it would be accompanied by some changes in the way they do business. Is this the definetely kick in the butt and facelift some of us still hope for? Would there be a change in strategy in the form of new routes, new services, new on board and ground experience (especially IFE and Catering), personnel attitude? Would the 763 planes finally faced out from long haul routes? Is there also a plan to change AA's core problems such as their operational costs challenges...?

Or this is just a big expense that could put them further on the downspiral path they're on...? I hope for the best. I hope AA returns to what it used to be and proudly bears the name ..."American"


AA will Rise Again!
63 replies: All unread, showing first 25:
 
User currently offlineLAXtoATL From United States of America, joined Oct 2009, 1596 posts, RR: 2
Reply 1, posted (3 years 2 months 3 days 9 hours ago) and read 10026 times:

Well there stock price isn't on a path to prosperity, if that's any indication.

Jokes aside, I don't think we have enough information to make a determination. The aircraft was a bold move and I like for the simple fact that it seems like a different course of action for a normally conservative company. Maybe other bold moves are afoot to shake things up. The danger with bold moves is of course they can backfire, but considering the path AA was on if they stay the course they were headed for disaster anyway, so change is good. But the aircraft order alone is not going to turn AA around and they had very little answers for what other actions they planned to narrow the gap between them and the rest of the industry. I listen to the earnings call and when it was over, I was left with the feeling that management had no plan or answers about their course of action to improve their financial situation. It really seems as if they placed this aircraft order and padded it with excessive options and announced it the same day as their earnings results in order to distract from their poor performance. We have to wait and see what else they have up their sleeves but they better move quickly.


User currently offlineDeltaMD90 From United States of America, joined Apr 2008, 7914 posts, RR: 52
Reply 2, posted (3 years 2 months 3 days 9 hours ago) and read 9946 times:

True path to prosperity? I highly doubt it, they need to do huge changes to just break even. I think this is a step in the right direction, but many more steps need to be taken, ASAP. I do see American making it for another 100 years though, and they will always be major, but they are a far ways away from being "prosperous."

This order is exciting news, no doubt, but it should not mask their huge quarterly loss and other major problems.



Ironically I have never flown a Delta MD-90 :)
User currently offlineLonghornmaniac From United States of America, joined Jun 2005, 3299 posts, RR: 45
Reply 3, posted (3 years 2 months 3 days 9 hours ago) and read 9953 times:

Quoting eastern023 (Thread starter):
new on board and ground experience (especially IFE and Catering)

Their catering is, in my opinion, well above the industry average for a US carrier on domestic routes in F. I've also had some spectacular meals in international J, and there's no question in my mind they have the best catering for US airlines, but it goes without saying they aren't usually on par with other international carriers. The lack of food in Y is industry-wide, and not indicative of any specific problem at AA. I've enjoyed their BoB options, and have always been given free refills on beverages on flights long enough to accommodate such requests.

As far as IFE is concerned, I really do think AA has their head in the right place when it comes to what the next generation of IFE is going to look like. The era of the PTV on short and medium haul routes is almost over, and with so many people preferring their own laptops, phones, tablets etc...there simply isn't enough incentive to carry around that extra weight when they could do things like provide powerports, WiFi, and the opportunity to stream entertainment wirelessly, which are all things they're in the process of doing. The AVOD on 777s works fine, but could use some additional selections.

Quoting eastern023 (Thread starter):
new routes, new services,

Because AA is planning to grow their fleet by a considerable margin over the next 10 years, I think both of these are on the table. What will be interesting is to see what they do with their new long haul aircraft. In the next 5 years, routes like DFW-HKG, DFW/LAX-Oz, MIA-JNB/CPT, and MIA-NRT suddenly become available, and it will indeed be interesting to see if this new narrowbody order represents a new, more aggressive approach to the management of the airline. I hope so.

Quoting eastern023 (Thread starter):
personnel attitude

I've seen this complaint on here more than once, but I have never had a bad experience with any AA employee. Given the relative frequency with which it appears, I can't not give it some credence, and will say that every airline, AA included, should be looking for ways to booster employee morale, which then provides for a better customer experience.

Quoting eastern023 (Thread starter):
operational costs challenges

This is really the elephant in the room, IMO. New labor contracts and figuring out what to do with Eagle are lynchpins to any success for AA in the future. All of the above is irrelevant if these things don't get sorted out. AA has to find a way to reduce their costs, which are some of the highest around.

  

Cheers,
Cameron


User currently offlinemogandoCI From , joined Dec 1969, posts, RR:
Reply 4, posted (3 years 2 months 3 days 9 hours ago) and read 9836 times:

in order for AA to get back on their feet, they need a true path to austerity

their cost basis is too high - fuel, crew, and handing out million miler status like candy


User currently offlineMaverickM11 From United States of America, joined Apr 2000, 17513 posts, RR: 45
Reply 5, posted (3 years 2 months 3 days 9 hours ago) and read 9777 times:

Quoting eastern023 (Thread starter):
Is this the definetely kick in the butt and facelift some of us still hope for?

No. It's window dressing. Their underlying business model remains highly cost-uncompetitive. Until that changes, they're still par for the course, but with nice new airplanes.



E pur si muove -Galileo
User currently offlineDullesFlyer From , joined Dec 1969, posts, RR:
Reply 6, posted (3 years 2 months 3 days 8 hours ago) and read 9708 times:

Quoting eastern023 (Thread starter):
Or this is just a big expense that could put them further on the downspiral path they're on...?

Very good question, and it's probably to early to tell. I hesitate to lean one way or the other, but AA is clearly behind the eight-ball. Besides turning profits, DL and UA / CO have a massive global reach, through DL hubs/focus cities in LAX, SEA, ATL, JFK, MEM, DTW, MSP, as well as having European and Asian hubs, and UA / CO now having LAX, SFO, ORD, IAH, EWR, SEA, and IAD as Global/Domestic hubs/focus cities. TWA initiated a similar fleet upgrade shortly before they filed for bankrupcy and were purchased by AA. AA is also seeing heavy competition in their S. America/Caribbean market from DL and UA / CO, so their dominance (to whatever extent it was) is being chipped away. I doubt the competition from Star Alliance member TAM is helping AA in MIA and JFK market share. I hate to be a pessimist, but was this an action that was "to little to late," or is it just covering up something far bigger? Is the market big enough for DL, UA / CO and AA? Not writing off AA, but I think these are legitimate questions. The two seem to be turning things around while AA continues to slide. Only time will tell.


User currently offlineFlyASAGuy2005 From United States of America, joined exactly 7 years ago today! , 7004 posts, RR: 11
Reply 7, posted (3 years 2 months 3 days 8 hours ago) and read 9684 times:

Quoting MaverickM11 (Reply 5):
It's window dressing. Their underlying business model remains highly cost-uncompetitive. Until that changes, they're still par for the course, but with nice new airplanes.

  

Very much so. A LOT of work is ahead of American. Simply adding new routes aren't going to do it. I'll argue that adding new a/c isn't the answer alone as well. DL operates a huge fleet of MD88s and DC9s as well as one of the largest fleets of 50 seaters out there and they still manage to make money (a profit is expected for the quarter, along with the others). So the whole story about "gas-guzzling" and "aging fleet" I don't buy into too much. Standing against their peers, their costs to operate on a daily basis are way out of wack and needs to be addressed soonest.



What gets measured gets done.
User currently offlineAAExecPlat From United States of America, joined Sep 2009, 635 posts, RR: 4
Reply 8, posted (3 years 2 months 3 days 8 hours ago) and read 9572 times:

Quoting FlyASAGuy2005 (Reply 7):
Very much so. A LOT of work is ahead of American. Simply adding new routes aren't going to do it. I'll argue that adding new a/c isn't the answer alone as well. DL operates a huge fleet of MD88s and DC9s as well as one of the largest fleets of 50 seaters out there and they still manage to make money (a profit is expected for the quarter, along with the others). So the whole story about "gas-guzzling" and "aging fleet" I don't buy into too much. Standing against their peers, their costs to operate on a daily basis are way out of wack and needs to be addressed soonest.

Not window dressing only. No other airline in the US (or anywhere) flies this many thirsty MD80s. According to AA, they consume over 30% more than current generation A320 or B738s. YoY fuel price increase for AA in 2Q11 was 30+%. If they had had 200+ A320 or 737 in the fleet instead of the MD80s, it would have made a gigantic difference.

Naturally, labor costs are a huge problem at AA, and they will have to be addressed. But at the same time, let's not expect AA to make a $600 million profit like UA since UA is much larger than AA.

To the cognoscenti out there...how much of a profit would AA have to make to equal UA's profitability adjusted for their difference in size?


User currently offlinejfk777 From United States of America, joined Aug 2006, 8374 posts, RR: 7
Reply 9, posted (3 years 2 months 3 days 8 hours ago) and read 9521 times:
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Quoting DullesFlyer (Reply 6):
AA is also seeing heavy competition in their S. America/Caribbean market from DL and UA / CO, so their dominance (to whatever extent it was) is being chipped away. I doubt the competition from Star Alliance member TAM is helping AA in MIA and JFK market share.

TAM which is merging with LAN will probably go to OW with LAN when they become LATAM, LAN is the majority shareholder and calls the shots. DL and UA have discovered Latin America and shown us how viable flights from places other then MIA are viable. This growth is good for MIA and AA since AA can replicate what UA has in Houston in DFW. AA is the big US South American airline since they are the big Miami airline, Atlanta. Houston and DFW are peanuts since Miami is the city most Latins go to.


User currently offlineeastern023 From United States of America, joined Jul 2006, 874 posts, RR: 0
Reply 10, posted (3 years 2 months 3 days 8 hours ago) and read 9518 times:

Quoting Longhornmaniac (Reply 3):
The lack of food in Y is industry-wide, and not indicative of any specific problem at AA.

This may be tru in domestic but they are far behind on their international Y catering product. This is especially true when benchmarked against non U.S. carriers. Who charges for booze on these segments....? The usual suspects....

Quoting Longhornmaniac (Reply 3):
AA included, should be looking for ways to booster employee morale, which then provides for a better customer experience.

Agreed, sometimes is not what employees do but what they do not do. At AA it feels like they are just there, doing the bare minimum if they can. There are associates that care....sure, but in general (As I know after all labor issues, mergers, etc Customer service is the one always suffering.



AA will Rise Again!
User currently offlineAAIL86 From Finland, joined Feb 2011, 409 posts, RR: 3
Reply 11, posted (3 years 2 months 3 days 8 hours ago) and read 9505 times:

Quoting Longhornmaniac (Reply 3):
As far as IFE is concerned, I really do think AA has their head in the right place when it comes to what the next generation of IFE is going to look like. The era of the PTV on short and medium haul routes is almost over, and with so many people preferring their own laptops, phones, tablets etc...there simply isn't enough incentive to carry around that extra weight when they could do things like provide powerports, WiFi, and the opportunity to stream entertainment wirelessly, which are all things they're in the process of doing. The AVOD on 777s works fine, but could use some additional selections.

         winner, winner, chicken dinner!

Quoting FlyASAGuy2005 (Reply 7):
Very much so. A LOT of work is ahead of American. Simply adding new routes aren't going to do it. I'll argue that adding new a/c isn't the answer alone as well. DL operates a huge fleet of MD88s and DC9s as well as one of the largest fleets of 50 seaters out there and they still manage to make money (a profit is expected for the quarter, along with the others).

Yes, your right on there. However, let's play devil's advocate for a second here... We always hear that AA should be doing better, but have you considered that perhaps AA has done well to even stay in the same ballpark as these other guys? I don't think its crazy to argue that: ( if US Bankruptcy law was saner, any and all of UA/NW/DL/CO could or would be out of business right now and AA would still be here.. and probably be very competitive against whatever other carriers hypothetically arose.

As far as the future, it's going to be interesting. The real challenge will be getting all the workgroups onboard the plan. Every AA workgroup, union and non-union, is sensitive to what they perceive to be executive excesses. As long as those concerns are kept in check, the path to labor peace is pretty straightforward. The real key (in my opinion, as a former member of AA management) is the APA..... drive a moderate, mutually beneficial contract with the pilots and the other unions will more or less almost be forced to fall into place.



Next
User currently offlineAADC10 From United States of America, joined Nov 2004, 2092 posts, RR: 0
Reply 12, posted (3 years 2 months 3 days 8 hours ago) and read 9501 times:

The goal at this point is more about survival than prosperity. What they need to do is wait for a Republican administration so they can file for Ch. 11 and go on the dole like the other airlines. They will then be able to cut wages further, cut unfavorable leases and dump the pension plan on taxpayers.

User currently offlineIrishAyes From United States of America, joined Jan 2008, 2191 posts, RR: 15
Reply 13, posted (3 years 2 months 3 days 8 hours ago) and read 9454 times:

Quoting LAXtoATL (Reply 1):
It really seems as if they placed this aircraft order and padded it with excessive options and announced it the same day as their earnings results in order to distract from their poor performance.

Agree entirely. While a nice distraction, it doesn't deter from the fact that AA has serious issues to contend with and they need to be addressed now.

Quoting DullesFlyer (Reply 6):
Besides turning profits, DL and UA / CO have a massive global reach, through DL hubs/focus cities in LAX, SEA, ATL, JFK, MEM, DTW, MSP, as well as having European and Asian hubs, and UA / CO now having LAX, SFO, ORD, IAH, EWR, SEA, and IAD as Global/Domestic hubs/focus cities.

Even though UA and DL may have more hub and focus cities over AA on the domestic front, this doesn't mean they completely overpower AA's cornerstone hubs. No matter how you slice it, AA has some pretty big weapons at MIA and DFW and ORD, LAX and NYC to a smaller degree.

You also cannot overlook the powerful leverage of AA's OneWorld hubs, as much as I hate how much AA over-relies on its partners in defense of its conservative network planning.

Quoting DullesFlyer (Reply 6):
AA is also seeing heavy competition in their S. America/Caribbean market from DL and UA / CO, so their dominance (to whatever extent it was) is being chipped away. I doubt the competition from Star Alliance member TAM is helping AA in MIA and JFK market share.

AA's Latin American network has always been and continues to be a strong performer. It's one of their rosier assets. I don't know where you are basing this off of, just because other carriers have entered into the market? Even if other airlines/alliances have grown in market share, it's more of an indication that there is room for that growth, rather than crippling AA's prexisting Latin American presence.

AA also benefits from its partnership with LAN, which is an exceptionally well-managed airline in Latin America and well poised to remain competitive in this growing region. I think that will bear fruit for AA, also especially if the LATAM merger proceeds through and goes towards OW.

Quoting DullesFlyer (Reply 6):
Is the market big enough for DL, UA / CO and AA? Not writing off AA, but I think these are legitimate questions.

I think there is. AA has a huge loyalty following and OneWorld is a far more powerful alliance than SkyTeam, hands down.

Quoting FlyASAGuy2005 (Reply 7):
So the whole story about "gas-guzzling" and "aging fleet" I don't buy into too much. Standing against their peers, their costs to operate on a daily basis are way out of wack and needs to be addressed soonest.

Nobody does anymore. Nor do they believe in AA management. Waiting for competitors' costs to rise ain't proving to be a credible excuse when these carriers are in the black, despite facing the same fuel environment and many with high-CASM aircraft on their hands.



next flights: jfk-icn, icn-hkg-bkk-cdg, cdg-phl-msp
User currently offlineSonomaFlyer From United States of America, joined Apr 2010, 1803 posts, RR: 0
Reply 14, posted (3 years 2 months 3 days 7 hours ago) and read 9427 times:
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AA made this fleet decision late, very late tbh given the run up in fuel prices and the aging of their fleet. Also to be clear, they aren't planning on much growth in aircraft numbers but replacing older and less fuel efficient aircraft.

AA's network certainly isn't bad but needs retuning as folks have mentioned.

Their cost structure is high and that will have to be addressed. Only time will tell if they've made all these moves too late given the profits the other legacy carriers are showing.


User currently offlinejetlanta From United States of America, joined Jul 2001, 3297 posts, RR: 35
Reply 15, posted (3 years 2 months 3 days 7 hours ago) and read 9356 times:

Quoting AAExecPlat (Reply 8):
To the cognoscenti out there...how much of a profit would AA have to make to equal UA's profitability adjusted for their difference in size?

I think the proper question is 'When is AA going to make ANY profit?", not what the margin number would have to be to equal UA. Baby steps.

Quoting IrishAyes (Reply 13):
I think there is. AA has a huge loyalty following and OneWorld is a far more powerful alliance than SkyTeam, hands down.

Far more powerful than SkyTeam? Considering that it is far smaller than SkyTeam and SkyTeam has bigger players in North America, Europe and China...I'm not sure how you can say that in any sort of quantitative manner.

The only regions that oneworld has any advantage over SkyTeam are Latin America and Oceania. That is it. SkyTeam is bigger and stronger everywhere else.


User currently offlineIrishAyes From United States of America, joined Jan 2008, 2191 posts, RR: 15
Reply 16, posted (3 years 2 months 3 days 7 hours ago) and read 9306 times:

Quoting jetlanta (Reply 15):
The only regions that oneworld has any advantage over SkyTeam are Latin America and Oceania. That is it. SkyTeam is bigger and stronger everywhere else.

Which are pretty sizable differences.

SkyTeam may have more members, but AF-KL and KE are important, but beyond that, I don't see what the others have to offer.

[Edited 2011-07-22 13:13:38]


next flights: jfk-icn, icn-hkg-bkk-cdg, cdg-phl-msp
User currently offlineLDVAviation From United States of America, joined Dec 2008, 1069 posts, RR: 5
Reply 17, posted (3 years 2 months 3 days 7 hours ago) and read 9251 times:

Quoting jetlanta (Reply 15):
The only regions that oneworld has any advantage over SkyTeam are Latin America and Oceania. That is it. SkyTeam is bigger and stronger everywhere else.

It is not simply a regional game. It is just as much a network game, centered around hubs.

Oneworld has some unbeatable hubs --- HKG, NRT/Haneda, LAX, ORD, JFK, Miami, LHR.

Plus, what is the size of their respective share of the premium market at those hubs? Let's take LAX, for instance, what is more likely that Skyteam has the more premium passengers there or Oneworld?


User currently offlinejetlanta From United States of America, joined Jul 2001, 3297 posts, RR: 35
Reply 18, posted (3 years 2 months 3 days 7 hours ago) and read 9244 times:

Quoting IrishAyes (Reply 16):
Which are pretty sizable differences.

SkyTeam may have more members, but AF-KL and KE are important, but beyond that, I don't see what the others have to offer.

So you rate AA above DL? China Southern/China Eastern/Shanghai Airlines aren't important? Korean?

All of Oceania has about 35 million people. China has 1.3 BILLION. Tell me about oneworld's share of that market.


User currently offlinejetlanta From United States of America, joined Jul 2001, 3297 posts, RR: 35
Reply 19, posted (3 years 2 months 3 days 7 hours ago) and read 9222 times:

Quoting LDVAviation (Reply 18):
Oneworld has some unbeatable hubs --- HKG, NRT/Haneda, LAX, ORD, JFK, Miami, LHR.

Yeah, except for that oneworld isn't even #1 in NRT, LAX, ORD or JFK, your point makes perfect sense. Totally unbeatable.

[Edited 2011-07-22 13:31:49]

User currently offlineAA767400 From United States of America, joined Jan 2001, 2363 posts, RR: 26
Reply 20, posted (3 years 2 months 3 days 7 hours ago) and read 9215 times:

I believe once all contracts are settled, AA will then be on the right track. Everything else means nothing. Including IFE, catering, color of plane, etc.

Once the unions and company are set, everything shall fall into place. UA, DL, US, etc, all have planes with IFE, and other planes that do not. That is not an AA only situation. Catering on AA is better in my opinion than other U.S. carriers. DL is the only airline in the U.S. that does not charge for alcohol across the pond. However, it's not all free. First round of beer/wine is complimentary. Liquor is not complimentary. And as far a employee attitude, you'll find negative people EVERYWHERE. They're found at every airline, street corner, and home in the world.

In conclusion, contracts settled, right track.  



"The low fares airline."
User currently offlineBA174 From United Kingdom, joined Oct 2009, 760 posts, RR: 0
Reply 21, posted (3 years 2 months 3 days 7 hours ago) and read 9183 times:

I think AA need new uniforms more than anything. The grey suit looks nice with the yellow tie/cravet but that all in one thing looks old, dated and improfessional. A standard uniform which all staff should abide to needs to be introduced.

User currently offlineFCO110 From United States of America, joined Sep 2008, 80 posts, RR: 0
Reply 22, posted (3 years 2 months 3 days 7 hours ago) and read 9150 times:

Quoting Longhornmaniac (Reply 3):
The AVOD on 777s works fine, but could use some additional selections.

Have you been on a BA 777 with the new IFE? Over 100 options and on demand plus TV shows? You fly twice to Europe in a month and you have nothing left to watch on AA.


User currently offlineflymia From United States of America, joined Jun 2001, 7176 posts, RR: 9
Reply 23, posted (3 years 2 months 3 days 6 hours ago) and read 9127 times:

Quoting eastern023 (Thread starter):
Would there be a change in strategy in the form of new routes, new services, new on board and ground experience (especially IFE and Catering), personnel attitude?

Their IFE is and will continue to improve. Their Catering is just as good as any US airline in Y and much better then any US airline in Biz and First.

Quoting mogandoCI (Reply 4):
and handing out million miler status like candy

Huh? They have the largest FF program, what would this have to do with them losing money? It only keeps people flying AA.

Quoting DullesFlyer (Reply 6):
AA is also seeing heavy competition in their S. America/Caribbean market from DL and UA / CO, so their dominance (to whatever extent it was) is being chipped away.

Some competition fine but I would not say Heavy and in NO way is their absolute huge dominance on the Latin American region going away anytime soon espeically with the high likelihood of TAM becoming OW. Who ever controls MIA controls Latin America, right not AA has full control of MIA and the JFK market to Latin America so they have dominance in this region and this is IMO the biggest reason they never had to claim chapter 11 or why they are still in business.

Quoting Longhornmaniac (Reply 3):
As far as IFE is concerned, I really do think AA has their head in the right place when it comes to what the next generation of IFE is going to look like. The era of the PTV on short and medium haul routes is almost over, and with so many people preferring their own laptops, phones, tablets etc...there simply isn't enough incentive to carry around that extra weight when they could do things like provide powerports, WiFi, and the opportunity to stream entertainment wirelessly, which are all things they're in the process of doing. The AVOD on 777s works fine, but could use some additional selections.

Exactly! AA is not looking at now, it is looking into the future as wifi become more and more popular in flights and service becomes quicker and faster. Streaming IFE is the way to go it makes the most sense for everyone and that is what AA is looking at doing. Now for long haul they might stick with PTVs in their 777s and I would imagine when they get them the 787s but I think streaming IFE is the future and is the best way to go.

AA needs to lower their labor cost and get rid of the fuel guzzling MD-80s as much as a great airplane they are they have done their service for AA and that is what this huge order was all about. Getting two aircraft that will save the airline a lot of money in the long run.



"It was just four of us on the flight deck, trying to do our job" (Captain Al Haynes)
User currently offlineByrdluvs747 From United States of America, joined Jul 2004, 2361 posts, RR: 1
Reply 24, posted (3 years 2 months 3 days 6 hours ago) and read 9126 times:

Quoting LDVAviation (Reply 18):
Oneworld has some unbeatable hubs --- HKG, NRT/Haneda, LAX, ORD, JFK, Miami, LHR.


I would add MAD, SCL, and EZE(possibly GIG/GRU if LATAM converts all to OW) . Lets also not forget the upcoming hubs Berlin, KUL, DME, and DEL.

Quoting jetlanta (Reply 19):
China Southern/China Eastern/Shanghai Airlines aren't important?

I personally do not get excited that the thought of flying any of those chinese carriers. Cathay on the other hand.....



The 747: The hands who designed it were guided by god.
25 IrishAyes : I wasn't comparing AA to DL. I was comparing OneWorld to SkyTeam. And these are the only three Chinese/Asian carriers catering to the entire Chinese
26 LAXtoATL : They aren't in the same ballpark. AA is losing hundreds of millions annually and the other guys are making hundreds of millions, a disparity as wide
27 OA412 : It's really a lot of window dressing. The new aircraft are a great addition, but the airline is still hemorrhaging cash. For instance, the gap betwee
28 Post contains images jetlanta : Easy enough. Not much impressive about that list in reality. MAD and KUL are the only decent "hubs" of the bunch. That makes no difference. Cathay is
29 Post contains images AAIL86 : Well I certainly respect your opinion, but I see things a bit differently. Certainty DL and UA are both consistently operationally profitable at the
30 LAXtoATL : You have two different issues here. One is profitability and the other is debt service. Unfortunately AA isn't in the ballpark on either one. I previ
31 SonomaFlyer : I don't have DL's figures in front of me but UA has nowhere near the debt AA has after this order. WN isn't comparable to UA/DL or AA due to the fact
32 LONGisland89 : jetlanta you are wrong. Oneworld is #1 in NRT, LAX, and JFK. According to OAG at JFK oneworld has 38% of premium seats, skyteam 24%, and star 21%. At
33 etops1 : Like a friend of mine told me ." The problem with AA is that they are managing the airline using their 1985 playbook and sadly they believe their own
34 breaker1011 : Tit for tat. We're talking about AA here, not Oneworld. And regardless of whichever alliance can spit the furthest on whatever four square outline, t
35 kiwiandrew : Can we all perhaps try to get on the true path back to the actual topic of this thread- before the mods decide to close it down because of all the OT
36 HKG212 : I'm not sure why you think carrying equipment to deliver streaming video at high quality to every passenger with a wi-fi device is going to be easy o
37 LONGisland89 : The video/audio will be streamed via an onboard "router". Media will be pre-loaded; there are no links to satellites or ground stations.
38 Post contains links justplanenutz : Here's an article from AA's hometown newspaper that cuts straight to the chase: "For more than a year, analysts have been blasting American Airlines
39 kiwiandrew : I think the labour agreements are the key to AA's future. If they are close to being worked out, and they get the airlines costs down to realistic le
40 LAXtoATL : Well, maybe they want to see either some serious cost cutting (costs are still increasing) or serious revenue growth (revenue growth behind rest of i
41 LipeGIG : To all, Please keep the focus of the discussion over AA - On True Path to Prosperity Thanks in advance, Felipe
42 nyc2theworld : Didn't AA morgage virtuallly all of its existing aircraft to avoid bankruptcy? So, now they are brining on the property new aircraft while still payin
43 LAXtoATL : All of their existing aircraft are pledged as collateral or on leases, that is true. This transaction has nothing to do with reducing debt nor have t
44 DALelite : Beer and Wine are complimentary on all DL TATL's all the way long. cheers : DALelite
45 eastern023 : what about other high yield Y routes such as latin america and asia?
46 Post contains links delta2ual : Sorry if this has been shared already, but I thought the following was an interesting read from the Centre for Asia Pacific Aviation: http://www.centr
47 SESGDL : This is per share of premium seats, not total seats. Overall, oneworld is not the #1 alliance at LAX or JFK. Jeremy
48 breaker1011 : As far as carrier share, I'm curious what Chicago as a market looks like if WN at MDW is included? Would AA be in the #2 or #3 position for the marke
49 delta2ual : Good question. I wonder if WN would be ahead of both UA and AA?
50 LONGisland89 : I'm aware of that. The post in which I was replying to addressed premium seats and in my post I stipulated premium seats.
51 washingtonian : Umm, haven't Delta and United been operating to Latin America for years and years already? When exactly did they "discover" it, according to you?
52 avek00 : Right, and things will get alot worse for oneworld in the next 2-3 years at those airports as New United and New Delta move aggressively to leverage
53 washingtonian : I thought United has been since around 1991, albeit mostly from Miami. Incredible? Not sure I agree with that. It's the nature of markets to grow and
54 eastern023 : That's it...? somebody 's gotta tell Arpey this,,, What about long hauls? Can't et internet over the Pacific, Atlantic, etc...
55 MAH4546 : "A lot worse" is a ridiculous exaggeration. It won't get "a lot worse." Things are actually pretty damn good for OW at JFK and LAX as it stands. All
56 windy95 : Maybe pay raises? Why would they see relief? They gave back in 2003 and have not had a raise since then. Uhh..They are below the competition as a who
57 MAV88 : It's a good thing AA has MIA. Miami is the ultimate premium market in all of North America.
58 MAH4546 : It's in the upper crust of premium travel markets for sure, bur far from "ultimate." AA employees, along with Southwest, are the best paid and compen
59 windy95 : All I can tell you is that AA Mechanics are below industry levels in pay and compensation. And have gone basicaly 10 to 12 years without a payraise..
60 aajfksjubklyn : Speaking of, an agent at JFK in the premium check in area indicated that NY has the most premium AA travelers. I wonder if this is true. She even wen
61 eastern023 : It looks like AA is waking up and uping deep South America for this winter (southern summer). I hope they can turn around their international product
62 LAXdude1023 : It aint happening as much as I would like it to.
63 eastern023 : I know my wish list,....
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