Moderators: jsumali2, richierich, ua900, PanAm_DC10, hOMSaR
SumChristianus wrote:Interesting reversal I will say. AA was on top of the world in 2015, at least apparently.
In NYC they seem in retreat.
In ORD they are....? (Adding and Dropping)
I feel that UA taking Kirby has hurt AA a lot (usual disclaimer that I have a UA bias) BUT financial results now have UA ahead of AA in pre-tax, operating, and net margins.
https://hub.united.com/united-airlines- ... 51625.html
https://americanairlines.gcs-web.com/ne ... 018-profit
Could just be a quarter to quarter fluke... but I think Kirby is the best thing UA has had in a long time , and AA/UA are converging.
AA's fleet numbers (mainline+regional) are down YOY (1583 down to 1559) while UA is up (1223 to 1308)
Can't wait to see what the scene is like by 2020!
ADrum23 wrote:1. Continued degradation of hard and soft product on its flights as well as having perhaps the worst legroom, seat pitch of the US3.
2. Having the most geographically unbalanced hub network of the US3. ORD is their only hub not located on the east coast or a state bordering Mexico.
3. Continued drawdown of ORD TATL (and TPAC) flying.
4. Continued drawdown of their NYC hubs. AA should be the biggest in NYC, not DL, but they shrank, made bad slot swap deals (yes, that was pre-merger US Airways, but Mr. Parker the current CEO made the deal) and allowed both DL (and B6) to eat their lunch at JFK and LGA.
5. Not forming a jv with WS. Seriously, AA should have been the one to form a jv with WS, not DL. Now AA won't have a North American airline partner.
6. Not utilizing DFW more like DL does with ATL (i.e, upgauging more flights to mainline and expanding closer to 1,000 overall flights).
7. Lack of a true TPAC hub and the weakest TPAC presence of the US3.
8. Ranking up a lot of long-term debt compared to UA/DL
ADrum23 wrote:or a state bordering Mexico.
RvA wrote:Can someone do a seat pitch comparison by aircraft type of the US carriers? (Not just US3)
As an outsider I keep reading about AA (though some threads say UA) have terrible seat pitch so a comparison would be great.
QXAS wrote:RvA wrote:Can someone do a seat pitch comparison by aircraft type of the US carriers? (Not just US3)
As an outsider I keep reading about AA (though some threads say UA) have terrible seat pitch so a comparison would be great.
These measurements are for 738 on AA, AS, DL, SY, UA and WN. A320 on F9, NK and B6. A321 for HA.
AA 30”
AS 31”-32”
DL 31”-32”
SY 31”-33”
UA 31”
WN 32”-33”
F9 28”-29”
NK 28”
B6 34”
HA 31”-32”
Disclaimer: Some airlines use slimline seats. Others do not, as a result 31” on one airline will feel different than 31” on another. Measurements from seatguru.
strfyr51 wrote:There's certainly no School for it Obviously. I suspect the BOD of American might have to do some searching because there ARE some good airline managers out there.
jagraham wrote:With regards to hubs, AA has hubs in 7 of the top ten metro areas (JFK/LGA, LAX, ORD, DCA, PHL, DFW, MIA), and focus cities in 2 (SFO, BOS). HOU is the only one of the top ten metro areas where AA is not represented. They also have hubs at PHX #14 (the rest of 11 thru 15 are SEA and 3 DL fortress hubs) and CLT in the southeast. The best hub / focus structure among the US3 I think.
ADrum23 wrote:2. Having the most geographically unbalanced hub network of the US3. ORD is their only hub not located on the east coast or a state bordering Mexico.
mrbonfire wrote:ADrum23 wrote:or a state bordering Mexico.
I never knew Florida or Alabama bordered Mexico.
jfklganyc wrote:This is Doug Parker’s airline. And Doug Parker’s playbook.
I knew NY was in trouble when the merger occurred. He is just repeating his NY mistake like he did with US.
He will draw down JFK and be stuck with an empty terminal and slots...a sale, swap or lease will occur...and then he will have a bunch of wortheless regional routes out of LGA and little international to pair it with out of JFK.
Im not going to bash other cities. The reality is, there are no medium sized legacies anymore. Dougie is making decisions like he is running a medium sized airline.
Medium sized airlines have flagship hubs in secondary cities like Philly. And yes, in the great cities in the US, Philly is secondary.
When you have 3 big legacies, and only 3 big legacies...you need to be big in NY and LA. And if you’re smart, you compete to be the largest in both.
Everything else beyond that is gravy...even if the mid continent fortress hubs print money.
By leaving NY because it is a 3 way slugfest, the short term revenue effects look great. The long term consequences of degrading NY (and lookout here comes Delta in LAX) will be detrimental to AAs standing within the US3
9w748capt wrote:DLFunny how DL continues to invest in its product even in steerage (PTVs, improved meals), yet dougie just cuts cuts cuts. No wonder DL's market cap is double that of AA, and with a worthless FFP too.
mrbonfire wrote:ADrum23 wrote:or a state bordering Mexico.
I never knew Florida or Alabama bordered Mexico.
jfklganyc wrote:“being big in NYC a measurement of success?”
Yes, IMO. With 3 large legacies left, you need to be big in NY and LA. You need to be a player there.
If you are not a player there, you are not a leader.
Bobloblaw wrote:9w748capt wrote:DLFunny how DL continues to invest in its product even in steerage (PTVs, improved meals), yet dougie just cuts cuts cuts. No wonder DL's market cap is double that of AA, and with a worthless FFP too.
Market cap is not 2x AAs because of PTVs. What is the obsession with IFE on this site. AA has a lot of debt is why their market cap is hurting.
Bobloblaw wrote:AA does not have the most geographically unbalanced network. Where is UA is the southeast??
Bobloblaw wrote:As for growing DFW, clearly you're unaware that AA has been replacing RJs with mainline to lots of airports.
Bobloblaw wrote:The airline with problems is UA. They are growing their express unit using obsolete 50 seat RJs which are high cost aircraft. Meanwhile DL
has the C series and AA has more 76 seaters coming. In mid sized markets like BNA and STL, UA is a distant 4th. Before anyone bashes 2nd tier markets, that is how WN makes so much money. Not by being in NYC or LA, but by being #1 in second tier cities.
jfklganyc wrote:“being big in NYC a measurement of success?”
Yes, IMO. With 3 large legacies left, you need to be big in NY and LA. You need to be a player there.
If you are not a player there, you are not a leader.
Again, just my opinion.
The days of US Air/TWA sized airlines are over.
Lots of talk on a AA focusing on point of sale to NY rather than from NY. That is loser talk. If hasn’t worked for them in the past (they tried this at LGA a few years ago) and it won’t work in the future.
They will be a bit player in NY or they will make a play at being a real player in NY. With 3 big airlines, there is no in between.
RvA wrote:QXAS wrote:RvA wrote:Can someone do a seat pitch comparison by aircraft type of the US carriers? (Not just US3)
As an outsider I keep reading about AA (though some threads say UA) have terrible seat pitch so a comparison would be great.
These measurements are for 738 on AA, AS, DL, SY, UA and WN. A320 on F9, NK and B6. A321 for HA.
AA 30”
AS 31”-32”
DL 31”-32”
SY 31”-33”
UA 31”
WN 32”-33”
F9 28”-29”
NK 28”
B6 34”
HA 31”-32”
Disclaimer: Some airlines use slimline seats. Others do not, as a result 31” on one airline will feel different than 31” on another. Measurements from seatguru.
Interesting. I heard the 738s AA have are 31" with the exception of the MAX and the retrofitted 172 seater versions (instead of 160) of the 738 - of which not many were done? Is that not correct?
Great info anyway thanks for sharing. I wonder what the A319-321 comparison looks like.
9w748capt wrote:Funny how DL continues to invest in its product even in steerage (PTVs, improved meals), yet dougie just cuts cuts cuts. No wonder DL's market cap is double that of AA, and with a worthless FFP too.
Sancho99504 wrote:American really fails when it comes to the customer service side of the operation. Pre-merger AA was customer satisfaction focused. Up until it expired in January of this year, I was either Platinum or Executive Platinum all the way back to 2011, gold or platinum back to 06. In August of 2016, I had a situation where I was downgraded to Y off of a F fare because the gate agent working the flight I was on mistakenly dropped me and two others while trying to change some seats around so a family of 4 with 3 children under 5 years could be seated together. I was very unhappy about it because I pay for F, not buy Y and hope for an upgrade. Their solution was to refund the difference and put me in 27E for a 6 hour flight to MIA or I could standby thru ORD. That's unacceptable any way you look at it. I had a manager tell me that I was welcome to take my business elsewhere, which I have. Up to that point, I had a little over 91,000 miles flown and $18,000 in EQD's.
PMAA would have done the right thing and try to make it right. Post merger AA is all about trying to make Wall Street happy regardless of what it does to the customer and it's really starting to show in their financials.
People say that embedded IFE doesn't make a difference, but it does to an extent. If it didn't make any difference whatsoever, AA and UA wouldn't be installing the latest and greatest embedded IFE in their widebodies. Even ULCC Norwegian has embedded IFE on flights to the US.
9w748capt wrote:Bobloblaw wrote:9w748capt wrote:DLFunny how DL continues to invest in its product even in steerage (PTVs, improved meals), yet dougie just cuts cuts cuts. No wonder DL's market cap is double that of AA, and with a worthless FFP too.
Market cap is not 2x AAs because of PTVs. What is the obsession with IFE on this site. AA has a lot of debt is why their market cap is hurting.
Apparently DL agrees with our "obsession". Most passengers will have an objectively better experience when there's built in IFE as opposed to the stream to your 3 inch phone screen BS, and clearly DL sees the value in keeping their customers happy, and LCC doesn't. That's just how it is. You don't have to like it.
jfklganyc wrote:This is Doug Parker’s airline. And Doug Parker’s playbook.
I knew NY was in trouble when the merger occurred. He is just repeating his NY mistake like he did with US.
He will draw down JFK and be stuck with an empty terminal and slots...a sale, swap or lease will occur...and then he will have a bunch of wortheless regional routes out of LGA and little international to pair it with out of JFK.
Im not going to bash other cities. The reality is, there are no medium sized legacies anymore. Dougie is making decisions like he is running a medium sized airline.
Medium sized airlines have flagship hubs in secondary cities like Philly. And yes, in the great cities in the US, Philly is secondary.
When you have 3 big legacies, and only 3 big legacies...you need to be big in NY and LA. And if you’re smart, you compete to be the largest in both.
Everything else beyond that is gravy...even if the mid continent fortress hubs print money.
By leaving NY because it is a 3 way slugfest, the short term revenue effects look great. The long term consequences of degrading NY (and lookout here comes Delta in LAX) will be detrimental to AAs standing within the US3
jfklganyc wrote:“being big in NYC a measurement of success?”
Yes, IMO. With 3 large legacies left, you need to be big in NY and LA. You need to be a player there.
If you are not a player there, you are not a leader.
Again, just my opinion.
The days of US Air/TWA sized airlines are over.
Lots of talk on a AA focusing on point of sale to NY rather than from NY. That is loser talk. If hasn’t worked for them in the past (they tried this at LGA a few years ago) and it won’t work in the future.
They will be a bit player in NY or they will make a play at being a real player in NY. With 3 big airlines, there is no in between.
Jonathanxxxx wrote:Why do AA’s hubs have to be “geographically balanced”? The majority of people live on the coasts and travel coast to coast. AA’s hubs are in prime positions to serve this traffic.
You’re telling me an airline has to have a hub in flyover country like MSP, DEN, or SLC to be dominant? AA already has their own hubs in cities with higher demand/population (ORD, DFW, and PHX) to serve these exact same traffic flows. MIA gives them the largest access to South America, their presence at LAX is still relatively strong, PHL, DCA, and CLT are all strong east coast hubs, and their focus city at JFK rounds out their northeast presence.
You could pick on AA for a lot of things but their hub structure works and is relatively profitable, and it would probably work even better if it were managed right.
Sancho99504 wrote:American really fails when it comes to the customer service side of the operation. Pre-merger AA was customer satisfaction focused. Up until it expired in January of this year, I was either Platinum or Executive Platinum all the way back to 2011, gold or platinum back to 06. In August of 2016, I had a situation where I was downgraded to Y off of a F fare because the gate agent working the flight I was on mistakenly dropped me and two others while trying to change some seats around so a family of 4 with 3 children under 5 years could be seated together. I was very unhappy about it because I pay for F, not buy Y and hope for an upgrade. Their solution was to refund the difference and put me in 27E for a 6 hour flight to MIA or I could standby thru ORD. That's unacceptable any way you look at it. I had a manager tell me that I was welcome to take my business elsewhere, which I have. Up to that point, I had a little over 91,000 miles flown and $18,000 in EQD's
compensateme wrote:Buying new planes will do that. AA will be retiring it’s oldest 738; aircraft delivered during a similar time period at DL are considered young (for it)...
RvA wrote:Interesting. I heard the 738s AA have are 31" with the exception of the MAX and the retrofitted 172 seater versions (instead of 160) of the 738 - of which not many were done? Is that not correct?
Bobloblaw wrote:Market cap is not 2x AAs because of PTVs. What is the obsession with IFE on this site. AA has a lot of debt is why their market cap is hurting.
bimjim wrote:Ask any AA CSR privately whether they feel comfortable in their job, and they will tell you they feel no guarantee whatsoever that they will still be there the next day, based almost purely on the whim and fancy of AA managers. With that kind of employee "loyalty" (or lack thereof), little wonder that AA itself is also a disposable entity that won't be missed WHEN it is gone.