Company Watch - American Airlines

AirGuide Business, June 30, 2008

6/30/2008

American Airlines is to end regional service at four US airports, and service at an airport in Colombia in the fourth quarter on top of previously announced cuts as it reduces mainline domestic capacity by 10 percent to 11 percent.American will stop flying from Barranquilla, Colombia. As previously announced, the carrier also will stop flying from Oakland, California, and London Stansted. 6/26/2008

American Airlines said it plans to cut capacity by as much as 12% in the fourth quarter due to soaring fuel costs, the biggest effects of which will be felt in Chicago, Dallas and at New York's LaGuardia Airport. The airline also noted that congestion and delays have caused LaGuardia to reach a "crisis point." 6/26/2008

American Airlines said it will slash 30 flights a day from its schedule at Lambert-St. Louis International Airport this fall, part of a systemwide cutback announced last month to help it cope with a crippling surge in oil prices. From St. Louis, American will end direct flights to four airports, among them Baltimore and New York's JFK International Airport, and will trim flights to at least 15 more, from Seattle to Boston, Dayton to Des Moines. All told, after the cuts take effect late in November, Lambert's biggest airline and its regional affiliates will have 116 daily flights from St. Louis, down from 146 at the start of June, and down sharply from the 207 it had after massive cutbacks in 2003. And with oil prices topping $130 a barrel, analysts say, there's no sign that the robust air service St. Louis knew for decades will return any time soon. 6/26/2008

American Airlines said its plans to cut capacity will have the biggest effect in Chicago, Dallas and at New York's LaGuardia Airport. The airline also noted that congestion and delays have caused LaGuardia to reach a "crisis point." 6/26/2008

American Airlines said St. Louis will lose eight departures, and New York's LaGuardia Airport will lose five. Eagle and AmericanConnection will also ground 35 flights in St. Louis and 37 Eagle flights at LaGuardia. In addition, Eagle will cease operations in Albany, NY; Providence, RI; Harrisburg, PA; San Luis Obispo, CA; and Samana, Dominican Republic. 6/26/2008

The battle for online bookings has escalated again with American Airlines adding thousands of additional hotel properties to its online consumer-booking website. The move includes a new Price-Match Guarantee and a No Cancellation or Change Fee policy on all hotel bookings. This makes the airline's website, already a leading resource for planning and booking air travel, a compelling resource for booking hotel stays, the airline says. Customers can count on AA.com as a convenient, competitive and complete resource for every aspect of their trip, the airline said. American is also offering 250 AAdvantage frequent flyer miles for every hotel booking made at the newly expanded hotel site. Visitors to the enhanced site will also get virtual tours, traveler ratings, area maps and more property photos, among other enhancements. 6/26/2008

The closures are part of American Airlines' plan to cut capacity and offset the rising price of jet fuel. All major US airlines have announced they will downsize. AMR gave new details on previously announced daily service reductions, saying it will reduce departures from Chicago by 62 flights, St. Louis by 43 flights, Dallas/Fort Worth by 42 flights, and New York's LaGuardia Airport by 42 flights.The newly announced schedule changes take effect in November. 6/26/2008

American Airlines provided more details Wednesday about the reductions, according to the Associated Press. The airline cited rising fuel costs as a primary reason for the curtailment of flights. Departures at Chicago O'Hare Airport will be reduced by 28 flights, and 34 flights by American Eagle will be cut, beginning in September. At Dallas-Fort Worth International Airport, 19 departures will be cut by American and 23 flights eliminated by Eagle. 6/25/2008

American Airlines travelers, starting today, on two flights will be able to test in-flight Internet access. Aircell, which is partnering with American for the program, will charge up to $12.95 for Internet service. The companies will share the revenue. 6/25/2008

American Airlines will stop its regional jet service at Providence T.F. Green Airport in RI on Nov. 1, airport officials confirmed, pulling out of the airport it has served since 1984. American Airlines and its American Eagle regional unit will end service to Green and seven other airports and drop flights at others as the airline grounds planes and lays off workers because of rising fuel prices. AMR Corp., the airlineis parent company, this week provided details of the cutbacks it had previously announced in May. 6/26/2008

American Eagle, AMR's regional affiliate, will end service from Albany, New York; Providence, Rhode Island; Harrisburg, Pennsylvania; and San Luis Obispo, California. Previously, AMR said American Eagle would stop flying from Samana, Dominican Republic.AMR also plans to close its maintenance base in San Luis Obispo. 6/26/2008