American Airlines Cuts Detailed

[heavenly]

AMERICAN AIRLINES AND AMERICAN EAGLE ANNOUNCE ADDITIONAL DETAILS OF FOURTH QUARTER CAPACITY CUTS

 

SERVICE REDUCTION AT LAGUARDIA, THE NATION’S MOST CONGESTED AIRPORT, INTENDED TO HELP REDUCE DELAYS FOR ALL PASSENGERS

 

FORT WORTH, Texas – American Airlines and its regional affiliate, American Eagle, today announced additional details of their capacity reductions for the fourth quarter of 2008. The reductions are in line with American’s previously announced (May 21) plans of cutting fourth quarter domestic capacity by 11 to 12 percent and regional affiliate capacity by 10 to 11 percent versus fourth quarter 2007 levels. The changes are being instituted to reduce costs and create a more sustainable supply-and-demand balance in today’s high fuel-cost environment.

Today’s announced reductions involve additional schedule changes taking effect in November. Previously announced (May 27) reductions will take effect in September.

American is reducing flights at most of its principal operations. This announcement, combined with the previously announced round of schedule reductions, means American will close its operations entirely at three of its airports, while Eagle will close five of its airports, out of a combined total of 250 airports for both. The airports/cities being closed are:

• American – Oakland, Calif. (previously announced); London Stansted (previously announced); and Barranquilla, Colombia

• American Eagle – Albany, N.Y.; Providence, R.I.; Harrisburg, Pa.; Samana, Dominican Republic (previously announced); and San Luis Obispo, Calif. American Eagle will also close its maintenance base in San Luis Obispo.

American plans to reduce its departures in Chicago by 28 flights with American Eagle reducing 34 departures. In St. Louis, American will reduce departures by 8 flights with American Eagle and AmericanConnection reducing 35 departures. American will reduce 19 departures at Dallas/Fort Worth along with 23 American Eagle flight reductions.

The company also has decided to eliminate five AA flights and 37 American Eagle jet departures at LaGuardia Airport. In addition to the expected cost savings, these changes, coupled with appropriate government action, could allow the airport to operate with less chronic disruption and improve customer experience at one of the nation’s most congested airports.

“Today, the dependability and delay issues that exist at LaGuardia have reached a crisis point and have a daily negative impact on the overall customer service and performance for every airline with flights at LaGuardia,” said Bob Reding, American’s Executive Vice President – Operations.

Historical data from the Bureau of Transportation Statistics on operational performance at LaGuardia highlights the issues. During the last five years, for example, delays at LaGuardia have increased 50 percent and now occur on one out of every four departures, with these delays averaging more than one hour. In large part, these delays are attributable to Air Traffic Control’s inability to handle the scheduled service levels.

Likewise, inbound delays have increased by 55 percent and occur on four out of every 10 arrivals, on average delaying arrivals by 60 minutes. In addition, cancellations at the airport now average over 5 percent, an increase of more than 50 percent.

American has called for the FAA and the Department of Transportation to reduce the number of operations allowed at LaGuardia by 20 percent – or approximately 15 operations per hour until FAA airspace redesign efforts, ATC modernization, and other steps increase the level at which LaGuardia can operate reliably.

“As airport utilization increases, on-time arrival performance at any airport declines,” Reding said. “The decline is particularly evident as airport utilization exceeds 80 percent. LaGuardia is scheduled at over 100 percent and has the worst dependability in the nation. With the retirement of American’s five operations per hour at LaGuardia, the DOT will be able to achieve more than one-third of the objective, and will be well on its way to providing a real solution to the operational problems plaguing LaGuardia today.”

American and American Eagle regret the potential impact these schedule changes will have on its people. The company is in the process of determining the overall impact on its employees, and it is the company’s intent to offer voluntary programs before moving to involuntary separations.

[hammybee]

"We've only just begun............."

[nchank]

I suspect that those who will be able to afford to fly and cruise in the near future will find the sky and ships less crowded and the experience more pleasant. I am not sure I will be able to with the market tanking and everyday costs sky rocketing .:(

[kryos]

I suspect that those who will be able to afford to fly and cruise in the near future will find the sky and ships less crowded and the experience more pleasant. I am not sure I will be able to with the market tanking and everyday costs sky rocketing .:(

Oh, I think as far as cruising is concerned, you'll be able to afford it. The cruise lines have no choice, they will have to keep the prices low specifically so people will be able to cruise. It's their own fault. They built too many ships. They have no choice now but to fill them up.

 

We're gonna find cruising a very pleasant experience, and a cheap one too. What we probably won't like though is that just about everything will be extra charge once we get onboard. The food will be bare bones, unless you pay for a specialty restaurant. The entertainment will be high school production level, unless you pay for activities that carry an extra charge. The only way the cruise lines will have left to make money is from us once we are onboard. They will practically be giving the cabins away.

 

So, if you're not too picky as far as food, and you really don't cruise for the activities, etc., then you will have some great deals awaiting you in the next year or so ... because the cruise lines will practically be giving away the cabins ... and if you don't need to be constantly entertained ... and just enjoy settling in on a deck chair with a good book ... if anything, you'll be able to cruise even more than you do today. You'll just have to do it from ports you can drive or take the train to ... because the airlines will become cost-prohibitive for the average person.

 

My feeling is this ... I love HAL, but if I have to, I'll just have to switch to cruise lines that sail from New York City. I can get there by train very, very easily. So, I'll probably wind up switching back to Princess for a few years.

 

Blue skies ...

 

--rita

[nchank]

Kros is probably right. What will they do with those mega ships? Turn them into floating hotels? I guess we are lucky to be withing easy driving distance of San Francisco and LA-San Diego.

[cruznon]

It's unfortunate that HAL is pulling the Oosterdam and Ryndam Mexico cruises after next spring. HAL will be missed by those of us on the West Coast. We'll have to travel to get a HAL ship or switch lines

[Sundagger]

It's unfortunate that HAL is pulling the Oosterdam and Ryndam Mexico cruises after next spring. HAL will be missed by those of us on the West Coast. We'll have to travel to get a HAL ship or switch lines

 

They are still showing Ryndam cruises to Mexico through December 2009 on the website. Any new news about those itineraries?

[chipmaster]

AMERICAN AIRLINES AND AMERICAN EAGLE ANNOUNCE ADDITIONAL DETAILS OF FOURTH QUARTER CAPACITY CUTS

 

SERVICE REDUCTION AT LAGUARDIA, THE NATION’S MOST CONGESTED AIRPORT, INTENDED TO HELP REDUCE DELAYS FOR ALL PASSENGERS

 

 

What spin at the top, it was to help congestion and reduce delays for all.

 

Call it for what it is, elminate a lot of flights that you aren't making money on, and get back to profitability!

[cruzegirl]

Ok, I'm just curious. We have airlines losing $$ daily due to gas costs, food/merchandise costs going up daily due to high gas costs, businesses losing money due to high gas costs and having to pass it on to the consumer, who's wages aren't going up to compensate. We have airlines grounding planes, employees laid off, airlines dropping certain itineraries, businesses laying employee's off. The housing industry is in the tank. But my question is: What the HELL is the government doing about it???????????

They are letting these businesses, airlines, cruiselines, stores, auto dealers, businesses in general just flounder. This country is in a recession and in distress and I feel like we're just told: "to deal with it". What a sad state of affairs.......

[greatam]

Ok, I'm just curious. We have airlines losing $$ daily due to gas costs, food/merchandise costs going up daily due to high gas costs, businesses losing money due to high gas costs and having to pass it on to the consumer, who's wages aren't going up to compensate. We have airlines grounding planes, employees laid off, airlines dropping certain itineraries, businesses laying employee's off. The housing industry is in the tank. But my question is: What the HELL is the government doing about it???????????

They are letting these businesses, airlines, cruiselines, stores, auto dealers, businesses in general just flounder. This country is in a recession and in distress and I feel like we're just told: "to deal with it". What a sad state of affairs.......

 

I am really beginning to wonder how old you are with your uniformed posts and constant complaining about this airline fee and that airline fee.

 

The USA is NOT in a recession (please look up the definition of recession). Growth was 1% last month. Granted, not much, but still growing. Housing sales went up 2% from May. So even the hard hit housing market it moving upwards. Stocks took a dive yesterday, BUT it was also mostly predicated on news of oil cuts in foreign countries.

 

You complain and complain about this airline fee and that airline fee and then want the GOVERNMENT to do something about it. The d**** government for 30 years has done way TOO MUCH and that is one reason this country is feeling the pinch right now. Stupid, stupid, stupid environmental rules that allow no drilling, no new refineries, no new nuclear plants, etc. etc. etc.

 

There is even a group -Save Our Rivers-that wants to tear down dams that provide CLEAN, CLEAN, CLEAN hydro electric power. They are currently pushing legislation to tear down Glen Canyon and another dam on the Snake River. THAT is what the GOVERNMENT is doing for you.

 

We are all open to improvements and suggestions. I have yet to hear what YOU would do other than complain and beg for help from the government.

 

I'm off my soapbox.

[FlyerTalker]

Ok, I'm just curious. We have airlines losing $$ daily due to gas costs, food/merchandise costs going up daily due to high gas costs, businesses losing money due to high gas costs and having to pass it on to the consumer, who's wages aren't going up to compensate. We have airlines grounding planes, employees laid off, airlines dropping certain itineraries, businesses laying employee's off. The housing industry is in the tank. But my question is: What the HELL is the government doing about it???????????

 

If you have studied the history of governmental interventions into the economy, you will see that artificial support to the economy (wage/price controls, price supports etc) provides a temporary "fix" at best, and often long-term damage to the very economy that it is trying to help. Look at rent-control in NYC. Look at wage/price controls in the 70's. Are you looking for genuine economic growth or just a cosmetic political "fix"?

 

The best thing that can be done is to remove governmental impediments to a natural resolution of the situation. And I'll put my know-it-all economics training up against yours.

 

I'm not worried though....the government will be busy dealing with your other complaints by passing legislation to mandate assigned seats and free luggage allowance, so they should be too busy to really screw things up.

[nchank]

Flying free on Delta with miles will cost you now. http://www.msnbc.msn.com/id/25411680/ I recently used up my balance of United miles with merchandise. Almost anything is better than flying on the so called leagacy airlines.

[FlyerTalker]

Flying free on Delta with miles will cost you now. http://www.msnbc.msn.com/id/25411680/ I recently used up my balance of United miles with merchandise. Almost anything is better than flying on the so called leagacy airlines.

 

That is already being discussed in THIS THREAD.

[IDKaren]

Oh Lord PLEASE do NOT want or let the govt get involved in all of this! I agree havent they done or not done ENOUGH to mess this country up? Poke their noses in when they should not and refuse to bend when something SHOULD be done! Thank you gentlemen for some common sense!

[kenish]

Ok, I'm just curious. We have airlines losing $$ daily due to gas costs, food/merchandise costs going up daily due to high gas costs, businesses losing money due to high gas costs and having to pass it on to the consumer, who's wages aren't going up to compensate. We have airlines grounding planes, employees laid off, airlines dropping certain itineraries, businesses laying employee's off. The housing industry is in the tank. But my question is: What the HELL is the government doing about it???????????

 

They are letting these businesses, airlines, cruiselines, stores, auto dealers, businesses in general just flounder. This country is in a recession and in distress and I feel like we're just told: "to deal with it". What a sad state of affairs.......

 

Review things over the past 10-20 years....you got a great, rock-bottom airfare, got a handsome raise, bought a house you never thought you cold afford, got a job with a company rolling in the bucks, and slashed many dollars off your grocery and clothing bill. I'm sure you gave yourself a well-deserved pat on the back, thanks to your personal talent.

 

So now things have reversed themselves....it's the government's fault, right? If you credited the government for all the benefits in the previous paragraph then my apologies, feel free to rant away about the government.

[pcur]

Oh, I think as far as cruising is concerned, you'll be able to afford it. The cruise lines have no choice, they will have to keep the prices low specifically so people will be able to cruise. It's their own fault. They built too many ships. They have no choice now but to fill them up.

 

We're gonna find cruising a very pleasant experience, and a cheap one too. What we probably won't like though is that just about everything will be extra charge once we get onboard. The food will be bare bones, unless you pay for a specialty restaurant. The entertainment will be high school production level, unless you pay for activities that carry an extra charge. The only way the cruise lines will have left to make money is from us once we are onboard. They will practically be giving the cabins away.

 

So, if you're not too picky as far as food, and you really don't cruise for the activities, etc., then you will have some great deals awaiting you in the next year or so ... because the cruise lines will practically be giving away the cabins ... and if you don't need to be constantly entertained ... and just enjoy settling in on a deck chair with a good book ... if anything, you'll be able to cruise even more than you do today. You'll just have to do it from ports you can drive or take the train to ... because the airlines will become cost-prohibitive for the average person.

--rita

 

You've pretty much described us, Rita!! Actually, DH is picky about food, but finds the current fare in the DR perfectly acceptable. We only go to a very few shows on board ship, and do not purchase much in the shops, and get most of our alcohol free from RCCL's Concierge Lounge and free cocktail parties. So, fewer people and lower prices is great!:D

 

We now have 5 cruises booked in the future, and if the prices go down, it's a bonus, because they are budgeted at their current prices. We only need airfare for two of them, and are using Southwest free for one of those. So, I do have to sweat out the one cruise's airfare, but if the cruise prices go down, then I have some extra room for increased air. We'll cancel if it gets too high, though.

 

I have American Airlines booked in September, and managed to get it purchased in early May just before the circus started.

 

I think people will start cruising closer to home, and the cruise lines will start cruising from more U.S. ports.