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AMERICAN AIRLINES - 2ND QUARTER EARNINGS

July 25, 2019

Today, American Airlines reported its second quarter 2019 results, including these highlights:

  • Reported second quarter 2019 pre-tax income of $882 million and net income of $662 million. Excluding net special items, pre-tax income and net income rose more than 5% to $1.1 billion and $810 million,1 respectively.
  • Second quarter earnings were $1.49 per diluted share. Excluding net special items, earnings per share grew 10% year over year to $1.82 per diluted share.
  • Reported record second quarter revenue of $12 billion. 
  • Also reported record second quarter total revenue per available seat mile (TRASM) — the 11th consecutive quarter of TRASM growth.

MORE INTERNATIONAL SERVICE FOR AA

Seasonal Nonstop Service from PHL ~~~ 

Berlin-Tegel Airport (TXL) in Germany, Bologna Guglielmo Marconi Airport (BLQ) in Italy, 

Dubrovnik Airport (DBV) in Croatia, and Edinburgh Airport (EDI) in Scotland.


Summer-Seasonal Daily Routes between ORD ~~~  Athens International Airport (ATH) in Greece.


Summer-Seasonal Daily Routes between DFW ~~~  Dublin Airport (DUB) and Munich Airport (MUC). 


Year-Round. Daily Routes between CLT ~~~  Munich Airport (MUC). 


Year-Round Daily Routes between (PHX) ~~~  London Heathrow Airport (LHR). 

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FLEET UPDATE

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 Fleet Update


On March 13th, the Federal Aviation Administration (FAA) grounded all U.S.-registered Boeing 737 MAX aircraft. The American fleet currently includes 24 MAX aircraft with an additional 76 aircraft on order, of which seven were scheduled to be delivered in the second quarter. 


The company now estimates that the cancellations in the second quarter negatively impacted pre-tax income by approximately $175 million.


The company has removed all MAX flying from its flight schedule through Nov. 2, 2019. With the flight cancellations extending an additional two months, the company now expects the MAX cancellations will negatively impact its full year 2019 pre-tax earnings by approximately $400 million.

737 MAX 800 OASIS PROJECT SUSPENDED

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737  MAX 800s  -  THE OASIS PROJECT


May 21, 2019


AA has also been in the process of re-configuring the rest of their 737-800s 

with these less comfortable seats resulting in the seat count being increased from 160 seats to 172 seats.


Robert Isom, President of AA, has confirmed that it has suspended the 737 retrofit project and is putting it on hold until 2020.  


There has been speculation regarding American possibly reconsidering the strategy they’ve been using for a while: 


READ THE ENTIRE NEWS ARTICLE BY CLICKING ON THE LINK PROVIDED 


News Article - 737 MAX Seating

IMPORTANT UPDATES

Change in Spouse & Registered Companion Travel Rules

Registered Companion Option for All Employees & Retirees - May 1, 2019


Many of you have a spouse or a domestic partner who also works for American (or one of our regional carriers) or a spouse or domestic partner who prefers not to travel. 


You will be able to replace your spouse or domestic partner with a registered companion of your choosing.  More details can be found in the AA Travel Guide.  www.retirees.aa.com

AA Pet Embargo

Effective April 18, 2019 ----- 

CHECKED PET EMBARGO  

PHX, LAX, TUS, PSP


May 1 - September 30, 2019 ----- 

ANNUAL SUMMER EMBARGO

Any city in the passenger's itinerary where the Temperature is 85F and higher.  Please share this information with your family and friends.

ZED Agreements - Changes

Effective: May 1, 2019


AA has cancelled their ZED Agreements with Frontier Airlines and Allegiant Air.