AA sets new records at MIA

FA Mikey

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Aug 19, 2002
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January brought record traffic to American Airlines’ operations in Miami. Monday and Tuesday hold the top two spots now for most passengers enplaned at Miami International Airport since the hub was formed more than two decades ago.

On Monday, American boarded 40,171 passengers at MIA. Tuesday was a runner up with 39,796 passengers. Wednesday reached the number four spot with 39,769 passengers.


full story here

american-mia.jpg
 
full story here

January brought record traffic to American Airlines’ operations in Miami. Monday and Tuesday hold the top two spots now for most passengers enplaned at Miami International Airport since the hub was formed more than two decades ago.

On Monday, American boarded 40,171 passengers at MIA. Tuesday was a runner up with 39,796 passengers. Wednesday reached the number four spot with 39,769 passengers.


full story here

american-mia.jpg
I sure
miss the A300 Caribbean trips!! Great pic! Thanks..
 
full story here

January brought record traffic to American Airlines’ operations in Miami. Monday and Tuesday hold the top two spots now for most passengers enplaned at Miami International Airport since the hub was formed more than two decades ago.

On Monday, American boarded 40,171 passengers at MIA. Tuesday was a runner up with 39,796 passengers. Wednesday reached the number four spot with 39,769 passengers.


full story here

american-mia.jpg
I sure
miss the A300 Caribbean trips!! Great pic! Thanks..
 
full story here

January brought record traffic to American Airlines’ operations in Miami. Monday and Tuesday hold the top two spots now for most passengers enplaned at Miami International Airport since the hub was formed more than two decades ago.

On Monday, American boarded 40,171 passengers at MIA. Tuesday was a runner up with 39,796 passengers. Wednesday reached the number four spot with 39,769 passengers.


full story here

american-mia.jpg
I sure
miss the A300 Caribbean trips!! Great pic! Thanks..
 
Three days of nearly 40,000 passengers.

And cannot make a damn dime.

Amazing!
It's entirely possible that AA did make some dimes at MIA as it is one bright spot in AA's network. Just not enough dimes to cover the losses elsewhere. Lagging revenue (compared to DL and UA) and high costs (compared to every other airline) isn't the recipe for profits.

Mainline CASM for the first three quarters of 2011:

AA.....13.73 cents
DL......13.06
B6......11.22

I hear that AA has a plan to solve the CASM discrepancy. Dunno what the plan is to solve the revenue shortfall.
 
Lagging revenue (compared to DL and UA) and high costs (compared to every other airline) isn't the recipe for profits.

I hear that AA has a plan to solve the CASM discrepancy. Dunno what the plan is to solve the revenue shortfall.
Management has been quick to point out the $600 million brick in their backpack.
I haven't seen them discuss revenue that's lower than the competition.
Would any of you folks who are smarter than me care to estimate the revenue difference?
How much more would AA make if its' revenue per ASM (is that the right metric?) equaled UA and/or DL?
 
To equal UA or DL's RASM, you'd need network parity, a decent hard product, and probably some technology to support smarter packaging of your fares. DL & CO invested in that stuff, and it eventually paid off.
 
Management has been quick to point out the $600 million brick in their backpack.
I haven't seen them discuss revenue that's lower than the competition.
Would any of you folks who are smarter than me care to estimate the revenue difference?
How much more would AA make if its' revenue per ASM (is that the right metric?) equaled UA and/or DL?
AA continues to have access to alot of premium revenue- but that is degrading rapidly w/ the growth of competitors in AA's key markets.
MIA-Latin America remains AA's most significant network advantage... if another carrier assembles a well positioned alliance or adds its own service in MIA to Latin America, it would be very difficult for AA to continue to argue its unique value to corporations and other contracts.

Based on the difference in consolidated RASM growth between AA and DL or UA's network, I believe AA's revenue shortfall could be in the $400-600M/yr.
Given that AA is posting billion dollar losses while DL and UA are posting billion dollar profits, there is about a $ 2 billion swing that has to be accounted for (with some adjustment that AA is not as large to begin with)... but if labor is perhaps one-third or more and revenue related is another third then there are other cost related (fleet cost/fuel inefficiencies) worth about one-third. We'll see how the BK plays out but you can fix cost issues in BK..you can't fix revenue problems - other than by buying new aircraft that have a better product or by having lower costs/more flexibility which allow you to go after more premium revenue (DL and UA's more liberal use of large RJs allow them to chase revenue which AA cannot).
In the absence of being able to correct one item (labor, fuel/fleet, revenue), the other areas/items have to be increased to compensate.
 
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