Reuters
American studies forming own low-cost carrier
DALLAS, Feb 12 (Reuters) - The chief financial officer of American Airlines parent company AMR Corp. said on Wednesday the world''s largest carrier is studying the formation of a discount carrier within its fleet.
Jeff Campbell, speaking at a transportation conference, said that while history has shown a poor track record for forming a carrier within a carrier, the concept is something American has to examine as its competitors look to implementing the idea.
If you look at the history over the last decade, the history of carriers within a carrier is sure not particularly positive, Campbell said at the conference in Florida that was broadcast over the Internet.
On the other hand, I think we would be foolish at American and AMR to not be giving it very serious thought in a world where Delta, has said they are going to try it again, where UAL, parent of United Airlines) has said they are going to try it again, he said.
AMR had mostly dismissed the idea of forming its own low-cost carrier, but Campbell said the step may be needed in order to help it better compete with its larger rivals, and low-fare domestic carriers such as Southwest Airlines Co
American studies forming own low-cost carrier
DALLAS, Feb 12 (Reuters) - The chief financial officer of American Airlines parent company AMR Corp. said on Wednesday the world''s largest carrier is studying the formation of a discount carrier within its fleet.
Jeff Campbell, speaking at a transportation conference, said that while history has shown a poor track record for forming a carrier within a carrier, the concept is something American has to examine as its competitors look to implementing the idea.
If you look at the history over the last decade, the history of carriers within a carrier is sure not particularly positive, Campbell said at the conference in Florida that was broadcast over the Internet.
On the other hand, I think we would be foolish at American and AMR to not be giving it very serious thought in a world where Delta, has said they are going to try it again, where UAL, parent of United Airlines) has said they are going to try it again, he said.
AMR had mostly dismissed the idea of forming its own low-cost carrier, but Campbell said the step may be needed in order to help it better compete with its larger rivals, and low-fare domestic carriers such as Southwest Airlines Co