American seeks LA-Shanghai route
- Thread starter FA Mikey
- Start date
goodgirl37
Senior
- Jul 24, 2005
- 400
- 2
It won't happen, AMR is late in the game. I was surprised with the recent announcemement of routes, it was rather weak. If AMR can't make SFO-BOS work, I hardly doubt they could make SFO-Asia work. The fact is, AMR is fighting battles in LAX, JFK, ORD. ALL 3, part of their conrnerstone plan, which is not too smart. It will be interesting to see what happens to AA, The picture certainly isn't rose colored.
JFK Fleet Service
Veteran
You do of course realize the post you're quoting is referring to your employer requesting LAX-PVG don't you?
jimntx
Veteran
JFK FS, how many times do I have to tell you? Goodgirl's mind is made up. Do NOT attempt to confuse her with facts. This is your last warning. :angry:
goodgirl37
Senior
- Jul 24, 2005
- 400
- 2
Yes I realize this, I hit reply on the wrong quote, I was replying to FAMikeys post. I guess you can read between the lines. Anyhow, you get what i am saying. And yes JIM, Anyone who has common sense can see the way this is unfolding, being in denial wont get you much. Hopefully they pull out of it, and luckinly they have some cash on hand, but that wont last for long. Arpey and team have their hands full, just too bad they are not the best ones for the job, which supports my thoughts even more.
goodgirl37
Senior
- Jul 24, 2005
- 400
- 2
Well, there goes any profit AA would have made on the route. I bet the boys at AA HQ are banging their heads on their desks. UAL will likely be the preffered carrier on the route over AA.
Based on what?
1) AA has the largest revenue share at LAX, 30% of all carrier revenue. UA is second at 19%.
2) AA is the largest mainline carrier at LAX, ahead of even the combined UA+CO.
3) AA has the largest share of premium traffic at LAX. One in three first or business class passengers flying out of LAX are flying on an AA aircraft.
4) AA dominates the corporate contracts in the Los Angeles area, including being the preferred carrier of every major motion picture studio and agency except Disney.
But hey, facts aren't your thing.
goodgirl37
Senior
- Jul 24, 2005
- 400
- 2
Based on the fact that:
A. Corporations have contracts with multiple carriers not just one - most are required to take the lowest fare of the direct route.
B. Key word, mainline... "We are pleased that DOT approved the application so quickly, and we believe travelers will be pleased with this service, as it will connect Shanghai with more points in North America than any other airline can," United spokesman Rahsaan Johnson said."
C. Now with EWR as well as JFK P.S... I would suspect UAL will capture more NY-LAX passengers, going forward, as well as UAL being much much more present in the west vs. AA., I will stand by my post that UAL will do better on the route.
P.S. Hows the OPRAH corporate contract going?
AA is not what it used to be.
jersey777
Veteran
- May 24, 2006
- 627
- 73
frontline
Senior
I am not sure UAL will do that much better on the route. I think they are flying 777's which are still in their old config cradle business class. Not that comfy.
As for PS it is getting hurt badly by Virgin America which charges about half the price for a better product.
LA is still a major city for AA and this will help grow that market for O/D traffic.
As for PS it is getting hurt badly by Virgin America which charges about half the price for a better product.
LA is still a major city for AA and this will help grow that market for O/D traffic.
goodgirl37
Senior
- Jul 24, 2005
- 400
- 2
You are right, neither AA or UAL will be a cash cow on the route, UAL should come out better than AA however, I believe all the 777 are reconfigured (internationally)... Yes, VA does offer a good product, but UAL is not the only airlines revenue they are tapping, that has the same effect on AA as well as UAL, whose products are similar.
