AMR Corporation Announces Initial Round of Capacity Reductions

[Veritas]

AMR Corporation Announces Initial Round of Capacity Reductions

The initial changes to the flight schedule include, but are not limited to:

	-- Discontinuing its Chicago - Buenos Aires service effective Sept. 3.
	-- Discontinuing its Chicago - Honolulu service Jan. 5, 2009.  Between
	   September 3, 2008, and Jan. 5, 2009, American will operate
	   Chicago - Honolulu service only on peak demand days.
	-- Discontinuing its Boston - San Diego service effective Sept. 3.
	-- Restructuring American and American Eagle operations at San Juan,
	   Puerto Rico beginning in September. This round of reductions will
	   affect American and American Eagle flights originating from San Juan to
	   the United States and various islands in the Caribbean.

 

[jimntx]

This doesn't look good. Particularly since they announced last week that it was domestic capacity that was being reduced, and the first eliminations we hear about are almost all in International.

 

[MAH4546]

This doesn't look good. Particularly since they announced last week that it was domestic capacity that was being reduced, and the first eliminations we hear about are almost all in International.

That doesn't mean international capacity is being reduced. It will still be going up between 1 and 2% by year's end.

International capacity, is, however, being shuffled.

Most of the mainline cuts at San Juan will involve domestic flights to the mainland.

 

[jimntx]

Most of the mainline cuts at San Juan will involve domestic flights to the mainland.

As far as f/as are concerned, there is no such thing as a domestic Caribbean flight. If you go over 50 (IIRC) nautical miles from shore, it's flown by an International crew. Period. Just because it is domestic from a Customs and Immigration standpoint, it is still an International flight. The reverse being that flights from mainland U.S. (except from MIA) to Mexico and Canada are flown by domestic crews because you don't have to fly over water to get there even though the gummint considers them to be International flights.

 

[Skymess]

As far as f/as are concerned, there is no such thing as a domestic Caribbean flight. If you go over 50 (IIRC) nautical miles from shore, it's flown by an International crew. Period. Just because it is domestic from a Customs and Immigration standpoint, it is still an International flight. The reverse being that flights from mainland U.S. (except from MIA) to Mexico and Canada are flown by domestic crews because you don't have to fly over water to get there even though the gummint considers them to be International flights.

Beat me to it, Jim.

This is what my friends and I were wondering since the news came out. While it maybe considered domestic, as far as passports and non rev charges go, it is considered international flying on the FA and Pilot bid sheet.

 

[Skymess]

That doesn't mean international capacity is being reduced. It will still be going up between 1 and 2% by year's end.

International capacity, is, however, being shuffled.

Shuffled? From where to where. Is Chicago getting anything new to replace what they had or will the flying go to JFK or MIA?

 

[BuffaloJoe]

Shuffled? From where to where. Is Chicago getting anything new to replace what they had or will the flying go to JFK or MIA?

What are they going to do with the slots vacated in ORD?

 

[FA Mikey]

Is the EZE slot going to be used in Miami or NY?

 

[eolesen]

That doesn't mean international capacity is being reduced. It will still be going up between 1 and 2% by year's end.

In the press releases (and SEC filing) from the Annual Meeting announcement, there was little mention about international capacity. Me thinks that could have been intentional, in that the company hasn't decided what to do beyond the domestic cuts.

What was disclosed was guidance you quoted, i.e. full year capacity for international mainline will be up 1 to 2% over 2007, but the 4Q08 guidance shows -0.5% to 0.5% vs 4Q07.

That's down from the 2.5% YOY and 3% growth 4Q08 vs. 4Q07 that had been projected just a month earlier. Not exactly a small change when you're talking about a system the size of AA's.

All that said, I wouldn't bet against there being another shoe to drop with regard to international.

 

[FA Mikey]

All that said, I wouldn't bet against there being another shoe to drop with regard to international.

Do you think more planes and people with that?

 

[CubsFanJohn]

Will the 3 B763's freed up be moved to JFK for future International Service?

 

[MAH4546]

Will the 3 B763's freed up be moved to JFK for future International Service?

No - they need them to take-up the slack for 777s lost because of Chicago-Beijing.

 

[CubsFanJohn]

No - they need them to take-up the slack for 777s lost because of Chicago-Beijing.

Thanks, I had forgotten about ORD-PEK until I clicked reply..

 

[NewHampshire Black Bears]

No - they need them to take-up the slack for 777s lost because of Chicago-Beijing.

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MAH4546,

Dude,...YOU are the best !!

I'd believe you if you told me ...1 + 1 = 3, when it comes to "inside" AA's future flight schedules !!

eolesen WAS pretty good", but alas, ...he took a "dixie" ..away from AMR, so he's NOT as reliable as he use to be !

 

[AirLUVer]

ORD/DME will probably run on 767 by this fall or winter which will open up a 777 in time for Beijing.