American Airlines Files Bankruptcy

May 12, 2005
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Well I hope that the Airline survives Chapter 11. If not then the only real player into Santiago will be JetBlue. Not good for pricing. Of course Continental could hop back in and Delta can expand their flight schedule.
 

Drro

Bronze
Mar 22, 2006
1,407
102
63
I've got a ticket for June 2012 to go from POP to DC - they say they'll still be flying what do you think?
 

cobraboy

Pro-Bono Demolition Hobbyist
Jul 24, 2004
40,964
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They'll still be flying. Ch. 11 is a vehicle to offload expensive labor costs. AA estimates it pays $600,000,000 per year more than it's competitors.
 

PJT

Silver
Jan 8, 2002
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This is good news. It will lower their costs and maybe delay or deny them an agenda of fare increases and new decorator fees. Those willing to take a gamble know there are some traveling public who will shy away from booking with AA because of the word bankruptcy. The gamblers will use the opportunity to use the airlines services as one can expect AA fearing a loss of market share will take a damage control attitude and make deals you cannot refuse.

Regards,

PJT
 

windeguy

Platinum
Jul 10, 2004
42,211
5,969
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I too read the article about AA as a way to reduce their very high labor costs. The bankruptcy courts can void the current contracts with the unions and AA can then negotiate new lower cost contracts. I use them a lot from the north coast and would hate to see them go despite how mediocre they had become.
 

cobraboy

Pro-Bono Demolition Hobbyist
Jul 24, 2004
40,964
936
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I would think routes to the DR are profitable, seeing how planes are nearly always very full...
 

pedrochemical

Silver
Aug 22, 2008
3,410
465
0
There was a thread, some time ago, about how much pilots earn.
Not a great deal.
I hope they do not reduce that.
I for one do not want a pilot who has his mind on making the mortgage that month rather than getting me safely where I am going.
 

AlterEgo

Administrator
Staff member
Jan 9, 2009
23,155
6,323
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South Coast
I would think routes to the DR are profitable, seeing how planes are nearly always very full...

I was talking to some AA employees a couple of years ago, and they said the DR routes are what keeps them flying because they're always full.

AE
Who is thinking that NOW is the time to use those AA Frequent Flier Miles.....

 

Celt202

Gold
May 22, 2004
9,099
944
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...AE
Who is thinking that NOW is the time to use those AA Frequent Flier Miles.....


b3tmqa.jpg


I wonder if jetBlue will make deals to accept AAdvantage miles...
 

AlterEgo

Administrator
Staff member
Jan 9, 2009
23,155
6,323
113
South Coast
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We just received this e-mail:


Dear AAdvantage<sup>?</sup> Member,

As you may know, on Tuesday, November 29, American Airlines filed for reorganization under Chapter 11. We took this action as part of our efforts to secure our long-term success in delivering the highest standards in air travel. We are committed to meeting your travel needs with outstanding customer service and safety, and it will be business as usual at American throughout our reorganization process. More than 80,000 people at American appreciate your loyalty and look forward to continuing to serve you.

We want to assure you that your AAdvantage<sup>?</sup> miles are secure. The AAdvantage miles that you've earned are yours and will stay yours, subject to usual policies, until you choose to redeem them for a great award with us. Likewise, your elite qualifying miles and your elite status, including lifetime status granted under the Million Miler<sup>SM</sup> program is secure and remains intact. You will continue to earn miles through all our existing AAdvantage participating companies and you will be able to redeem those miles for the same great awards ? flights, upgrades, car rentals and hotels just to name a few. And, throughout the coming year, we will be adding even more opportunities to earn miles, as well as new ways to redeem those miles.

American is honoring all tickets and reservations as usual, and making normal refunds and exchanges. And, we intend to maintain a strong presence in domestic and international markets. As we and all airlines routinely do, we will continue to evaluate our operations and service, assuring that our network is as efficient and productive as possible. Additionally, relationships with our oneworld Alliance and other codeshare partners are continuing to provide you with opportunities to earn and redeem miles for travel to hundreds of destinations worldwide, and we are honoring all tickets and reservations for travel on our partner airlines as usual. For information about American's reorganization process, please visit AA.com/restructuring.

Even more importantly, we remain committed to providing a superior customer experience with a focus on delivering what our customers value most ? the newest fleet with our upcoming aircraft deliveries, network strength in the important cities of the world and world-class products, service and technology.

American Airlines has a proud history, and we will have a successful future. All of us on the American team thank you for your loyalty and we look forward to welcoming you aboard soon.

Sincerely,

Maya_Leibman_Signature_160x65.jpg

Maya Leibman
President ? AAdvantage Loyalty Program
 

Criss Colon

Platinum
Jan 2, 2002
21,843
191
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yahoomail.com
I,"LEFT" AA about 3years ago.
Went to JET BLUE.
Only non-stop to Boston,and "more legroom seats,with pre boarding,free snacks,lots of nice perks!
Last time on AA they wanted $2 for a bottle of water!
I got a drink out of the toilet!
ccccccccccccccccccccccccccccccccccccccccc
NOT THE BOWL,the sink!
 

Gordon

New member
Jan 24, 2011
318
0
0
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Dear AAdvantage<sup>?</sup> Member,

As you may know, on Tuesday, November 29, American Airlines filed for reorganization under Chapter 11. We took this action as part of our efforts to secure our long-term success in delivering the highest standards in air travel. We are committed to meeting your travel needs with outstanding customer service and safety, and it will be business as usual at American throughout our reorganization process.

Egads, since when did bankruptcy become a choice and a way to running a successful business? In some countries bankruptcy is a last resort when bad management runs the company into the ground (no pun intended). It should be an embarrassment as people used other peoples money to manage a company into no longer being solvent. Now the company can no longer repay their obligations, and this action should not be a sense of pride and a way to provide outstanding customer service. Also it should not be a way to screw union contracts that were negotiated in good faith as if the workers were the cause of the financial disaster.

Is bankruptcy now the new management tool?

I have flown AA a few times and after numerous flight delays and missed connections, it appeared to me that proper maintenance was a low priority in the good days let alone how it would now be under protection. The DR would be safer without them and some company with better management skills will replace them. Cannot see tourism numbers here drop as a result.