Is North Texas-based American Airlines in Permanent Decline ? (Dallas, Edinburg: cost, vs)

[loves2read]

no--more likely Continental since after the merger it has more planes/personnel than it knows what to do with and already has strong west-sided flights than Delta

but everybody should be hoping/praying that does not come to pass

AA for better or worse is major employer and tax-payer in this area (and others) and having it reduced through merger or bankruptcy would be severe blow to economy

[Cowboys fan in Houston]

Originally Posted by JimBaker488

Wow, hardly a recommendation from a satisfyed customer.
If they do go belly-up guess Delta could always return and reopen it's old hub operation at DFW ?

It seems like that's what you would like, but forget it.

AA isn't going belly up. They never went through chapter 11 like Delta so they never had a chance to clean their slate like Delta. If need be, they will go through chapter 11 and get straightened out, but AA is a far cry from liquidation. They are still generating positive cash flow even if they aren't profitable. They also have lots of cash on hand despite the losses.

Like loves2read said, if you are a DFW resident, you should be hoping that nothing like that happens. It would put thousands upon thousands of people out of work and throw the economy here in a tailspin.

[LV702]

I don't fly AA, then again I don't fly thanks to the TSA.

[JimBaker488]

I recently flew American between DFW & Salt Lake City and I gotta say the old MD80 is still more comfortable than the newer 737 in terms of leg-room, though I realize economically it's not as efficient ?
I felt for the FAs as many were very sour, knowing I suppose what's inevitably ahead for them as the best they can hope for is retention of their jobs after taking a serious "haircut" when AMR restructues in Chapter 11.
Restructure/Chapter 11 now or later, AMR is gonna have to go it alone as I don't think there is anybody left out there of sufficient size to merge with who would improve their competitive position ?

[expatChicagoan]

Originally Posted by galore

But their workhorse, the MD80 is a ridiculously outdated plane, loud inside, cramped

I'm glad it wasn't just me that can't stand the MD80. When I travel for work (mostly to Chicago), I try to get the 777 flight, although I've heard it's no longer flying that plane on the route.

[Cowboys fan in Houston]

Originally Posted by JimBaker488

I recently flew American between DFW & Salt Lake City and I gotta say the old MD80 is still more comfortable than the newer 737 in terms of leg-room, though I realize economically it's not as efficient ?
I felt for the FAs as many were very sour, knowing I suppose what's inevitably ahead for them as the best they can hope for is retention of their jobs after taking a serious "haircut" when AMR restructues in Chapter 11.
Restructure/Chapter 11 now or later, AMR is gonna have to go it alone as I don't think there is anybody left out there of sufficient size to merge with who would improve their competitive position ?

Rumor has it from a very reliable source I have that we are going to hear a major announcement on Saturday or Monday regarding talks between the pilots and management. Part of the reason that AA is losing money is low productivity among the pilots and FA's. This would be one step closer to solving part of that problem.

If you dont like flying AA, dont fly them. Its that easy. We have plenty of other options here. You have British, Lufthansa, and KLM over the Atlantic, Emirates (starting in Feb.) to the Middle East and India, Korean Air to Asia, Taca to Central and South America, Qantas to Australia, and not to mention many other domestic carriers. The MD 80s guzzle fuel at a much higher rate than the 737s so removing them from the fleet with the huge order they placed will save millions in fuel over several years.

[DailyDartRider]

Originally Posted by justme02

Rumor has it from a very reliable source I have that we are going to hear a major announcement on Saturday or Monday regarding talks between the pilots and management. Part of the reason that AA is losing money is low productivity among the pilots and FA's. This would be one step closer to solving part of that problem.

If you dont like flying AA, dont fly them. Its that easy. We have plenty of other options here. You have British, Lufthansa, and KLM over the Atlantic, Emirates (starting in Feb.) to the Middle East and India, Korean Air to Asia, Taca to Central and South America, Qantas to Australia, and not to mention many other domestic carriers. The MD 80s guzzle fuel at a much higher rate than the 737s so removing them from the fleet with the huge order they placed will save millions in fuel over several years.

Good info, Justme. Thanks.

[Cowboys fan in Houston]

Well, this sucks. Management and Labor couldnt get an agreement over the weekend.

AMR Shares Fall as AA, APA Labor Talks Continue | NBC Dallas-Fort Worth

[JimBaker488]

Originally Posted by justme02

Well, this sucks. Management and Labor couldnt get an agreement over the weekend.

AMR Shares Fall as AA, APA Labor Talks Continue | NBC Dallas-Fort Worth

AMR trading 'bout 2.70 right now, but just heard an analyst say he thinks it's up in the 4 - 5 dollar range soon because it "will not" go Chap 11 like everyone thinks it will ? He says AMRs problem isn't costs so much as a flawed stradegy by management to grow now when others like DAL & UAL know better and are actually cutting capacity ?
What do you think about that Justme02 ?

[Cowboys fan in Houston]

Originally Posted by JimBaker488

AMR trading 'bout 2.70 right now, but just heard an analyst say he thinks it's up in the 4 - 5 dollar range soon because it "will not" go Chap 11 like everyone thinks it will ? He says AMRs problem isn't costs so much as a flawed stradegy by management to grow now when others like DAL & UAL know better and are actually cutting capacity ?
What do you think about that Justme02 ?

I dont agree. AA's problems are very, very much costs. The opperating costs are much higher than both DL and UA. A huge part of the costs stems from the pilots. The pilots at AA are much higher paid than UA or DL and the pilots at AA still have pensions while DL and UA got rid of their pensions when they went through Chapter 11.

Granted, AA's management wont win any awards for being good at their job either, but the big problems for AA right now are cost and productivity. Not only do AA's pilots make more, they also do less.

The clock is ticking for AA and I while I think there is less than a 1 percent chance AA will liquidate, they do have some tough decisions ahead of them and BK is a very real possibility. But even without Chapter 11, they still have to do some things that are going to be very painful for a lot of people at AMR.