American Airlines cuts international flight network
American Airlines (A1G) (AAL) (AA) announced a significant reduction of its international network capacity for the remainder of 2020 and for the Summer 2021 season, citing low demand for travel as a result of the current events.
The airline‘s international network will be 25% smaller in Summer 2021 than it was in 2019, indicated AA. It will focus on “markets that create unique connectivity” and will rely on its partnerships to sustain its international network growth in the future.
American Airlines (A1G) (AAL) cited low demand as the main cause for capacity reduction. It had to be nimble and create a route network that its customers desired, stated the airline’s Vice President of Network Planning Brian Znotins. The company will cut 19 routes from its network, including four additional itineraries that were supposed to be launched for the Summer 2020 season.
However, its plans to establish a major international hub in Seattle–Tacoma International Airport (SEA) together with Alaska Airlines remains. In addition, subject to authority approval, AA will move its Los Angeles International Airport (LAX) to Shanghai Pudong International Airport (PVG) services to SEA, as American aims to utilize the strength of Alaskan Airlines’ presence in the airport.
“American will be well poised to emerge from this crisis with a stronger network that provides improved connectivity for our customers,” stated American Airlines’ (A1G) (AAL) Chief Revenue Officer Vasu Raja.
Most recently, the largest airline in the world in terms of fleet size aimed to raise as much as $3.5 billion in order to bolster its liquidity position.
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