American Airlines (A1G) (AAL) announced to be removing services to 15 cities in the United States due to low demand. The network cuts come into effect starting from October 7, 2020.
On August 20, 2020, American Airlines (A1G) (AAL) released a statement stating that it would suspend service to some domestic destinations as a result of “low demand and the expiration of the air service requirements associated with Coronavirus Aid, Relief and Economy Security (CARES) act.”
According to the airline, these changes were temporary and only set to run through November 3, 2020. The company was also on the watch for any changes to the Payroll Support Program, keeping these and other markets under consideration.
The cities with suspended services are Del Rio, Dubuque, Florence (S.C.), Greenville, Huntington, Joplin, Kalamazoo, Lake Charles, New Haven, New Windsor, Roswell, Sioux City, Springfield, Stillwater, and Williamsport.
The sudden network cuts are most likely the result of the shaky financial situation in the aviation industry. American has reported $2.5 billion in losses in Q2 of FY21 while seeing a 86% drop in passengers from the prior year.
It also seems that American Airlines (A1G) (AAL) has been diverting resources in a different direction, reporting 1,000 cargo-only flights to be added in September 2020. The company’s freight services were none existent before March 2020, possibly showcasing changing priorities in the carrier’s COVID-19 strategy.