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American Airlines CEO: “We Are in a Tough Fight in New York Market”

March 31, 2010 By: George Dooley
 


“It is hard to overstate the importance of the New York region to our future success,” Gerard Arpey, CEO of American Airlines, said in a letter to American Airlines employees following Wednesday’s announcement of a major investment in building AA’s presence in New York. “It is one of the world's top business and tourist destinations and—with nearly 80 million passengers enplaned there last year—the largest air travel market in the United States.

“Moreover, as a gateway between the United States and the rest of the world,” he continued, “New York plays a pivotal role in our global network. It is also one of the most competitive airline markets in the world. Right now, on a departure basis, we are the third largest player in the area—after Continental and Delta, both of whom have been moving aggressively to improve their own competitive position.”

“We are in a tough, important fight in New York— a fight we intend to win. Today we are announcing a series of initiatives with that goal in mind. There is a lot of detailed information on these initiatives available on Jetnet (AA's internal communications site), and I hope you will take the time to read it.

“But for now, let me give you the Reader's Digest version: Starting this summer, we will be bolstering our New York service by adding 23 new daily flights to seven new destinations from JFK and LGA. We will be enhancing the competitiveness of our product with upgraded aircraft, and new investments in our terminal facilities.

“We have also reached a partnership agreement with JetBlue Airways whereby we will offer JetBlue customers connections to American's international flights, and our domestic customers out of New York and Boston will gain access to JetBlue service to cities we don't serve. In the months to come, we will have a team exploring expansion of our relationship with JetBlue to better serve our customers and continue to strengthen our position in New York.”

 
 

 


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By George Dooley | March 31, 2010
In letter to AA employees, Arpey acknowledges airline’s challenges in the largest air travel market in the U.S.