American Airlines (AA): UK Operations
American Airlines operates an extensive International network, with scheduled flights to UK and Ireland with hubs at London Heathrow, Dublin, Newcastle and Manchester. AA is a founding member of the 'One-world' airline alliance. It maintains a fleet of 615 aircraft with 568 on order of which 63% are for domestic routes. It flies to 3 destinations in UK and Ireland. In 2010, AA earned $1.6 billion in revenues from its UK operations. AA is the largest domestic airline in the US in terms of domestic passenger kilometers flown and revenues.
American Airlines is a subsidiary of the AMR Corporation and is headquartered in Fort Worth, Texas near its largest hub at Dallas/Fort Worth International Airport. It was founded in 1930 as American Airways and is headed by Gerard Arpey. AA flies a total of 1200 sorties to and from the three destinations in the region. The average age of AA aircraft is 15 years. UK Revenues grew 8% from $1.4 Billion in 2009 to $1.6 Billion in 2010. Net income grew from a $120 Million in loss to $26 million in loss.
The major strides in the UK market occurred in the late 1980's. UK airline industry services more than 86 million passengers, 1 million tonnes of cargo and produce over 80% of UK airline output and employing over 71,000 staff. It contributes £18.4 Billion to the UK Gross National Product and £7.8 billion in taxation to the Exchequer. AA's targets 15% share UK market in terms of number of passengers flown including transits for longer haul routes. The main competitors are British Airways, Continental Airlines, Delta and UAL with British Airways having a lion's share of 68%.
American Airlines, UK continues to enhance its existing applications and develop new technologies which enable customers to download the free application on any Android device. AA's uses SABRE computer reservation system which is linked to 55000 travel agencies in 100 countries and provides schedules for 400 airlines and 50 rail carriers besides other important features. In 2010, AA carried a total of 11 million passengers as a two way route to the UK.
On October 1, American, British Airways, and Iberia launched their joint venture, enabling, among other things, frequent flyers to earn and redeem miles on each other's flights. American and British Airways are looking into building onto the existing Terminal 8, allowing the two carriers to co-locate and make for easier connections.