American Admits Defeat

American Airlines announced that it is discontinuing its daily flights from JFK to Long Beach and from JFK to Phoenix to reposition the aircraft to its Dallas-Fort Worth hub. Or, AA is admitting that it can’t compete with JetBlue on those routes. Either way. In any case, if you can’t compete then it’s a very smart move to pull out of the market, and while I’m sure there will be a fair amount of so-called experts saying that AA is leaving these markets with its head between its knees, remember that JetBlue also pulled out of the Atlanta-Long Beach market when Delta threw capacity at it. Leaving an unprofitable market is, in the long run, a good thing.

In only slightly related news, the Neiman Marcus catalog is offering unlimited lifetime air travel in any class on American Airlines for $3 million. (Thanks to frequent OTR contributor Sanj for the heads up.) The staff here would not mind that under the Christmas tree.

2 Comments.

  1. For whose lifetime: yours or American Airlines’?

  2. Well played, Rich…