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keep in mind that AMERICAN owns the Debt on all the Eagle regional jets as well as their oWn MAinliners.. That HAS to be costing American a Damn LOT to cover if Eagle isn'treally pulling their Financial weight as
Arpey claimed.

 

Wait....what? AMR just xfered all our aircraft over to the mainline certificate for the "spin off" so Eagle would be on its own debt free. I don't know about NOT pulling any financial weight since we are owned by the same share holders.

 

AMR is keeping the Eagle planes so they only have to whipsaw the pilots and not the planes too.

 

I see your point as to how it turned out.

I think it's a "Crandallism" to say that "market share automatically leads to profitability." Under his tutelage, he would go head to head with smaller carriers in smaller markets just to drive them out of business. Selling fares below cost. (Virgin America is doing it as we speak out of DFW.) I also believe he thought it wise, and maybe the numbers showed it at the time, that by buying up smaller carriers, like the ones you mentioned, that you could reduce the total seats available and at the same time control the pricing power of that market. It was further exemplified by the multiple hub system he built up over the years. SJC, BNA and RDU were built up, then largely abandoned, except for code share, while AMR still controlled the gates. For a short while I lived in the RDU area, and I remember flying into BNA after the pull out. The AMR gates were a ghost town, while the rest of the airports was hopping.

You might say that Crandall built up expectations over his years at the head of AMR. Unions negotiated under those expectations and so did management. When they haven't come to pass, the "survivors" are left holding the bag. The TWA acquisition timed with 9/11 was a knock-down combination that's also greatly contributed. Obviously, the long-term strategy hasn't worked out so well.

 

Hold it! And stop looking at your brother!

 

Does anyone have any good intel on Judge Sean Lane from the Southern District of New York since he is the one looking over our bankruptcy?

 

3 more executives just left. 2 retired, 1quit. Or is it the other way around? Oh well, 3 leaving.

 

Redding, Burdette, Ford... adios muchachos. Now we just need Brundage to go for a complete 2011 Christmas BK present! So far Horton is on the right track. Seems to be cleaning house.

 

Cleaning house? Or offering his buds an orderly departure before the $hit really hits the fan.

I'm guessing those departing will not be in line at the soup kitchen any time soon.