IconRobin
IconNovember 28th, 2019
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Game Plan: American Airlines plans to grow its Charlotte hub to more than 700 flights

One of the world’s biggest and well-known aviation companies, American Airlines, is currently focused on the growth strategy centered on Charlotte Douglas International Airport (CLT), wherein the executives say that it’s the most profitable hub. The said hub is undergoing a three-year expansion plan. The aviation company added an additional four gates on Concourse A, namely A2, A4, A6 and A8 as what’s included in its portfolio released on November 11, 2019. In addition, they will also add a series of new flights to various sets of markets from Charlotte which will take effect on December 18 of the same year.

As per the American’s Vice President, Dec Lee, they are referring to it as Charlotte 700 plus wherein the 700 refers to the total number of peak-day flights that the airline will operate on the said airport in line with the changes and additions on December. The said project is a response on the tagline the aviation company adopted which is the DFW 900. It added approximately a hundred of daily flights this coming summer at its home base Dallas/Fort Worth International Airport (DFW). Such growth further intensifies the Airlines’ goal to schedule around 900 flights daily on DFW.

In terms of profitability, the best hubs are Dallas/Fort Worth, Charlotte and Washington National, this is according to Doug Parker, the American CEO. This is a glimpse of what he delivers to the investors earlier in November together with discussing the strategy of the company.

In the year 2018, there has been a strategy with regard to the American’s domestic expansion. It states there that grows where it is more profitable which is often at the expense of the other less profitable hubs. To date, international growth is still one of the airline’s focus on each region. To give you an update, Los Angeles (LAX) lands a new flight to New Zealand. Miami (MIA) also adds additional frequencies to specified South America’s biggest markets. Lastly, Philadelphia (PHL) launch its first-ever nonstop fly to Africa.

It is greatly seen that Wall Street deeply acknowledged the accomplishment of the Dallas/Fort Worth growth. As per the data released in October by Raymond James analyst Savanthi Syth, the unit revenues at the Dallas/Fort Worth International Airport (DFW) increased by 3.5%. It is around 1.5 points faster than the said system increase, looking at the 8% capacity growth in the third quarter.

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