Market Chatter: American Airlines Says It Is Working to Close Profit Gap With Rivals

MT Newswires Live07-20 18:26

American Airlines (AAL) is pursuing a strategy to narrow a more than $3 billion profit gap with rivals by improving operational reliability, expanding premium offerings, and potentially placing a new widebody aircraft order, Chief Executive Robert Isom told CNBC on Sunday.

Isom said American is investing in premium cabins and lounges while evaluating a widebody aircraft order to attract higher-spending travelers and improve the customer experience, according to the report.

The company remains focused on narrowing its margin gap through stronger revenue growth rather than pursuing mergers, the report added.

American Airlines did not immediately respond to MT Newswires' request for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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